Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Mar. 23, 2020 | Jun. 28, 2019 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | SCPH | ||
Entity Registrant Name | SCPHARMACEUTICALS INC. | ||
Entity Central Index Key | 0001604950 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | true | ||
Entity Ex Transition Period | true | ||
Entity Shell Company | false | ||
Entity Interactive Data Current | Yes | ||
Title of 12(b) Security | Common stock, par value $0.0001 | ||
Security Exchange Name | NASDAQ | ||
Entity File Number | 001-38293 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 46-5184075 | ||
Entity Address, Address Line One | 2400 District Avenue | ||
Entity Address, Address Line Two | Suite 310 | ||
Entity Address, City or Town | Burlington | ||
Entity Address, State or Province | MA | ||
Entity Address, Postal Zip Code | 01803 | ||
City Area Code | 617 | ||
Local Phone Number | 517-0730 | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity Common Stock, Shares Outstanding | 20,981,880 | ||
Entity Public Float | $ 27,492,179 | ||
Documents Incorporated by Reference | DOCUMENTS INCORPORATED BY REFERENCE The following documents (or parts thereof) are incorporated by reference into the following parts of this Form 10-K: Certain information required in Part III of this Annual Report on Form 10-K is incorporated from the registrant’s Definitive Proxy Statement for the 2020 Annual Meeting of Shareholders. |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets | ||
Cash and cash equivalents | $ 72,624 | $ 89,478 |
Prepaid expenses | 2,619 | 1,757 |
VAT receivable | 310 | 479 |
Other current assets | 94 | 179 |
Total current assets | 75,647 | 91,893 |
Restricted cash | 182 | 182 |
Property and equipment, net | 127 | 164 |
Right-of-use lease assets - operating, net | 1,179 | 1,506 |
Deposits and other assets | 148 | 10 |
Total assets | 77,283 | 93,755 |
Current liabilities | ||
Accounts payable | 1,142 | 587 |
Accrued expenses | 3,688 | 2,922 |
Term loan, short term | 2,811 | |
Current portion of lease obligation - operating | 407 | 353 |
Total current liabilities | 5,237 | 6,673 |
Term loan, long term | 18,915 | 6,826 |
Long term lease obligation - operating | 943 | 1,353 |
Derivative liability | 765 | |
Other liabilities | 58 | 159 |
Total liabilities | 25,918 | 15,011 |
Commitments and contingencies (Note 11) | ||
Stockholders’ Equity | ||
Preferred stock, $0.0001 par value; 10,000,000 shares authorized and no shares issued and outstanding | ||
Common stock; $0.0001 par value; 150,000,000 shares authorized at December 31, 2019; 18,569,289 and 19,418,955 shares issued and outstanding at December 31, 2018 and December 31, 2019, respectively | 2 | 2 |
Additional paid-in capital | 180,818 | 175,201 |
Accumulated deficit | (129,455) | (96,459) |
Total stockholders’ equity | 51,365 | 78,744 |
Total liabilities and stockholders’ equity | $ 77,283 | $ 93,755 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 19,418,955 | 18,569,289 |
Common stock, shares outstanding | 19,418,955 | 18,569,289 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Operating expenses: | ||
Research and development | $ 24,632 | $ 15,948 |
General and administrative | 8,273 | 13,719 |
Total operating expenses | 32,905 | 29,667 |
Loss from operations | (32,905) | (29,667) |
Other (expense) income | 16 | (56) |
Interest income | 1,660 | 1,712 |
Interest expense | (1,767) | (1,432) |
Net loss and comprehensive loss | $ (32,996) | $ (29,443) |
Net loss per share, basic and diluted | $ (1.77) | $ (1.59) |
Weighted—average common shares outstanding, basic and diluted | 18,600,718 | 18,556,126 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | At The Market Offering | Common Stock | Common StockAt The Market Offering | Additional Paid-in Capital | Additional Paid-in CapitalAt The Market Offering | Accumulated Deficit |
Beginning Balance at Dec. 31, 2017 | $ 105,997 | $ 2 | $ 173,011 | $ (67,016) | |||
Beginning Balance, Shares at Dec. 31, 2017 | 18,534,240 | ||||||
Net loss | (29,443) | (29,443) | |||||
Offering costs | (4) | (4) | |||||
Issuance of common stock upon exercise of stock options | $ 58 | 58 | |||||
Issuance of common stock upon exercise of stock options, Shares | 34,561 | 34,561 | |||||
Vesting of restricted stock | $ 1 | 1 | |||||
Vesting of restricted stock, Shares | 488 | ||||||
Stock-based compensation | 2,135 | 2,135 | |||||
Ending Balance at Dec. 31, 2018 | 78,744 | $ 2 | 175,201 | (96,459) | |||
Ending Balance, Shares at Dec. 31, 2018 | 18,569,289 | ||||||
Net loss | (32,996) | (32,996) | |||||
Issuance of stock, net of underwriting discounts, commissions and offering costs | $ 4,108 | $ 4,108 | |||||
Issuance of stock, net of underwriting discounts, commissions and offering costs, Shares | 827,525 | ||||||
Issuance of common stock upon exercise of stock options | $ 60 | 60 | |||||
Issuance of common stock upon exercise of stock options, Shares | 22,141 | 22,141 | |||||
Stock-based compensation | $ 1,449 | 1,449 | |||||
Ending Balance at Dec. 31, 2019 | $ 51,365 | $ 2 | $ 180,818 | $ (129,455) | |||
Ending Balance, Shares at Dec. 31, 2019 | 19,418,955 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities | ||
Net loss | $ (32,996,000) | $ (29,443,000) |
Adjustments to reconcile net loss to net cash used in operating activities | ||
Depreciation expense | 37,000 | 38,000 |
Amortization expense - right-of-use leased assets - operating | 327,000 | 294,000 |
Stock-based compensation | 1,449,000 | 2,135,000 |
Non-cash interest expense | 385,000 | 374,000 |
Fair value adjustment to derivative liability | 2,000 | |
Changes in operating assets and liabilities | ||
Prepaid expenses and other assets | (611,000) | (833,000) |
Accounts payable, accrued expenses and other liabilities | 965,000 | (1,377,000) |
Net cash flows used in operating activities | (30,442,000) | (28,812,000) |
Cash flows from financing activities | ||
Proceeds from common stock offering, net of underwriter discounts and offering costs | (4,000) | |
Proceeds from term loan, net of costs | 9,555,000 | (62,000) |
Proceeds from at-the-market offering, net | 3,973,000 | |
Proceeds from the exercise of stock options | 60,000 | 58,000 |
Net cash flows (used in) provided by financing activities | 13,588,000 | (8,000) |
Net decrease in cash | (16,854,000) | (28,820,000) |
Cash, cash equivalents and restricted cash, beginning of year | 89,660,000 | 118,480,000 |
Cash, cash equivalents and restricted cash, end of year | 72,806,000 | 89,660,000 |
Supplemental cash flow information | ||
Interest paid | 1,383,000 | 1,059,000 |
Taxes paid | 337,000 | 298,000 |
Supplemental disclosure of non-cash activities | ||
Issuance of derivative in connection with modification of term loan | 763,000 | |
Transfer of issuance costs from other noncurrent assets to equity | $ 54,000 | |
Vesting of restricted stock | (1,000) | |
Acquisition of right-of-use leased assets - operating, net of disposal | $ 26,000 |
Description of Business and Bas
Description of Business and Basis of Presentation | 12 Months Ended |
Dec. 31, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Description of Business and Basis of Presentation | 1. Description of Business and Basis of Presentation Description of Business scPharmaceuticals LLC was formed as a Limited Liability Company under the laws of the State of Delaware on February 19, 2013. On March 24, 2014, scPharmaceuticals LLC was converted to a Delaware Corporation and changed its name to scPharmaceuticals Inc. (“the Company”). The Company is a pharmaceutical company focused on developing and commercializing products that have the potential to optimize the delivery of infused therapies, advance patient care and reduce healthcare costs. The Company’s strategy is designed to enable the subcutaneous administration of therapies that have previously been limited to intravenous (“IV”) delivery. The Company’s headquarters and primary place of business is Burlington, Massachusetts. Basis of Presentation The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States (“U.S. GAAP”) and have been prepared on a basis which assumes that the Company will continue as a going concern, which contemplates the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. The consolidated financial statements reflect the operations of the Company and its wholly-owned subsidiary, scPharmaceuticals Securities Corporation. All significant intercompany balances and transactions have been eliminated in consolidation. At December 31, 2019, the Company had cash, cash equivalents and restricted cash of $72.8 million and working capital of $70.4 million. During the year ended December 31, 2019, the Company incurred a net loss totaling $33.0 million and used cash in operating activities totaling $30.4 million. The Company expects to continue to incur losses and use cash in operating activities in 2020. In November 2017, the Company completed an initial public offering ("IPO"), in which the Company issued and sold 7,294,968 shares of common stock at a public offering price of $14.00 per share, resulting in net proceeds of $92.7 million after deducting underwriting discounts and commissions and offering costs. Prior to the IPO, the Company funded its operations primarily through convertible notes and the sale of equity in private placements. The Company believes that, based on its current development plans and activities, its cash balance of $72.6 million as of December 31, 2019 will be sufficient to satisfy its liquidity requirements for more than one year from the issuance date of these consolidated financial statements. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | 2. Significant Accounting Policies Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting periods. Significant items subject to such estimates and assumptions include accruals related to development costs and clinical activities, and the establishment of the tax valuation allowance. Actual results could differ from those estimates. Foreign Currency Transactions The functional currency of the Company is the U.S. dollar. Accordingly, gains and losses resulting from translating transactions denominated in currencies and balances of assets and liabilities outstanding at the balance sheet date, other than U.S. dollars, are included in net loss in the Statements of Operations and Comprehensive Loss. Cash, Cash Equivalents and Restricted Cash Cash, cash equivalents and restricted cash consists of bank deposits, certificates of deposit and money market accounts with financial institutions. Cash equivalents are carried at cost which approximates fair value due to their short-term nature and which the Company believes do not have a material exposure to credit risk. The Company considers all highly liquid investments with maturities of three months or less from the date of purchase to be cash equivalents. The Company places its cash and cash equivalents with institutions with high credit quality. However, at certain times such cash and cash equivalents may be in excess of Federal Deposit Insurance Corporation and Securities Investor Protection Corporation insurance limits. The Company has not experienced any losses with respect to these accounts. As of December 31, 2019, the Company classified $182,000 as restricted cash related to a letter of credit issued as a security deposit in connection with the Company’s lease of its corporate office facilities (Note 11). Cash, cash equivalents and restricted cash consists of the following (in thousands): December 31, 2018 December 31, 2019 Cash and cash equivalents $ 89,478 $ 72,624 Restricted cash 182 182 Cash, cash equivalents and restricted cash $ 89,660 $ 72,806 Research and Development Costs Research and development costs are expensed as incurred. Nonrefundable advance payments, if any, for goods or services used in research and development are initially recorded as an asset and then recognized as an expense as the related goods are delivered or services are performed. Research and development expenses include contract services, consulting, salaries, materials and supplies and overhead. Income Taxes The Company accounts for income taxes in accordance with the ASC 740, Income Taxes. The Company provides reserves for potential payments of tax to various tax authorities related to uncertain tax positions. The tax benefits recorded are based on a determination of whether and how much of a tax benefit taken by the Company in its tax filings or positions is “more likely than not” to be realized following resolution of any uncertainty related to the tax benefit, assuming that the matter in question will be raised by the tax authorities. Potential interest and penalties associated with such uncertain tax positions are recorded as a component of income tax expense. At December 31, 2018 and 2019, the Company had no such accruals. Stock-Based Compensation Stock-based compensation expense for stock options is recognized based on the grant-date fair value using the Black-Scholes valuation model. Restricted stock units are valued at the fair market value per share of the Company’s common stock on the date of grant. The Company recognizes compensation expense only for those stock-based awards expected to vest after considering expected forfeitures. Cumulative compensation expense is at least equal to the compensation expense for vested awards. Stock-based compensation is recognized on a straight-line basis over the service period of each award. Stock compensation costs have not been capitalized by the Company. Segments Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision-maker (“CODM”) in making decisions regarding resource allocation and assessing performance. The Company’s chief executive officer is the CODM, and he uses consolidated financial information in determining how to allocate resources and assess performance. The Company has determined that it operates in one segment. All of the Company’s assets are located in the United States. Recently Issued Accounting Standards In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820) |
Net Loss per Share
Net Loss per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Net Loss per Share | 3. Net Loss per Share Net Loss per Share Basic net loss per share is calculated by dividing the net loss by the weighted-average number of shares of common stock outstanding during the period without consideration of dilutive common stock equivalents. Diluted net loss per share is the same as basic net loss per common share, since the effects of potentially dilutive securities are anti-dilutive. Dilutive common stock equivalents are comprised of unexercised stock options outstanding under the Company’s equity plan and unvested restricted stock. The following table sets forth the computation of basic and diluted net loss per share of common stock (in thousands, except shares and per share data): FOR THE YEAR ENDED DECEMBER 31, 2018 DECEMBER 31, 2019 Net loss and comprehensive loss $ (29,443 ) $ (32,996 ) Weighted—average common shares outstanding, basic and diluted 18,556,126 18,600,718 Net loss per share, basic and diluted $ (1.59 ) $ (1.77 ) The following table sets forth the outstanding potentially dilutive securities that have been excluded in the calculation of diluted net loss per share because their inclusion would be anti-dilutive (in common stock equivalent shares): FOR THE YEAR ENDED DECEMBER 31, 2018 DECEMBER 31, 2019 Stock options to purchase common stock 1,588,306 1,439,518 Unvested restricted stock — 160,900 1,588,306 1,600,418 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | 4. Property and Equipment Purchased property and equipment consist of the following as of December 31, 2018 and 2019 (in thousands): ESTIMATED USEFUL LIFE 2018 2019 Office equipment 5 years $ 10 $ 10 Office furniture 7 years 116 116 Computer equipment 3 years 8 8 Leasehold improvements Life of lease 95 95 229 229 Less: Accumulated depreciation (65 ) (102 ) Property and equipment, net $ 164 $ 127 Depreciation expense for the years ended December 31, 2018 and 2019 was $38,000 and $37,000, respectively. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2019 | |
Accruals [Abstract] | |
Accrued Expenses | 5. Accrued Expenses Accrued expenses at December 31, 2018 and 2019 consist of (in thousands): 2018 2019 Contract research and development $ 1,492 $ 2,001 Employee compensation and related costs 860 1,250 Consulting and professional service fees 356 296 Interest 47 91 State taxes 165 49 Other 2 1 Total accrued expenses $ 2,922 $ 3,688 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 6. Income Taxes The Company accounts for income taxes in accordance with ASC 740, Income Taxes Accordingly, the Company had no net income tax provision or benefit during the years ended December 31, 2018 and 2019. Components of the net deferred tax assets at December 31, 2018 and 2019 are as follows (in thousands): 2018 2019 Deferred tax assets: Federal net operating loss carryforwards $ 6,189 $ 7,638 State net operating loss carryforwards 1,670 2,117 Research and development tax credits 1,824 2,410 Accrued liabilities 257 407 Stock-based compensation 510 778 Depreciation and amortization 10 1,330 Capitalized research and development costs 14,227 19,294 Lease liabilities — 359 Other 20 — Total deferred tax assets $ 24,707 $ 34,333 Deferred tax liabiities: Right-of-use lease assets — (314 ) Other — (21 ) Total deferred tax liabilities $ — $ (335 ) Valuation allowance $ (24,707 ) $ (33,998 ) Net deferred tax assets $ — $ — At December 31, 2019, the Company had available federal net operating loss carryforwards of $17.5 million, which expire at various dates through 2038, and $18.9 million, which may be carried forward indefinitely. At December 31, 2019, the Company had available state net operating loss carryforwards of $33.5 million, which expire at various dates through 2039, and $0.1 million, which may be carried forward indefinitely. In assessing the realizability of net deferred tax assets, management considers whether it is more likely than not that the net deferred tax assets will be realized. The ultimate realization of net deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences representing future deductible amounts become deductible. Management has established a full valuation allowance against the net deferred tax assets at December 31, 2018 and 2019 since it is more likely than not that these future tax benefits will not be realized. During 2019, the valuation allowance increased by $9.3 million. At December 31, 2019, the Company had federal and state research and development credit carryforwards of $2.0 million and $0.5 million, respectively. The net credit carryforwards may be used to offset future income taxes and expire at various dates through 2039. Changes in the Company’s ownership, as defined in the U.S. Internal Revenue Code, may limit the Company’s ability to utilize the tax credit and net operating loss carryforwards. On December 22, 2017, the United States enacted new tax reform (“Tax Cuts and Jobs Act”). The Tax Cuts and Jobs Act contains provisions with separate effective dates but is generally effective for taxable years beginning after December 31, 2017. Beginning with the year ending December 31, 2018, the corporate statutory rates on U.S. earnings was reduced from 34% to 21% . A reconciliation of income tax (expense) benefit at the statutory federal income tax rate and income taxes as reflected in the consolidated financial statements at December 31, 2018 and 2019 are as follows: 2018 2019 Federal income tax at statutory rate 21.00 % 21.00 % State income tax, net of federal benefit 5.45 % 5.68 % Research and development credits 2.35 % 2.16 % Book compensation related to stock options (0.61 )% (0.27 )% Change in income tax rate (0.38 )% (0.05 )% Other (0.45 )% (0.34 )% Increase in valuation allowance (27.36 )% (28.18 )% Effective tax rate — % — % The Company files tax returns in the United States, Massachusetts and other states. The tax years 2015 through 2019 remain open to examination by major taxing jurisdictions to which the Company is subject, which are primarily the United States federal and Massachusetts, as carryforward attributes generated in years past may still be adjusted upon examination by the Internal Revenue Service or state tax authorities if they have or will be used in a future period. The Company is currently not under examination by the Internal Revenue Service or any other jurisdictions for any tax years. The Company recognizes both accrued interest and penalties related to unrecognized benefits in income tax expense. The Company has not recorded any interest or penalties on any unrecognized tax benefits since its inception. A reconciliation of the beginning and ending amount of uncertain tax benefits is as follows (in thousands): 2018 2019 Beginning uncertain tax benefits $ 284 $ 476 Prior year - increases 46 — Current year - decreases — — Current year - increases 146 152 Ending uncertain tax benefits $ 476 $ 628 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 7. Stock-Based Compensation Stock Options In October 2017, the board of directors approved the 2017 Stock Option and Incentive Plan (the “2017 Stock Plan”) which became effective in November 2017, upon the closing of the Company’s IPO. The 2017 Stock Plan will expire in October 2027. Under the 2017 Stock Plan, the Company may grant incentive stock options, non-statutory stock options, restricted stock awards, restricted stock units (“RSUs”) and other stock-based awards. The Company’s 2014 Stock Incentive Plan (the “2014 Stock Plan”) terminated in November 2017 effective upon the completion of the Company’s IPO. No additional options will be granted under the 2014 Stock Plan. At December 31, 2019, there were 828,962 options outstanding under the 2014 Stock Plan. There were 1,430,000 shares of the Company’s common stock initially reserved for issuance under the 2017 Stock Plan. In addition, the number of shares of common stock that may be issued under the 2017 Stock Plan automatically increases on each January 1, beginning on January 1, 2018 and ending on January 1, 2027, by a number of shares equal to 4% of the Company’s shares of common stock outstanding on the immediately preceding December 31, subject to limitation. On January 1, 2018, 2019 and 2020, the number of shares issuable under the 2017 Stock Plan increased by 741,389, 742,772 and 776,758 shares, respectively. At December 31, 2019, there were 3,166,868 shares of the Company’s common stock authorized for issuance under the 2017 Stock Plan, including 252,707 options that have been forfeited from the 2014 Stock Plan. At December 31, 2019, there were 2,395,412 options available for issuance, 610,556 options outstanding and 160,900 restricted stock units outstanding under the 2017 Stock Plan. Options granted under the 2017 Stock Plan have a term of ten years. Vesting of options under the 2017 Stock Plan is determined by the compensation committee of the board of directors but is generally a four-year term. The fair value of options at date of grant was estimated using the Black-Scholes option-pricing model with the following assumptions: 2018 2019 Risk-free interest rate 2.42%—2.86% 1.59%—2.51% Expected dividend yield 0% 0% Expected life 5.5—7.0 years 5.5—6.1 years Expected volatility 76%—86% 72%—74% Weighted-average grant date fair value $ 7.57 $ 2.31 Due to the lack of a public market for the trading of the Company’s common stock prior to its initial public offering and the lack of company-specific historical volatility, volatility was estimated using historical volatilities of similar companies. The expected life of the awards is estimated based on the simplified method, which calculates the expected life based upon the midpoint of the term of the award and the vesting period. The Company uses the simplified method because it does not have sufficient option exercise data to provide a reasonable basis upon which to estimate the expected term. The Company has no history of paying dividends nor does management expect to pay dividends over the contractual terms of these options. The risk-free interest rates are based on the United States Treasury yield curve in effect at the time of grant, with maturities approximating the expected life of the stock options. The following table summarizes information about stock option activity during 2018 and 2019 (in thousands, except share and per share data): NUMBER OF SHARES WEIGHTED- AVERAGE EXERCISE PRICE WEIGHTED- AVERAGE REMAINING CONTRACTUAL TERM AGGREGATE INTRINSIC VALUE Outstanding, December 31, 2017 1,195,495 $ 5.38 Granted 939,296 10.54 Exercised (34,561 ) 1.69 Forfeited (511,924 ) 10.85 Outstanding, December 31, 2018 1,588,306 $ 6.75 Granted 162,522 3.56 Exercised (22,141 ) 2.73 Forfeited (289,169 ) 8.54 Outstanding, December 31, 2019 1,439,518 $ 6.09 7.62 $ 1,642 Vested and exercisable, December 31, 2019 911,924 $ 6.20 7.22 $ 977 Vested and expected to vest, December 31, 2019 1,341,385 $ 6.13 7.54 $ 1,520 The following table summarizes information about RSU activity during the year ended December 31, 2019: RSUs AVERAGE GRANT DATE FAIR VALUE (IN DOLLARS PER SHARE) RSUs outstanding, December 31, 2018 — $ — Granted 160,900 3.25 Exercised — — Forfeited — — RSUs outstanding, December 31, 2019 160,900 $ 3.25 During 2018 and 2019, the Company received $58,000 and $60,000, respectively, upon exercise of stock options. The intrinsic value of the options exercised in 2018 and 2019 was $270,000 and $47,000, respectively. Unrecognized compensation expense related to unvested options as of December 31, 2019 was $1.6 million and will be recognized over the remaining vesting periods of the underlying awards. The weighted-average period over which such compensation is expected to be recognized is 1.8 years. Unrecognized compensation expense related to unvested RSUs as of December 31, 2019 was $237,000 and will be recognized over the remaining vesting periods of the underlying awards. The weighted-average period over which such compensation is expected to be recognized is 1.1 years. During the year ended December 31, 2018, the Company extended the exercise period for 102,661 vested options with a weighted average exercise price of $7.33 pursuant to separation agreements. The Company recorded incremental stock-based compensation expense of $117,000. During The Company recorded stock-based compensation expense in the following expense categories of its accompanying condensed consolidated statements of operations and comprehensive loss for employees, directors and non-employees during the years ended December 31, 2018 and 2019 as follows (in thousands): 2018 2019 Research and development $ 567 $ 327 General and administrative 1,568 1,122 Total $ 2,135 $ 1,449 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | 8. Fair Value of Financial Instruments The Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) Topic, Fair Value Measurements and Disclosures (“ASC 820”), Level 1—Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2—Valuations based on quoted prices for similar assets or liabilities in markets that are not active or for which all significant inputs are observable, either directly or indirectly. Level 3—Valuations that require inputs that reflect the Company’s own assumptions that are both significant to the fair value measurement and observable. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The carrying values of the Company’s cash and restricted cash, prepaid expenses, value added tax, or VAT, receivable and deposits approximate their fair values due to their short-term nature. The carrying value of the Company’s loan payable was considered a reasonable estimate of fair value because the Company’s interest rate is near current market rates for instruments with similar characteristics. The following table summarizes the Company’s assets and liabilities as of December 31, 2019 that are measured at fair value on a recurring basis and indicates the level of the fair value hierarchy utilized to determine such fair values (in thousands): TOTAL Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Cash equivalents $ 67,824 $ 67,824 $ — $ — Total $ 67,824 $ 67,824 $ — $ — Liabilities: Derivative liability $ 765 $ — $ — $ 765 Total $ 765 $ — $ — $ 765 The fair value of the derivative liability recognized in connection with the Company’s 2019 Loan Agreement (Note 9) was determined based on significant inputs not observable in the market, which represents a Level 3 measurement within the fair value hierarchy. The fair value of the derivative liability was determined using the probability-weighted expected return method, which considered as inputs the timing and probability of occurrence of an exit event, the amount of the payment, and the risk-free discount rate reflecting the expected risk profile for each of the potential settlement scenarios. |
Term Loan
Term Loan | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Term Loan | 9. Term Loan In May 2017, the Company entered into a loan and security agreement (the “2017 Loan Agreement”), with Solar Capital Ltd. and Silicon Valley Bank, (together, the “Lenders”) for $10.0 million. The 2017 Loan Agreement had a maturity date of May 1, 2021. Debt issuance costs for the 2017 Loan Agreement were to be amortized to interest expense over the remaining term of the 2017 Loan Agreement using the effective-interest method. The interest rate under the 2017 Loan Agreement was LIBOR plus 8.45%. The initial interest-only period was until November 30, 2018, followed by a 30-month principal and interest period. The First Amendment to the Loan and Security Agreement, entered into in November 2018, extended the interest-only period through May 2019. The Third Amendment to the Loan and Security Agreement, entered into in May 2019, extended the interest-only period through August 2019, with the ability to further extend the interest only period to November 2019. Pursuant to the 2017 Loan Agreement, the Company provided a first priority security interest in all existing and after-acquired assets, excluding intellectual property, owned by the Company. For the year ended December 31, 2019, the Company recorded $169,000 related to the amortization of debt discount associated with the 2017 Loan Agreement. For the year ended December 31, 2018, the Company recorded $280,000 related to the amortization of debt discount associated with the 2017 Loan Agreement. The 2017 Loan Agreement allowed the Company to voluntarily prepay all (but not less than all) of the outstanding principal at any time. A prepayment premium of 1% would be assessed on the outstanding principal. A final payment fee of $250,000 was due upon the earlier to occur of the maturity date or prepayment of such borrowings. The final payment fee was increased to $325,000 in the First Amendment to the 2017 Loan Agreement. For the year ended December 31, 2019, the Company recorded $80,000, related to the amortization of the final payment fee associated with the 2017 Loan Agreement. For the year ended December 31, 2018, the Company recorded $94,000, related to the amortization of the final payment fee associated with the 2017 Loan Agreement. In September 2019, the Company replaced the 2017 Loan Agreement with a new $20.0 million term loan with the Lenders, the 2019 Loan Agreement. The restructured four-year term loan facility allows for an expansion of the 2017 Loan Agreement. Some of the proceeds from the 2019 Loan Agreement were used to pay off the 2017 Loan Agreement including the final fee of $325,000. The 2019 Loan Agreement extends the term of the credit facility until The interest rate under the 2019 Loan Agreement is the higher of (i) LIBOR plus 7.95% or (ii) 10.18% and there is an interest-only period until September 30, 2021. The rate at December 31, 2019 was 10.18%. Pursuant to the 2019 Loan Agreement, the Company provided a first priority security interest in substantially all of the Company’s assets, including intellectual property, subject to certain exceptions. The Company entered into the Exit Agreement in connection with the 2019 Loan Agreement which provides for an aggregate payment of 4% of the loan commitment, or $800,000, to the Lenders upon the occurrence of an exit event. The Company concluded that the exit payment obligation met the definition of a derivative that was required to be accounted for as a separate unit of accounting. The Company recorded the issuance-date fair value of the derivative liability of $763,000 as a debt discount and as a derivative liability in the Company’s balance sheet. As of December 31, 2019, unpaid borrowings under the 2019 Loan Agreement totaled $20.0 million. For the year ended December 31, 2019, the Company recorded $90,000 related to the amortization of debt discount associated with the 2019 Loan Agreement. The 2019 Loan Agreement allows the Company to voluntarily prepay all (but not less than all) of the outstanding principal at any time. A prepayment premium of 3% or 1% through the one-year anniversary and the two-year anniversary, respectively, would be assessed on the outstanding principal. After the two-year anniversary, a 0.5% prepayment premium would be assessed on the outstanding principal. A final payment fee of $500,000 is due upon the earlier to occur of the maturity date or prepayment of such borrowings. For the year ended December 31, 2019, the Company recorded $46,000 related to the amortization of the final payment fee associated with the 2019 Loan Agreement. In an event of default under the 2019 Loan Agreement, the interest rate will be increased by 5% and the balance under the loan may become immediately due and payable at the option of the lenders. The 2019 Loan Agreement includes restrictions on, among other things, the Company’s ability to incur additional indebtedness, change the name or location of the Company’s business, merge with or acquire other entities, pay dividends or make other distributions to holders of its capital stock, make certain investments, engage in transactions with affiliates, create liens, sell assets or pay subordinated debt. Total term loan and unamortized debt discount balances are as follows (in thousands): DECEMBER 31, 2018 DECEMBER 31, 2019 Face value $ 10,000 $ 20,000 Less: discount (363 ) (1,085 ) Total $ 9,637 $ 18,915 Less: current portion (2,811 ) — Long-term portion $ 6,826 $ 18,915 As of December 31, 2019, future principal payments due under the 2019 Loan Agreement are as follows (in thousands): Year ended: December 31, 2021 $ 2,500 December 31, 2022 10,000 December 31, 2023 7,500 Total minimum principal payments $ 20,000 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Stockholders' Equity | 10. Stockholders’ Equity Common Stock At December 31, 2018 and 2019, the Company had 150,000,000 shares of common stock authorized with a par value of $0.0001. There were 18,569,289 and 19,418,955 shares issued and outstanding at December 31, 2018 and 2019, respectively. Voting, dividend and liquidation rights of the holders of the common stock are subject to the Company’s articles of incorporation, corporate bylaws and underlying shareholder agreements. Reserved Shares The Company has reserved 1,439,518 and 160,900 shares of common stock for the exercise of outstanding options to purchase common stock and for the vesting of RSUs, respectively. At-the-Market Issuance Sales Agreement On August 23, 2019, the Company entered into an Open Market Sale Agreement SM Subject to the terms and conditions of the ATM Agreement, Jefferies will use its commercially reasonable efforts to sell the ATM Shares, based upon instructions from the Company, consistent with its normal trading and sales practices. The Company will pay Jefferies a commission equal to 3.0% of the gross sales proceeds of such ATM Shares. During the year ended December 31, 2019, the Company sold a total of 827,525 ATM Shares under the ATM Agreement, in the open market, at an average gross selling price of $5.18 per share for proceeds of $4.2 million, net of commissions. The Company incurred $189,000 of legal, accounting and other costs to establish and activate the ATM program. The Company charged $54,000 of these costs against additional paid in capital upon issuance of shares during the year ended December 31, 2019. Preferred Stock At December 31, 2018 and 2019, the Company had 10,000,000 shares of preferred stock authorized with a par value of $0.0001 and no shares of preferred stock were issued or outstanding. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 11. Commitments and Contingencies Operating Leases The Company entered into noncancelable operating leases for office facilities located in Lexington, Massachusetts and Burlington, Massachusetts through December 31, 2022 and November 30, 2022, respectively. Rent expense under the operating leases totaled $0.5 million and $0.5 million for the years ended December 31, 2018 and 2019, respectively. Certain leases provide for increases in future minimum annual rental payments as defined in the lease agreements. The leases generally also include real estate taxes and common area maintenance (“CAM”) charges in the annual rental payments. Pursuant to the terms of its lease agreement for the Company’s headquarters in Burlington, Massachusetts, the Company obtained a letter of credit in the amount of approximately $182,000 as security on the lease obligation. The letter of credit is listed as restricted cash on the Company’s consolidated balance sheets. Short-term leases are leases having a term of twelve months or less. The Company recognizes short-term leases on a straight-line basis and does not record a related lease asset or liability for such leases. The following is a maturity analysis of the annual undiscounted cash flows reconciled to the carrying value of the operating lease liabilities as of December 31, 2019 (in thousands): Year ended: December 31, 2020 $ 528 December 31, 2021 537 December 31, 2022 496 Total minimum lease payments 1,561 Less imputed interest (211 ) Total $ 1,350 2018 2019 Lease cost: Operating lease cost $ 483 $ 490 Short-term lease cost 8 8 Sublease income (39 ) (56 ) Total lease cost $ 452 $ 442 Other information Cash paid for amounts included in the measurement of liabilities $ 429 $ 514 Operating cash flows from operating leases $ 49 $ (30 ) Weighted-average remaining lease term - operating leases 3.9 years 2.9 years Weighted-average discount rate - operating leases 10.1 % 10.1 % In February 2018, the Company signed a sublease agreement for its facility located in Lexington, Massachusetts. The sublease commenced on April 1, 2018 and has an initial term of three years with an extension term through December 2022. In February 2020, the sublease was extended until December 31, 2022. Research and Development Agreements As part of the Company’s research and development efforts, the Company enters into research and development agreements with unrelated companies. These agreements contain varying terms and provisions which include fees and milestones to be paid by the Company. Some of these agreements also contain provisions which require the Company to make payments for exclusivity in the development of products in the area of loop diuretics. Contingencies The Company follows subtopic 450-20 of the FASB Accounting Standards Codification to report accounting for contingencies. Certain conditions may exist as of the date the financial statements are issued, which may result in a loss to the Company but which will only be resolved when one or more future events occur or fail to occur. The Company assesses such contingent liabilities, and such assessment inherently involves an exercise of judgment. If the assessment of a contingency indicates that it is probable that a material loss has been incurred and the amount of the liability can be estimated, then the estimated liability would be accrued in the Company’s financial statements. If the assessment indicates that a potential material loss contingency is not probable but is reasonably possible, or is probable but cannot be estimated, then the nature of the contingent liability, and an estimate of the range of possible losses, if determinable and material, would be disclosed. Loss contingencies considered remote are generally not disclosed unless they involve guarantees, in which case the guarantees would be disclosed. Due to the discontinuation of use of the Company’s first generation product candidate, sc2Wear Infusor, the Company has received notice of termination costs from vendors related to the program. The Company has accrued all costs for which it either believes it is contractually liable or for which the Company has negotiated settlement agreements in good faith. However, certain of the Company’s vendors have claimed or billed for additional costs for which the Company believes it is not obligated. At this time, the Company estimates that additional termination costs, if any, will be immaterial to the Company’s financial statements. |
401(k) Savings Plan
401(k) Savings Plan | 12 Months Ended |
Dec. 31, 2019 | |
Compensation And Retirement Disclosure [Abstract] | |
401(k) Savings Plan | 12. 401(k) Savings Plan In July 2014, the Company established a defined contribution savings plan under Section 401(k) of the Internal Revenue Code covering all of its employees. Employees may make contributions by withholding a percentage of their salary. The plan includes an employer match equal to 100% on the first 3% of deferred compensation and an additional 50% on the next 2% of deferred compensation. During the years ended December 31, 2018 and 2019, the Company has recognized compensation expense of $225,000 and $104,000, respectively, for the employer match contribution. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | The Company considers events or transactions that occur after the balance sheet date but prior to the issuance of the financial statements to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure. In the period beginning January 1, 2020 through the date of this Annual Report on Form 10-K, the Company issued and sold an additional 1,502,892 shares of its common stock under the ATM program, resulting in the receipt of $10.4 million in net proceeds. With the shares sold in 2020, the ATM program is complete. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting periods. Significant items subject to such estimates and assumptions include accruals related to development costs and clinical activities, and the establishment of the tax valuation allowance. Actual results could differ from those estimates. |
Foreign Currency Transactions | Foreign Currency Transactions The functional currency of the Company is the U.S. dollar. Accordingly, gains and losses resulting from translating transactions denominated in currencies and balances of assets and liabilities outstanding at the balance sheet date, other than U.S. dollars, are included in net loss in the Statements of Operations and Comprehensive Loss. |
Cash Cash Equivalents and Restricted Cash | Cash, Cash Equivalents and Restricted Cash Cash, cash equivalents and restricted cash consists of bank deposits, certificates of deposit and money market accounts with financial institutions. Cash equivalents are carried at cost which approximates fair value due to their short-term nature and which the Company believes do not have a material exposure to credit risk. The Company considers all highly liquid investments with maturities of three months or less from the date of purchase to be cash equivalents. The Company places its cash and cash equivalents with institutions with high credit quality. However, at certain times such cash and cash equivalents may be in excess of Federal Deposit Insurance Corporation and Securities Investor Protection Corporation insurance limits. The Company has not experienced any losses with respect to these accounts. As of December 31, 2019, the Company classified $182,000 as restricted cash related to a letter of credit issued as a security deposit in connection with the Company’s lease of its corporate office facilities (Note 11). Cash, cash equivalents and restricted cash consists of the following (in thousands): December 31, 2018 December 31, 2019 Cash and cash equivalents $ 89,478 $ 72,624 Restricted cash 182 182 Cash, cash equivalents and restricted cash $ 89,660 $ 72,806 |
Research and Development Costs | Research and Development Costs Research and development costs are expensed as incurred. Nonrefundable advance payments, if any, for goods or services used in research and development are initially recorded as an asset and then recognized as an expense as the related goods are delivered or services are performed. Research and development expenses include contract services, consulting, salaries, materials and supplies and overhead. |
Income Taxes | Income Taxes The Company accounts for income taxes in accordance with the ASC 740, Income Taxes. The Company provides reserves for potential payments of tax to various tax authorities related to uncertain tax positions. The tax benefits recorded are based on a determination of whether and how much of a tax benefit taken by the Company in its tax filings or positions is “more likely than not” to be realized following resolution of any uncertainty related to the tax benefit, assuming that the matter in question will be raised by the tax authorities. Potential interest and penalties associated with such uncertain tax positions are recorded as a component of income tax expense. At December 31, 2018 and 2019, the Company had no such accruals. |
Stock-Based Compensation | Stock-Based Compensation Stock-based compensation expense for stock options is recognized based on the grant-date fair value using the Black-Scholes valuation model. Restricted stock units are valued at the fair market value per share of the Company’s common stock on the date of grant. The Company recognizes compensation expense only for those stock-based awards expected to vest after considering expected forfeitures. Cumulative compensation expense is at least equal to the compensation expense for vested awards. Stock-based compensation is recognized on a straight-line basis over the service period of each award. Stock compensation costs have not been capitalized by the Company. |
Segments | Segments Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision-maker (“CODM”) in making decisions regarding resource allocation and assessing performance. The Company’s chief executive officer is the CODM, and he uses consolidated financial information in determining how to allocate resources and assess performance. The Company has determined that it operates in one segment. All of the Company’s assets are located in the United States. |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820) |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Cash, Cash Equivalents and Restricted Cash | As of December 31, 2019, the Company classified $182,000 as restricted cash related to a letter of credit issued as a security deposit in connection with the Company’s lease of its corporate office facilities (Note 11). Cash, cash equivalents and restricted cash consists of the following (in thousands): December 31, 2018 December 31, 2019 Cash and cash equivalents $ 89,478 $ 72,624 Restricted cash 182 182 Cash, cash equivalents and restricted cash $ 89,660 $ 72,806 |
Net Loss per Share (Tables)
Net Loss per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Net Loss Per Share of Common Stock | The following table sets forth the computation of basic and diluted net loss per share of common stock (in thousands, except shares and per share data): FOR THE YEAR ENDED DECEMBER 31, 2018 DECEMBER 31, 2019 Net loss and comprehensive loss $ (29,443 ) $ (32,996 ) Weighted—average common shares outstanding, basic and diluted 18,556,126 18,600,718 Net loss per share, basic and diluted $ (1.59 ) $ (1.77 ) |
Schedule of Antidilutive Securities Excluded from Computation of Net Loss Per Share | The following table sets forth the outstanding potentially dilutive securities that have been excluded in the calculation of diluted net loss per share because their inclusion would be anti-dilutive (in common stock equivalent shares): FOR THE YEAR ENDED DECEMBER 31, 2018 DECEMBER 31, 2019 Stock options to purchase common stock 1,588,306 1,439,518 Unvested restricted stock — 160,900 1,588,306 1,600,418 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Schedule of Purchased Property and Equipment | Purchased property and equipment consist of the following as of December 31, 2018 and 2019 (in thousands): ESTIMATED USEFUL LIFE 2018 2019 Office equipment 5 years $ 10 $ 10 Office furniture 7 years 116 116 Computer equipment 3 years 8 8 Leasehold improvements Life of lease 95 95 229 229 Less: Accumulated depreciation (65 ) (102 ) Property and equipment, net $ 164 $ 127 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses at December 31, 2018 and 2019 consist of (in thousands): 2018 2019 Contract research and development $ 1,492 $ 2,001 Employee compensation and related costs 860 1,250 Consulting and professional service fees 356 296 Interest 47 91 State taxes 165 49 Other 2 1 Total accrued expenses $ 2,922 $ 3,688 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Net Deferred Tax Assets | . Components of the net deferred tax assets at December 31, 2018 and 2019 are as follows (in thousands): 2018 2019 Deferred tax assets: Federal net operating loss carryforwards $ 6,189 $ 7,638 State net operating loss carryforwards 1,670 2,117 Research and development tax credits 1,824 2,410 Accrued liabilities 257 407 Stock-based compensation 510 778 Depreciation and amortization 10 1,330 Capitalized research and development costs 14,227 19,294 Lease liabilities — 359 Other 20 — Total deferred tax assets $ 24,707 $ 34,333 Deferred tax liabiities: Right-of-use lease assets — (314 ) Other — (21 ) Total deferred tax liabilities $ — $ (335 ) Valuation allowance $ (24,707 ) $ (33,998 ) Net deferred tax assets $ — $ — |
Schedule of Reconciliation of Income Tax (Expense) Benefit | A reconciliation of income tax (expense) benefit at the statutory federal income tax rate and income taxes as reflected in the consolidated financial statements at December 31, 2018 and 2019 are as follows: 2018 2019 Federal income tax at statutory rate 21.00 % 21.00 % State income tax, net of federal benefit 5.45 % 5.68 % Research and development credits 2.35 % 2.16 % Book compensation related to stock options (0.61 )% (0.27 )% Change in income tax rate (0.38 )% (0.05 )% Other (0.45 )% (0.34 )% Increase in valuation allowance (27.36 )% (28.18 )% Effective tax rate — % — % |
Schedule of Reconciliation of Uncertain Tax Benefits | A reconciliation of the beginning and ending amount of uncertain tax benefits is as follows (in thousands): 2018 2019 Beginning uncertain tax benefits $ 284 $ 476 Prior year - increases 46 — Current year - decreases — — Current year - increases 146 152 Ending uncertain tax benefits $ 476 $ 628 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Schedule of Estimated Fair Value of Options Valuation Assumptions | The fair value of options at date of grant was estimated using the Black-Scholes option-pricing model with the following assumptions: 2018 2019 Risk-free interest rate 2.42%—2.86% 1.59%—2.51% Expected dividend yield 0% 0% Expected life 5.5—7.0 years 5.5—6.1 years Expected volatility 76%—86% 72%—74% Weighted-average grant date fair value $ 7.57 $ 2.31 |
Summary of Information about Stock Option Activity | The following table summarizes information about stock option activity during 2018 and 2019 (in thousands, except share and per share data): NUMBER OF SHARES WEIGHTED- AVERAGE EXERCISE PRICE WEIGHTED- AVERAGE REMAINING CONTRACTUAL TERM AGGREGATE INTRINSIC VALUE Outstanding, December 31, 2017 1,195,495 $ 5.38 Granted 939,296 10.54 Exercised (34,561 ) 1.69 Forfeited (511,924 ) 10.85 Outstanding, December 31, 2018 1,588,306 $ 6.75 Granted 162,522 3.56 Exercised (22,141 ) 2.73 Forfeited (289,169 ) 8.54 Outstanding, December 31, 2019 1,439,518 $ 6.09 7.62 $ 1,642 Vested and exercisable, December 31, 2019 911,924 $ 6.20 7.22 $ 977 Vested and expected to vest, December 31, 2019 1,341,385 $ 6.13 7.54 $ 1,520 |
Schedule of RSU Activity | The following table summarizes information about RSU activity during the year ended December 31, 2019: RSUs AVERAGE GRANT DATE FAIR VALUE (IN DOLLARS PER SHARE) RSUs outstanding, December 31, 2018 — $ — Granted 160,900 3.25 Exercised — — Forfeited — — RSUs outstanding, December 31, 2019 160,900 $ 3.25 |
Summary of Stock-Based Compensation Expense | The Company recorded stock-based compensation expense in the following expense categories of its accompanying condensed consolidated statements of operations and comprehensive loss for employees, directors and non-employees during the years ended December 31, 2018 and 2019 as follows (in thousands): 2018 2019 Research and development $ 567 $ 327 General and administrative 1,568 1,122 Total $ 2,135 $ 1,449 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table summarizes the Company’s assets and liabilities as of December 31, 2019 that are measured at fair value on a recurring basis and indicates the level of the fair value hierarchy utilized to determine such fair values (in thousands): TOTAL Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Cash equivalents $ 67,824 $ 67,824 $ — $ — Total $ 67,824 $ 67,824 $ — $ — Liabilities: Derivative liability $ 765 $ — $ — $ 765 Total $ 765 $ — $ — $ 765 |
Term Loan (Tables)
Term Loan (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Total Term Loan and Unamortized Debt Discount | Total term loan and unamortized debt discount balances are as follows (in thousands): DECEMBER 31, 2018 DECEMBER 31, 2019 Face value $ 10,000 $ 20,000 Less: discount (363 ) (1,085 ) Total $ 9,637 $ 18,915 Less: current portion (2,811 ) — Long-term portion $ 6,826 $ 18,915 |
Schedule of Future Principal Payments Due | As of December 31, 2019, future principal payments due under the 2019 Loan Agreement are as follows (in thousands): Year ended: December 31, 2021 $ 2,500 December 31, 2022 10,000 December 31, 2023 7,500 Total minimum principal payments $ 20,000 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule of Maturity Analysis of Annual Undiscounted Cash Flows of Operating Lease Liabilities | The following is a maturity analysis of the annual undiscounted cash flows reconciled to the carrying value of the operating lease liabilities as of December 31, 2019 (in thousands): Year ended: December 31, 2020 $ 528 December 31, 2021 537 December 31, 2022 496 Total minimum lease payments 1,561 Less imputed interest (211 ) Total $ 1,350 |
Schedule of Lease Cost and Other Information of Operating Lease Liabilities | 2018 2019 Lease cost: Operating lease cost $ 483 $ 490 Short-term lease cost 8 8 Sublease income (39 ) (56 ) Total lease cost $ 452 $ 442 Other information Cash paid for amounts included in the measurement of liabilities $ 429 $ 514 Operating cash flows from operating leases $ 49 $ (30 ) Weighted-average remaining lease term - operating leases 3.9 years 2.9 years Weighted-average discount rate - operating leases 10.1 % 10.1 % |
Description of Business and B_2
Description of Business and Basis of Presentation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Nov. 30, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Description Of Business And Basis Of Presentation [Line Items] | ||||
Cash, cash equivalents and restricted cash | $ 72,806 | $ 89,660 | $ 118,480 | |
Working capital | 70,400 | |||
Net loss | 32,996 | 29,443 | ||
Net cash flows used in operating activities | 30,442 | 28,812 | ||
Proceeds from initial offering after deducting underwriting discounts and commissions | $ (4) | |||
Cash balance | $ 72,600 | |||
IPO | ||||
Description Of Business And Basis Of Presentation [Line Items] | ||||
Common stock issued and sold | 7,294,968 | |||
Public offering price of common stock | $ 14 | |||
Proceeds from initial offering after deducting underwriting discounts and commissions | $ 92,700 |
Significant Accounting Polici_4
Significant Accounting Policies - Additional Information (Details) | 12 Months Ended | |
Dec. 31, 2019USD ($)Segment | Dec. 31, 2018USD ($) | |
Schedule Of Accounting Policies [Line Items] | ||
Restricted cash | $ 182,000 | $ 182,000 |
Potential interest and penalties associated with uncertain tax positions, accruals | $ 0 | $ 0 |
Number of operating segments | Segment | 1 | |
Letter of Credit | ||
Schedule Of Accounting Policies [Line Items] | ||
Restricted cash | $ 182,000 |
Significant Accounting Polici_5
Significant Accounting Policies - Schedule of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents [Abstract] | |||
Cash and cash equivalents | $ 72,624 | $ 89,478 | |
Restricted cash | 182 | 182 | |
Cash, cash equivalents and restricted cash | $ 72,806 | $ 89,660 | $ 118,480 |
Net Loss per Share - Computatio
Net Loss per Share - Computation of Basic and Diluted Net Loss Per Share of Common Stock (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Earnings Per Share [Abstract] | ||
Net loss and comprehensive loss | $ (32,996) | $ (29,443) |
Weighted—average common shares outstanding, basic and diluted | 18,600,718 | 18,556,126 |
Net loss per share, basic and diluted | $ (1.77) | $ (1.59) |
Net Loss per Share - Schedule o
Net Loss per Share - Schedule of Antidilutive Securities Excluded from Computation of Net Loss Per Share (Details) - shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Anti-dilutive securities excluded from calculation of diluted net loss per share | 1,600,418 | 1,588,306 |
Stock Options to Purchase Common Stock | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Anti-dilutive securities excluded from calculation of diluted net loss per share | 1,439,518 | 1,588,306 |
Unvested Restricted Stock | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Anti-dilutive securities excluded from calculation of diluted net loss per share | 160,900 |
Property and Equipment - Schedu
Property and Equipment - Schedule of Purchased Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Property Plant And Equipment [Line Items] | ||
Property and equipment, gross | $ 229 | $ 229 |
Less: Accumulated depreciation | (102) | (65) |
Property and equipment, net | $ 127 | 164 |
Office Equipment | ||
Property Plant And Equipment [Line Items] | ||
ESTIMATED USEFUL LIFE | 5 years | |
Property and equipment, gross | $ 10 | 10 |
Office Furniture | ||
Property Plant And Equipment [Line Items] | ||
ESTIMATED USEFUL LIFE | 7 years | |
Property and equipment, gross | $ 116 | 116 |
Computer Equipment | ||
Property Plant And Equipment [Line Items] | ||
ESTIMATED USEFUL LIFE | 3 years | |
Property and equipment, gross | $ 8 | 8 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
ESTIMATED USEFUL LIFE | Life of lease | |
Property and equipment, gross | $ 95 | $ 95 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Property Plant And Equipment [Abstract] | ||
Depreciation expense | $ 37,000 | $ 38,000 |
Accrued Expenses - Schedule of
Accrued Expenses - Schedule of Accrued Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accruals [Abstract] | ||
Contract research and development | $ 2,001 | $ 1,492 |
Employee compensation and related costs | 1,250 | 860 |
Consulting and professional service fees | 296 | 356 |
Interest | 91 | 47 |
State taxes | 49 | 165 |
Other | 1 | 2 |
Total accrued expenses | $ 3,688 | $ 2,922 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Taxes [Line Items] | |||
Net income tax provision or benefit | $ 0 | $ 0 | |
Federal net operating loss carryforwards expiration year | 2038 | ||
State net operating loss carryforwards expiration year | 2039 | ||
Increase in valuation allowance | $ 9,300,000 | ||
Research and development credit carryforwards | $ 2,410,000 | $ 1,824,000 | |
Federal and state research and development credit carryforwards expiration year | 2039 | ||
Federal income tax at statutory rate | 21.00% | 21.00% | 34.00% |
Federal | |||
Income Taxes [Line Items] | |||
Net operating loss carryforwards | $ 18,900,000 | ||
Research and development credit carryforwards | 2,000,000 | ||
Federal | 2037 | |||
Income Taxes [Line Items] | |||
Net operating loss carryforwards | 17,500,000 | ||
State | |||
Income Taxes [Line Items] | |||
Net operating loss carryforwards | 100,000 | ||
Research and development credit carryforwards | 500,000 | ||
State | 2038 | |||
Income Taxes [Line Items] | |||
Net operating loss carryforwards | $ 33,500,000 |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Net Deferred Tax Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets: | ||
Federal net operating loss carryforwards | $ 7,638 | $ 6,189 |
State net operating loss carryforwards | 2,117 | 1,670 |
Research and development tax credits | 2,410 | 1,824 |
Accrued liabilities | 407 | 257 |
Stock-based compensation | 778 | 510 |
Depreciation and amortization | 1,330 | 10 |
Capitalized research and development costs | 19,294 | 14,227 |
Lease liabilities | 359 | |
Other | 20 | |
Total deferred tax assets | 34,333 | 24,707 |
Deferred tax liabiities: | ||
Right-of-use lease assets | (314) | |
Other | (21) | |
Total deferred tax liabilities | (335) | |
Valuation allowance | $ (33,998) | $ (24,707) |
Income Taxes - Schedule of Reco
Income Taxes - Schedule of Reconciliation of Income Tax (Expense) Benefit (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Federal income tax at statutory rate | 21.00% | 21.00% | 34.00% |
State income tax, net of federal benefit | 5.68% | 5.45% | |
Research and development credits | 2.16% | 2.35% | |
Book compensation related to stock options | (0.27%) | (0.61%) | |
Change in income tax rate | (0.05%) | (0.38%) | |
Other | (0.34%) | (0.45%) | |
Increase in valuation allowance | (28.18%) | (27.36%) |
Income Taxes - Schedule of Re_2
Income Taxes - Schedule of Reconciliation of Uncertain Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Beginning uncertain tax benefits | $ 476 | $ 284 |
Prior year - increases | 46 | |
Current year - increases | 152 | 146 |
Ending uncertain tax benefits | $ 628 | $ 476 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) | Jan. 01, 2020 | Jan. 01, 2019 | Jan. 01, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Nov. 30, 2017 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Additional options granted | 162,522 | 939,296 | |||||
Stock option, number of shares outstanding | 1,439,518 | 1,588,306 | 1,195,495 | ||||
Cash received upon exercise of stock options | $ 60,000 | $ 58,000 | |||||
Intrinsic value of options exercised | 47,000 | $ 270,000 | |||||
Unrecognized compensation expense | $ 1,600,000 | ||||||
Recognition period (in years) | 1 year 9 months 18 days | ||||||
Number of options vested | 102,661 | ||||||
Weighted average exercise price for vested options | $ 8.41 | $ 7.33 | |||||
Incremental stock-based compensation expense | $ 70,000 | $ 117,000 | |||||
Tranche One | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Stock option vesting term | 1 year | ||||||
Number of options vested | 55,677 | ||||||
Tranche Two | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Stock option vesting term | 2 years | ||||||
Number of options vested | 85,432 | ||||||
Restricted Stock Units (RSUs) | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Stock option, number of shares outstanding | 160,900 | ||||||
Number of restricted stock units outstanding | 160,900 | ||||||
Unrecognized compensation expense | $ 237,000 | ||||||
Recognition period (in years) | 1 year 1 month 6 days | ||||||
2017 Stock Plan | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Stock option and incentive plan effective date | Nov. 30, 2017 | ||||||
Stock option and incentive plan expiration date | Oct. 31, 2027 | ||||||
Stock option, number of shares outstanding | 610,556 | ||||||
Number of common stock initially reserved for issuance | 3,166,868 | 1,430,000 | |||||
Percentage of shares issued on common stock outstanding | 4.00% | ||||||
Shares issuable increased during the period | 742,772 | 741,389 | |||||
Stock options, available for issuance | 2,395,412 | ||||||
Term of option granted | 10 years | ||||||
Stock option vesting term | 4 years | ||||||
2017 Stock Plan | Restricted Stock Units (RSUs) | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Number of restricted stock units outstanding | 160,900 | ||||||
2017 Stock Plan | Subsequent Event | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Shares issuable increased during the period | 776,758 | ||||||
2014 Stock Plan | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Stock option and incentive plan expiration date | Nov. 30, 2017 | ||||||
Additional options granted | 0 | ||||||
Stock option, number of shares outstanding | 828,962 | ||||||
Number of options forfeited | 252,707 |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Estimated Fair Value of Options Valuation Assumptions (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Risk-free interest rate, minimum | 1.59% | 2.42% |
Risk-free interest rate, maximum | 2.51% | 2.86% |
Expected dividend yield | 0.00% | 0.00% |
Expected volatility, minimum | 72.00% | 76.00% |
Expected volatility, maximum | 74.00% | 86.00% |
Weighted-average grant date fair value | $ 2.31 | $ 7.57 |
Minimum | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Expected life | 5 years 6 months | 5 years 6 months |
Maximum | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Expected life | 6 years 1 month 6 days | 7 years |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Information about Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
NUMBER OF SHARES | ||
Number of shares outstanding, beginning balance | 1,588,306 | 1,195,495 |
Additional options granted | 162,522 | 939,296 |
Number of shares exercised | (22,141) | (34,561) |
Number of shares forfeited | (289,169) | (511,924) |
Number of shares outstanding, ending balance | 1,439,518 | 1,588,306 |
Vested and exercisable, ending balance | 911,924 | |
Vested and expected to vest, ending balance | 1,341,385 | |
WEIGHTED-AVERAGE EXERCISE PRICE | ||
Weighted average exercise prices, outstanding beginning balance | $ 6.75 | $ 5.38 |
Weighted average exercise prices, granted | 3.56 | 10.54 |
Weighted average exercise prices, exercised | 2.73 | 1.69 |
Weighted average exercise prices, forfeited | 8.54 | 10.85 |
Weighted average exercise prices, outstanding ending balance | 6.09 | $ 6.75 |
Weighted average exercise prices, vested and exercisable ending balance | 6.20 | |
Weighted average exercise prices, vested and expected to vest ending balance | $ 6.13 | |
WEIGHTED-AVERAGE REMAINING CONTRACTUAL TERM | ||
Weighted average remaining contractual term, outstanding | 7 years 7 months 13 days | |
Weighted average remaining contractual term, vested and exercisable | 7 years 2 months 19 days | |
Weighted average remaining contractual term, vested and expected to vest | 7 years 6 months 14 days | |
AGGREGATE INTRINSIC VALUE | ||
Aggregate intrinsic value, outstanding ending balance | $ 1,642 | |
Aggregate intrinsic value, vested and exercisable ending balance | 977 | |
Aggregate intrinsic value, vested and expected to vest ending balance | $ 1,520 |
Stock-Based Compensation - Sc_2
Stock-Based Compensation - Schedule of RSU Activity (Details) - Restricted Stock Units (RSUs) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
RSUs Granted | shares | 160,900 |
RSUs outstanding, December 31, 2019 | shares | 160,900 |
AVERAGE GRANT DATE FAIR VALUE, Granted | $ / shares | $ 3.25 |
AVERAGE GRANT DATE FAIR VALUE, RSUs outstanding at September 30, 2019 | $ / shares | $ 3.25 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Stock Based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expense | $ 1,449 | $ 2,135 |
Research and Development | ||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expense | 327 | 567 |
General and Administrative | ||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expense | $ 1,122 | $ 1,568 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value, Measurements, Recurring $ in Thousands | Dec. 31, 2019USD ($) |
Assets: | |
Cash equivalents | $ 67,824 |
Total | 67,824 |
Liabilities: | |
Derivative liability | 765 |
Total | 765 |
Quoted Prices in Active Markets (Level 1) [Member] | |
Assets: | |
Cash equivalents | 67,824 |
Total | 67,824 |
Significant Unobservable Inputs (Level 3) [Member] | |
Liabilities: | |
Derivative liability | 765 |
Total | $ 765 |
Term Loan - Additional Informat
Term Loan - Additional Information (Details) - Solar Capital Ltd. and Silicon Valley Bank - USD ($) | 1 Months Ended | 12 Months Ended | |||
Sep. 30, 2019 | Nov. 30, 2018 | May 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | |
2017 Loan Agreement | |||||
Debt Instrument [Line Items] | |||||
Loan and security agreement, amount | $ 10,000,000 | ||||
Loan agreement, maturity date | May 1, 2021 | ||||
Amortization of debt discount | $ 169,000 | $ 280,000 | |||
Prepayment premium thereafter | 1.00% | ||||
Final payment fee | $ 250,000 | ||||
Amortization of final payment fee | 80,000 | 94,000 | |||
Payment of final fee | $ 325,000 | ||||
2017 Loan Agreement | Libor | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable base rate | 8.45% | ||||
First Amendment to Loan and Security Agreement | |||||
Debt Instrument [Line Items] | |||||
Final payment fee | $ 325,000 | ||||
2019 Loan Agreement | |||||
Debt Instrument [Line Items] | |||||
Loan and security agreement, amount | $ 20,000,000 | ||||
Loan agreement, maturity date | Sep. 17, 2023 | ||||
Amortization of debt discount | 90,000 | ||||
Final payment fee | 500,000 | ||||
Amortization of final payment fee | $ 46,000 | ||||
Loan agreement, term | 4 years | ||||
Debt instrument, interest rate terms | The interest rate under the 2019 Loan Agreement is the higher of (i) LIBOR plus 7.95% or (ii) 10.18% | ||||
Debt instrument, effective interest rate | 10.18% | ||||
Exit fee, percentage | 4.00% | ||||
Exit fee | $ 800,000 | ||||
Derivative liability recorded against exit fee obligation | 763,000 | ||||
Unpaid borrowings | $ 20,000,000 | $ 10,000,000 | |||
Prepayment premium percentage after year two | 0.50% | ||||
Increase in interest rate on default | 5.00% | ||||
2019 Loan Agreement | Minimum | |||||
Debt Instrument [Line Items] | |||||
Interest rate, minimum | 10.18% | ||||
Prepayment premium percentage | 1.00% | ||||
2019 Loan Agreement | Maximum | |||||
Debt Instrument [Line Items] | |||||
Prepayment premium percentage | 3.00% | ||||
2019 Loan Agreement | Libor | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable base rate | 7.95% |
Term Loan - Schedule of Total T
Term Loan - Schedule of Total Term Loan and Unamortized Debt Discount (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
Less: current portion | $ (2,811) | |
Long-term portion | $ 18,915 | 6,826 |
2019 Loan Agreement | Solar Capital Ltd. and Silicon Valley Bank | ||
Debt Instrument [Line Items] | ||
Face value | 20,000 | 10,000 |
Less: discount | (1,085) | (363) |
Total | 18,915 | 9,637 |
Less: current portion | (2,811) | |
Long-term portion | $ 18,915 | $ 6,826 |
Term Loan - Schedule of Future
Term Loan - Schedule of Future Principal Payments Due (Details) - 2019 Loan Agreement - Solar Capital Ltd. and Silicon Valley Bank - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
December 31, 2021 | $ 2,500 | |
December 31, 2022 | 10,000 | |
December 31, 2023 | 7,500 | |
Total minimum principal payments | $ 20,000 | $ 10,000 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Details) - USD ($) | Aug. 23, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Stockholders Equity Note [Line Items] | ||||
Common stock, shares authorized | 150,000,000 | 150,000,000 | ||
Common stock, par value | $ 0.0001 | $ 0.0001 | ||
Common stock, shares issued | 19,418,955 | 18,569,289 | ||
Common stock, shares outstanding | 19,418,955 | 18,569,289 | ||
Reserved shares of common stock for exercise of outstanding options to purchase common stock | 1,439,518 | 1,588,306 | 1,195,495 | |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 | ||
Preferred stock, par value | $ 0.0001 | $ 0.0001 | ||
Preferred stock, shares issued | 0 | 0 | ||
Preferred stock, shares outstanding | 0 | 0 | ||
ATM Agreement | Legal Accounting and Other Costs | ||||
Stockholders Equity Note [Line Items] | ||||
Stock issuance cost | $ 189,000 | |||
ATM Agreement | Additional Paid-in Capital | Legal Accounting and Other Costs | ||||
Stockholders Equity Note [Line Items] | ||||
Stock issuance cost | $ 54,000 | |||
ATM Agreement | Jefferies | Common Stock | ||||
Stockholders Equity Note [Line Items] | ||||
Common stock, par value | $ 0.0001 | |||
Percentage of commission on gross sales proceeds | 3.00% | |||
Number of shares sold | 827,525 | |||
Selling price per share | $ 5.18 | |||
Proceeds from sale of shares, net of commissions | $ 4,200,000 | |||
ATM Agreement | Jefferies | Common Stock | Maximum | ||||
Stockholders Equity Note [Line Items] | ||||
Aggregate offering price | $ 15,000,000 | |||
Restricted Stock Units (RSUs) | ||||
Stockholders Equity Note [Line Items] | ||||
Reserved shares of common stock for exercise of outstanding options to purchase common stock | 160,900 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) - USD ($) | 1 Months Ended | 12 Months Ended | |
Feb. 28, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Commitments And Contingencies [Line Items] | |||
Operating leases rent expense | $ 500,000 | $ 500,000 | |
Restricted cash | 182,000 | 182,000 | |
Short-term lease asset | 1,179,000 | 1,506,000 | |
Short-term lease liability | 407,000 | $ 353,000 | |
Operating sublease term | 3 years | ||
Short-term Leases Recognized on Straight-line Basis | |||
Commitments And Contingencies [Line Items] | |||
Short-term lease asset | 0 | ||
Short-term lease liability | 0 | ||
Letter of Credit | |||
Commitments And Contingencies [Line Items] | |||
Restricted cash | $ 182,000 | ||
Lexington, Massachusetts | |||
Commitments And Contingencies [Line Items] | |||
Operating leases expiration date | Dec. 31, 2022 | ||
Burlington, Massachusetts | |||
Commitments And Contingencies [Line Items] | |||
Operating leases expiration date | Nov. 30, 2022 | ||
Burlington, Massachusetts | Letter of Credit | Lease Agreement Require Standby Letter of Credit | |||
Commitments And Contingencies [Line Items] | |||
Restricted cash | $ 182,000 |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Maturity Analysis of Annual Undiscounted Cash Flows of Operating Lease Liabilities (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Year ended: | |
December 31, 2020 | $ 528 |
December 31, 2021 | 537 |
December 31, 2022 | 496 |
Total minimum lease payments | 1,561 |
Less imputed interest | (211) |
Total | $ 1,350 |
Commitments and Contingencies_3
Commitments and Contingencies - Schedule of Lease Cost and Other Information of Operating Lease Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Lease cost: | ||
Operating lease cost | $ 490 | $ 483 |
Short-term lease cost | 8 | 8 |
Sublease income | (56) | (39) |
Total lease cost | 442 | 452 |
Other information | ||
Cash paid for amounts included in the measurement of liabilities | 514 | 429 |
Operating cash flows from operating leases | $ (30) | $ 49 |
Weighted-average remaining lease term - operating leases | 2 years 10 months 24 days | 3 years 10 months 24 days |
Weighted-average discount rate - operating leases | 10.10% | 10.10% |
401(k) Savings Plan - Additiona
401(k) Savings Plan - Additional Information (Details) - USD ($) | Jul. 31, 2014 | Dec. 31, 2019 | Dec. 31, 2018 |
Defined Contribution Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Tax Status [Extensible List] | us-gaap:QualifiedPlanMember | us-gaap:QualifiedPlanMember | |
Compensation expense for employer match contribution | $ 104,000 | $ 225,000 | |
First 3% of Deferred Compensation | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Employer matching contribution percentage | 100.00% | ||
Employer matching contribution percentage of employees contributions of deferred compensation | 3.00% | ||
Defined Benefit Plan, Tax Status [Extensible List] | us-gaap:QualifiedPlanMember | ||
Next 2% of Deferred Compensation | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Employer matching contribution percentage | 50.00% | ||
Employer matching contribution percentage of employees contributions of deferred compensation | 2.00% | ||
Defined Benefit Plan, Tax Status [Extensible List] | us-gaap:QualifiedPlanMember |
Subsequent Events - Additional
Subsequent Events - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Subsequent Event [Line Items] | |||
Common stock, shares issued | 19,418,955 | 18,569,289 | |
ATM Agreement | Scenario Forecast | |||
Subsequent Event [Line Items] | |||
Common stock, shares issued | 1,502,892 | ||
Proceeds from sale of shares, net of commissions | $ 10.4 |