DOCUMENT_AND_ENTITY_INFORMATIO
DOCUMENT AND ENTITY INFORMATION | 12 Months Ended |
Dec. 31, 2014 | |
DOCUMENT AND ENTITY INFORMATION [Abstract] | |
Document Type | 20-F |
Amendment Flag | FALSE |
Document Period End Date | 31-Dec-14 |
Entity Registrant Name | Foamix Pharmaceuticals Ltd. |
Entity Central Index Key | 1606645 |
Current Fiscal Year End Date | -19 |
Document Fiscal Year Focus | 2014 |
Document Fiscal Period Focus | FY |
Entity Filer Category | Non-accelerated Filer |
Entity Common Stock, Shares Outstanding | 22,443,934 |
Entity Well-known Seasoned Issuer | No |
Entity Current Reporting Status | Yes |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
CURRENT ASSETS: | ||
Cash and cash equivalents | $43,008 | $1,747 |
Investment in marketable securities (Note 4) | 6,958 | 561 |
Accounts receivable: | ||
Trade | 495 | 425 |
Other (Note 12a) | 430 | 162 |
TOTAL CURRENT ASSETS | 50,891 | 2,895 |
NON-CURRENT ASSETS: | ||
Restricted investment in marketable securities (Note 4) | 104 | |
Property and equipment, net (Note 5) | 248 | 62 |
Other (Note 12c) | 34 | 129 |
TOTAL NON-CURRENT ASSETS | 386 | 191 |
TOTAL ASSETS | 51,277 | 3,086 |
CURRENT LIABILITIES : | ||
Current maturities of bank borrowings (Note 8c) | 31 | |
Accounts payable and accruals: | ||
Trade | 626 | 89 |
Deferred revenues | 35 | 991 |
Other (Note 12b) | 968 | 203 |
Loan from the BIRD foundation (Note 8a) | 474 | 468 |
TOTAL CURRENT LIABILITIES | 2,134 | 1,751 |
LONG-TERM LIABILITIES: | ||
Convertible loans (Note 8b) | 4,549 | |
Bank Borrowings (Note 8c) | 51 | |
Liability for employee severance benefits (Note 6) | 330 | 368 |
TOTAL LONG-TERM LIABILITIES | 381 | 4,917 |
COMMITMENTS (Note 7) | ||
TOTAL LIABILITIES | 2,515 | 6,668 |
SHAREHOLDERS' EQUITY (CAPITAL DEFICIENCY): | ||
Ordinary shares, NIS 0.16 par value - authorized: 50,000,000 and 16,250,000 Ordinary Shares as of as of December 31, 2014 and December 31, 2013 respectively; issued and outstanding: 22,443,934 and 11,408,490 ordinary shares as of December 31, 2014 and 2013, respectively | 954 | 471 |
Additional paid-in capital | 77,600 | 14,176 |
Accumulated deficit | -29,713 | -18,229 |
Accumulated other comprehensive loss | -79 | |
TOTAL SHAREHOLDERS' EQUITY (CAPITAL DEFICIENCY) | 48,762 | -3,582 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY (NET OF SHAREHOLDERS' CAPITAL DEFICIENCY) | $51,277 | $3,086 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (ILS) | Dec. 31, 2014 | Dec. 31, 2013 |
CONSOLIDATED BALANCE SHEETS [Abstract] | ||
Ordinary shares, par value (in NIS per share) | 0.16 | 0.16 |
Ordinary shares, shares authorized | 50,000,000 | 16,250,000 |
Ordinary shares, shares issued | 22,443,934 | 11,408,490 |
Ordinary shares, shares outstanding | 22,443,934 | 11,408,490 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
CONSOLIDATED STATEMENTS OF OPERATIONS [Abstract] | |||
REVENUES (Note 12d) | $5,414 | $1,404 | $1,086 |
COST OF REVENUES | 527 | 453 | 491 |
GROSS PROFIT | 4,887 | 951 | 595 |
OPERATING EXPENSES: | |||
Research and development (Note 12e) | 3,557 | 1,086 | 1,202 |
Selling, general and administrative (Note 12f) | 2,964 | 1,221 | 953 |
TOTAL OPERATING EXPENSES | 6,521 | 2,307 | 2,155 |
OPERATING LOSS | 1,634 | 1,356 | 1,560 |
FINANCE EXPENSES, net (Note 12g) | 9,844 | 1,075 | 609 |
INCOME TAX (Note 10) | 6 | ||
NET LOSS FOR THE YEAR | $11,484 | $2,431 | $2,169 |
LOSS PER SHARE BASIC AND DILUTED (Note 2o) | $0.79 | $0.22 | $0.20 |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING USED IN COMPUTATION OF BASIC AND DILUTED LOSS PER SHARE | 14,512 | 11,285 | 11,003 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS [Abstract] | |||
NET LOSS | $11,484 | $2,431 | $2,169 |
OTHER COMPREHENSIVE LOSS: | |||
Net unrealized loss from marketable securities | 68 | ||
Gain on marketable securities reclassified into net loss | 11 | ||
TOTAL OTHER COMPREHENSIVE LOSS | 79 | ||
TOTAL OTHER COMPREHENSIVE LOSS | $11,563 | $2,431 | $2,169 |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (CAPITAL DEFICIENCY) (USD $) | Total | Ordinary shares [Member] | Additional paid-in capital [Member] | Accumulated deficit [Member] | Accumulated other comprehensive loss [Member] |
In Thousands, except Share data, unless otherwise specified | |||||
Balance at Dec. 31, 2011 | ($2,293) | $449 | $10,887 | ($13,629) | |
Balance (shares) at Dec. 31, 2011 | 10,904,625 | ||||
Changes during year | |||||
Comprehensive loss | -2,169 | -2,169 | |||
Issuance of ordinary shares along with convertible loans (Note 8b) | 498 | 10 | 488 | ||
Issuance of ordinary shares along with convertible loans (Note 8b) (shares) | 247,094 | ||||
Beneficial conversion feature with respect of convertible loans (Note 8b) | 668 | 668 | |||
Share-based compensation | 335 | 355 | |||
Balance at Dec. 31, 2012 | -2,941 | 459 | 12,398 | -15,798 | |
Balance (shares) at Dec. 31, 2012 | 11,151,719 | ||||
Changes during year | |||||
Comprehensive loss | -2,431 | -2,431 | |||
Issuance of ordinary shares along with convertible loans (Note 8b) | 596 | 12 | 584 | ||
Issuance of ordinary shares along with convertible loans (Note 8b) (shares) | 256,771 | ||||
Beneficial conversion feature with respect of convertible loans (Note 8b) | 689 | 689 | |||
Share-based compensation | 505 | 505 | |||
Balance at Dec. 31, 2013 | -3,582 | 471 | 14,176 | -18,229 | |
Balance (shares) at Dec. 31, 2013 | 11,408,490 | 11,408,490 | |||
Changes during year | |||||
Comprehensive loss | -11,563 | -11,484 | -79 | ||
Capital contribution (Note 8b) | 686 | 686 | |||
Conversion of preferred A shares into Ordinary Shares (Note 9) | 13,438 | 147 | 13,291 | ||
Conversion of preferred A shares into Ordinary Shares (Note 9) (shares) | 3,367,244 | ||||
Conversion of warrants from preferred A warrants to Ordinary Share warrants (Note 9d) | 8,494 | 8,494 | |||
Issuance of Ordinary Shares through an initial public offering , net of $4.9 million issuance costs (Note 9) | 41,092 | 336 | 40,756 | ||
Issuance of Ordinary Shares through an initial public offering , net of $4.9 million issuance costs (Note 9) (shares) | 7,668,200 | ||||
Share-based compensation | 197 | 197 | |||
Balance at Dec. 31, 2014 | $48,762 | $954 | $77,600 | ($29,713) | ($79) |
Balance (shares) at Dec. 31, 2014 | 22,443,934 | 22,443,934 |
CONSOLIDATED_STATEMENTS_OF_CHA1
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (CAPITAL DEFICIENCY) (Parenthetical) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (CAPITAL DEFICIENCY) [Abstract] | |
Issuance costs | $4.90 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net Loss | ($11,484) | ($2,431) | ($2,169) |
Adjustments required to reconcile net loss to net cash provided by (used in) operating activities: | |||
Loss on disposal of fixed assets | 3 | ||
Depreciation and amortization | 33 | 39 | 77 |
Changes in trading marketable securities, net | 561 | 255 | -816 |
Gain from available for sale marketable securities, net | -11 | ||
Changes in accrued liability for employee severance benefits, net of retirement fund profit | 81 | 69 | 14 |
Share-based compensation | 197 | 505 | 355 |
Non cash finance expenses, net | 9,925 | 1,203 | 707 |
Changes in operating asset and liabilities: | |||
Decrease in trade and other receivable | -338 | -338 | -35 |
Decrease (increase) in other non-current assets | -24 | 6 | 1 |
Increase (decrease) in accounts payable and accruals | 346 | 920 | -526 |
Net cash provided by (used in) operating activities | -714 | 228 | -2,389 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Purchase of fixed assets | -219 | -1 | |
Purchase of available for sale marketable securities | -11,107 | ||
Proceeds from sale of available for sale marketable securities | 3,977 | ||
Amounts funded in respect of employee severance benefits | -34 | -33 | |
Net cash used in investing activities | -7,349 | -35 | -33 |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Proceeds from issuance of convertible loans | 333 | ||
Long-term bank borrowings | 102 | ||
Payments in respect of bank borrowings | -12 | ||
Proceeds from issuance of preferred A shares and warrants, net of issuance costs | 8,157 | ||
Proceeds from issuance of ordinary Shares through an initial public offering , net of issuance costs | 41,092 | ||
Proceeds from issuance of convertible loans together with ordinary shares | 1,500 | 1,448 | |
Net cash provided by financing activities | 49,339 | 1,500 | 1,781 |
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 41,276 | 1,693 | -641 |
EFFECT OF EXCHANGE RATE ON CASH AND CASH EQUIVALENTS | -15 | -80 | -34 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF THE YEAR | 1,747 | 134 | 809 |
CASH AND CASH EQUIVALENTS AT END OF THE YEAR | 43,008 | 1,747 | 134 |
SUPPLEMENTARY INFORMATION ON INVESTING AND FINANCING ACTIVITIES NOT INVOLVING CASH FLOWS | |||
Conversion of convertible loans into preferred A shares and warrants | 8,096 | ||
Conversion of Preferred A Shares into ordinary shares | 13,438 | ||
Conversion of warrants from preferred A warrants to ordinary share warrants | $8,494 |
NATURE_OF_OPERATIONS
NATURE OF OPERATIONS | 12 Months Ended |
Dec. 31, 2014 | |
NATURE OF OPERATIONS [Abstract] | |
NATURE OF OPERATIONS | NOTE 1 - NATURE OF OPERATIONS |
Foamix Pharmaceuticals Ltd. (hereinafter “Foamix”) is an Israeli company incorporated in 2003. Foamix is a clinical-stage specialty pharmaceutical company operating in one segment - the development and commercialization of foam-based formulations, using its proprietary technology, which includes its foam platforms. Foamix develops its own product candidates, mainly for the treatment of moderate-to-severe acne and other skin conditions. It also licenses its technology under development and licensing agreements to various pharmaceutical companies for development of certain products combining Foamix's foam technology with the licensee's proprietary drugs. | |
In May 2014 Foamix incorporated a wholly-owned subsidiary in the United States of America - Foamix Pharmaceuticals Inc. ("the subsidiary"). The subsidiary was incorporated to assist Foamix with regard to marketing, regulatory affairs and business development relating its products and technology. | |
In September, 2014, the Company completed an initial public offering (“IPO”) on the NASDAQ, in which it issued 6,700,000 ordinary shares at a price per share of $6.00. During October 2014 the underwriters exercised their green shoe option and purchased an additional 968,200 ordinary shares at the same price per share. The total proceeds received from the IPO, net of issuance costs, were approximately $41.1 million (refer also to Note 9c). | |
Since incorporation through December 31, 2014, Foamix and its subsidiary (hereinafter “the Company”) has incurred losses and negative cash flows from operations mainly attributable to its development efforts and has an accumulated deficit of $29,713. The Company has financed its operations mainly through the issuance of shares in private financing rounds and an IPO, convertible loans and payments received under development and licensing agreements. The Company's cash and cash equivalents and marketable securities as of December 31, 2014, will allow the Company to fund its operating plan through at least the next 12 months. However, the Company expects to continue to incur significant research and development and other expenses related to its ongoing operations and in order to continue its future operations, the Company will need to obtain additional funding until becoming profitable. If the Company is unable to obtain such funding it will need to curtail or cease operations. | |
SIGNIFICANT_ACCOUNTING_POLICIE
SIGNIFICANT ACCOUNTING POLICIES: | 12 Months Ended | |||
Dec. 31, 2014 | ||||
SIGNIFICANT ACCOUNTING POLICIES: [Abstract] | ||||
SIGNIFICANT ACCOUNTING POLICIES: | NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES: | |||
a. Basis of presentation | ||||
The Company's financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). | ||||
b. Use of estimates in the preparation of financial statements | ||||
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, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates. As applicable to these financial statements, the most significant estimates and assumptions relate to revenue recognition, the fair value of share-based compensation, relative fair value allocated to each component (shares and convertible loans) issued as part of the Company's financing agreements, beneficial conversion feature and embedded derivative in convertible loans and fair value of warrants. | ||||
c. Functional currency | ||||
The U.S. dollar ("dollar") is the currency of the primary economic environment in which the operations of Foamix and the Subsidiary are conducted. Almost all Company revenues are in dollars and the Company's financing has been provided in dollars. Accordingly, the functional currency of the Company is the dollar. | ||||
Transactions and balances originally denominated in dollars are presented at their original amounts. Balances in non-dollar currencies are translated into dollars using historical and current exchange rates for non-monetary and monetary balances, respectively. For non-dollar transactions and other items in the statements of operations (indicated below), the following exchange rates are used: (i) for transactions - exchange rates at transaction dates or average rates; and (ii) for other items (derived from non-monetary balance sheet items such as depreciation and amortization, etc.) - historical exchange rates. Currency transaction gains and losses are presented in financial income or expenses, as appropriate. | ||||
d. Principles of consolidation | ||||
The consolidated financial statements include the accounts of the Foamix and its Subsidiary. Intercompany balances and transactions including profits from intercompany sales not yet realized outside the Company, have been eliminated upon consolidation. | ||||
e. Cash and cash equivalents | ||||
The Company considers as cash equivalents all short-term, highly liquid investments, which include short-term bank deposits with original maturities of three months or less from the date of purchase that are not restricted as to withdrawal or use and are readily convertible to known amounts of cash. | ||||
f. Marketable securities | ||||
Marketable securities consist of funds invested in monetary assets and are classified as available for sale or trading securities in accordance with ASC 320, Investments - Debt and Equity Securities. | ||||
Management determines the appropriate classification of its investments in equity securities at the time of purchase and reevaluates such determinations at each balance sheet date. | ||||
As of December 31, 2013 the Company classified its investments as trading securities and recorded them at market value. As such, all changes in the fair value of the securities were included in finance expenses. During 2014 the Company sold all of its trading securities. | ||||
As of December 31, 2014, all of the Company's investments are classified as available for sale. Unrealized gains and losses that are considered temporary, are reported as a separate component of equity (accumulated other comprehensive gain or loss), net of related taxes, if applicable, until realized. Unrealized losses that are considered to be other-than-temporary and realized gains and losses, are recorded in financial income or expenses. | ||||
g. Property and equipment | ||||
1) Property and equipment are stated at cost, net of accumulated depreciation and amortization. | ||||
2) The Company's property and equipment are depreciated by the straight-line method on the basis of their estimated useful life. | ||||
Annual rates of depreciation are as follows: | ||||
% | ||||
Computers | 15-33 (mainly 33) | |||
Laboratory equipment | 7-20 (mainly 20) | |||
Office furniture and equipment | 7-15 (mainly 7) | |||
Vehicles | 15 | |||
Leasehold improvements are amortized by the straight-line method over the expected lease term, which is shorter than the estimated useful life of the improvements. | ||||
h. Impairment of long-lived assets | ||||
The Company tests long-lived assets for impairment whenever events or circumstances present an indication of impairment. If the sum of expected future cash flows (undiscounted and without interest charges) of the assets is less than the carrying amount of such assets, an impairment loss would be recognized. The assets would be written down to their estimated fair values, calculated based on the present value of expected future cash flows (discounted cash flows), or some other fair value measure. | ||||
For the three years ended December 31, 2014 the Company did not recognize an impairment loss for its long-lived assets. | ||||
i. Allowance for doubtful accounts | ||||
The Company performs ongoing credit evaluations to estimate the need for maintaining reserves for potential credit losses. An allowance for doubtful accounts is recognized on a specific basis with respect to those amounts that the Company has determined to be doubtful of collection. No allowance for doubtful accounts was recorded in the years ended December 31, 2014 and 2013. During 2014 the Company wrote off a bad debt in the amount of $19. | ||||
j. Contingencies | ||||
Certain conditions may exist as of the date of the financial statements, 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's management assesses such contingent liabilities and such assessment inherently involves an exercise of judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings, the Company's management evaluates the perceived merits of any legal proceedings or unasserted claims as well as the perceived merits of the amount of relief sought or expected to be sought. | ||||
Management applies the guidance in ASC 450-20-25 when assessing losses resulting from contingencies. 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 is recorded as accrued expenses 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, together with an estimate of the range of possible loss if determinable and material are disclosed. | ||||
Loss contingencies considered to be remote by management are generally not disclosed unless they involve guarantees, in which case the guarantees are disclosed. | ||||
k. Share-based compensation | ||||
The Company accounts for employees' and directors' share-based payment awards classified as equity awards using the grant-date fair value method. The fair value of share-based payment transactions is recognized as an expense over the requisite service period, net of estimated forfeitures. The Company estimates forfeitures based on historical experience and anticipated future conditions. | ||||
The Company elected to recognize compensation costs for awards conditioned only on continued service that have a graded vesting schedule using the straight-line method based on the multiple-option award approach. | ||||
When options are granted as consideration for services provided by consultants and other non-employees, the grant is accounted for based on the fair value of the consideration received or the fair value of the options issued, whichever is more reliably measurable. The fair value of the options granted is measured on a final basis at the end of the related service period and is recognized over the related service period using the straight-line method. | ||||
l. Revenue recognition | ||||
The Company's revenues are derived from development and license agreements for development of products combining the Company's foam technology with a drug selected by the licensee. To date, none of these products have been effectively commercialized. | ||||
The significant deliverables in the agreements between the Company and its licensees are the obligation of the Company to provide development services and the grant of an exclusive license to the specific product developed. | ||||
These deliverables are combined into one single unit of accounting for revenue recognition purposes since: | ||||
• Each element does not have value on a stand-alone basis. | ||||
• In order to develop the combined formulation in the licensed product, the use of the Company's propriety technology is required. Therefore, the Company is the only party capable of performing the level and type of development services required under the agreement | ||||
The Company's development and license agreements entitle the Company to: | ||||
• Development payments, including upfront payments, cost reimbursements and payments contingent only upon passage of time (together - “Development Service Payments”). | ||||
• Payments contingent solely upon performance or achievement of clinical results by the Company's licensees (“Contingent Payments”). | ||||
• Royalties, calculated as a percentage of sales of the developed products made by the Company's licensees. | ||||
Revenues from Development Service Payments under development and license agreements are recognized as the services are provided. When the Company receives a portion of the Development Service Payment before performance of such services, these advances are recorded as deferred revenues and recognized as revenues as services are performed. | ||||
Contingent Payments are recognized when the licensee's performance or achievement event occurs. | ||||
Royalties are recognized when subsequent sales are made by the Company's licensees. | ||||
m. Research and development costs | ||||
Research and development expenses include costs directly attributable to the conduct of research and development programs, including the cost of salaries, share-based compensation expenses, payroll taxes and other employee benefits, lab expenses, consumable equipment and consulting fees. All costs associated with research and developments are expensed as incurred. | ||||
n. Income taxes: | ||||
1) Deferred taxes | ||||
Income taxes are computed using the asset and liability method. Under the asset and liability method, deferred income tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. A valuation allowance is recognized to the extent that it is more likely than not that the deferred taxes will not be realized in the foreseeable future. Given the Company's loses, the Company has provided a full valuation allowance with respect to its deferred tax assets. | ||||
2) Uncertainty in income tax | ||||
The Company follows a two-step approach in recognizing and measuring uncertain tax positions. The first step is to evaluate the tax position for recognition by determining if the available evidence indicates that it is more likely than not that the position will be sustained based on technical merits. If this threshold is met, the second step is to measure the tax position as the largest amount that has more than a 50% likelihood of being realized upon ultimate settlement. | ||||
o. Loss per share | ||||
Net loss per share, basic and diluted, is computed on the basis of the net loss for the period divided by the weighted average number of common shares outstanding during the period. Diluted net loss per share is based upon the weighted average number of common shares and of common shares equivalents outstanding when dilutive. Common share equivalents include: (i) outstanding stock options and warrants which are included under the treasury share method when dilutive, and (ii) common shares to be issued under the assumed conversion of the Company's outstanding convertible debentures, which are included under the if converted method when dilutive. | ||||
The following share options, warrants and shares issuable upon conversion of convertible loans were excluded from the calculation of diluted net loss per ordinary share because their effect would have been anti-dilutive for the periods presented (share data): | ||||
Year ended December 31 | ||||
2014 | 2013 | 2012 | ||
Outstanding share options | 1,171,125 | 673,125 | 604,375 | |
Warrants | 2,716,956 | - | - | |
Shares issuable upon conversion of convertible loans | - | 715,546 | 340,058 | |
p. Fair value measurement | ||||
Fair value is based on the price that would be received from the sale of an asset or that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. In order to increase consistency and comparability in fair value measurements, the guidance establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels, which are described as follows: | ||||
Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. | ||||
Level 2: Observable prices that are based on inputs not quoted on active markets, but corroborated by market data. | ||||
Level 3: Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs. | ||||
In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible and considers counterparty credit risk in its assessment of fair value. | ||||
q. Concentration of credit risks and trade receivables | ||||
Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash and cash equivalents, marketable securities and trade receivables. The Company deposits cash and cash equivalents with highly rated financial institutions and, as a matter of policy, limits the amounts of credit exposure to any single financial institution. The Company has not experienced any material credit losses in these accounts and does not believe it is exposed to significant credit risk on these instruments. | ||||
r. Comprehensive loss | ||||
Comprehensive loss includes, in addition to net loss, unrealized holding gains and losses on available-for-sale securities (net of related taxes where applicable). | ||||
Reclassification adjustments for gain or loss of available for sales securities are included in finance expenses net in the statement of income. | ||||
s. Newly issued and recently adopted accounting pronouncements | ||||
1) In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2014-09 (ASU 2014-09) "Revenue from Contracts with Customers." ASU 2014-09 will supersede most current revenue recognition guidance, including industry-specific guidance. The underlying principle is that an entity will recognize revenue upon the transfer of goods or services to customers in an amount that the entity expects to be entitled to in exchange for those goods or services. The guidance provides a five-step analysis of transactions to determine when and how revenue is recognized. Other major provisions include capitalization of certain contract costs, consideration of the time value of money in the transaction price, and allowing estimates of variable consideration to be recognized before contingencies are resolved in certain circumstances. | ||||
The guidance also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows arising from an entity's contracts with customers. The guidance is effective for the interim and annual periods beginning on or after December 15, 2016 (early adoption is not permitted). The guidance permits the use of either a retrospective or cumulative effect transition method. The Company is currently evaluating the impact of the amended guidance on its consolidated financial statements. | ||||
2) In August 2014, FASB issued ASU 2014-15—Presentation of Financial Statements—Going Concern (ASC Subtopic 205-40): “Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern”. The update requires management to assess a company's ability to continue as a going concern and to provide related footnote disclosures in certain circumstances. All entities are required to apply the new requirements in annual periods ending after December 15, 2016, and interim periods thereafter. Early application is permitted. The Company is required to adopt these provisions for the annual period ending December 31, 2016. The Company is currently evaluating the impact of FASB ASU 2014-15 but does not expect the adoption thereof to have a material effect on its financial statements. | ||||
FAIR_VALUE_MEASURMENTS
FAIR VALUE MEASURMENTS | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
FAIR VALUE MEASURMENTS [Abstract] | |||||||||||||
FAIR VALUE MEASUREMENTS: | NOTE 3 – FAIR VALUE MEASURMENTS | ||||||||||||
The Company's assets and liabilities that are measured at fair value as of December 31, 2014 and 2013 are classified in the tables below in one of the three categories described in note 2p above: | |||||||||||||
31-Dec-14 | |||||||||||||
Level 1 | Level 3 | Total | |||||||||||
Marketable securities | $ | 7,062 | - | 7,062 | |||||||||
31-Dec-13 | |||||||||||||
Level 1 | Level 3 | Total | |||||||||||
Marketable securities | $ | 561 | - | $ | 561 | ||||||||
Embedded derivatives* | - | $ | 1,529 | $ | 1,529 | ||||||||
* | The embedded derivatives were presented in the Company's balance sheets on a combined basis with the related host contract (the convertible loans). | ||||||||||||
The fair value of each of the embedded derivatives described in Note 8(b) was determined based on the following assumptions: | |||||||||||||
31-Dec | |||||||||||||
2013 | |||||||||||||
Time to automatic conversion event (years) | 0.5 | ||||||||||||
Probability of event | 65%-70% | ||||||||||||
Discount rate | 21% | ||||||||||||
Conversion ratio (weighted) | 0.65-0.75 | ||||||||||||
The table below sets forth a summary of the changes in the fair value of the Company's financial liabilities classified as Level 3 (the derivative embedded in the convertible loans): | |||||||||||||
31-Dec-14 | |||||||||||||
Warrants* | Embedded derivatives** | ||||||||||||
Balance at beginning of year | $ | - | $ | 1,529 | |||||||||
Warrants issued during the period | 2,129 | - | |||||||||||
Changes in fair value during the period | 6,365 | 680 | |||||||||||
Conversion of convertible loans | - | (2,209 | ) | ||||||||||
Conversion of warrants from preferred A warrants into Ordinary Share warrants | (8,494 | ) | - | ||||||||||
Balance at end of year | $ | - | $ | - | |||||||||
* | On September 17, 2014, as part of the Company's initial public offering all preferred A shares were converted into ordinary shares (see Note 9). As a result, all outstanding warrants to purchase Preferred A shares (see Note 9c) were transformed on that date (“the Conversion Date”) in accordance with their original terms, to warrants to purchase ordinary shares. Based on relevant accounting principles, these warrants are considered equity instruments. Accordingly, on the Conversion Date, those warrants ceased to be accounted for as a liability and were recorded as equity. | ||||||||||||
The fair value of each of the warrants, on the Conversion Date, was determined by using the Black-Scholes model. The underlying data used for computing the fair value of the warrants were mainly as follows: $6 value of ordinary shares, 0% Dividend yield, 1.45% risk free interest rate, 65% expected volatility and 3.6 years expected term. | |||||||||||||
** | |||||||||||||
As the convertible loans have been automatically converted on May 12, 2014 the change in fair value of the embedded derivative represents the difference between the carrying amount of the embedded as of December 31, 2013 and their original amount which have been recorded within the finance expenses. See note 8b. | |||||||||||||
2013 | |||||||||||||
Embedded derivatives | |||||||||||||
Balance at beginning of year | $ | 550 | |||||||||||
Derivatives embedded in loans received during the year | 215 | ||||||||||||
Changes in fair value during the period | 764 | ||||||||||||
Balance at end of year | $ | 1,529 | |||||||||||
MARKETABLE_SECURITIES
MARKETABLE SECURITIES: | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
MARKETABLE SECURITIES: [Abstract] | ||||||||||||||||||||
MARKETABLE SECURITIES: | NOTE 4 - MARKETABLE SECURITIES: | |||||||||||||||||||
Marketable securities as of December 31, 2014 consist of Israeli mutual funds invested in monetary assets. These securities are classified as available-for-sale and are recorded at fair value. The fair value of quoted securities is based on current market value. | ||||||||||||||||||||
At December 31, 2014 the fair value, cost and gross unrealized holding gains of the securities owned by the Company were as follows: | ||||||||||||||||||||
Fair | Amortized cost | Gross unrealized | Gross unrealized | |||||||||||||||||
Value | gains | |||||||||||||||||||
loss | ||||||||||||||||||||
7,062 | $ | 7,141 | $ | 83 | $ | 4 | $ | |||||||||||||
The Company had not identified securities for which it did not expect to receive future cash flows sufficient to recover the entire amortized cost basis of the security. | ||||||||||||||||||||
During 2014, the Company received proceeds of $561 from the sale of trading securities. Upon the sale of marketable securities, the Company received proceeds of $3,977, and recorded net finance income of $11. | ||||||||||||||||||||
Refer to note 7 regarding the lien on the company's marketable securities. | ||||||||||||||||||||
PROPERTY_AND_EQUIPMENT
PROPERTY AND EQUIPMENT: | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
PROPERTY AND EQUIPMENT: [Abstract] | ||||||||||
PROPERTY AND EQUIPMENT: | NOTE 5 - PROPERTY AND EQUIPMENT: | |||||||||
31-Dec | ||||||||||
2014 | 2013 | |||||||||
Cost: | ||||||||||
Leasehold improvements | $ | 88 | $ | 84 | ||||||
Computers and software | 64 | 18 | ||||||||
Laboratory equipment | 598 | 568 | ||||||||
Furniture | 42 | 21 | ||||||||
Vehicles* | 118 | - | ||||||||
910 | 691 | |||||||||
Less: | ||||||||||
Accumulated depreciation and amortization | 662 | 629 | ||||||||
Property and Equipment, net | $ | 248 | $ | 62 | ||||||
* | See note 8c relating to the lien on the Company's vehicles | |||||||||
Depreciation and amortization expense totaled $33, $39 and $77 for the years ended December 31, 2014, 2013 and 2012, respectively. | ||||||||||
EMPLOYEE_SEVERANCE_BENEFITS
EMPLOYEE SEVERANCE BENEFITS | 12 Months Ended |
Dec. 31, 2014 | |
EMPLOYEE SEVERANCE BENEFITS [Abstract] | |
EMPLOYEE SEVERANCE BENEFITS | NOTE 6 - EMPLOYEE SEVERANCE BENEFITS |
The Company's liability for severance pay for its Israeli employees is calculated pursuant to Israeli severance pay law based on the most recent salary of the employee multiplied by the number of years of employment, as of the balance sheet date, less amounts funded in each employee's severance fund. Such liability is recorded on the Company's balance sheet under “Liability for employee severance benefits” as if it were payable at each balance sheet date on an undiscounted basis. The Company partially secures this liability by purchasing insurance policies or establishing dedicated severance accounts within the relevant employees' pension funds, and making monthly deposits under such policies or into such accounts. The value of these policies is recorded as an asset in the Company's balance sheet. The severance pay funds and the restricted deposits for employee benefits are classified based on the classification of the corresponding liability. | |
During 2014, all of the Israeli employees agreed to the terms of Section 14 of the Israeli Severance Pay Law, 1963, according to which all deposits in the pension fund and/or with the insurance company, thereafter, exempt the Company from any additional obligation. These deposits are accounted as defined contribution payments and therefore not recorded on the Company's balance sheet. Once the employees agreed to the terms of Section 14, all amounts funded on behalf of the employees were released to their full ownership. The liability for employee severance benefits as of December 31, 2014 represents the Company's obligation that has not been secured by deposits to employee severance funds. | |
The amount of severance payment expenses were $157, $70 and $43 for the years ended December 31, 2014, 2013 and 2012, respectively. | |
During 2015, the Company expects to deposit approximately $164 with respect to employee's severance benefits. | |
COMMITMENTS
COMMITMENTS | 12 Months Ended |
Dec. 31, 2014 | |
COMMITMENTS [Abstract] | |
COMMITMENTS | NOTE 7 - COMMITMENTS |
Lease agreement | |
The Company leases office space for its headquarters and research and development facilities in Israel and the United States of America under several lease agreements. The lease agreement for the facilities in Israel are linked to the Israeli CPI and expire between December 2016 and August 2017. The lease agreement in the United States is due to expire during August 2017. | |
Rental expenses totaled $172, $180 and $198 in the years ended December 31, 2014, 2013 and 2012, respectively. | |
Future minimum lease commitments under non-cancelable operating lease agreements are $174, $166 and $65 for the years ending December 31, 2015, 2016 and 2017 respectively. | |
The Company has a lien in the amount of $104 on the Company's marketable securities in respect of bank guarantees granted in order to secure the lease agreements. | |
LOANS
LOANS: | 12 Months Ended |
Dec. 31, 2014 | |
LOANS: [Abstract] | |
LOANS: | NOTE 8 - LOANS: |
a. Loan from the BIRD foundation | |
The loan received from the Israel United States Binational Industrial Research and Development Foundation (the "BIRD foundation") is denominated in US dollars and is linked to the US Consumer Price Index. The loan is repayable in one installment upon completion of a certain clinical development. The Company expects to repay the loan in 2015. | |
b. Convertible loans: | |
1) 2011 Convertible Loans. In January 2011, the Company entered into a convertible loan agreement (the “2011 loan agreement”) with several of its existing shareholders and other lenders. Pursuant to the 2011 loan agreement, the Company initially received loans in an aggregate principal amount of $1,665, bearing interest at 8% per annum. | |
The principal and all accrued interest were to be either (i) paid upon the earlier of three years from the date of closing of the 2011 loan agreement or the occurrence of a default event, or (ii) automatically converted into the most senior class of the Company's shares at a 30% discount (or higher, under certain circumstances) on the applicable per share price in the event of a qualified round of equity financing, an initial public offering of the Company's shares or a merger, acquisition, asset sale or similar deemed-liquidation event. | |
In the last quarter of 2011 and the first quarter of 2012 the Company received an additional amount of $150 and $333, respectively, in convertible loans from shareholders and other lenders who joined the 2011 loan agreement. The convertible loans received under the 2011 loan agreement in 2011 and 2012, collectively, are referred to as the “2011 loans”. | |
2) 2012 Convertible Loans. In June 2012, the Company entered into another convertible loan agreement (the “2012 loan agreement”) with several of its existing shareholders. Pursuant to the 2012 loan agreement, the Company initially received loans in an aggregate principal amount of $1,448, bearing interest at 6% per annum. The principal and all accrued interest were to be either (i) repaid upon the earlier of four years from the date of closing of the 2012 loan agreement or the occurrence of a default event, or (ii) automatically converted into the most senior class of the Company's shares at a 25% discount on the applicable per share price in the event of a qualified round of equity financing, an initial public offering of its shares or a merger, acquisition, asset sale or similar deemed-liquidation event. The principal and interest under the 2012 loan agreement were also convertible at the option of the lenders at a 25% discount upon the last equity financing round yielding gross proceeds in excess of $2,500, even if not qualified. Furthermore, each lender under the 2012 loan agreement was issued, for no additional consideration, one ordinary share for each $5.84 of principal amount of its loan. As a result, the Company issued the lenders under the 2012 loan agreement a total of 247,897 ordinary shares, in addition to any shares that may have been issuable to them upon conversion of their loans. | |
In May and June 2013, the Company received an additional amount of $1,500 in convertible loans from shareholders who joined the 2012 loan agreement. In accordance with the terms of such loan agreement, the Company issued these joining lenders a total of 256,764 ordinary shares upon receiving their loans. The convertible loans received under the 2012 loan agreement in 2012 and 2013, collectively, are referred to as the “2012 loans”. | |
3) During the first quarter of 2014, the Company reached an agreement with certain lenders of the 2011 convertible loans that were due to mature during that period, according to which the maturity date of those loans was deferred by one year and the interest rate was increased to 12% for the duration of the deferral period (the “amendment”). | |
The Company has concluded that the amendment to the terms of the 2011 convertible loans is not considered to be “substantially different” under ASC 470-50, as the difference between the present value of the original loan and the present value of the modified loan is approximately 3.7%. Accordingly, the amendment was accounted for prospectively as yield adjustment, based on the revised terms of the loans. | |
4) Accounting treatment of the loans | |
2011 Convertible Loans: The automatic conversion feature in the loans has been bifurcated and accounted for as an embedded derivative, measured initially and subsequently at fair value with changes in fair value recorded as finance expenses. Upon an automatic conversion, the conversion feature provides the loans holders the right to receive a variable number of the most senior class of shares at a value which is based on a fixed monetary amount (i.e. based on the discount mechanism). Such feature continuously resets as the underlying share price increases or decreases to provide a fixed monetary amount on the conversion date and is akin to contingent prepayment feature that is settleable in variable equity instruments. As the settleable amount that would be transferred is significantly higher than the principal amount, such feature has been bifurcated from the loan and accounted for as an embedded derivative. The bifurcated embedded derivative was presented in the Company's balance sheet on a combined basis with the related host contract. The loans were measured at amortized costs using the effective interest rate method. | |
2012 Convertible Loans: The automatic conversion feature in the loans was bifurcated and accounted for as an embedded derivative measured initially and subsequently at fair value with changes in fair value recorded as finance expenses. Upon an automatic conversion, the conversion feature provides the loans holders the right to receive a variable number of the most senior class of shares in a value which is based on a fixed monetary amount (i.e. based on the discount mechanism). Such feature continuously resets as the underlying share price increases or decreases to provide a fixed monetary amount on the conversion date and is akin to contingent prepayment feature that is settleable in variable equity instruments. As the settleable amount that would be transferred is significantly higher than the principal amount, such feature has been bifurcated from the loan and accounted for as an embedded derivative. The bifurcated embedded derivative is presented in the Company's balance sheet on a combined basis with the related host contract. | |
The Company allocated the proceeds from its issuance of a unit consisting of 2012 convertible loans along with ordinary shares between the convertible loans and the ordinary shares based on their relative fair values at the issuance date of the unit. Then, the Company recorded the embedded derivative feature based on its fair value at the issuance date, and the remaining amount (i.e., the proceeds allocated to the convertible loans less the fair value of the embedded derivative feature) was attributed to the convertible loans. | |
In accordance with ASC 470-20, “Debt with Conversion and Other Options,” the Company determined that a BCF existed at the issuance date of the 2012 convertible loans. The BCF was recorded in equity and the loans net of the amount of BCF assigned to them are measured at amortized costs using the effective interest rate method. | |
Accordingly, the Company allocated the proceeds from the 2012 loans between these components as follows: | |
(i) of the $1,448 of 2012 loans received in 2012, $111 were attributed to the embedded derivative, $839 were attributed to the convertible loans and $498 were attributed to the shares. In addition, an amount of $668 was recognized as a BCF against the 2012 convertible loans, resulting in a presentation of these loans (including the embedded derivative) at a net value of $282 at issuance date. The Company used Level 3 assumptions in arriving at fair value in order to appropriately allocate the proceeds: fair value of the issued shares was $1,214 and fair value of the convertible loans $2,319. | |
(ii) of the to $1,500 of 2012 loans received in 2013, $215 were attributed to the embedded derivative, $689 were attributed to the loans and $596 were attributed to the shares. In addition, an amount of $689 was recognized as a BCF against the 2012 convertible loans, resulting in a presentation of these loans (including the embedded derivative) at a net value of $ 215 at issuance date. The Company used Level 3 assumptions in arriving at fair value in order to appropriately allocate the proceeds: fair value of the issued shares was $1,752 and fair value of the convertible loans $2,662. | |
5) The 2014 financing round (see Note 9b) was a qualified round for purposes of the 2011 and 2012 convertible loan agreements. Accordingly all principal and accrued interest outstanding under such loan agreements were converted into a total of 1,010,350 Preferred A Shares and 505,175 warrants to purchase preferred A shares. Refer to note 9d regarding the conversion of the Preferred A Shares and warrants into Ordinary Shares and warrants. | |
In accordance with the amended convertible loan agreements, the lenders were entitled to receive, upon conversion, a total of 1,010,350 warrants to purchase preferred A shares (hereinafter “the warrants”). However, the lenders, wh0 were also shareholders of the Company, agreed to receive only half of the warrants that they were entitled to receive in accordance with the loan agreements. The value of the waiver of 505,175 warrants, amounting to $686, was recorded as a capital contribution. | |
Upon the automatic conversion of the convertible loans, the difference at conversion date between their carrying amount (taking into account the balance of the remaining beneficial conversion feature (BCF) the discount from the allocation of proceeds to the Ordinary Shares and the embedded derivatives) and their fixed monetary amount used for conversion in the amount of $3,520, has been recorded in the statements of operations as finance expenses. | |
c. Bank Borrowings | |
During 2014 the Company entered into several finance agreements with a bank in order to finance the purchase of vehicles (hereinafter “the loans”). The loans are denominated in the NIS and bear interest at a rate per annum equal to Prime minus 0.5%. The loans are repayable in 36 monthly payments. The total amounts received as part of the agreement were $102. | |
In order to secure the loans the bank recorded a lien on the Company's vehicles. | |
SHARE_CAPITAL
SHARE CAPITAL: | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
SHARE CAPITAL: [Abstract] | ||||||||||
SHARE CAPITAL: | NOTE 9 - SHARE CAPITAL: | |||||||||
a. Rights of the Company's ordinary shares | ||||||||||
Each ordinary share is entitled to one vote. The holders of ordinary shares are also entitled to receive dividends whenever funds are legally available, when and if declared by the Board of Directors. Since its inception, the Company has not declared any dividends. | ||||||||||
On August 22, 2014, the Company executed a 1 to 16 reverse share split of the Company's shares. Pursuant to the reverse split, each batch of 16 ordinary shares NIS 0.01 par value was converted into one ordinary share NIS 0.16 par value. Upon the effectiveness of the reverse share split, (i) the number of options and warrants to purchase ordinary shares were proportionally decreased, and (ii) the exercise price of each option and warrant to purchase ordinary shares was proportionally increased. All of the share numbers, losses per share, share prices and option and warrant exercise prices in these financial statements have been adjusted, on a retroactive basis, to reflect this 1 to 16 reverse share split. | ||||||||||
b. Financing round | ||||||||||
During the second quarter of 2014, the Company completed a private placement (the "2014 financing round") with a group of new investors and several of its existing shareholders, raising a total of $8,157, net of $123 issuance costs, in consideration of 1,036,431 Preferred A Shares par value 0.16 NIS and 1,061,469 warrants to purchase Preferred A Shares (see also d. below). The 2014 financing round closed in two phases, the first on May 13, 2014 and the second on June 3, 2014 (respectively – "closing date"), raising a gross amount of $6,580 and $1,700, respectively. | ||||||||||
c. Initial public offering | ||||||||||
In September 2014, the Company completed an IPO, pursuant to which the Company issued 6,700,000 ordinary shares, NIS 0.16 par value (“Ordinary Shares”) at $6.00 per share raising a total of approximately $35,700, net of underwriting discounts, commissions and other offering expenses. Upon the completion of the Company's IPO, all outstanding series A preferred shares were automatically converted into Ordinary Shares. | ||||||||||
On October 17, 2014 the IPO underwriters exercised their ‘green shoe' option and purchased an additional 968,200 Ordinary Shares at a price per share of $6. The total proceeds, net of underwriter's commission, were approximately $5,400. | ||||||||||
d. Preferred A Shares and warrants conversion | ||||||||||
In accordance with the Company's Articles of association (the “Articles“) the initial conversion ratio of each Preferred A Share was set out to be 1:1. As the conversion rate of the Preferred A Shares was greater than 70% of the price per share of the shares issued at the closing of the IPO, the price protection provisions, as defined in the Articles, was triggered and caused the following: (a) the automatic reduction of the conversion price of the Preferred A Shares to a conversion price of 70% of the price paid for the newly issued shares; (b) the increase of the outstanding warrants granted to the 2014 financing round investors and lenders to a total of 2,716,956 warrants and the reduction of the warrants' exercise price to 70% of the price paid for the newly issued shares which amounted to an exercise price of $5.04 per warrant. | ||||||||||
Per the above, upon the completion of the IPO, the total amount of 2,046,781 Preferred A Shares were converted into 3,367,244 Ordinary Shares. | ||||||||||
e. Warrants | ||||||||||
Pursuant to the IPO, the warrants to purchase Preferred A Shares were automatically converted into warrants to purchase Ordinary Shares. Each warrant can be exercised for one ordinary share at an exercise price of $5.04 per share and is exercisable until the fourth anniversary of the closing date of the 2014 financing round (May or June 2018). | ||||||||||
As of December 31, 2014 none of the warrants have been exercised and the total amount outstanding is 2,716,956. | ||||||||||
f. Share-based compensation | ||||||||||
In June 2009, the Company's Board of Directors approved a share option plan (the “Plan”) and reserved a pool of 1,635,694 ordinary shares for grant to Company employees, consultants, directors and other service providers. | ||||||||||
The Plan is designed to enable the Company to grant options to purchase Ordinary Shares under various and different tax regimes including, without limitation: (i) pursuant and subject to Section 102 of the Tax Ordinance or any provision which may amend or replace it and any regulations, rules, orders or procedures promulgated thereunder and to designate them as either grants made through a trustee or not through a trustee; and (ii) pursuant and subject to Section 3(i) of the Tax Ordinance; | ||||||||||
The fair value of each option granted is estimated using the Black-Scholes option pricing method. Expected volatility is based on the historical volatility of comparable companies. The risk-free interest rate assumption is based on observed interest rates appropriate for the expected term of the options granted in dollar terms. The Company's management uses the contractual term or its expectations, as applicable, of each option as its expected life. The expected term of the options granted is derived from the output of the option pricing model and represents the period of time that granted options are expected to remain outstanding. | ||||||||||
As of December 31, 2014, 762,694 options remained available for grant under the Plan. | ||||||||||
In the years ended December 31, 2014, 2013 and 2012, the Company granted options to certain employees and non-employees as follows: | ||||||||||
1) Options granted to employees and directors: | ||||||||||
Most of the employees options vest over a period of four years, one fifth vesting on the grant date and the balance vesting quarterly over the following four years. The director's options vest over a period of three years, one third each year. The options expire on the tenth anniversary of the date of grant. | ||||||||||
a) During 2012 the Company granted 84,375 options to employees and directors with exercise prices ranging between $o.624 and $1.92 per share. | ||||||||||
The fair value of options granted to employees and directors during 2012 was $312. The underlying data used for computing the fair value of the options are as follows: | ||||||||||
2012 | ||||||||||
Value of ordinary share | $4.90 | |||||||||
Dividend yield | 0% | |||||||||
Expected volatility | 67.10% | |||||||||
Risk-free interest rate | 0.72%-1.20% | |||||||||
Expected term | 5-7 years | |||||||||
b) During 2013 the Company did not grant any options to its employees and directors. | ||||||||||
c) During 2014 the Company granted 217,000 options to employees with exercise prices ranging between $1.92 and $7.98 per share. | ||||||||||
On December 29, 2014 the Company granted 231,000 options to directors with an exercise price of $5.88 per share. | ||||||||||
The fair value of options granted to employees and directors during 2014 was $1,683. The underlying data used for computing the fair value of the options are as follows: | ||||||||||
2014 | ||||||||||
Value of ordinary share | $4.8-$6.8 | |||||||||
Dividend yield | 0% | |||||||||
Expected volatility | 59.0%-66.7% | |||||||||
Risk-free interest rate | 1.87%-2.22% | |||||||||
Expected term | 6-7 years | |||||||||
2) Options granted to consultants and other service providers: | ||||||||||
a) During 2012 the Company did not grant any options to its consultants and service providers. | ||||||||||
b) During 2013, the Company granted 71,875 fully vested options to a service provider (who is also a shareholder) with an exercise price of $1.92 per share. | ||||||||||
The fair value of options granted to consultants and other service providers during 2013 was $426. The underlying data used for computing the fair value of the options are as follows: | ||||||||||
2013 | ||||||||||
Value of ordinary share | $ | 6.816 | ||||||||
Dividend yield | 0% | |||||||||
Expected volatility | 64.50% | |||||||||
Risk-free interest rate | 1.81% | |||||||||
Expected term | 10 years | |||||||||
c) In June 2014, the Company granted 15,625 fully vested options to a service provider with an exercise price of $1.92 per share. | ||||||||||
In September 2014, the Company granted 31,250 options to consultants. The options shall be exercisable for a period of six years at an exercise price of $7.98 per shares. | ||||||||||
The fair value of options granted to consultants and other service providers during 2014 was $183. The underlying data used for computing the fair value of the options are as follows: | ||||||||||
2014 | ||||||||||
Value of ordinary share | $5.45-$7.01 | |||||||||
Dividend yield | 0% | |||||||||
Expected volatility | 59.9%-62.0% | |||||||||
Risk-free interest rate | 1.81%-2% | |||||||||
Expected term | 6 years | |||||||||
3) The following table summarizes the number of options outstanding under the Plan for the years ended December 31, 2014 and 2013, and related information: | ||||||||||
Employees and | Consultants and | |||||||||
directors | service providers | |||||||||
Number of | USD* | Number of | USD* | |||||||
options | options | |||||||||
Outstanding at January 1, 2013 | 462,500 | 1.28 | 148,125 | 0.96 | ||||||
Granted | - | - | 71,875 | 1.92 | ||||||
Outstanding at December 31, 2013 | 462,500 | 1.28 | 220,000 | 1.28 | ||||||
Granted | 448,000 | 5.32 | 46,875 | 5.96 | ||||||
Forfeited | 6,250 | 1.92 | - | - | ||||||
Outstanding at December 31, 2014 | 904,250 | 3.28 | 266,875 | 2.1 | ||||||
* | Weighted average price per share | |||||||||
4) The following tables summarizes information concerning outstanding and exercisable options as of December 31, 2014: | ||||||||||
31-Dec-14 | ||||||||||
Options outstanding | Options exercisable | |||||||||
Number of | Weighted | Number of | Weighted | |||||||
options | average | options | average | |||||||
Exercise | outstanding | remaining | exercisable | remaining | ||||||
prices per | at end of | contractual | at end of | contractual | ||||||
share USD | year | life | year | life | ||||||
0.048-1.312 | 298,125 | 4.9 | 298,125 | 4.9 | ||||||
1.92 | 525,000 | 7.25 | 431,407 | 6.85 | ||||||
5.46-5.88 | 279,250 | 9.98 | 9,650 | 9.89 | ||||||
7.98 | 68,750 | 7.62 | - | - | ||||||
1,171,125 | 739,182 | |||||||||
During the three years ended December 31, 2014 no options have been exercised. | ||||||||||
The aggregate intrinsic value of the total vested and exercisable options as of | ||||||||||
December 31, 2014 is $4,143. | ||||||||||
5) The following table illustrates the effect of share-based compensation on the statements of operations: | ||||||||||
Year ended | ||||||||||
31-Dec | ||||||||||
2014 | 2013 | 2012 | ||||||||
Cost of revenues | $ | 15 | $ | 16 | $ | 23 | ||||
Research and development expenses | 80 | 59 | 83 | |||||||
Selling, general and administrative | 102 | 430 | 249 | |||||||
$ | 197 | $ | 505 | $ | 355 |
INCOME_TAX
INCOME TAX: | 12 Months Ended | ||||||||||
Dec. 31, 2014 | |||||||||||
INCOME TAX: [Abstract] | |||||||||||
INCOME TAX: | NOTE 10 - INCOME TAX: | ||||||||||
The Company is taxed under Israel and the United States of America tax laws: | |||||||||||
a. Tax rates | |||||||||||
(i) Income from Israel is taxed at the corporate tax rate of 25% in 2012 and 2013 and as from 2014 and thereafter 26.5%. Capital gains are subject to capital gain tax, which equals to 25%. | |||||||||||
(ii) Income of the Subsidiary is taxed according to the federal tax laws in the US and the relevant state laws. | |||||||||||
b. Tax assessments | |||||||||||
Foamix has tax assessments that are considered to be final through tax year 2010. | |||||||||||
c. Losses for tax purposes carried forward to future years | |||||||||||
As of December 31, 2014, Foamix had approximately $15.2 million of net carry forward tax losses which are available to reduce future taxable income with no limited period of use. | |||||||||||
During 2014, the US subsidiary incurred a tax expense in the amount of $6. | |||||||||||
d. Deferred income taxes: | |||||||||||
As of | |||||||||||
31-Dec | |||||||||||
2014 | 2013 | ||||||||||
In respect of: | |||||||||||
Net operating loss carry forward | $ | 4,019 | $ | 3,963 | |||||||
Research and development | 2,121 | 490 | |||||||||
Other | 101 | 31 | |||||||||
Less - valuation allowance | (6,241 | ) | (4,484 | ) | |||||||
Net deferred tax assets | $ | - | $ | - | |||||||
Realization of deferred tax assets is contingent upon sufficient future taxable income during the period that deductible temporary differences and carry forward losses are expected to be available to reduce taxable income. As the achievement of required future taxable income is not likely, the Company recorded a full valuation allowance. | |||||||||||
The main reconciling items between the statutory tax rate of the Company and the effective rate are nondeductible expenses, research and development expenses and the provision for full valuation allowance in respect of tax benefits from carry forward tax losses due to the uncertainty of the realization of such tax benefits (see above). | |||||||||||
e. As of December 31, 2014 and 2013, the Company had not accrued a provision for uncertain tax positions | |||||||||||
f. | Rollforward of valuation allowance: | ||||||||||
Balance at January 1, 2013 | $ | 3,797 | |||||||||
Additions | 687 | ||||||||||
Balance at December 31, 2013 | 4,484 | ||||||||||
Additions | 1,757 | ||||||||||
Balance at December 31, 2014 | $ | 6,241 | |||||||||
RELATED_PARTIES_TRANSACTIONS_A
RELATED PARTIES - TRANSACTIONS AND BALANCES: | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
RELATED PARTIES - TRANSACTIONS AND BALANCES: [Abstract] | ||||||||||
RELATED PARTIES - TRANSACTIONS AND BALANCES: | NOTE 11 - RELATED PARTIES - TRANSACTIONS AND BALANCES: | |||||||||
a. Transactions with related parties | ||||||||||
Related parties include the Board of Directors and the Chief Executive Officer of the Company. | ||||||||||
Year ended December 31 | ||||||||||
2014 | 2013 | 2012 | ||||||||
Expenses: | ||||||||||
Payroll expenses | $ | 863 | $ | 347 | $ | 314 | ||||
Directors fee | 80 | - | - | |||||||
Finance expenses on convertible loans and warrants | 2,088 | 1,089 | $ | 648 | ||||||
TOTAL EXPENSES | $ | 3,031 | $ | 1,436 | $ | 962 | ||||
b. Balances with related parties: | ||||||||||
31-Dec | ||||||||||
2014 | 2013 | |||||||||
Convertible loans | $ | - | $ | 4,535 | ||||||
Accounts payable and accruals | $ | 148 | $ | 1 | ||||||
With respect to options granted to the Company's directors, see Note 9f(1). | ||||||||||
SUPPLEMENTARY_FINANCIAL_STATEM
SUPPLEMENTARY FINANCIAL STATEMENT INFORMATION: | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Supplementary Financial Statement Information: [Abstract] | |||||||||||||
SUPPLEMENTARY FINANCIAL STATEMENT INFORMATION: | NOTE 12 - SUPPLEMENTARY FINANCIAL STATEMENT INFORMATION: | ||||||||||||
Balance sheets: | |||||||||||||
31-Dec | |||||||||||||
2014 | 2013 | ||||||||||||
a. Account receivable - other: | |||||||||||||
Institutions | $ | 99 | $ | 106 | |||||||||
Prepaid expenses | 235 | 30 | |||||||||||
Other | 96 | 26 | |||||||||||
$ | 430 | $ | 162 | ||||||||||
b. Accounts payable and accruals - other: | |||||||||||||
Accrued expenses | $ | 392 | $ | 95 | |||||||||
Payroll and related institutions | 216 | 93 | |||||||||||
Bonus accrual | 348 | - | |||||||||||
Other | 12 | 15 | |||||||||||
$ | 968 | $ | 203 | ||||||||||
c. Other non-current assets: | |||||||||||||
Funds in respect of employees severance benefits | $ | 7 | $ | 126 | |||||||||
Other | 27 | 3 | |||||||||||
$ | 34 | $ | 129 | ||||||||||
Statements of operations: | |||||||||||||
d. Revenues | |||||||||||||
Net revenues by type of payment: | |||||||||||||
Year ended | |||||||||||||
31-Dec | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Development Service Payments | $ | 4,814 | $ | 1,404 | $ | 1,086 | |||||||
Contingent Payments | 600 | - | - | ||||||||||
Total revenues | $ | 5,414 | $ | 1,404 | $ | 1,086 | |||||||
e. Research and development: | |||||||||||||
Payroll and related expenses | $ | 1,710 | $ | 702 | $ | 624 | |||||||
Clinical trials and development expenses | 1,581 | 73 | 110 | ||||||||||
Other | 266 | 311 | 468 | ||||||||||
$ | 3,557 | $ | 1,086 | $ | 1,202 | ||||||||
f. Selling, general and administrative: | |||||||||||||
Payroll and related expenses | $ | 1,183 | $ | 587 | $ | 524 | |||||||
Patent registration expenses | 500 | 468 | 328 | ||||||||||
Legal, accounting and other professional services | 610 | 110 | 45 | ||||||||||
Other | 671 | 56 | 56 | ||||||||||
$ | 2,964 | $ | 1,221 | $ | 953 | ||||||||
g. Finance expenses, net: | |||||||||||||
Finance expenses: | |||||||||||||
Finance expenses on convertible loans and warrants | $ | 9,915 | $ | 1,117 | $ | 665 | |||||||
Other expenses | 15 | 2 | 10 | ||||||||||
Foreign exchange loss, net | - | 25 | 1 | ||||||||||
TOTAL FINANCE EXPENSES | $ | 9,930 | 1,144 | 676 | |||||||||
Finance income: | |||||||||||||
Changes in fair value of marketable securities | - | (69 | ) | (67 | ) | ||||||||
Gains from sale of marketable securities, net | (11 | ) | - | - | |||||||||
Other income | (28 | ) | - | - | |||||||||
Foreign exchange gains, net | (47 | ) | - | - | |||||||||
TOTAL FINANCE INCOME | (86 | ) | (69 | ) | (67 | ) | |||||||
$ | 9,844 | $ | 1,075 | $ | 609 | ||||||||
ENTITYWIDE_DISCLOSURE
ENTITY-WIDE DISCLOSURE: | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
ENTITY-WIDE DISCLOSURE: [Abstract] | |||||||||||||
ENTITY-WIDE DISCLOSURE: | NOTE 13 - ENTITY-WIDE DISCLOSURE: | ||||||||||||
a. Net revenues by geographic area were as follows: | |||||||||||||
Year ended December 31 | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
United States | $ | 2,305 | $ | 1,151 | $ | 209 | |||||||
Germany | 2,500 | 206 | 409 | ||||||||||
Israel | 609 | 47 | 468 | ||||||||||
Total revenues | $ | 5,414 | $ | 1,404 | $ | 1,086 | |||||||
b. Revenues from principal customers - revenues from single customers that exceed 10% of total revenues in the relevant year: | |||||||||||||
Year ended | |||||||||||||
31-Dec | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Customer A | $ | 732 | $ | 336 | $ | - | |||||||
Customer B | $ | 1,032 | $ | 597 | $ | - | |||||||
Customer C | $ | 2,500 | $ | 206 | $ | 409 | |||||||
Customer D | $ | 541 | $ | 174 | $ | - | |||||||
Customer E | $ | 609 | $ | 47 | $ | 312 | |||||||
Customer F | $ | - | $ | - | $ | 209 | |||||||
SIGNIFICANT_ACCOUNTING_POLICIE1
SIGNIFICANT ACCOUNTING POLICIES: (Policy) | 12 Months Ended | |||
Dec. 31, 2014 | ||||
SIGNIFICANT ACCOUNTING POLICIES: [Abstract] | ||||
Basis of presentation | a. Basis of presentation | |||
The Company's financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). | ||||
Use of estimates in the preparation of financial statements | b. Use of estimates in the preparation of financial statements | |||
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, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates. As applicable to these financial statements, the most significant estimates and assumptions relate to revenue recognition, the fair value of share-based compensation, relative fair value allocated to each component (shares and convertible loans) issued as part of the Company's financing agreements, beneficial conversion feature and embedded derivative in convertible loans and fair value of warrants. | ||||
Functional currency | ||||
c. Functional currency | ||||
The U.S. dollar ("dollar") is the currency of the primary economic environment in which the operations of Foamix and the Subsidiary are conducted. Almost all Company revenues are in dollars and the Company's financing has been provided in dollars. Accordingly, the functional currency of the Company is the dollar. | ||||
Transactions and balances originally denominated in dollars are presented at their original amounts. Balances in non-dollar currencies are translated into dollars using historical and current exchange rates for non-monetary and monetary balances, respectively. For non-dollar transactions and other items in the statements of operations (indicated below), the following exchange rates are used: (i) for transactions - exchange rates at transaction dates or average rates; and (ii) for other items (derived from non-monetary balance sheet items such as depreciation and amortization, etc.) - historical exchange rates. Currency transaction gains and losses are presented in financial income or expenses, as appropriate. | ||||
Principles of consolidation | d. Principles of consolidation | |||
The consolidated financial statements include the accounts of the Foamix and its Subsidiary. Intercompany balances and transactions including profits from intercompany sales not yet realized outside the Company, have been eliminated upon consolidation. | ||||
Cash and cash equivalents | ||||
e. Cash and cash equivalents | ||||
The Company considers as cash equivalents all short-term, highly liquid investments, which include short-term bank deposits with original maturities of three months or less from the date of purchase that are not restricted as to withdrawal or use and are readily convertible to known amounts of cash. | ||||
Marketable securities | ||||
f. Marketable securities | ||||
Marketable securities consist of funds invested in monetary assets and are classified as available for sale or trading securities in accordance with ASC 320, Investments - Debt and Equity Securities. | ||||
Management determines the appropriate classification of its investments in equity securities at the time of purchase and reevaluates such determinations at each balance sheet date. | ||||
As of December 31, 2013 the Company classified its investments as trading securities and recorded them at market value. As such, all changes in the fair value of the securities were included in finance expenses. During 2014 the Company sold all of its trading securities. | ||||
As of December 31, 2014, all of the Company's investments are classified as available for sale. Unrealized gains and losses that are considered temporary, are reported as a separate component of equity (accumulated other comprehensive gain or loss), net of related taxes, if applicable, until realized. Unrealized losses that are considered to be other-than-temporary and realized gains and losses, are recorded in financial income or expenses. | ||||
Property and equipment | ||||
g. Property and equipment | ||||
1) Property and equipment are stated at cost, net of accumulated depreciation and amortization. | ||||
2) The Company's property and equipment are depreciated by the straight-line method on the basis of their estimated useful life. | ||||
Annual rates of depreciation are as follows: | ||||
% | ||||
Computers | 15-33 (mainly 33) | |||
Laboratory equipment | 7-20 (mainly 20) | |||
Office furniture and equipment | 7-15 (mainly 7) | |||
Vehicles | 15 | |||
Leasehold improvements are amortized by the straight-line method over the expected lease term, which is shorter than the estimated useful life of the improvements. | ||||
Impairment of long-lived assets | ||||
h. Impairment of long-lived assets | ||||
The Company tests long-lived assets for impairment whenever events or circumstances present an indication of impairment. If the sum of expected future cash flows (undiscounted and without interest charges) of the assets is less than the carrying amount of such assets, an impairment loss would be recognized. The assets would be written down to their estimated fair values, calculated based on the present value of expected future cash flows (discounted cash flows), or some other fair value measure. | ||||
For the three years ended December 31, 2014 the Company did not recognize an impairment loss for its long-lived assets. | ||||
Allowance for doubtful accounts | ||||
i. Allowance for doubtful accounts | ||||
The Company performs ongoing credit evaluations to estimate the need for maintaining reserves for potential credit losses. An allowance for doubtful accounts is recognized on a specific basis with respect to those amounts that the Company has determined to be doubtful of collection. No allowance for doubtful accounts was recorded in the years ended December 31, 2014 and 2013. During 2014 the Company wrote off a bad debt in the amount of $19. | ||||
Contingencies | j. Contingencies | |||
Certain conditions may exist as of the date of the financial statements, 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's management assesses such contingent liabilities and such assessment inherently involves an exercise of judgment. In assessing loss contingencies related to legal proceedings that are pending against the Company or unasserted claims that may result in such proceedings, the Company's management evaluates the perceived merits of any legal proceedings or unasserted claims as well as the perceived merits of the amount of relief sought or expected to be sought. | ||||
Management applies the guidance in ASC 450-20-25 when assessing losses resulting from contingencies. 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 is recorded as accrued expenses 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, together with an estimate of the range of possible loss if determinable and material are disclosed. | ||||
Loss contingencies considered to be remote by management are generally not disclosed unless they involve guarantees, in which case the guarantees are disclosed. | ||||
Share-based compensation | k. Share-based compensation | |||
The Company accounts for employees' and directors' share-based payment awards classified as equity awards using the grant-date fair value method. The fair value of share-based payment transactions is recognized as an expense over the requisite service period, net of estimated forfeitures. The Company estimates forfeitures based on historical experience and anticipated future conditions. | ||||
The Company elected to recognize compensation costs for awards conditioned only on continued service that have a graded vesting schedule using the straight-line method based on the multiple-option award approach. | ||||
When options are granted as consideration for services provided by consultants and other non-employees, the grant is accounted for based on the fair value of the consideration received or the fair value of the options issued, whichever is more reliably measurable. The fair value of the options granted is measured on a final basis at the end of the related service period and is recognized over the related service period using the straight-line method. | ||||
Revenue recognition | l. Revenue recognition | |||
The Company's revenues are derived from development and license agreements for development of products combining the Company's foam technology with a drug selected by the licensee. To date, none of these products have been effectively commercialized. | ||||
The significant deliverables in the agreements between the Company and its licensees are the obligation of the Company to provide development services and the grant of an exclusive license to the specific product developed. | ||||
These deliverables are combined into one single unit of accounting for revenue recognition purposes since: | ||||
• Each element does not have value on a stand-alone basis. | ||||
• In order to develop the combined formulation in the licensed product, the use of the Company's propriety technology is required. Therefore, the Company is the only party capable of performing the level and type of development services required under the agreement | ||||
The Company's development and license agreements entitle the Company to: | ||||
• Development payments, including upfront payments, cost reimbursements and payments contingent only upon passage of time (together - “Development Service Payments”). | ||||
• Payments contingent solely upon performance or achievement of clinical results by the Company's licensees (“Contingent Payments”). | ||||
• Royalties, calculated as a percentage of sales of the developed products made by the Company's licensees. | ||||
Revenues from Development Service Payments under development and license agreements are recognized as the services are provided. When the Company receives a portion of the Development Service Payment before performance of such services, these advances are recorded as deferred revenues and recognized as revenues as services are performed. | ||||
Contingent Payments are recognized when the licensee's performance or achievement event occurs. | ||||
Royalties are recognized when subsequent sales are made by the Company's licensees. | ||||
Research and development costs | m. Research and development costs | |||
Research and development expenses include costs directly attributable to the conduct of research and development programs, including the cost of salaries, share-based compensation expenses, payroll taxes and other employee benefits, lab expenses, consumable equipment and consulting fees. All costs associated with research and developments are expensed as incurred. | ||||
Income taxes: | n. Income taxes: | |||
1) Deferred taxes | ||||
Income taxes are computed using the asset and liability method. Under the asset and liability method, deferred income tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. A valuation allowance is recognized to the extent that it is more likely than not that the deferred taxes will not be realized in the foreseeable future. Given the Company's loses, the Company has provided a full valuation allowance with respect to its deferred tax assets. | ||||
2) Uncertainty in income tax | ||||
The Company follows a two-step approach in recognizing and measuring uncertain tax positions. The first step is to evaluate the tax position for recognition by determining if the available evidence indicates that it is more likely than not that the position will be sustained based on technical merits. If this threshold is met, the second step is to measure the tax position as the largest amount that has more than a 50% likelihood of being realized upon ultimate settlement. | ||||
Loss per share | o. Loss per share | |||
Net loss per share, basic and diluted, is computed on the basis of the net loss for the period divided by the weighted average number of common shares outstanding during the period. Diluted net loss per share is based upon the weighted average number of common shares and of common shares equivalents outstanding when dilutive. Common share equivalents include: (i) outstanding stock options and warrants which are included under the treasury share method when dilutive, and (ii) common shares to be issued under the assumed conversion of the Company's outstanding convertible debentures, which are included under the if converted method when dilutive. | ||||
The following share options, warrants and shares issuable upon conversion of convertible loans were excluded from the calculation of diluted net loss per ordinary share because their effect would have been anti-dilutive for the periods presented (share data): | ||||
Year ended December 31 | ||||
2014 | 2013 | 2012 | ||
Outstanding share options | 1,171,125 | 673,125 | 604,375 | |
Warrants | 2,716,956 | - | - | |
Shares issuable upon conversion of convertible loans | - | 715,546 | 340,058 | |
Fair value measurement | p. Fair value measurement | |||
Fair value is based on the price that would be received from the sale of an asset or that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. In order to increase consistency and comparability in fair value measurements, the guidance establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels, which are described as follows: | ||||
Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. | ||||
Level 2: Observable prices that are based on inputs not quoted on active markets, but corroborated by market data. | ||||
Level 3: Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs. | ||||
In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible and considers counterparty credit risk in its assessment of fair value. | ||||
Concentration of credit risks and trade receivables | q. Concentration of credit risks and trade receivables | |||
Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash and cash equivalents, marketable securities and trade receivables. The Company deposits cash and cash equivalents with highly rated financial institutions and, as a matter of policy, limits the amounts of credit exposure to any single financial institution. The Company has not experienced any material credit losses in these accounts and does not believe it is exposed to significant credit risk on these instruments. | ||||
Comprehensive loss | r. Comprehensive loss | |||
Comprehensive loss includes, in addition to net loss, unrealized holding gains and losses on available-for-sale securities (net of related taxes where applicable). | ||||
Reclassification adjustments for gain or loss of available for sales securities are included in finance expenses net in the statement of income. | ||||
Newly issued and recently adopted accounting pronouncements | s. Newly issued and recently adopted accounting pronouncements | |||
1) In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update No. 2014-09 (ASU 2014-09) "Revenue from Contracts with Customers." ASU 2014-09 will supersede most current revenue recognition guidance, including industry-specific guidance. The underlying principle is that an entity will recognize revenue upon the transfer of goods or services to customers in an amount that the entity expects to be entitled to in exchange for those goods or services. The guidance provides a five-step analysis of transactions to determine when and how revenue is recognized. Other major provisions include capitalization of certain contract costs, consideration of the time value of money in the transaction price, and allowing estimates of variable consideration to be recognized before contingencies are resolved in certain circumstances. | ||||
The guidance also requires enhanced disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows arising from an entity's contracts with customers. The guidance is effective for the interim and annual periods beginning on or after December 15, 2016 (early adoption is not permitted). The guidance permits the use of either a retrospective or cumulative effect transition method. The Company is currently evaluating the impact of the amended guidance on its consolidated financial statements. | ||||
2) In August 2014, FASB issued ASU 2014-15—Presentation of Financial Statements—Going Concern (ASC Subtopic 205-40): “Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern”. The update requires management to assess a company's ability to continue as a going concern and to provide related footnote disclosures in certain circumstances. All entities are required to apply the new requirements in annual periods ending after December 15, 2016, and interim periods thereafter. Early application is permitted. The Company is required to adopt these provisions for the annual period ending December 31, 2016. The Company is currently evaluating the impact of FASB ASU 2014-15 but does not expect the adoption thereof to have a material effect on its financial statements. | ||||
SIGNIFICANT_ACCOUNTING_POLICIE2
SIGNIFICANT ACCOUNTING POLICIES: (Tables) | 12 Months Ended | |||
Dec. 31, 2014 | ||||
SIGNIFICANT ACCOUNTING POLICIES: [Abstract] | ||||
Schedule of annual rates of depreciation of property and equipment | % | |||
Computers | 15-33 (mainly 33) | |||
Laboratory equipment | 7-20 (mainly 20) | |||
Office furniture and equipment | 7-15 (mainly 7) | |||
Vehicles | 15 | |||
Schedule of anti-dilutive securities | Year ended December 31 | |||
2014 | 2013 | 2012 | ||
Outstanding share options | 1,171,125 | 673,125 | 604,375 | |
Warrants | 2,716,956 | - | - | |
Shares issuable upon conversion of convertible loans | - | 715,546 | 340,058 |
FAIR_VALUE_MEASURMENTS_Tables
FAIR VALUE MEASURMENTS (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
FAIR VALUE MEASURMENTS [Abstract] | |||||||||||||
Schedule of assets and liabilities that are measured at fair value | 31-Dec-14 | ||||||||||||
Level 1 | Level 3 | Total | |||||||||||
Marketable securities | $ | 7,062 | - | 7,062 | |||||||||
31-Dec-13 | |||||||||||||
Level 1 | Level 3 | Total | |||||||||||
Marketable securities | $ | 561 | - | $ | 561 | ||||||||
Embedded derivatives* | - | $ | 1,529 | $ | 1,529 | ||||||||
* | The embedded derivatives were presented in the Company's balance sheets on a combined basis with the related host contract (the convertible loans). | ||||||||||||
Schedule of assumptions used in determining fair value of each of the embedded derivatives | 31-Dec | ||||||||||||
2013 | |||||||||||||
Time to automatic conversion event (years) | 0.5 | ||||||||||||
Probability of event | 65%-70% | ||||||||||||
Discount rate | 21% | ||||||||||||
Conversion ratio (weighted) | 0.65-0.75 | ||||||||||||
Summary of the changes in the fair value of the financial liabilities classified as Level 3 (the derivative embedded in the convertible loans) | 31-Dec-14 | ||||||||||||
Warrants* | Embedded derivatives** | ||||||||||||
Balance at beginning of year | $ | - | $ | 1,529 | |||||||||
Warrants issued during the period | 2,129 | - | |||||||||||
Changes in fair value during the period | 6,365 | 680 | |||||||||||
Conversion of convertible loans | - | (2,209 | ) | ||||||||||
Conversion of warrants from preferred A warrants into Ordinary Share warrants | (8,494 | ) | - | ||||||||||
Balance at end of year | $ | - | $ | - | |||||||||
* | On September 17, 2014, as part of the Company's initial public offering all preferred A shares were converted into ordinary shares (see Note 9). As a result, all outstanding warrants to purchase Preferred A shares (see Note 9c) were transformed on that date (“the Conversion Date”) in accordance with their original terms, to warrants to purchase ordinary shares. Based on relevant accounting principles, these warrants are considered equity instruments. Accordingly, on the Conversion Date, those warrants ceased to be accounted for as a liability and were recorded as equity. | ||||||||||||
The fair value of each of the warrants, on the Conversion Date, was determined by using the Black-Scholes model. The underlying data used for computing the fair value of the warrants were mainly as follows: $6 value of ordinary shares, 0% Dividend yield, 1.45% risk free interest rate, 65% expected volatility and 3.6 years expected term. | |||||||||||||
** | |||||||||||||
As the convertible loans have been automatically converted on May 12, 2014 the change in fair value of the embedded derivative represents the difference between the carrying amount of the embedded as of December 31, 2013 and their original amount which have been recorded within the finance expenses. See note 8b. | |||||||||||||
2013 | |||||||||||||
Embedded derivatives | |||||||||||||
Balance at beginning of year | $ | 550 | |||||||||||
Derivatives embedded in loans received during the year | 215 | ||||||||||||
Changes in fair value during the period | 764 | ||||||||||||
Balance at end of year | $ | 1,529 | |||||||||||
MARKETABLE_SECURITIES_Tables
MARKETABLE SECURITIES: (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
MARKETABLE SECURITIES: [Abstract] | ||||||||||||||||||||
Schedule of the fair value, cost and gross unrealized holding gains of the securities owned | Fair | Amortized cost | Gross unrealized | Gross unrealized | ||||||||||||||||
Value | gains | |||||||||||||||||||
loss | ||||||||||||||||||||
7,062 | $ | 7,141 | $ | 83 | $ | 4 | $ | |||||||||||||
PROPERTY_AND_EQUIPMENT_Tables
PROPERTY AND EQUIPMENT: (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
PROPERTY AND EQUIPMENT: [Abstract] | ||||||||||
Schedule of property and equipment | 31-Dec | |||||||||
2014 | 2013 | |||||||||
Cost: | ||||||||||
Leasehold improvements | $ | 88 | $ | 84 | ||||||
Computers and software | 64 | 18 | ||||||||
Laboratory equipment | 598 | 568 | ||||||||
Furniture | 42 | 21 | ||||||||
Vehicles* | 118 | - | ||||||||
910 | 691 | |||||||||
Less: | ||||||||||
Accumulated depreciation and amortization | 662 | 629 | ||||||||
Property and Equipment, net | $ | 248 | $ | 62 | ||||||
* | See note 8c relating to the lien on the Company's vehicles |
SHARE_CAPITAL_Tables
SHARE CAPITAL (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Share capital [Line Items] | ||||||||||
Summary of the number of options outstanding under the Plan | Employees and | Consultants and | ||||||||
directors | service providers | |||||||||
Number of | USD* | Number of | USD* | |||||||
options | options | |||||||||
Outstanding at January 1, 2013 | 462,500 | 1.28 | 148,125 | 0.96 | ||||||
Granted | - | - | 71,875 | 1.92 | ||||||
Outstanding at December 31, 2013 | 462,500 | 1.28 | 220,000 | 1.28 | ||||||
Granted | 448,000 | 5.32 | 46,875 | 5.96 | ||||||
Forfeited | 6,250 | 1.92 | - | - | ||||||
Outstanding at December 31, 2014 | 904,250 | 3.28 | 266,875 | 2.1 | ||||||
* | Weighted average price per share | |||||||||
Summary of the information concerning outstanding and exercisable options | 31-Dec-14 | |||||||||
Options outstanding | Options exercisable | |||||||||
Number of | Weighted | Number of | Weighted | |||||||
options | average | options | average | |||||||
Exercise | outstanding | remaining | exercisable | remaining | ||||||
prices per | at end of | contractual | at end of | contractual | ||||||
share USD | year | life | year | life | ||||||
0.048-1.312 | 298,125 | 4.9 | 298,125 | 4.9 | ||||||
1.92 | 525,000 | 7.25 | 431,407 | 6.85 | ||||||
5.46-5.88 | 279,250 | 9.98 | 9,650 | 9.89 | ||||||
7.98 | 68,750 | 7.62 | - | - | ||||||
1,171,125 | 739,182 | |||||||||
Schedule of share-based compensation | Year ended | |||||||||
31-Dec | ||||||||||
2014 | 2013 | 2012 | ||||||||
Cost of revenues | $ | 15 | $ | 16 | $ | 23 | ||||
Research and development expenses | 80 | 59 | 83 | |||||||
Selling, general and administrative | 102 | 430 | 249 | |||||||
$ | 197 | $ | 505 | $ | 355 | |||||
Employees and directors [Member] | ||||||||||
Share capital [Line Items] | ||||||||||
Schedule of underlying data used for computing the fair value of the options | 2012 | |||||||||
Value of ordinary share | $4.90 | |||||||||
Dividend yield | 0% | |||||||||
Expected volatility | 67.10% | |||||||||
Risk-free interest rate | 0.72%-1.20% | |||||||||
Expected term | 5-7 years | |||||||||
2014 | ||||||||||
Value of ordinary share | $4.8-$6.8 | |||||||||
Dividend yield | 0% | |||||||||
Expected volatility | 59.0%-66.7% | |||||||||
Risk-free interest rate | 1.87%-2.22% | |||||||||
Expected term | 6-7 years | |||||||||
Consultants and other service providers [Member] | ||||||||||
Share capital [Line Items] | ||||||||||
Schedule of underlying data used for computing the fair value of the options | ||||||||||
2013 | ||||||||||
Value of ordinary share | $ | 6.816 | ||||||||
Dividend yield | 0% | |||||||||
Expected volatility | 64.50% | |||||||||
Risk-free interest rate | 1.81% | |||||||||
Expected term | 10 years | |||||||||
2014 | ||||||||||
Value of ordinary share | $5.45-$7.01 | |||||||||
Dividend yield | 0% | |||||||||
Expected volatility | 59.9%-62.0% | |||||||||
Risk-free interest rate | 1.81%-2% | |||||||||
Expected term | 6 years |
INCOME_TAX_Tables
INCOME TAX: (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2014 | |||||||||||
INCOME TAX: [Abstract] | |||||||||||
Schedule of deferred income taxes | As of | ||||||||||
31-Dec | |||||||||||
2014 | 2013 | ||||||||||
In respect of: | |||||||||||
Net operating loss carry forward | $ | 4,019 | $ | 3,963 | |||||||
Research and development | 2,121 | 490 | |||||||||
Other | 101 | 31 | |||||||||
Less - valuation allowance | (6,241 | ) | (4,484 | ) | |||||||
Net deferred tax assets | $ | - | $ | - | |||||||
Schedule rollforward of valuation allowance | Balance at January 1, 2013 | $ | 3,797 | ||||||||
Additions | 687 | ||||||||||
Balance at December 31, 2013 | 4,484 | ||||||||||
Additions | 1,757 | ||||||||||
Balance at December 31, 2014 | $ | 6,241 | |||||||||
RELATED_PARTIES_TRANSACTIONS_A1
RELATED PARTIES - TRANSACTIONS AND BALANCES: (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
RELATED PARTIES - TRANSACTIONS AND BALANCES: [Abstract] | ||||||||||
Schedule of transactions with related parties | Year ended December 31 | |||||||||
2014 | 2013 | 2012 | ||||||||
Expenses: | ||||||||||
Payroll expenses | $ | 863 | $ | 347 | $ | 314 | ||||
Directors fee | 80 | - | - | |||||||
Finance expenses on convertible loans and warrants | 2,088 | 1,089 | $ | 648 | ||||||
TOTAL EXPENSES | $ | 3,031 | $ | 1,436 | $ | 962 | ||||
Schedule of balances with related parties | 31-Dec | |||||||||
2014 | 2013 | |||||||||
Convertible loans | $ | - | $ | 4,535 | ||||||
Accounts payable and accruals | $ | 148 | $ | 1 |
SUPPLEMENTARY_FINANCIAL_STATEM1
SUPPLEMENTARY FINANCIAL STATEMENT INFORMATION: (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Supplementary Financial Statement Information: [Abstract] | |||||||||||||
Schedule of supplementary balance sheets | Balance sheets: | ||||||||||||
31-Dec | |||||||||||||
2014 | 2013 | ||||||||||||
a. Account receivable - other: | |||||||||||||
Institutions | $ | 99 | $ | 106 | |||||||||
Prepaid expenses | 235 | 30 | |||||||||||
Other | 96 | 26 | |||||||||||
$ | 430 | $ | 162 | ||||||||||
b. Accounts payable and accruals - other: | |||||||||||||
Accrued expenses | $ | 392 | $ | 95 | |||||||||
Payroll and related institutions | 216 | 93 | |||||||||||
Bonus accrual | 348 | - | |||||||||||
Other | 12 | 15 | |||||||||||
$ | 968 | $ | 203 | ||||||||||
c. Other non-current assets: | |||||||||||||
Funds in respect of employees severance benefits | $ | 7 | $ | 126 | |||||||||
Other | 27 | 3 | |||||||||||
$ | 34 | $ | 129 | ||||||||||
Schedule of supplementary statements of operations | Statements of operations: | ||||||||||||
d. Revenues | |||||||||||||
Net revenues by type of payment: | |||||||||||||
Year ended | |||||||||||||
31-Dec | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Development Service Payments | $ | 4,814 | $ | 1,404 | $ | 1,086 | |||||||
Contingent Payments | 600 | - | - | ||||||||||
Total revenues | $ | 5,414 | $ | 1,404 | $ | 1,086 | |||||||
e. Research and development: | |||||||||||||
Payroll and related expenses | $ | 1,710 | $ | 702 | $ | 624 | |||||||
Clinical trials and development expenses | 1,581 | 73 | 110 | ||||||||||
Other | 266 | 311 | 468 | ||||||||||
$ | 3,557 | $ | 1,086 | $ | 1,202 | ||||||||
f. Selling, general and administrative: | |||||||||||||
Payroll and related expenses | $ | 1,183 | $ | 587 | $ | 524 | |||||||
Patent registration expenses | 500 | 468 | 328 | ||||||||||
Legal, accounting and other professional services | 610 | 110 | 45 | ||||||||||
Other | 671 | 56 | 56 | ||||||||||
$ | 2,964 | $ | 1,221 | $ | 953 | ||||||||
g. Finance expenses, net: | |||||||||||||
Finance expenses: | |||||||||||||
Finance expenses on convertible loans and warrants | $ | 9,915 | $ | 1,117 | $ | 665 | |||||||
Other expenses | 15 | 2 | 10 | ||||||||||
Foreign exchange loss, net | - | 25 | 1 | ||||||||||
TOTAL FINANCE EXPENSES | $ | 9,930 | 1,144 | 676 | |||||||||
Finance income: | |||||||||||||
Changes in fair value of marketable securities | - | (69 | ) | (67 | ) | ||||||||
Gains from sale of marketable securities, net | (11 | ) | - | - | |||||||||
Other income | (28 | ) | - | - | |||||||||
Foreign exchange gains, net | (47 | ) | - | - | |||||||||
TOTAL FINANCE INCOME | (86 | ) | (69 | ) | (67 | ) | |||||||
$ | 9,844 | $ | 1,075 | $ | 609 | ||||||||
ENTITYWIDE_DISCLOSURE_Tables
ENTITY-WIDE DISCLOSURE: (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
ENTITY-WIDE DISCLOSURE: [Abstract] | |||||||||||||
Schedule of net revenues by geographic area | Year ended December 31 | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
United States | $ | 2,305 | $ | 1,151 | $ | 209 | |||||||
Germany | 2,500 | 206 | 409 | ||||||||||
Israel | 609 | 47 | 468 | ||||||||||
Total revenues | $ | 5,414 | $ | 1,404 | $ | 1,086 | |||||||
Schedule of revenues from single customers that exceed 10% of total revenues | Year ended | ||||||||||||
31-Dec | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Customer A | $ | 732 | $ | 336 | $ | - | |||||||
Customer B | $ | 1,032 | $ | 597 | $ | - | |||||||
Customer C | $ | 2,500 | $ | 206 | $ | 409 | |||||||
Customer D | $ | 541 | $ | 174 | $ | - | |||||||
Customer E | $ | 609 | $ | 47 | $ | 312 | |||||||
Customer F | $ | - | $ | - | $ | 209 | |||||||
NATURE_OF_OPERATIONS_Details
NATURE OF OPERATIONS (Details) (USD $) | 12 Months Ended | 0 Months Ended | 1 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 17, 2014 | Sep. 30, 2014 |
Subsidiary, Sale of Stock [Line Items] | |||||
Proceeds from issuance from initial public offering | $41,092 | ||||
Accumulated deficit | 29,713 | 18,229 | |||
Minimum period for which Company's cash and cash equivalents and marketable securities will allow to fund its operating plan | 12 months | ||||
IPO [Member] | Common stock [Member] | |||||
Subsidiary, Sale of Stock [Line Items] | |||||
Number of shares issued | 6,700,000 | ||||
Share price (in dollars per share) | $6 | ||||
Proceeds from issuance from initial public offering | 41,100 | 35,700 | |||
Underwriters option [Member] | Common stock [Member] | |||||
Subsidiary, Sale of Stock [Line Items] | |||||
Number of shares issued | 968,200 | ||||
Proceeds from issuance from initial public offering | $5,400 |
SIGNIFICANT_ACCOUNTING_POLICIE3
SIGNIFICANT ACCOUNTING POLICIES: (Schedule of Annual Rates of Depreciation of Property and Equipment) (Details) | Dec. 31, 2014 |
Computers [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 33.00% |
Computers [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 15.00% |
Computers [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 33.00% |
Laboratory equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 20.00% |
Laboratory equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 7.00% |
Laboratory equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 20.00% |
Office furniture and equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 7.00% |
Office furniture and equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 7.00% |
Office furniture and equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 15.00% |
Vehicles [Member] | |
Property, Plant and Equipment [Line Items] | |
Annual depreciation percentage | 15.00% |
SIGNIFICANT_ACCOUNTING_POLICIE4
SIGNIFICANT ACCOUNTING POLICIES: (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Allowance for doubtful accounts | |||
Allowance for doubtful accounts | 0 | 0 | |
Wrote off a bad debt | 19 | ||
Outstanding options [Member] | |||
Loss per share [Line Items] | |||
Shares excluded from the computation of diluted net loss per share, because the effect of their inclusion in the computation would be anti-dilutive | 1,171,125 | 673,125 | 604,375 |
Warrants [Member] | |||
Loss per share [Line Items] | |||
Shares excluded from the computation of diluted net loss per share, because the effect of their inclusion in the computation would be anti-dilutive | 2,716,956 | ||
Convertible loans [Member] | |||
Loss per share [Line Items] | |||
Shares excluded from the computation of diluted net loss per share, because the effect of their inclusion in the computation would be anti-dilutive | 715,546 | 340,058 |
FAIR_VALUE_MEASURMENTS_Schedul
FAIR VALUE MEASURMENTS (Schedule of Assets and Liabilities Measured at Fair Value) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | |
In Thousands, unless otherwise specified | |||
Fair value measurements [Line Items] | |||
Marketable securities | $7,062 | $561 | |
Embedded derivatives | 1,529 | [1] | |
Level 1 [Member] | |||
Fair value measurements [Line Items] | |||
Marketable securities | 7,062 | 561 | |
Embedded derivatives | [1] | ||
Level 3 [Member] | |||
Fair value measurements [Line Items] | |||
Marketable securities | |||
Embedded derivatives | $1,529 | [1] | |
[1] | The embedded derivatives were presented in the Company's balance sheets on a combined basis with the related host contract (the convertible loans). |
FAIR_VALUE_MEASURMENTS_Schedul1
FAIR VALUE MEASURMENTS (Schedule of Assumptions Used in Determining Fair Value of Each of Embedded Derivatives) (Details) | 12 Months Ended |
Dec. 31, 2013 | |
Assumptions used in determining fair value of each of the embedded derivatives | |
Time to automatic conversion event | 6 months |
Discount rate (as a percent) | 21.00% |
Minimum [Member] | |
Assumptions used in determining fair value of each of the embedded derivatives | |
Probability of event (as a percent) | 65.00% |
Conversion ratio (weighted) | 0.65 |
Maximum [Member] | |
Assumptions used in determining fair value of each of the embedded derivatives | |
Probability of event (as a percent) | 70.00% |
Conversion ratio (weighted) | 0.75 |
FAIR_VALUE_MEASURMENTS_Summary
FAIR VALUE MEASURMENTS (Summary of Changes in the Fair Value of Financial Liabilities Classified As Level 3) (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | ||
Warrants [Member] | ||||
Fair value measurements [Line Items] | ||||
Balance at beginning of year | [1] | |||
Warrants issued during the period | 2,129 | [1] | ||
Changes in fair value during the period | 6,365 | [1] | ||
Conversion of financial liabilities | -8,494 | [1] | ||
Balance at end of year | [1] | |||
Embedded derivatives [Member] | ||||
Fair value measurements [Line Items] | ||||
Balance at beginning of year | 1,529 | [2] | 550 | |
Warrants issued during the period | [2] | |||
Derivatives embedded in loans received during the year | 215 | |||
Changes in fair value during the period | 680 | [2] | 764 | |
Conversion of financial liabilities | -2,209 | [2] | ||
Balance at end of year | [2] | $1,529 | [2] | |
[1] | On September 17, 2014, as part of the Company's initial public offering all preferred A shares were converted into ordinary shares (see Note 9). As a result, all outstanding warrants to purchase Preferred A shares (see Note 9c) were transformed on that date (bthe Conversion Dateb) in accordance with their original terms, to warrants to purchase ordinary shares. Based on relevant accounting principles, these warrants are considered equity instruments. Accordingly, on the Conversion Date, those warrants ceased to be accounted for as a liability and were recorded as equity. The fair value of each of the warrants, on the Conversion Date, was determined by using the Black-Scholes model. The underlying data used for computing the fair value of the warrants were mainly as follows: $6 value of ordinary shares, 0% Dividend yield, 1.45% risk free interest rate, 65% expected volatility and 3.6 years expected term. | |||
[2] | As the convertible loans have been automatically converted on May 12, 2014 the change in fair value of the embedded derivative represents the difference between the carrying amount of the embedded as of December 31, 2013 and their original amount which have been recorded within the finance expenses. See note 8b. |
FAIR_VALUE_MEASURMENTS_Narrati
FAIR VALUE MEASURMENTS (Narrative) (Details) (USD $) | 0 Months Ended | |
Sep. 17, 2014 | Dec. 31, 2012 | |
Assumptions used in determining fair value of each of the embedded derivatives | ||
Value of ordinary shares (in dollars per share) | $4.90 | |
Warrants [Member] | ||
Assumptions used in determining fair value of each of the embedded derivatives | ||
Value of ordinary shares (in dollars per share) | $6 | |
Dividend yield | 0.00% | |
Risk free interest rate | 1.45% | |
Expected volatility | 65.00% | |
Expected term | 3 years 7 months 6 days |
MARKETABLE_SECURITIES_Schedule
MARKETABLE SECURITIES: (Schedule of Fair Value, Cost and Gross Unrealized Holding Gains of Securities Owned) (Details) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
MARKETABLE SECURITIES: [Abstract] | |
Gross unrealized gains | $4 |
Gross unrealized loss | 83 |
Amortized cost | 7,141 |
Fair value | $7,062 |
MARKETABLE_SECURITIES_Narrativ
MARKETABLE SECURITIES: (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
MARKETABLE SECURITIES: [Abstract] | |||
Proceeds from the sale of trading securities | $561 | ||
Proceeds from the sale of marketable securities | 3,977 | ||
Gain (loss) from sale of marketable securities recorded in finance income | $11 |
PROPERTY_AND_EQUIPMENT_Schedul
PROPERTY AND EQUIPMENT: (Schedule of Property and Equipment) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Property and equipment [Line Items] | ||||
Cost: | $910 | $691 | ||
Less: Accumulated depreciation and amortization | 662 | 629 | ||
Property and Equipment, net | 248 | 62 | ||
Leasehold improvements [Member] | ||||
Property and equipment [Line Items] | ||||
Cost: | 88 | 84 | ||
Computers and software [Member] | ||||
Property and equipment [Line Items] | ||||
Cost: | 64 | 18 | ||
Laboratory equipment [Member] | ||||
Property and equipment [Line Items] | ||||
Cost: | 598 | 568 | ||
Furniture [Member] | ||||
Property and equipment [Line Items] | ||||
Cost: | 42 | 21 | ||
Vehicles [Member] | ||||
Property and equipment [Line Items] | ||||
Cost: | $118 | [1] | [1] | |
[1] | See note 8c relating to the lien on the Company's vehicles |
PROPERTY_AND_EQUIPMENT_Narrati
PROPERTY AND EQUIPMENT: (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
PROPERTY AND EQUIPMENT: [Abstract] | |||
Depreciation and amortization expense | $33 | $39 | $77 |
EMPLOYEE_SEVERANCE_BENEFITS_De
EMPLOYEE SEVERANCE BENEFITS (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
EMPLOYEE SEVERANCE BENEFITS [Abstract] | |||
Severance payment expenses | $157 | $70 | $43 |
Expected deposit with respect to employee's severance benefits | $164 |
COMMITMENTS_Details
COMMITMENTS (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
COMMITMENTS [Abstract] | |||
Rental expenses | $172 | $180 | $198 |
Future minimum lease commitments under non-cancelable operating lease agreements, 2015 | 174 | ||
Future minimum lease commitments under non-cancelable operating lease agreements, 2016 | 166 | ||
Future minimum lease commitments under non-cancelable operating lease agreements, 2017 | 65 | ||
Lien amount in respect of bank guarantees granted in order to secure the lease agreements | $104 |
LOANS_Details
LOANS: (Details) (USD $) | 12 Months Ended | 1 Months Ended | 3 Months Ended | 1 Months Ended | 2 Months Ended | 3 Months Ended | ||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 31, 2011 | Mar. 31, 2014 | Jun. 30, 2012 | Jun. 30, 2013 | Jun. 30, 2014 | Mar. 31, 2012 | Dec. 31, 2011 |
Loans [Line Items] | ||||||||||
Loans received | $333 | |||||||||
Amount received as part of the agreement | 102 | |||||||||
Loan from the BIRD foundation [Member] | ||||||||||
Loans [Line Items] | ||||||||||
Number of installments of loan repayment | 1 | |||||||||
2011 Convertible Loans [Member] | ||||||||||
Loans [Line Items] | ||||||||||
Aggregate principal amount | 1,665 | 333 | 150 | |||||||
Interest rate (as a percent) | 8.00% | |||||||||
Term of debt | 3 years | |||||||||
Discount upon conversion to the applicable per share price (as a percent) | 30.00% | |||||||||
Amended 2011 Convertible Loans [Member] | ||||||||||
Loans [Line Items] | ||||||||||
Interest rate (as a percent) | 12.00% | |||||||||
Difference between the present value of the original loan and the present value of the modified loan (as a percent) | 3.70% | |||||||||
2012 Convertible Loans [Member] | ||||||||||
Loans [Line Items] | ||||||||||
Aggregate principal amount | 1,448 | 1,500 | ||||||||
Interest rate (as a percent) | 6.00% | |||||||||
Term of debt | 4 years | |||||||||
Discount upon conversion to the applicable per share price (as a percent) | 25.00% | |||||||||
Disount on loan convertible at the option of the lenders upon the last equity financing round yielding gross proceeds in excess of of $2,500, even if not qualified (as a percent) | 25.00% | |||||||||
Threshold gross proceeds to be received upon the last equity financing round for conversion of loan at the option of the lenders | 2,500 | |||||||||
Additional consideration received from lenders for one ordinary share for each $5.84 of principal amount | 0 | |||||||||
Ordinary shares issued to lender for each $5.84 of principal amount | 1 | |||||||||
Ordinary shares issued | 247,897 | 256,764 | ||||||||
Loans received | 1,500 | 1,448 | ||||||||
Loans received attributed to the embedded derivative | 215 | 111 | ||||||||
Loans received attributed to the convertible loans | 689 | 839 | ||||||||
Loans received attributed to the shares | 596 | 498 | ||||||||
BCF recognized | 689 | 668 | ||||||||
Net value of debt | 215 | 282 | ||||||||
2012 Convertible Loans [Member] | Level 3 [Member] | ||||||||||
Loans [Line Items] | ||||||||||
Fair value of the issued shares | 1,752 | 1,214 | ||||||||
Fair value of the convertible loans | 2,662 | 2,319 | ||||||||
2011 and 2012 Convertible Loans [Member] | ||||||||||
Loans [Line Items] | ||||||||||
Preferred A shares issued upon conversion of all principal and accrued interest outstanding | 1,010,350 | |||||||||
Warrants issued upon conversion of all principal and accrued interest outstanding | 505,175 | |||||||||
Number of warrants which lenders were entitled to receive | 1,010,350 | |||||||||
Number of warrants waived which lenders were entitled to receive | 505,175 | |||||||||
Value of warrants waived recorded as a capital contribution | 686 | |||||||||
Difference between carrying amount and fixed monetary amount used for conversion | 3,520 | |||||||||
Finance agreements with bank [Member] | ||||||||||
Loans [Line Items] | ||||||||||
Term of debt | 36 months | |||||||||
Interest rate variable basis | Prime | |||||||||
Interest rate spread on variable basis (as a percent) | -0.50% | |||||||||
Amount received as part of the agreement | $102 |
SHARE_CAPITAL_Narrative_Share_
SHARE CAPITAL (Narrative - Share Capital) (Details) | 0 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Aug. 22, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Aug. 21, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 03, 2014 | 13-May-14 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Oct. 17, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Oct. 17, 2014 |
ILS | USD ($) | USD ($) | USD ($) | ILS | ILS | ILS | Warrants [Member] | Preferred A Shares [Member] | Preferred A Shares [Member] | Common stock [Member] | Private placement [Member] | Private placement [Member] | Private placement [Member] | Private placement [Member] | Private placement [Member] | IPO [Member] | IPO [Member] | IPO [Member] | Underwriters option [Member] | |
item | USD ($) | USD ($) | USD ($) | USD ($) | Warrants [Member] | Preferred A Shares [Member] | Common stock [Member] | Common stock [Member] | Common stock [Member] | Common stock [Member] | ||||||||||
item | ILS | USD ($) | USD ($) | ILS | USD ($) | |||||||||||||||
SHARE CAPITAL: [Abstract] | ||||||||||||||||||||
Voting right per share | 1 | |||||||||||||||||||
Share capital [Line Items] | ||||||||||||||||||||
Proceeds from issuance from private placement | $1,700 | $6,580 | $8,157 | |||||||||||||||||
Number of shares issued | 1,036,431 | 6,700,000 | 968,200 | |||||||||||||||||
Preferred stock, par value (in NIS per share) | 0.16 | |||||||||||||||||||
Number of warrants issued | 1,061,469 | |||||||||||||||||||
Number of phases in which financing round closed | 2 | |||||||||||||||||||
Common stock, par value (in NIS per share) | 0.16 | 0.16 | 0.01 | 0.16 | 0.16 | |||||||||||||||
Share price (in dollars per share) | $6 | $6 | ||||||||||||||||||
Proceeds from issuance from initial public offering | 41,092 | 41,100 | 35,700 | 5,400 | ||||||||||||||||
Conversion ratio | 1 | |||||||||||||||||||
Percentage of conversion rate to be greater than of the price per share of the shares issued | 70.00% | 70.00% | ||||||||||||||||||
Warrants outstanding | 2,716,956 | |||||||||||||||||||
Exercise price (in dollars per share) | $5.04 | |||||||||||||||||||
Conversion of shares | 2,046,781 | 3,367,244 | ||||||||||||||||||
Number of each warrant exercised into common share | 1 | |||||||||||||||||||
Reverse share split ratio | 16 | |||||||||||||||||||
Issuance cost | $123 | |||||||||||||||||||
Warrants exercised | 0 |
SHARE_CAPITAL_Narrative_Shareb
SHARE CAPITAL (Narrative - Share-based Compensation ) (Details) (USD $) | 12 Months Ended | 1 Months Ended | 0 Months Ended | ||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2014 | Sep. 30, 2014 | Dec. 29, 2014 | Jun. 30, 2009 | ||
Director [Member] | |||||||||
Share-based compensation [Line Items] | |||||||||
Vesting period | 3 years | ||||||||
Employee [Member] | |||||||||
Share-based compensation [Line Items] | |||||||||
Vesting period | 4 years | ||||||||
Share options [Member] | |||||||||
Share-based compensation [Line Items] | |||||||||
Number of shares available for grant | 762,694 | 1,635,694 | |||||||
Aggregate intrinsic value of total vested and exercisable options | 4,143 | ||||||||
Share options [Member] | Employees and directors [Member] | |||||||||
Share-based compensation [Line Items] | |||||||||
Granted | 448,000 | 84,375 | |||||||
Fair value of options granted | 1,683 | 312 | |||||||
Exercise price (in dollars per share) | 5.32 | [1] | [1] | ||||||
Minimum Exercise price (in dollars per share) | $0.62 | ||||||||
Maximum Exercise price (in dollars per share) | $1.92 | ||||||||
Share options [Member] | Service providers [Member] | |||||||||
Share-based compensation [Line Items] | |||||||||
Granted | 15,625 | ||||||||
Exercise price (in dollars per share) | $1.92 | ||||||||
Share options [Member] | Consultants [Member] | |||||||||
Share-based compensation [Line Items] | |||||||||
Granted | 31,250 | ||||||||
Exercise price (in dollars per share) | $7.98 | ||||||||
Exercisable period | 6 years | ||||||||
Share options [Member] | Consultants and other service providers [Member] | |||||||||
Share-based compensation [Line Items] | |||||||||
Granted | 46,875 | 71,875 | |||||||
Fair value of options granted | 183 | $426 | |||||||
Exercise price (in dollars per share) | 5.96 | [1] | $1.92 | [1] | |||||
Share options [Member] | Director [Member] | |||||||||
Share-based compensation [Line Items] | |||||||||
Granted | 231,000 | ||||||||
Exercise price (in dollars per share) | $5.88 | ||||||||
Share options [Member] | Employee [Member] | |||||||||
Share-based compensation [Line Items] | |||||||||
Granted | 217,000 | ||||||||
Minimum Exercise price (in dollars per share) | 1.92 | ||||||||
Maximum Exercise price (in dollars per share) | 7.98 | ||||||||
[1] | Weighted average price per share |
SHARE_CAPITAL_Schedule_of_Unde
SHARE CAPITAL (Schedule of Underlying Data Used for Computing the Fair Value of the Options) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2013 | |
Share-based compensation [Line Items] | |||
Value of ordinary share | 4.896 | ||
Share options [Member] | Employees and directors [Member] | |||
Share-based compensation [Line Items] | |||
Dividend yield | 0.00% | 0.00% | |
Expected volatility | 67.10% | ||
Expected volatility, minimum | 59.00% | ||
Expected volatility, maximum | 66.70% | ||
Risk-free interest rate, minimum | 1.87% | 0.72% | |
Risk-free interest rate, maximum | 2.22% | 1.20% | |
Share options [Member] | Employees and directors [Member] | Minimum [Member] | |||
Share-based compensation [Line Items] | |||
Value of ordinary share | 4.8 | ||
Expected term | 6 years | 5 years | |
Share options [Member] | Employees and directors [Member] | Maximum [Member] | |||
Share-based compensation [Line Items] | |||
Value of ordinary share | 6.8 | ||
Expected term | 7 years | 7 years | |
Share options [Member] | Consultants and other service providers [Member] | |||
Share-based compensation [Line Items] | |||
Value of ordinary share | $6.82 | ||
Dividend yield | 0.00% | 0.00% | |
Expected volatility | 64.50% | ||
Expected volatility, minimum | 59.90% | ||
Expected volatility, maximum | 62.00% | ||
Risk-free interest rate | 1.81% | ||
Expected term | 6 years | 10 years | |
Share options [Member] | Consultants and other service providers [Member] | Minimum [Member] | |||
Share-based compensation [Line Items] | |||
Value of ordinary share | 5.45 | ||
Risk-free interest rate | 1.81% | ||
Share options [Member] | Consultants and other service providers [Member] | Maximum [Member] | |||
Share-based compensation [Line Items] | |||
Value of ordinary share | 7.01 | ||
Risk-free interest rate | 2.00% |
SHARE_CAPITAL_Summary_of_the_N
SHARE CAPITAL (Summary of the Number of Options Outstanding Under the Plan) (Details) (Share options [Member], USD $) | 12 Months Ended | |||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||
Employees and directors [Member] | ||||||
Number of options | ||||||
Outstanding at beginning of period | 462,500 | 462,500 | ||||
Granted | 448,000 | 84,375 | ||||
Forfeited | 6,250 | |||||
Outstanding at end of period | 904,250 | 462,500 | 462,500 | |||
Weighted average price per share | ||||||
Outstanding at beginning of period | $1.28 | [1] | $1.28 | [1] | ||
Granted | $5.32 | [1] | [1] | |||
Forfeited | $1.92 | [1] | ||||
Outstanding at end of period | $3.28 | [1] | $1.28 | [1] | $1.28 | [1] |
Consultants and other service providers [Member] | ||||||
Number of options | ||||||
Outstanding at beginning of period | 220,000 | 148,125 | ||||
Granted | 46,875 | 71,875 | ||||
Forfeited | ||||||
Outstanding at end of period | 266,875 | 220,000 | ||||
Weighted average price per share | ||||||
Outstanding at beginning of period | $1.28 | [1] | $0.96 | [1] | ||
Granted | $5.96 | [1] | $1.92 | [1] | ||
Forfeited | [1] | |||||
Outstanding at end of period | $2.10 | [1] | $1.28 | [1] | ||
[1] | Weighted average price per share |
SHARE_CAPITAL_Summary_of_the_N1
SHARE CAPITAL (Summary of the Number of Options Outstanding and Options Exercisable Under the Plan) (Details) (Share options [Member], USD $) | 12 Months Ended |
Dec. 31, 2014 | |
Share-based compensation [Line Items] | |
Number of options outstanding at end of year | 1,171,125 |
Number of options exercisable at end of year | 739,182 |
0.048-1.312 [Member] | |
Share-based compensation [Line Items] | |
Minimum Exercise price (in dollars per share) | $0.05 |
Maximum Exercise price (in dollars per share) | $1.31 |
Number of options outstanding at end of year | 298,125 |
Weighted average remaining contractual life | 4 years 10 months 24 days |
Number of options exercisable at end of year | 298,125 |
Weighted average remaining contractual life | 4 years 10 months 24 days |
1.92 [Member] | |
Share-based compensation [Line Items] | |
Exercise prices per share USD | $1.92 |
Number of options outstanding at end of year | 525,000 |
Weighted average remaining contractual life | 7 years 3 months |
Number of options exercisable at end of year | 431,407 |
Weighted average remaining contractual life | 6 years 10 months 6 days |
5.46-5.88 [Member] | |
Share-based compensation [Line Items] | |
Minimum Exercise price (in dollars per share) | $5.46 |
Maximum Exercise price (in dollars per share) | $5.88 |
Number of options outstanding at end of year | 279,250 |
Weighted average remaining contractual life | 9 years 11 months 23 days |
Number of options exercisable at end of year | 9,650 |
Weighted average remaining contractual life | 9 years 10 months 20 days |
7.98 [Member] | |
Share-based compensation [Line Items] | |
Exercise prices per share USD | $7.98 |
Number of options outstanding at end of year | 68,750 |
Weighted average remaining contractual life | 7 years 7 months 13 days |
Number of options exercisable at end of year |
SHARE_CAPITAL_Schedule_of_Shar
SHARE CAPITAL (Schedule of Share-based Compensation) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Share-based compensation [Line Items] | |||
Share-based compensation | $197 | $505 | $355 |
Cost of revenues [Member] | |||
Share-based compensation [Line Items] | |||
Share-based compensation | 15 | 16 | 23 |
Research and development expenses [Member] | |||
Share-based compensation [Line Items] | |||
Share-based compensation | 80 | 59 | 83 |
Selling, general and administrative [Member] | |||
Share-based compensation [Line Items] | |||
Share-based compensation | $102 | $430 | $249 |
INCOME_TAX_Narrative_Details
INCOME TAX: (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
INCOME TAX: [Abstract] | |||
Capital gain tax rate (as a percent) | 25.00% | ||
Tax expense | $6 | ||
Corporate tax rate (as a percent) | 26.50% | 25.00% | 25.00% |
Net carry forward tax loss | $15,200 |
INCOME_TAX_Schedule_of_Deferre
INCOME TAX: (Schedule of Deferred Income Taxes) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Deferred income taxes in respect of | |||
Net operating loss carry forward | $4,019 | $3,963 | |
Research and development | 2,121 | 490 | |
Other | 101 | 31 | |
Less - valuation allowance | -6,241 | -4,484 | -3,797 |
Net deferred tax assets |
INCOME_TAX_Schedule_of_Rollfor
INCOME TAX: (Schedule of Rollforward of Valuation Allowance) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
INCOME TAX: [Abstract] | ||
Balance at the beginning of the period | $4,484 | $3,797 |
Additions | 1,757 | 687 |
Balance at the end of period | $6,241 | $4,484 |
RELATED_PARTIES_TRANSACTIONS_A2
RELATED PARTIES - TRANSACTIONS AND BALANCES: (Schedule of Transactions with Related Parties) (Details) (Board of Directors and the Chief Executive Officer [Member], USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Board of Directors and the Chief Executive Officer [Member] | |||
Transactions with related parties [Line Items] | |||
Payroll expenses | $863 | $347 | $314 |
Director fee | 80 | ||
Finance expenses on convertible loans and warrants | 2,088 | 1,089 | 648 |
Total expenses | $3,031 | $1,436 | $962 |
RELATED_PARTIES_TRANSACTIONS_A3
RELATED PARTIES - TRANSACTIONS AND BALANCES: (Schedule of Balances with Related Parties) (Details) (Board of Directors and the Chief Executive Officer [Member], USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Board of Directors and the Chief Executive Officer [Member] | ||
Balances with related parties [Line Items] | ||
Convertible loans | $4,535 | |
Accounts payable and accruals | $148 | $1 |
SUPPLEMENTARY_FINANCIAL_STATEM2
SUPPLEMENTARY FINANCIAL STATEMENT INFORMATION: (Schedule of Supplementary Balance Sheets Information) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Account receivable - other | ||
Institutions | $99 | $106 |
Prepaid expenses | 235 | 30 |
Other | 96 | 26 |
Account receivable - other | 430 | 162 |
Accounts payable and accruals - other | ||
Accrued expenses | 392 | 95 |
Payroll and related institutions | 216 | 93 |
Bonus accrual | 348 | |
Other | 12 | 15 |
Accounts payable and accruals - other | 968 | 203 |
Other non-current assets: | ||
Funds in respect of employees severance benefits | 7 | 126 |
Other | 27 | 3 |
Other non-current assets | $34 | $129 |
SUPPLEMENTARY_FINANCIAL_STATEM3
SUPPLEMENTARY FINANCIAL STATEMENT INFORMATION: (Schedule of Supplementary Statements of Operations) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues | |||
Development Service Payments | $4,814 | $1,404 | $1,086 |
Contingent Payments | 600 | ||
Revenues | 5,414 | 1,404 | 1,086 |
Research and development: | |||
Payroll and related expenses | 1,710 | 702 | 624 |
Clinical trials and development expenses | 1,581 | 73 | 110 |
Other | 266 | 311 | 468 |
Research and development | 3,557 | 1,086 | 1,202 |
Selling, general and administrative: | |||
Payroll and related expenses | 1,183 | 587 | 524 |
Patent registration expenses | 500 | 468 | 328 |
Legal, accounting and other professional services | 610 | 110 | 45 |
Other | 671 | 56 | 56 |
Selling, general and administrative | 2,964 | 1,221 | 953 |
Finance expenses: | |||
Finance expenses on convertible loans and warrants | 9,915 | 1,117 | 665 |
Other expenses | 15 | 2 | 10 |
Foreign exchange loss, net | 25 | 1 | |
TOTAL FINANCE EXPENSES | 9,930 | 1,144 | 676 |
Finance income: | |||
Changes in fair value of marketable securities | -69 | -67 | |
Gains from sale of marketable securities, net | -11 | ||
Other income | -28 | ||
Foreign exchange gains, net | -47 | ||
TOTAL FINANCE INCOME | -86 | -69 | -67 |
Finance expenses, net | $9,844 | $1,075 | $609 |
ENTITYWIDE_DISCLOSURE_Schedule
ENTITY-WIDE DISCLOSURE: (Schedule of Net Revenues by Geographic Area) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Net revenues by geographic area [Line Items] | |||
Total revenues | $5,414 | $1,404 | $1,086 |
United States [Member] | |||
Net revenues by geographic area [Line Items] | |||
Total revenues | 2,305 | 1,151 | 209 |
Germany [Member] | |||
Net revenues by geographic area [Line Items] | |||
Total revenues | 2,500 | 206 | 409 |
Israel [Member] | |||
Net revenues by geographic area [Line Items] | |||
Total revenues | $609 | $47 | $468 |
ENTITYWIDE_DISCLOSURE_Schedule1
ENTITY-WIDE DISCLOSURE: (Schedule of Revenues From Principal Customers) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues from principal customers [Line Items] | |||
Revenues | $5,414 | $1,404 | $1,086 |
Revenue [Member] | Customers [Member] | Customer A [Member] | |||
Revenues from principal customers [Line Items] | |||
Revenues | 732 | 336 | |
Revenue [Member] | Customers [Member] | Customer B [Member] | |||
Revenues from principal customers [Line Items] | |||
Revenues | 1,032 | 597 | |
Revenue [Member] | Customers [Member] | Customer C [Member] | |||
Revenues from principal customers [Line Items] | |||
Revenues | 2,500 | 206 | 409 |
Revenue [Member] | Customers [Member] | Customer D [Member] | |||
Revenues from principal customers [Line Items] | |||
Revenues | 541 | 174 | |
Revenue [Member] | Customers [Member] | Customer E [Member] | |||
Revenues from principal customers [Line Items] | |||
Revenues | 609 | 47 | 312 |
Revenue [Member] | Customers [Member] | Customer F [Member] | |||
Revenues from principal customers [Line Items] | |||
Revenues | $209 |