Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | |
Jun. 30, 2016 | Aug. 23, 2016 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-K | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | FY | |
Trading Symbol | NVET | |
Entity Registrant Name | Nexvet Biopharma plc | |
Entity Central Index Key | 1,618,561 | |
Current Fiscal Year End Date | --06-30 | |
Entity Well-known Seasoned Issuer | No | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 11,703,365 | |
Entity Public Float | $ 59,453,094 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 |
Current assets | ||
Cash | $ 31,481 | $ 52,033 |
Other income receivable | 2,201 | 3,301 |
Prepaid expenses and other | 1,280 | 607 |
Total current assets | 34,962 | 55,941 |
Noncurrent assets | ||
Other income receivable | 251 | |
Prepaid expenses | 129 | 163 |
Total noncurrent assets | 380 | 163 |
Property, plant and equipment, net | 4,908 | 549 |
Intangible assets, net | 74 | 19 |
Total assets | 40,324 | 56,672 |
Current liabilities | ||
Accounts payable | 1,729 | 658 |
Accrued expenses and other liabilities | 3,295 | 2,352 |
Deferred income | 23 | 23 |
Total current liabilities | 5,047 | 3,033 |
Noncurrent liabilities | ||
Accrued expenses and other liabilities | 104 | |
Deferred income | 37 | 61 |
Total noncurrent liabilities | 141 | 61 |
Total liabilities | 5,188 | 3,094 |
Commitments and contingencies (Note 16) | ||
Shareholders’ equity | ||
Ordinary shares, $0.125 nominal value per share, 100,000,000 shares authorized as of June 30, 2016 and June 30, 2015—11,565,133 and 11,406,916 shares issued and outstanding as of June 30, 2016 and June 30, 2015, respectively | 1,446 | 1,426 |
Euro deferred shares, €100 nominal value per share, 400 shares authorized as of June 30, 2016 and June 30, 2015—400 shares issued and outstanding as of June 30, 2016 and June 30, 2015 | 13 | 13 |
Additional paid-in capital | 82,030 | 80,275 |
Accumulated other comprehensive loss | (5,333) | (4,481) |
Accumulated deficit | (43,020) | (23,655) |
Total shareholders’ equity | 35,136 | 53,578 |
Total liabilities and shareholders’ equity | $ 40,324 | $ 56,672 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) | Jun. 30, 2016$ / sharesshares | Jun. 30, 2016€ / sharesshares | Jun. 30, 2015$ / sharesshares | Jun. 30, 2015€ / sharesshares |
Statement Of Financial Position [Abstract] | ||||
Ordinary shares, nominal value per share | $ / shares | $ 0.125 | $ 0.125 | ||
Ordinary shares, shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 |
Ordinary shares, shares issued | 11,565,133 | 11,565,133 | 11,406,916 | 11,406,916 |
Ordinary shares, shares outstanding | 11,565,133 | 11,565,133 | 11,406,916 | 11,406,916 |
Euro deferred shares, nominal value per share | € / shares | € 100 | € 100 | ||
Euro deferred shares, shares authorized | 400 | 400 | 400 | 400 |
Euro deferred shares, shares issued | 400 | 400 | 400 | 400 |
Euro deferred shares, shares outstanding | 400 | 400 | 400 | 400 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss $ in Thousands, € in Millions | 12 Months Ended | ||
Jun. 30, 2016USD ($)$ / sharesshares | Jun. 30, 2015USD ($)$ / sharesshares | Jun. 30, 2014USD ($)$ / sharesshares | |
Revenue | |||
Other | $ 25 | $ 13 | |
Total revenue | 25 | 13 | |
Operating Expenses | |||
Research and development | $ 14,877 | 9,845 | 5,617 |
General and administrative | 7,293 | 10,191 | 4,426 |
Total operating expenses | 22,170 | 20,036 | 10,043 |
Loss from operations | (22,170) | (20,011) | (10,030) |
Other Income (Expense) | |||
Research and development income | 2,090 | 3,532 | 2,337 |
Government grant income | 380 | 403 | 1,317 |
Exchange gain (loss) | 183 | 4,151 | (375) |
Interest income | 152 | 68 | 41 |
Net loss | $ (19,365) | $ (11,857) | $ (6,710) |
Net loss per share attributable to ordinary shareholders, basic and diluted | $ / shares | $ (1.68) | $ (2.27) | $ (6.70) |
Weighted-average ordinary shares outstanding, basic and diluted | shares | 11,517,507 | 5,214,957 | 1,000,872 |
Comprehensive Loss | |||
Net loss | $ (19,365) | $ (11,857) | $ (6,710) |
Net change in foreign currency translation adjustments | (852) | (4,920) | 302 |
Total comprehensive loss | (20,217) | (16,711) | (6,408) |
Accumulated Other Comprehensive Income (Loss) | |||
Comprehensive Loss | |||
Net change in foreign currency translation adjustments | $ (852) | $ (4,854) | $ 302 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Convertible Preference Shares and Shareholders' Equity (Deficit) - USD ($) $ in Thousands | Total | Common Stock | Ordinary Shares Subject To Limited Resource Loans | Euro Deferred Shares | Convertible Preferred Stock | Additional Paid-in CapitalOther | Additional Paid-in CapitalShare Premium | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit | SIRPS Convertible Preference Shares | Series B Convertible Preferred Stock | Convertible Preferred Stock |
Convertible Preference Shares, Beginning balance at Jun. 30, 2013 | $ 3,597 | |||||||||||
Balance at Jun. 30, 2013 | $ (2,914) | $ 124 | $ 631 | $ 1,348 | $ 71 | $ (5,088) | ||||||
Convertible Preference Shares, Beginning balance, shares at Jun. 30, 2013 | 792,117 | |||||||||||
Balance, shares at Jun. 30, 2013 | 1,000,000 | 264,386 | ||||||||||
Issuance of ordinary shares—payment of limited recourse loan, amount | 37 | $ 1 | 36 | |||||||||
Issuance of ordinary shares—payment of limited recourse loan, shares | 9,706 | (9,706) | ||||||||||
Issuance of ordinary shares | 22 | $ 1 | 21 | |||||||||
Issuance of ordinary shares, shares | 4,424 | |||||||||||
Issuance of convertible preference shares, net of issuance costs | $ 4,580 | $ 25,649 | ||||||||||
Issuance of convertible preference shares, shares | 945,015 | 4,200,006 | ||||||||||
Share-based compensation expense | 306 | 306 | ||||||||||
Exchange difference on translation of foreign operations | 302 | 302 | ||||||||||
Net loss | (6,710) | (6,710) | ||||||||||
Convertible Preference Shares, Ending balance at Jun. 30, 2014 | 33,826 | $ 8,177 | $ 25,649 | $ 33,826 | ||||||||
Balance at Jun. 30, 2014 | $ (8,957) | $ 126 | 937 | 1,405 | 373 | (11,798) | ||||||
Convertible Preference Shares, Ending balance, shares at Jun. 30, 2014 | 5,937,138 | 1,737,132 | 4,200,006 | 5,937,138 | ||||||||
Balance, shares at Jun. 30, 2014 | 1,014,130 | 254,680 | ||||||||||
Issuance of ordinary shares and Euro deferred shares, amount | $ 13 | $ 13 | ||||||||||
Issuance of ordinary shares and Euro deferred shares, shares | 2 | 400 | ||||||||||
Issuance of ordinary shares—payment of limited recourse loan, amount | $ 14 | (14) | ||||||||||
Issuance of ordinary shares—payment of limited recourse loan, shares | 109,611 | (109,611) | ||||||||||
Share repurchase, shares | (145,069) | (145,069) | ||||||||||
Issuance of share warrants | $ 5,435 | 5,435 | ||||||||||
Issuance of ordinary shares-conversion of share-based compensation, amount | 13 | $ 16 | (645) | 642 | ||||||||
Issuance of ordinary shares- conversion of share- based compensation, shares | 126,410 | |||||||||||
Issuance of ordinary shares | 37,938 | $ 522 | 37,416 | |||||||||
Issuance of ordinary shares, shares | 4,176,903 | 6 | ||||||||||
Adjustment for shares issued in connection with share consolidation | 9 | 16 | ||||||||||
Reclassification into shareholders’ equity | 33,826 | $ 33,826 | $ (33,826) | |||||||||
Reclassification into shareholders' equity, shares | 5,937,160 | (5,937,160) | ||||||||||
Reclassification into ordinary shares | $ 742 | $ (33,826) | 33,084 | |||||||||
Reclassification to ordinary shares, shares | 5,937,160 | (5,937,160) | ||||||||||
Share bonus award | 6 | $ 6 | (304) | 304 | ||||||||
Share bonus award, shares | 42,691 | |||||||||||
Share-based compensation expense | 2,081 | 2,081 | ||||||||||
Exchange difference on translation of foreign operations | (4,920) | (4) | (62) | (4,854) | ||||||||
Net loss | (11,857) | (11,857) | ||||||||||
Balance at Jun. 30, 2015 | 53,578 | $ 1,426 | $ 13 | 2,065 | 78,210 | (4,481) | (23,655) | |||||
Balance, shares at Jun. 30, 2015 | 11,406,916 | 400 | ||||||||||
Issuance of ordinary shares-conversion of share-based compensation, amount | 20 | $ 20 | (1,182) | 1,182 | ||||||||
Issuance of ordinary shares- conversion of share- based compensation, shares | 158,217 | |||||||||||
Share-based compensation expense | 1,755 | 1,755 | ||||||||||
Exchange difference on translation of foreign operations | (852) | (852) | ||||||||||
Net loss | (19,365) | (19,365) | ||||||||||
Balance at Jun. 30, 2016 | $ 35,136 | $ 1,446 | $ 13 | $ 2,638 | $ 79,392 | $ (5,333) | $ (43,020) | |||||
Balance, shares at Jun. 30, 2016 | 11,565,133 | 400 |
Consolidated Statements of Cha6
Consolidated Statements of Changes in Convertible Preference Shares and Shareholders' Equity (Deficit) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Common Stock | ||
Issuance costs | $ 3,830 | |
SIRPS Convertible Preference Shares | ||
Issuance costs | $ 294 | |
Series B Convertible Preferred Stock | ||
Issuance costs | $ 1,021 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Cash Flows from Operating Activities | |||
Net loss | $ (19,365) | $ (11,857) | $ (6,710) |
Adjustments to reconcile net loss to cash used in operating activities: | |||
Share-based compensation expense | 1,755 | 2,081 | 298 |
Depreciation and amortization expense | 516 | 154 | 56 |
Other | 7 | 22 | |
Changes in assets and liabilities: | |||
Other income receivable | 1,100 | (897) | (1,338) |
Prepaid expenses and other | (890) | (127) | (250) |
Accounts payable, accrued expenses and deferred income | 2,094 | (206) | 1,978 |
Net cash used in operating activities | (14,783) | (10,852) | (5,944) |
Cash Flows from Investing Activities | |||
Purchase of property, plant and equipment | (4,927) | (294) | (512) |
Purchase of intangible assets | (64) | (19) | (2) |
Net cash used in investing activities | (4,991) | (313) | (514) |
Cash Flows from Financing Activities | |||
Proceeds from issuance of ordinary shares | 20 | 37,970 | 37 |
Proceeds from issuance of convertible preference shares and warrants | 35,664 | ||
Net cash provided by financing activities | 20 | 37,970 | 35,701 |
Effect of exchange rate changes on cash | (798) | (4,813) | 315 |
Net (decrease) increase in cash | (20,552) | 21,992 | 29,558 |
Cash at beginning of year | 52,033 | 30,041 | 483 |
Cash at end of year | $ 31,481 | 52,033 | 30,041 |
Supplemental Disclosure | |||
Offering costs in connection with issuance of ordinary shares, convertible preference shares and warrants recorded in equity | $ 3,830 | 1,315 | |
Issuance of share options for consulting services | $ 22 |
Organization and Description of
Organization and Description of Business | 12 Months Ended |
Jun. 30, 2016 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization and Description of Business | Note 1. Organization and Description of Business Nexvet Biopharma public limited company and its subsidiaries (“Nexvet” or the “Company”) is a clinical-stage biopharmaceutical company focused on transforming the field of companion animal therapeutics by developing and commercializing novel, species-specific biologics. Biologics are therapeutic proteins derived from biological sources. As a class, biologics have transformed human medicine in recent decades and represent many of the top-selling therapies on the market today, due to advantages including a long duration of action, attractive side effect profiles and injectability. The Company believes these advantages will translate into significant advantages for companion animal therapeutics. The Company’s platform technology, which it refers to as “PETization,” is an algorithmic approach that enables the rapid creation of monoclonal antibodies (“mAbs”), a type of biologic, that are designed to be recognized as “self” or “native” by an animal’s immune system, a property the Company refers to as “100% species-specificity.” PETization is designed to build upon the safety and efficacy data from clinically tested human therapies to create new therapies for companion animals, thereby reducing clinical risk and development cost. mAbs are targeted antibodies produced by identical or clonal cells that are engineered to produce a specific mAb and they are a prominent class of therapeutic biologics in humans. Nexvet’s most advanced product candidates are mAbs that target and inhibit the function of nerve growth factor (“NGF”) for the control of pain associated with osteoarthritis in dogs and cats. NGF is a protein that directs nerve growth and involved in nerve signaling, including pain signals, and NGF inhibitors (“anti-NGFs”) seek to interrupt those signals to reduce pain. The Company’s anti-NGF portfolio consists of ranevetmab (formerly “NV-01”) for dogs, frunevetmab (formerly “NV-02”) for cats, both in late-stage clinical development as monthly subcutaneous injectables, as well as NV-03 for horses which has completed initial proof-of-concept studies. Nexvet’s most clinically advanced product candidate is ranevetmab. The Company’s pivotal efficacy and field safety study of ranevetmab met its primary efficacy endpoint demonstrating a statistically significant improvement over placebo in the assessed level of pain (p=0.041) as measured using changes in Client-Specific Outcome Measures (“CSOM”) score between enrollment and day 28. This study’s design was agreed under protocol concurrence with the Center for Veterinary Medicine (“CVM”) at the United States Food and Drug Administration (“FDA”). Ranevetmab was seen to be safe and well tolerated with no significant adverse safety signals observed in the study. Clinically meaningful magnitudes of benefit and statistically significant differences over placebo were also achieved for the majority of the secondary endpoints measured in the study, which used a monthly subcutaneous injection for three months. Collectively, the results of this study constitute a substantial body of efficacy data that the Company has filed with the CVM and intends to use as the basis of its planned submissions for marketing authorizations in both the United States (“U.S.”) and Europe. The Company has a master collaboration, supply and distribution agreement, and a specific distribution agreement for ranevetmab, with Virbac S.A. (“Virbac”), one of the larger animal health companies in the world. Nexvet’s next most advanced product candidate is frunevetmab. The Company obtained positive and statistically significant results from a proof-of-concept efficacy study and a separate pilot safety study of frunevetmab. The Company also obtained positive results from a placebo-controlled, double-blinded, multi-site pilot field safety and efficacy study, which enrolled 126 cats with naturally occurring osteoarthritis. In terms of efficacy, a wide range of statistically significant improvements over placebo at multiple time points, using multiple assessment methods, were seen in this study, which used a monthly dose for two months. Frunevetmab was also seen to be safe and well-tolerated, with no significant adverse safety signals observed. Results from this study have informed preparations for a pivotal efficacy and field safety study for frunevetmab, anticipated to commence in the fourth quarter of 2016. The Company is seeking to confirm protocol concurrence for this study with the CVM. The Company also conducts drug discovery in the areas of immuno-oncology, inflammation and allergy. In July 2015, In the U.S. the CVM and Center for Veterinary Biologics (“CVB”) at the United States Department of Agriculture (“USDA”) and Environmental Protection Agency (“EPA”), regulate new animal drug candidates. The USDA has confirmed its regulatory jurisdiction over anti-PD-1 mAbs, providing the opportunity for a conditional license. Conditional licensure allows a company to start selling a product on a comparatively rapid basis, under certain conditions, after a demonstration of purity and safety and if there is a reasonable expectation of efficacy for the product. While a conditional licensure is in place, the license holder must continue to generate efficacy data in order to apply for a full approval. The Company’s most advanced anti-inflammatory programs consist of mAb candidates targeting tumor necrosis factor (“anti-TNFs”). TNF is a protein that causes inflammation, and anti-TNFs suppress this inflammation. In humans, anti-TNFs include several marketed therapies such as infliximab (Remicade) and adalimumab (Humira) that have been among the top-selling drugs in the world, due to their therapeutic action in a variety of inflammatory conditions. Nexvet’s drug discovery team has used PETization to create fully canine and fully feline anti-TNF mAbs that demonstrate high potency in neutralizing canine and feline TNF. These candidates will enter pharmacokinetic, preliminary safety, immunogenicity and proof‑of‑concept studies throughout the second half of 2016. The Company has commenced a pharmacokinetic, immunogenicity and preliminary safety proof‑of‑concept study for its anti-PD-1 program. The Company expects further proof-of-concept data from the canine anti PD-1 mAb candidate and the canine and feline anti-TNF mAb candidates by the end of 2016. In September 2015, the Company secured a biopharmaceutical manufacturing facility in Tullamore, Ireland. It has been reconfigured to be a dedicated veterinary biopharmaceutical facility with the capability to meet anticipated future clinical and commercial production needs for therapeutic drug substance. The facility is operated by a wholly-owned subsidiary of Nexvet, BioNua Limited (“BioNua”). Since the Company’s initial public offering, it has focused on clinical development of its most advanced candidates and securing infrastructure to become a vertically integrated veterinary biopharmaceutical company. The Company is building a pipeline of development candidates derived from PETization in therapeutic areas where human mAbs have had significant impact. The Company has incurred losses since its inception and had an accumulated deficit of $43.0 million and $23.7 million as of June 30, 2016 and June 30, 2015, respectively. For the foreseeable future, the Company expects to continue to incur losses and negative cash flows, which will increase significantly from historical levels as the Company expands its development activities, seeks regulatory approvals for product candidates and begins to commercialize any approved products. To date, the Company has been funded primarily through sales of capital shares. Management believes the Company’s unrestricted cash of $31.5 million as of June 30, 2016 will be sufficient to fund operations for at least the next 12 months. The Company will require additional capital until such time as it can generate revenue in excess of operating expenses. The Company may seek such funding through public or private equity or debt financing or other sources, such as corporate collaborations and licensing arrangements. The Company may not be able to obtain financing on acceptable terms, or at all. The sale of additional equity would result in additional dilution to the Company’s shareholders, and the terms of any financing may adversely affect the rights of these shareholders. The incurrence of any debt financing could result in debt service obligations and the instruments governing such debt could provide for operating and financing covenants that would restrict operations. If the Company is unable to obtain funding, it could be forced to delay, reduce or eliminate research and development programs or commercialization efforts, which could adversely affect the Company’s business prospects. Share Consolidations and Irish Reorganization In August 2014, the Company completed a one-for-four share consolidation. Each holder of ordinary shares and preference shares received one ordinary share or preference share for every four ordinary shares or preference shares held by such holder. The number of ordinary shares that may be acquired upon exercise of options or warrants or upon conversion of restricted share units was similarly reduced on a one-for-four basis, with a proportionate adjustment to the exercise or conversion price, as applicable. In September 2014, Nexvet Biopharma Limited, a newly-formed Irish private company, became the parent company of Nexvet Australia Pty Ltd, formerly known as Nexvet Biopharma Pty Ltd (“Nexvet Australia”), and its subsidiaries pursuant to a transaction in which all of the holders of securities of Nexvet Australia exchanged their holdings for equivalent securities of Nexvet Biopharma Limited. Nexvet Biopharma Limited then re-registered as an Irish public limited company in September 2014 (the “Irish Reorganization”). Nexvet Biopharma public limited company became the parent company of Nexvet Australia pursuant to the Irish Reorganization, and for financial reporting purposes the historical consolidated financial statements of Nexvet Australia became the historical consolidated financial statements of Nexvet Biopharma public limited company and its subsidiaries as a continuation of the predecessor. The capital structure presented is that of Nexvet Biopharma public limited company. In November 2014, the Company completed a four-for-five share consolidation. Each holder of ordinary shares and preference shares received four ordinary shares or four preference shares for every five ordinary shares or five preference shares held by such holder. The number of ordinary shares that may be acquired upon exercise of options or warrants or upon conversion of restricted share units was similarly reduced on a four-for-five basis, with a proportionate adjustment to the exercise or conversion price, as applicable. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2. Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation The accompanying consolidated financial statements of the Company include the operations of all its wholly-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). Such operations include the Company, Nexvet Australia, NVIP Pty Limited, Nexvet Ireland Limited, Tevxen Limited, BioNua Limited (“BioNua”), and Nexvet US, Inc. All intercompany balances and transactions have been eliminated in consolidation. The Company’s fiscal year ends on June 30, and references to any fiscal year are to the Company’s year ended June 30 in that year. Use of Estimates The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions relating to the reported amount of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the period. Significant items subject to such estimates and assumptions include research and development income, research and development accruals, share-based payments, valuation of warrants, options and restricted share units and deferred income taxes. Actual results could differ from those estimates. Net Loss Per Share Net loss per share information is determined using the two-class method, which includes the weighted-average number of ordinary shares outstanding during the period and other securities that participate in dividends (a participating security). The Company’s convertible preference shares are participating securities as defined by Accounting Standards Codification (“ASC”) Topic 260-10, Earnings Per Share Under the two-class method, basic net loss per share applicable to ordinary shareholders is computed by dividing the net loss applicable to ordinary shareholders by the weighted-average number of ordinary shares outstanding for the reporting period. Diluted net loss per share gives effect to all potentially dilutive securities, including convertible preference shares and shares issuable upon the exercise or conversion, as applicable, of outstanding warrants, share options and restricted share units, using the treasury shares method. The Company has excluded the effects of all potentially dilutive shares, which include convertible preference shares, warrants to purchase ordinary shares, ordinary share options, restricted share units and the ordinary shares issued subject to limited recourse loans, from the weighted-average number of ordinary shares outstanding as their inclusion in the computation for all periods would be anti-dilutive due to net losses. Cash As of June 30, 2016 and 2015, the Company’s unrestricted cash consisted of cash deposited in a business operating account or in short-term deposit accounts of less than 90 days’ original duration. Concentration of Credit Risk and Other Risks and Uncertainties The Company receives research and development income and grants from single sources, the Australian and Irish governments. The Company’s cash is deposited with several large commercial banks located in the U.S., Australia and Ireland that are federally insured or guaranteed, limiting the amount of credit exposure to any one financial institution. The Company’s cash balances with these financial institutions often exceed the amount insured. The Company is subject to risks common to companies in the biotechnology industry. The Company’s research and development may not be successfully completed, adequate protection for the Company’s technology may not be obtained, any products developed may not obtain necessary government regulatory approval and any approved products may not be commercially viable. The Company operates in an environment of substantial competition from other animal health companies, some of which have substantially more resources at their disposal. In addition, the Company is dependent upon the services of its employees and consultants, as well as third-party contract research organizations and manufacturers. Fair Value Measurements The Company records certain assets and liabilities at fair value in accordance with the provisions of ASC Topic 820, Fair Value Measurements · Level 1—Unadjusted quoted prices in active, accessible markets for identical assets or liabilities. · Level 2—Other inputs that are directly or indirectly observable in the marketplace. · Level 3—Unobservable inputs that are supported by little or no market activity. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company’s material financial instruments include cash and short-term deposits. Other Income Receivable Other income receivable is recorded at the invoiced amount where available. BioNua is eligible under an agreement with the Industrial Development Agency (Ireland) (“IDA”) to receive cash as grant income based on a fixed percentage of eligible research and development expenditure in Ireland on a defined project, which includes the achievement of pre-agreed performance targets. Government grants are recognized at their fair value when there is reasonable assurance that the grant will be received and it is probable that all attaching conditions will be complied with. Nexvet Australia is eligible under the AusIndustry research and development tax incentive program to obtain a cash amount from the Australian Taxation Office (“ATO”). The income is available to Nexvet Australia on the basis of specific criteria with which Nexvet Australia must comply. Specifically, Nexvet Australia must have revenue of less than A$20 million and cannot be controlled by income tax exempt entities. Nexvet Ireland and BioNua are both eligible under the Research and Development Tax Credit (“R&D Tax Credit”) Guidelines of Ireland to claim a tax credit, up to 25% of eligible research and development expenditure less expenditure already covered by the IDA grant assistance. The tax credit is normally offset against corporation tax payable in Ireland. For companies at the same stage of development as Nexvet Ireland and BioNua, there is the ability to elect to receive the tax credit as a cash payment in three equal amounts, approximately 9, 21 and 33 months after the relevant fiscal year end, subject to meeting certain qualifying subject criteria. In this later situation, the relevant company will recognize the cash receivable as other income. Property, Plant and Equipment Property, plant and equipment are recorded at acquisition cost, net of accumulated depreciation and impairment. Depreciation on property and equipment is calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful life of machinery and equipment is three to 10 years. Leasehold improvements are amortized on the straight-line method over the shorter of the remaining lease term or estimated useful life of the asset. Upon retirement or sale of an asset, its cost and related accumulated depreciation or accumulated amortization are removed from the property accounts and any gain or loss is included in the results of operations. Maintenance and repairs are expensed as incurred. Intangible Assets The Company accounts for intangible assets under ASC 350, Intangibles—Goodwill and Other Impairment of Long-Lived Assets The Company reviews its tangible and intangible assets for impairment whenever events or changes in business circumstances indicate that the carrying amount of the asset may not be fully recoverable. Recoverability of assets is measured by a comparison of the carrying amount of an asset to the estimated undiscounted cash flows expected to be generated by the asset. If the carrying amount of the asset exceeds its estimated future cash flows, an impairment charge will be recognized in the amount by which the carrying amount of the asset exceeds the fair value of the asset. There were no impairments of long-lived assets during fiscal years 2016, 2015 or 2014. Consumable Stores Consumable stores represent items that are used in the manufacturing process of clinical or commercial batches of our product candidates. Consumable stores are recorded at the lower of cost and net realizable value. Foreign Currency The Parent Company’s functional currency is U.S dollars, and the functional currency for most subsidiaries is their local currency. Foreign currency transactions are translated into the functional currency using the current exchange rate as of the date of the transaction. At year end, monetary items denominated in a foreign currency are translated into the functional currency of the relevant entity using the year end spot rate. The exchange gain of $0.2 million and $4.2 million in fiscal year 2016 and 2015, respectively, and an exchange loss of $0.4 million in fiscal year 2014, primarily relate to the translation of Nexvet Australia’s U.S. dollar-denominated bank accounts to its Australian dollar functional currency. In preparing the Company’s consolidated financial statements, the financial statements of the subsidiaries are translated into the US dollar presentation currency at year-end exchange rates as to assets and liabilities and weighted-average rates as to revenue and expenses. The resulting translation adjustments are recognized in other comprehensive income (loss) (“OCI”). The non-cash translation adjustment in accumulated OCI was a loss of $0.9 million and $4.9 million in fiscal years 2016 and 2015. These adjustments primarily relate to the translation of U.S. dollar-denominated bank accounts within Nexvet Australia’s balance sheet to the U.S dollar presentation currency of the consolidated balance sheet. Under U.S. GAAP, there is no offset of these two exchange-related items within the consolidated statements of operations and comprehensive loss. Net loss and associated calculations are impacted by this treatment. Income Taxes The Company has historically filed income tax returns in the U.S., Australia and Ireland. The Company applies ASC Topic 740, Income Taxes When the Company determines that it is more likely than not that some portion or all of the deferred tax assets will not be realized in the future, the deferred tax assets are reduced by a valuation allowance. The valuation allowance is sufficient to reduce the deferred tax assets to the amount that the Company determines is more likely than not to be realized. The income tax benefit from an uncertain tax position is only recognized if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on technical merits of the position. The Company evaluates and adjusts these accruals based on changing facts and circumstances. The Company’s policy is to record interest and penalties related to income taxes as part of its income tax provision. License and Collaboration Agreement Revenue Recognition Future revenue under a license and collaboration agreement is expected to consist of fees for services, royalties for product sales or payments when specific milestones are met and match underlying activities occurring during the term of the arrangement. In fiscal year 2013, the Company entered into a license and collaboration agreement with a third party for the research and development of animal health products in Japan. The terms of the agreement include non-refundable signing and license fees, development milestone payments, the potential for manufacturing and supply services and royalties on any product sales derived from the collaboration. The Company analyzed this arrangement to determine whether the deliverables, which included license and performance obligations such as research and steering committee services, can be separated or whether these must be accounted for as a single unit of accounting. The Company recognizes license payments as revenue upon delivery of the license only if the license has stand-alone value and there are no undelivered performance obligations related to the license. If the license is considered not to have stand-alone value, the arrangement would then be accounted for as a single unit of accounting and the license payments and payments for performance obligations would be recognized as revenue over the estimated period of when the performance obligations are performed. When the Company determines that an arrangement should be accounted for as a single unit of accounting, it determines the period over which the performance obligations will be performed and revenue will be recognized. Revenue will be recognized using either a proportional performance or straight-line method. The Company recognizes revenue using the proportional performance method when the level of effort required to complete its performance obligations under an arrangement can be reasonably estimated, and such performance obligations are provided on a best-efforts basis. Direct labor hours or full-time equivalents are typically used as the measurement of performance. If the Company cannot reasonably estimate the level of effort to complete its performance obligations under an arrangement, then revenue under the arrangement would be recognized on a straight-line basis over the period the Company is expected to complete its performance obligations. The Company’s license and collaboration agreement entitles it to additional payments upon the achievement of performance-based milestones. Milestones that involve substantial effort on the Company’s part are considered “substantive milestones.” A substantive milestone is included in the Company’s revenue model when the milestone is achieved. To date, no milestone payments have been received. Royalty revenue is recognized upon the sale of the related products, provided the Company has no remaining performance obligations under the arrangement. Research and Development Expense Research and development costs are expensed as incurred and consist primarily of (i) payroll and related expense for all employees engaged in scientific research and development functions, including wages, related benefits and share-based compensation, (ii) fees for regulatory, professional and other consultants and (iii) development costs, including costs of drug discovery, safety, proof‑of‑concept, pilot and pivotal safety and efficacy studies, development of biological materials and service providers. The Company uses its employee and infrastructure resources across multiple development programs. The Company allocates outsourced development costs by lead product candidates but does not allocate personnel or other internal costs related to development to specific product candidates. General and Administrative Expense General and administrative expense consists primarily of non-research and development-related payroll and related expense for employees, consultants and directors, including wages, related benefits and share-based compensation. General and administrative expense also includes professional and consulting fees for legal, accounting, tax services and other general business services, as well as other expenses such as travel, rent and facilities costs. Other Income (Expense) Research and development income Australia Nexvet Australia is eligible under the AusIndustry research and development tax incentive program to obtain a cash amount from the ATO. The tax incentive is available to Nexvet Australia on the basis of specific criteria with which Nexvet Australia must comply. Although the tax incentive is administered through the ATO, the Company has accounted for the tax incentive outside the scope of ASC Topic 740, Income Taxes Ireland Nexvet Ireland and BioNua are both eligible under the Research and Development Tax Credit (“R&D Tax Credit”) Guidelines of Ireland to claim a tax credit, up to 25% of eligible research and development expenditure less expenditure already covered by the IDA grant assistance. The tax credit is normally offset against corporation tax payable in Ireland. For companies at the same stage of development as Nexvet Ireland and BioNua, there is the ability to elect to receive the tax credit as a cash payment in three equal amounts, approximately 9, 21 and 33 months after the relevant fiscal year end, subject to meeting certain qualifying subject criteria. In this later situation the relevant company will recognize the cash receivable as other income. Government grant income BioNua is eligible, under an agreement with the IDA, to receive cash as grant income based on a fixed percentage of eligible research and development expenditure in Ireland on a defined project, which includes the achievement of pre-agreed performance targets. Any expenditure eligible under this agreement cannot be claimed under the R&D Tax Credit program. The maximum grant available to the Company is €2.4 million over the life of the agreement. The Company recognizes government grant income at fair value when there is reasonable assurance that the grant will be received and it is probable that all attaching conditions will be complied with. When the grant relates to an asset, the fair value is included in the balance sheet as deferred grant income, which is released to income over the expected useful life in a manner consistent with the depreciation method for the relevant asset and subject to meeting other relevant conditions, and it is recorded on the balance sheet as other income receivable until cash is received. When the grant relates to an expense item, it is recognized as income over the periods necessary to match the grant on a systematic basis to the costs that it is intended to compensate, and it is recorded on the balance sheet as other income receivable until cash is received. The Company has complied with all other requirements of the agreement to date. Exchange gain (loss) Exchange gain (loss) consists primarily of gains or losses due to foreign exchange translation, primarily reflecting changes in Australian and U.S. foreign exchange rates. Under U.S. GAAP, these gains (losses) primarily relate to a translation of U.S. dollar-denominated bank accounts into Nexvet Australia’s Australian dollar functional currency and represent a non-cash item. Interest income The Company earns interest on the cash balances held with financial institutions and recognizes interest when earned on an accrual basis over time. Comprehensive Loss Comprehensive loss represents the total change in shareholders’ equity during the period other than from transactions with shareholders, which for the Company, includes net change in foreign currency translation adjustments. Share-Based Compensation The Company’s share-based compensation plan (see Note 14) provides for the grant of share options, restricted share units and other share-based awards. The fair value of share options is determined as of the date of grant using the binomial option-pricing model. This method incorporates the fair value of the Company’s ordinary shares at the date of each grant and various assumptions such as the risk-free interest rate, expected volatility based on the historic volatility of peer companies, expected dividend yield, and expected term of the share option. Restricted share units are valued at the fair value of the underlying ordinary shares as of the date of grant. The Company classifies share-based compensation expense in the statements of operations and comprehensive loss in the same manner in which the award recipient’s payroll costs are classified. The Company recognizes share-based compensation expense based on the grant date fair value of the entire award over the total period during which an employee is required to provide service in exchange for the award. In accordance with ASC 718, the amount of compensation expense recognized at each balance date is at least equal to the grant date fair value of the vested portion of the award on that date. Where performance conditions are attached to the awards, compensation expense is recognized in the period in which it becomes probable that the performance target will be achieved, net of estimate of pre-vesting forfeitures over the requisite service period. The probability of vesting is reassessed at each reporting period for awards with performance conditions and compensation expense is adjusted based on its probability assessment. Share-based compensation expense is classified in the statements of operation and comprehensive loss in the same manner in which the award recipient’s payroll costs are classified. Equity instruments issued to non-employees, including consultants, are accounted for in accordance with Financial Accounting Standards Board (“FASB”) guidance. All transactions in which services are the consideration received for the issuance of equity instruments are accounted for based on the fair value of the consideration received or the fair value of the equity instrument issued, whichever is more reliably measurable. The measurement date of the fair value of the equity instrument issued is the earlier of the date on which the counterparty’s performance is complete or the date on which it is probable that performance will occur. For transactions where the fair value of the equity instrument issued to non-employees is the more reliable measurement and a measurement date has not been reached, the fair value is re-measured at each balance sheet date using the binomial option-pricing model. Compensation expense for these share-based awards is recognized over the term of the consulting agreement or until the award is approved and settled. Segment Data The Company manages its operations as a single segment for the purposes of assessing performance and making operating decisions. The Company is a clinical-stage biopharmaceutical company focusing on developing therapies for companion animals. Total assets, property and equipment, net and total property and equipment additions by geography, reconciled to the consolidated amounts, were as follows as of the dates indicated: June 30, June 2016 2015 United States (in thousands) Total assets $ 30,809 $ 38,973 Property and equipment, net 8 4 Total property and equipment additions 7 4 Australia Total assets $ 3,404 $ 17,259 Property and equipment, net 1,186 538 Total property and equipment additions 975 283 Ireland Total assets $ 6,111 $ 440 Property and equipment, net 3,714 7 Total property and equipment additions 3,945 7 Consolidated Total assets $ 40,324 $ 56,672 Property and equipment, net 4,908 549 Total property and equipment additions 4,927 294 Recently Adopted Accounting Pronouncements The Company has early adopted the provisions of Accounting Standards Update (“ASU”) No. 2014-10, Elimination of Certain Financial Requirements, Including an Amendment to Variable Interest Entities Guidance Topic in Topic 810, Consolidation Development Stage Entities. Recently Issued Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). · Contracts with customers —including revenue and impairments recognized, disaggregation of revenue and information about contract balances and performance obligations (including the transaction price allocated to the remaining performance obligations). · Significant judgments and changes in judgments —determining the timing of satisfaction of performance obligations (over time or at a point in time), and determining the transaction price and amounts allocated to performance obligations. · Certain assets —assets recognized from the costs to obtain or fulfill a contract. In June 2014, the FASB issued ASU 2014-12, Compensation—Stock Compensation Compensation—Stock Compensation In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements Going Concern (Subtopic 205-40) In September 2015, the FASB issued ASU 2015-16 , Business Combinations (Topic 805) In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740) Balance Sheet Classification of Deferred Taxes In January 2016, the FASB issued ASU 2016-01, Financial Instruments Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02 , Leases (Topic 842) In March 2016, the FASB issued ASU 2016-05, Liabilities—Derivative and Hedging (Topic 815) In March 2016, the FASB issued ASU 2016-09, Compensation—Stock Compensation (Topic 718) Improvements to Employee Share-Based Payment Accounting In April 2016, the FASB issued ASU 2016-10, Revenue from Contracts with Customers (Topic 606) Identifying Performance Obligations and Licensing Revenue from Contracts with Customers (Topic 606 Narrow-Scope Improvements and Practical Expedients. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326) |
Other Income Receivable
Other Income Receivable | 12 Months Ended |
Jun. 30, 2016 | |
Receivables [Abstract] | |
Other Income Receivable | Note 3 Other Income Receivable Other income receivable consisted of the following as of the dates indicated: June 30, 2016 2015 (in thousands) Current Research and development income $ 1,809 $ 3,301 Government grant income 374 — Interest income 18 — Other income receivable $ 2,201 $ 3,301 Noncurrent Research and development income $ 251 $ — Other income receivable $ 251 $ — |
Prepaid Expenses and Other
Prepaid Expenses and Other | 12 Months Ended |
Jun. 30, 2016 | |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | |
Prepaid Expenses and Other | Note 4 Prepaid Expenses and Other Prepaid expenses and other consisted of the following as of the dates indicated: June 30, 2016 2015 (in thousands) Current Prepaid expenses $ 398 $ 279 Consumable stores 484 — Other 398 328 Prepaid expenses and other $ 1,280 $ 607 Noncurrent Prepaid expenses $ 129 $ 163 Prepaid expenses and other $ 129 $ 163 At June 30, 2016 and 2015, restricted cash was $0.1 million and $0.1 million, respectively and is included in Prepaid Expenses and Other in the Consolidated Balance Sheet. The restricted cash balance is related to a collateral arrangement with a financial institution that requires the Company to maintain a minimum collateral balance of $50,000 in order to access credit card facilities. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Jun. 30, 2016 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | Note 5. Property, Plant and Equipment Property, plant and equipment, net consisted of the following as of the dates indicated: June 30, Useful Lives 2016 2015 (in years) (in thousands) Computer equipment 3-7 $ 213 $ 89 Research and development equipment 5-10 3,206 432 Office equipment 5-20 134 83 Plant and equipment 8 949 — Leasehold improvements 5-10 1,118 133 Less: Accumulated depreciation and amortization (712 ) (188 ) Property, plant and equipment, net $ 4,908 $ 549 Computer Equipment Research and Development Equipment Office Equipment Plant and Equipment Leasehold Improvements Total (in thousands) Opening balance July 1, 2014 $ 57 $ 214 $ 92 $ — $ 151 $ 514 Additions $ 35 $ 258 $ 1 $ — $ — $ 294 Disposals — — — — — — Depreciation (25 ) (86 ) (12 ) — (29 ) (152 ) Exchange rate adjustment (11 ) (52 ) (19 ) — (25 ) (107 ) Closing balance June 30, 2015 $ 56 $ 334 $ 62 $ — $ 97 $ 549 Additions $ 127 $ 2,780 $ 54 $ 965 $ 1,001 $ 4,927 Disposals — (7 ) — — — (7 ) Depreciation (41 ) (289 ) (17 ) (77 ) (83 ) (507 ) Exchange rate adjustment (2 ) (9 ) (1 ) (31 ) (11 ) (54 ) Closing balance June 30, 2016 $ 140 $ 2,809 $ 98 $ 857 $ 1,004 $ 4,908 In September 2015, the Company acquired certain manufacturing assets as follows: Assets Acquired and Consideration (in thousands) Assets acquired Research and development equipment $ 380 Plant and equipment 934 Leasehold improvements 663 Total assets acquired $ 1,977 Consideration Cash paid $ 1,977 Total consideration $ 1,977 |
Intangible Assets
Intangible Assets | 12 Months Ended |
Jun. 30, 2016 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Note 6. Intangible Assets Intangible assets, net consisted of the following as of the dates indicated: June 30, Useful Lives 2016 2015 (in years) (in thousands) Computer software 1-3 $ 85 $ 21 Less: Accumulated amortization (11 ) (2 ) Intangible assets, net $ 74 $ 19 Intangible assets will be fully amortized over their useful lives. |
Accrued Expenses and Other Liab
Accrued Expenses and Other Liabilities | 12 Months Ended |
Jun. 30, 2016 | |
Payables And Accruals [Abstract] | |
Accrued Expenses and Other Liabilities | Note 7. Accrued Expenses and other liabilities Accrued expenses and other liabilities consisted of the following as of the dates indicated: June 30, 2016 2015 Current (in thousands) Payroll and related expenses $ 1,883 $ 1,027 Professional fees 297 361 Research and development costs 1,115 964 Accrued expenses and other liabilities $ 3,295 $ 2,352 Noncurrent Payroll and related expenses $ 97 $ — Other 7 — Accrued expenses and other liabilities $ 104 $ — |
Deferred Income
Deferred Income | 12 Months Ended |
Jun. 30, 2016 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred Income | Note 8. Deferred Income Deferred income consisted of a lease incentive as of the dates indicated: June 30, 2016 2015 (in thousands) Current $ 23 $ 23 Noncurrent $ 37 $ 61 In June 2014, a build-out incentive was negotiated with the landlord to reimburse the Company regarding the Melbourne, Australia office space. The Company expects to offset such amounts within rental expense over the lease term. |
Warrants
Warrants | 12 Months Ended |
Jun. 30, 2016 | |
Warrants And Rights Note Disclosure [Abstract] | |
Warrants | Note 9. Warrants June 30, June 30, 2016 2015 (in thousands) Warrants $ — $ — In May 2014, the Company issued warrants to purchase 1,574,998 ordinary shares to purchasers of its Series B preference shares with an exercise price of $8.625 per share. In addition, the Company issued warrants to purchase 192,000 ordinary shares to financial advisors with an exercise price of $7.50 per share. All warrants have a five year contractual life, are exercisable in U.S. dollars and were revalued to fair value at June 30, 2014 using the appropriate exchange rate. The warrants were reclassified to shareholders’ equity in September 2014 following the Irish Reorganization and the change in the Company’s functional currency to U.S. dollars. |
Convertible Preference Shares
Convertible Preference Shares | 12 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
Convertible Preference Shares | Note 10. Convertible Preference Shares Prior to February 2015, the Company had issued Series A investment preference shares (“SIRPS Preference Shares”) and Series B convertible preference shares (“Series B Preference Shares”) (collectively, the “Preference Shares”). The Company’s Memorandum and Articles of Association as of June 30, 2014 authorized 12,000,000 Preference Shares with a nominal value of $0.125 per Preference Share. Preference Shares consisted of the following as of June 30, 2014: June 30, 2014 Preference Shares Issued and Outstanding Liquidation Preference Carrying Value (in thousands) SIRPS Preference Shares 1,737,132 $ 16,353 $ 8,177 Series B Preference Shares 4,200,006 51,298 25,649 5,937,138 $ 67,651 $ 33,826 Prior to August 2014, upon certain insolvency and other events, the holders of the Preference Shares could require their redemption. Therefore, the Preference Shares were classified outside of shareholders’ equity (deficit) in accordance with authoritative guidance for the classification and measurement of potentially redeemable securities as of June 30, 2014. In August 2014, these redemption features were eliminated, and, in November 2014, 16 additional convertible preference shares were issued in connection with the second share consolidation. Following changes to the redemption features of the Preference Shares in August 2014, the Preference Shares were reclassified into shareholders’ equity (deficit). In February 2015, on completion of the Company’s initial public offering, each preference share automatically converted into one ordinary share. |
Ordinary Shares
Ordinary Shares | 12 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
Ordinary Shares | Note 11. Ordinary Shares In February 2015, upon the initial closing of the Company’s initial public offering, the New M &A became effective for the Company. The New M&A amended the Company’s authorized capital to 400 Euro deferred shares with a nominal value of €100 each, 100,000,000 ordinary shares with a nominal value of US$0.125 each and 10,000,000 undesignated preferred shares with a nominal value of US$0.01 each. As of June 30, 2016 and 2015, there were 11,565,133, and 11,406,916 ordinary shares outstanding, respectively. In the Company’s initial public offering, an aggregate of 4,176,903 ordinary shares were issued. Upon the initial closing of the Company’s initial public offering, all 5,937,160 Preference Shares then outstanding were converted into 5,937,160 ordinary shares. |
Fair Value Measurement
Fair Value Measurement | 12 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | Note 12. Fair Value Measurement Assets and liabilities carried at fair value on a recurring basis as of June 30, 2016 and 2015, including financial instruments which the Company accounts for under the fair value option, are summarized in the following tables. June 30, 2016 Level 1 Level 2 Level 3 Assets/ Liabilities at Fair Value (in thousands) Assets Cash $ 31,481 $ — $ — $ 31,481 June 30, 2015 Level 1 Level 2 Level 3 Assets/ Liabilities at Fair Value Assets Cash $ 52,033 $ — $ — $ 52,033 During fiscal years 2016 and 2015, there were no transfers between the levels. |
Net Loss Per Share
Net Loss Per Share | 12 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | Note 13. Net Loss Per Share The calculation of net loss per participating securities (“EPS”) for fiscal years 2016 and 2015 is presented below. Year Ended June 30, 2016 2015 2014 (in thousands, except share and per share amounts) Net loss $ (19,365 ) $ (11,857 ) $ (6,710 ) Weighted-average ordinary shares issued and outstanding—basic and diluted 11,517,507 5,214,957 1,000,872 Net loss per ordinary share—basic and diluted $ (1.68 ) $ (2.27 ) $ (6.70 ) The following ordinary share equivalents were excluded from the calculation of diluted net loss per share for the periods ended on the dates indicated because including them would have an anti-dilutive effect: Year Ended June 30, 2016 2015 2014 Preference shares — — 5,937,138 Share-based awards 1,041,164 834,303 245,020 Warrants 1,766,998 1,766,998 1,766,998 Shares subject to limited recourse loans (see Note 14) — — 254,680 Total 2,808,162 2,601,301 8,203,836 Basic and diluted net loss per share is computed using the weighted-average number of ordinary shares outstanding after giving effect to the conversion of all convertible preference shares into ordinary shares as if such conversion had occurred at the beginning of the period presented, or the date of original issuance, if later. |
Share Based Awards
Share Based Awards | 12 Months Ended |
Jun. 30, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Awards | Note 14. Share-Based Awards As permitted by Australian law, the Company’s board of directors has historically granted share options and restricted share units with an exercise or conversion price, as applicable, of zero to recipients in Australia. Contemporaneously with these awards and based upon information available at the time of grant, the Company’s board of directors, with the assistance of management, also determined the fair value of the shares underlying these share options for financial reporting purposes. To determine the best estimate of the fair value of the Company’s ordinary shares at each grant date, the Company’s board of directors considered numerous factors, including contemporaneous third-party valuations, current business conditions and projections, risks inherent to the development of the Company’s research and development programs, including the status of pivotal safety and efficacy studies for its lead product candidates, the Company’s financial condition, the Company’s need for future financing to fund its research and development efforts and the commercialization of its lead product candidates, and other relevant factors. 2012 Employee Share Option Plan In August 2012, the Company’s board of directors adopted the Company’s Employee Share Option Plan (the “2012 Plan”). Pursuant to the 2012 Plan, the Company issued 264,386 ordinary shares at $4.20 per share to employees (including executive officers), consultants and each member of the Company’s board of directors who could purchase such ordinary shares with an interest-free, limited recourse loan payable to the Company. These limited recourse loans were not collateralized and were not recourse to the assets of the borrower, except to the extent of the shares issued. Because the loans were the sole consideration for the shares issued, the Company accounted for these arrangements as share options since the substance is similar to the grant of an option, with a deemed exercise price equal to the loan amount. The fair value of the notional share options was expensed in fiscal year 2013 when vested with a corresponding credit to additional paid-in capital. The limited recourse loans were repayable within 30 days of the termination of service to the Company of the employee, director or consultant. Failure to pay back the loan within that time frame would have resulted in relinquishing of those shares by the shareholder. The balance of loans outstanding as of June 30, 2015 and 2014 was $zero and $1.0 million, respectively. As discussed in Note 2, the Company does not recognize a separate receivable for limited recourse loans. The 2012 Plan is no longer in use. Between June 30, 2014 and September 30, 2014, all of the limited recourse loans were repaid in cash or satisfied by the repurchase by the Company of certain ordinary shares issued subject to such loans at a purchase price of $6.35 per ordinary share. The Company issued to each former holder of such ordinary shares an option to purchase a number of ordinary shares equal to the number of ordinary shares repurchased with an exercise price of $6.35 per ordinary share. The new options expire in February 2018, consistent with the original repayment date of the loan. With respect to Dr. Heffernan, his $0.3 million loan amount was satisfied with a repurchase by the Company of 52,040 ordinary shares held by him and the grant to him of an option to purchase 52,040 ordinary shares. With respect to Dr. Gearing, his $0.3million loan amount was satisfied with a repurchase by the Company of 46,372 ordinary shares held by him and the grant to him of an option to purchase 46,372 ordinary shares. As a result of the repurchases, all of the limited recourse loans were repaid in the Company’s first fiscal quarter of 2015. 2013 Long Term Incentive Plan In September 2013, the Company’s board of directors approved a long-term incentive plan for its employees (including executive officers), directors and consultants pursuant to which in November 2013 the Company issued share options to purchase 215,799 ordinary shares and restricted share units to acquire 29,214 ordinary shares to employees, directors and consultants. The underlying ordinary shares had a fair value of $5.15 per share, but the awards had an exercise or conversion price, as applicable, of zero, as permitted under Australian law. Because Irish law requires the payment to an issuer of at least the nominal value of shares in order to acquire such shares from the issuer, any options or restricted share units with a zero exercise or conversion price became exercisable or convertible, as applicable, at their nominal value in August 2014 in anticipation of the Irish Exchange. This nominal value became $0.10 per ordinary share in September 2014 in connection with the Irish Exchange and was revised to $0.125 per ordinary share in connection with the four-for-five share consolidation in November 2014. In September 2014, the Company also issued share options to purchase 16,800 ordinary shares and restricted share units to acquire 21,240 ordinary shares to employees, directors and consultants. The underlying ordinary shares had a fair value of $6.35 per ordinary share, but the awards had an exercise or conversion price of the nominal value of $0.10 per ordinary share, which nominal value became $0.125 per ordinary share in connection with the four-for five share consolidation in November 2014. Except for share options and restricted share units held by directors (which vested in November 2014), share options and restricted share units held by employees and consultants vest in three equal tranches in November 2014, November 2015 and November 2016. The Company revised this plan in September 2014 and refers to this plan as its “2013 Plan.” In November 2014, the Company awarded employees 141,792 share options and restricted share units to acquire 16,427 ordinary shares. The underlying ordinary shares had a grant date fair value of $9.37. The share options and restricted share units have an exercise price and conversion price of $0.125 per ordinary share. The awards are subject to a specified performance condition and service period and they vest in tranches over one to three years. The 2013 Plan was terminated in connection with the Company’s initial public offering. The 2013 Plan will continue to govern outstanding awards granted thereunder. Appropriate adjustments will be made in the number of authorized ordinary shares and other numerical limits in the 2013 Plan and in outstanding awards to prevent dilution or enlargement of participants’ rights in the event of a share split or other change in the Company’s capital structure. Prior to its termination, the 2013 Plan was administered by the Company’s board of directors. Subject to the provisions of the 2013 Plan, the board of directors determined, in its discretion, the persons to whom, and the times at which, awards were granted, as well as the size, terms and conditions of each award, under the 2013 Plan. All awards are evidenced by a written agreement between the Company and the holder of the award. The board of directors has delegated to the Compensation Committee the authority to construe and interpret the terms of the 2013 Plan and awards granted under the 2013 Plan. In the event of a change of control as described in the 2013 Plan, the acquiring or successor entity may assume or continue all or any awards outstanding under the 2013 Plan or substitute substantially equivalent awards. Any awards which are not assumed or continued in connection with a change of control or are not exercised or settled prior to the change of control will terminate effective as of the time of the change of control unless specified otherwise in an employment contract. The Compensation Committee may provide for the acceleration of vesting of any or all outstanding awards upon such terms and to such extent as it determines, except that the vesting of all awards held by members of the board of directors who are not employees will automatically be accelerated in full. The 2013 Plan also authorizes the Compensation Committee, in its discretion and without the consent of any participant, to cancel each or any outstanding award denominated in ordinary shares upon a change of control in exchange for a payment to the participant with respect to each share subject to the cancelled award of an amount equal to the excess of the consideration to be paid per ordinary share in the change of control transaction over the exercise price per ordinary share, if any, under the award. 2015 Equity Incentive Plan In September 2014, the Company’s board of directors adopted, and in November 2014 the Company’s shareholders approved, the 2015 Equity Incentive Plan (“2015 Plan”). The 2015 Plan was amended by the board of directors in January 2015 and became effective on the date immediately prior to the date of the prospectus for initial public offering. The 2015 Plan is intended to provide incentives that will assist the Company to attract, retain, and motivate employees, including officers, consultants and directors. The Company may provide these incentives through the grant of share options, restricted share units, performance shares and units and other cash-based or share-based awards. A total of 1,280,000 of the Company’s ordinary shares were initially authorized and reserved for issuance under the 2015 Plan. This reserve has or will automatically increase on July 1 of each year through 2024 by an amount equal to the lesser of: · Four percent of the number of the Company’s ordinary shares issued and outstanding on the immediately preceding June 30; and · An amount determined by the Company’s board of directors. The ordinary shares available under the 2015 Plan will not be reduced by awards settled in cash, but will be reduced by ordinary shares withheld to satisfy tax withholding obligations with respect to ordinary share options (but not other types of awards). The gross number of ordinary shares issued upon the exercise of options exercised by means of a net exercise or by tender of previously-owned ordinary shares will be deducted from the ordinary shares available under the 2015 Plan. Notwithstanding the foregoing, and subject to adjustment as described below, the maximum aggregate number of ordinary shares that may be subject to issuance at any given time under the 2015 Plan in connection with outstanding awards shall not exceed a number equal to ten percent of the Company’s total issued and outstanding ordinary shares (calculated on a non-diluted basis). Appropriate adjustments will be made in the number of authorized ordinary shares and other numerical limits in the 2015 Plan and in outstanding awards to prevent dilution or enlargement of participants’ rights in the event of a share split or other change in the Company’s capital structure. Ordinary shares subject to awards which expire or are cancelled or forfeited will again become available for issuance under the 2015 Plan. In May 2015, 360,000 share options and 20,280 restricted share units to acquire ordinary shares were awarded to employees and directors under the 2015 Plan with a grant date fair value of $5.93 and $6.99, respectively. The share option and restricted share units have an exercise price of $15.00 and a conversion price of $0.125 per ordinary share, respectively. Except for 2,280 restricted share units held by directors (which vest immediately), the awards vest in tranches over one to five years. In June 2015, bonus share awards of an aggregate 42,691 ordinary shares were issued to employees subject to the payment of $0.125 per ordinary share. The underlying ordinary share had a grant date fair value of $7.115 per ordinary share. In August 2015, the Company awarded two new employees share options to purchase 60,000 ordinary shares and restricted share units to acquire 8,500 ordinary shares with a grant date fair value of $2.71 and $4.97 per share, respectively. The share option and restricted share units have an exercise price of $5.10 and a conversion price of $0.125 per ordinary share, respectively. The awards vest in tranches over one to four years. In September 2015, the Company awarded employees and directors restricted share units to acquire 298,834 ordinary shares, of which 296,059 were acquired, with grant date fair values of $4.26‑$4.27. The restricted share units have a conversion price of $0.125 per ordinary share. The restricted shares units granted to employees vest annually over four years commencing on July 1, 2016. The restricted share units granted to directors vest on July 1, 2016. In November 2015, the Company awarded a new employee restricted share units to acquire 2,000 ordinary shares with a grant date fair value of $4.76 . The aggregate intrinsic value of share-based awards as of June 30, 2016 was $2.1 million, of which $0.1 million related to vested share-based awards and $2.0 million related to unvested share-based awards Share Awards to Consultants or Advisors for Services Provided There were no share awards to consultants or advisors issued in fiscal year 2016 and 2015. In November 2013, the Company entered into an agreement with a financial advisor for the provision of certain financial services. Pursuant to the agreement, the financial advisor elected to receive payment of fees in ordinary shares. In November 2013, the Company issued 8,849 SIRPS Preference Shares at $5.18 per share to the financial advisor. |
Valuation of Share Awards
Valuation of Share Awards | 12 Months Ended |
Jun. 30, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Valuation of Share Awards | Note 15. Valuation of Share Awards Prior to February 2015 The fair value of each share option is estimated on the date of grant using the binomial option-pricing model. The Company was a private company until February 2015 and lacked company-specific historical and implied volatility information. Therefore, it has estimated its expected share volatility based on the historical volatility of its publicly traded peer companies until such time as it has adequate historical data regarding the volatility of its own traded share price. The expected term of the Company’s share options has been determined utilizing the “simplified” method as the Company has insufficient historical experience for share options overall, rendering existing historical experience irrelevant to expectations for current grants. The risk-free interest rate is determined by reference to the appropriate reserve bank yield in effect at the time of grant of the award for time periods approximately equal to the expected term of the award. Expected dividend yield is based on the fact that the Company has never paid cash dividends and does not expect to pay any cash dividends in the foreseeable future. The fair value of the underlying ordinary shares considered the price per share paid by investors in the Company’s private financings, including the Series B Preference Shares in May 2014. Post February 2015 Since completion of the Company’s initial public offering, the fair value of the underlying ordinary shares has been based on the price per share quoted on the NASDAQ Global Market at the date of grant. The fair value of the share awards was estimated using the following assumptions: Year Ended June 30, 2016 2015 Risk free interest rate 1.7% 1.7% Expected term (in years) 1 - 4 years 3-6 years Expected volatility 75% 80% Forfeiture rate 7.5% 0 Expected dividend yield zero zero The following table summarizes share option activity for fiscal years 2015 and 2016: Shares Issuable Under Options Weighted- Average Exercise Price Outstanding as of July 1, 2014 470,479 $ 2.33 Granted 663,661 9.55 Exercised (96,540 ) 0.125 Ordinary shares no longer subject to limited recourse loans (109,611 ) (1) 4.20 Repurchased (145,069 ) 6.35 Expired or forfeited (6,289 ) 0.125 Outstanding as of June 30, 2015 776,631 $ 8.18 Granted 60,000 $ 5.10 Exercised (126,017 ) 0.125 Expired or forfeited — — Outstanding as of June 30, 2016 710,614 $ 9.35 Options vested and expected to vest, as of June 30, 2014 6,195 $ 0.125 Options vested and expected to vest, as of June 30, 2015 159,937 $ 5.77 Options vested and expected to vest, as of June 30, 2016 371,812 $ 10.08 (1) Reflects ordinary shares issued subject to limited recourse loans. See Note 14. The total intrinsic value of share options exercised was $0.5 million, $0.5 million and $nil in 2016, 2015 and 2014, respectively In addition to the share options described above, the Company has granted restricted share units to its directors, employees and consultants. Restricted share units are valued at the fair value of the underlying ordinary shares as of the date of grant. The fair value of the ordinary shares issuable upon conversion of restricted share units considered the price per share paid by investors in the Company’s private financings, including the SIRPS Preference Shares in July 2013. The ordinary shares subject to the restricted share units are generally issued when they vest. The table below presents the Company’s restricted share unit activity for fiscal years 2016 and 2015: Number of Restricted Share Units Weighted Average Grant Date Fair Value Outstanding as of July 1, 2014 29,214 $ 5.15 Granted 57,947 7.83 Converted (29,489 ) 5.85 Forfeited — — Outstanding as of June 30, 2015 57,672 $ 7.48 Granted 306,560 $ 4.28 Converted (32,200 ) 7.72 Forfeited (1,482 ) — Outstanding as of June 30, 2016 330,550 $ 4.50 Converted and expected to convert, as of June 30, 2014 — $ — Converted and expected to convert, as of June 30, 2015 4,400 $ 9.19 Converted and expected to convert, as of June 30, 2016 — $ — The total intrinsic value of restricted share units converted was $0.1 million, $0.2 million and $nil in 2016, 2015 and 2014, respectively. Share-Based Compensation The Company recognizes share-based compensation expense for only the portion of awards that are expected to vest. In developing a forfeiture rate estimate, the Company has considered its historical experience to estimate pre-vesting forfeitures for service-based awards. The impact of a forfeiture rate adjustment will be recognized in full in the period of adjustment, and if the actual forfeiture rate is materially different from the Company’s estimate, the Company may be required to record adjustments to share-based compensation expense in future periods. The Company recorded share-based compensation expense related to share options and restricted share units for the fiscal years 2016, 2015 and 2014 as follows: Year Ended June 30, 2016 2015 2014 (in thousands) Research and development $ 726 $ 756 $ 74 General and administrative 1,029 1,325 224 Total $ 1,755 $ 2,081 $ 298 The Company had an aggregate of $2.9 million and $3.1 million, respectively, of unrecognized share-based compensation expense for share options and restricted share units outstanding as of June 30, 2016 and 2015, which is expected to be recognized over an estimated period of 5.0 years and 4.0 years, respectively, for share options and restricted share units. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jun. 30, 2016 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 16. Commitments and Contingencies Indemnities and Guarantees The Company has made certain indemnities and guarantees, under which it may be required to make payments to a guaranteed or indemnified party, in relation to certain transactions. The Company indemnifies its directors and officers to the extent permitted under the Company’s Constitution and the Irish Companies Act and provides expense advancement for our directors and executive officers for certain expenses, including attorneys’ fees, judgments, fines, and settlements amounts incurred by a director or executive officer in any action or proceeding arising out of their services as one of our directors or executive officer. The duration of these indemnities and guarantees varies and, in certain cases, is indefinite. These indemnities and guarantees do not provide for any limitation of the maximum potential future payments the Company could be obligated to make. Historically, the Company has not been obligated to make any payments for these obligations and no liabilities have been recorded for these indemnities and guarantees in the accompanying balance sheets. Operating Lease and Purchase Obligation Commitments consisted of the following as of the dates indicated: Total Less than 1 Year 1-3 Years 3-5 Years After 5 Years June 30, 2016 (in thousands) Operating leases (1) (3) $ 1,318 $ 193 $ 378 $ 244 $ 503 Purchase obligations (2) 456 456 — — — Total $ 1,774 $ 649 $ 378 $ 244 $ 503 (1) Represents future minimum lease payments under our non-cancelable operating lease, including our Melbourne, Australia and Tullamore, Ireland facilities. (2) Represents future payments pursuant to contracts with suppliers of goods and services to support our product development. We enter into agreements in the normal course of business with CROs for pivotal safety and efficacy studies and with vendors for pre-clinical research studies and other services and products for operating purposes which are cancelable at any time by us, generally upon 30 days prior written notice. (3) The Company occupies research facilities in Australia and expects to enter a lease arrangement in the near future, if this agreement was in place at balance date the operating leases amount would increase by a total $0.2 million (< 1 year $0.1 million, 1-3 year $0.1 million) Operating Leases The Company entered into a lease for its office in Melbourne, Australia commencing December 2013 for a period of five years. As of June 30, 2016 and June 30, 2015 commitments totaled $0.2 million and $0.4 million, respectively. Rent expense was $0.2 million $0.2 million and $0.1 million for fiscal years 2016, 2015 and 2014, respectively. Included in rent expense is a build-out incentive of $26,000, $26,000 and $11,000 for the fiscal years 2016, 2015 and 2014, respectively. A portion of the incentive paid by the landlord is to be repaid by the Company if the lease is terminated early, determined by the unexpired term of the lease over the original 60‑month lease term. The Company entered into a lease for a facility in Tullamore, Ireland commencing September 2015 for a period of 10 years, with an option to purchase the building. As of June 30, 2016, commitments on this lease totaled $1.1 million. Purchase Obligations In connection with the development of biologics, the Company had open contracts with suppliers for goods and services of $0.5 million and $0.7 million as of June 30, 2016 and June 30, 2015, respectively. Other BioNua is eligible under an agreement with the IDA to receive cash as grant income. The Company may not, without the prior written consent of the IDA, assign, dispose, mortgage or change any assets which have been funded by the IDA. The IDA may revoke or reduce the grant if there is a serious breach of the agreement or if the Company enters a form of administration, transfers any intellectual property developed under the grant outside Ireland or disposes of BioNua. The IDA may require the Company to repay grant income paid previously to the Company if the Company commits a serious breach of the agreement. |
Income Taxes
Income Taxes | 12 Months Ended |
Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 17. Income Taxes There is no provision for income taxes because the Company has historically incurred operating losses and maintains a full valuation allowance against its net deferred tax assets. The reported amount of income tax expense differs from the amount that would result from applying domestic federal statutory tax rates to pretax losses primarily because of changes in valuation allowance. In all periods presented, all revenue was earned in Australia. A reconciliation of the statutory income tax rate to the Company’s effective income tax rate is as follows: Year Ended June 30, 2016 2015 2014 (in thousands) Statutory income tax rate $ 2,421 $ 1,482 $ 1,988 Adjustment for foreign tax rates 2,550 1,913 — Non-assessable income and other (316 ) 1,722 703 Non-deductible expenses (1,802 ) (3,669 ) (1,687 ) Change in deferred tax asset valuation allowance (2,943 ) (1,344 ) (1,004 ) Change in tax rates 90 (104 ) — Effective income tax rate $ — $ — $ — Non-assessable income and non-deductible expenses represent the gross amounts assessed under the research and development incentive program. Net deferred tax assets as of June 30, 2016 and 2015 consisted of the following: June 30, 2016 2015 (in thousands) Deferred tax assets: Net operation loss carry forward $ 5,184 $ 2,578 Accrued expenses, deferred income and other 738 218 Exchange loss/(gain) 64 (591 ) Net deferred tax assets 5,986 2,205 Valuation allowance (5,986 ) (2,205 ) Net deferred tax assets, net of valuation allowance $ — $ — As of June 30, 2016 and 2015, the Company had total deferred tax assets of $6.0 million and $2.2 million, respectively. Management has evaluated the factors bearing upon the reliability of its deferred tax assets, which consist principally of tax loss carry forwards in United Sates, Australia and Ireland. Our management concluded that it is more likely than not that all of the deferred tax assets will not be realized in the future due our lack of taxable income prospects for the foreseeable future. Therefore, the deferred tax assets are reduced by a full valuation. Utilization of tax loss carry forwards is subject to potential limitation as a consequence of the Australian loss recoupment rules and future ownership changes, future capital raisings or ongoing changes in the Company’s business. Given the change of ownership that occurred in September 2014 (see Note 1), the Australian tax authorities could argue that there has been a change in the Company’s underlying business in Australia, which may result in these tax losses never being recoverable. Should this occur, future Australian taxable profits would be taxed at the full corporate rate of 30%. Depending on the actual amount of any limitation on the Company’s ability to use its tax loss carry forwards, a significant portion of its future taxable income could be taxable. Changes in the valuation allowance for deferred tax assets during fiscal years 2016, 2015 and 2014 were as follows: June 30, 2016 2015 2014 (in thousands) Valuation allowance as of beginning of year $ 2,205 $ 1,737 $ 479 Increases recorded to income tax provision 3,781 468 1,258 Valuation allowance as of end of year $ 5,986 $ 2,205 $ 1,737 The Company has not recorded any amounts for unrecognized tax benefits as of June 30, 2015 or 2014. The Company files tax returns as prescribed by the tax laws of the jurisdictions in which it operates. In the normal course of business, the Company is subject to examination by federal and state jurisdictions, where applicable. There are currently no pending income tax examinations. The Company’s tax years are still open under statute from 2011 to the present. The Company’s policy is to record interest and penalties related to income taxes as part of its income tax provision. |
Related Party Transaction
Related Party Transaction | 12 Months Ended |
Jun. 30, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transaction | Note 18. Related Party Transaction Ridge Biotechnology Consulting, LLC is owned and operated by Dr. Robert Gearing, the brother of David Gearing, a co-founder of the Company and its Chief Scientific Officer. In October 2010, the Company entered into a consulting agreement with Ridge Biotechnology Consulting, LLC for the provision of services to the Company. The agreement was superseded by agreements entered into in April 2011 and April 2012, and a new consulting agreement with Ridge Biotechnology Consulting, LLC was entered into in January 2014. The Company recorded general and administrative expense of $39,000, $0.2 million and $0.1 million in fiscal years 2016, 2015 and 2014, respectively, related to these agreements. As of June 30, 2016 and 2015, there was $13,000 and $19,000 payable to Ridge Biotechnology Consulting, LLC, respectively. Dr. Robert Gearing was also a party to a 2012 agreement with the Company pursuant to which the Company issued Dr. Gearing 4,424 ordinary shares in fiscal year 2014 and 6,250 ordinary shares in fiscal year 2013, with an aggregate value of $48,000, for arranging certain research and development services. Dr. Andrew Gearing is a former director, a co-founder of the Company and a brother of David Gearing, a co-founder of the Company and its Chief Scientific Officer. Dr. Andrew Gearing serves on the board of directors of Biocomm Square Pty Ltd. In August 2010 and August 2013, the Company entered into consulting agreements with Biocomm Square Pty Ltd for research and development support services. These agreements were superseded by a new consulting agreement in December 2013, which was amended in April 2014, September 2015 and June 2016. In addition, the Company entered into an agreement with Biocomm Square Pty Ltd in November 2011 for assistance in obtaining partnering arrangements with Japanese entities. This agreement was terminated in September 2015. The Company recorded research and development expense of $0.2 million, $0.2 million and $0.2 million in fiscal years 2016, 2015 and 2014, respectively, related to these agreements. As of June 30, 2016 and 2015, there was $12,000 and $17,000 payable to Biocomm Square Pty Ltd, respectively. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Jun. 30, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 19. Subsequent Events There were no material subsequent events occurring after June 30, 2016 requiring disclosure. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Jun. 30, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | Note 20. Selected Quarterly Financial Data (Unaudited) The following table presents selected unaudited quarterly financial information for the years ended June 30, 2016 and 2015. The results for any quarter are not necessarily indicative of future quarterly results and, accordingly, period to period comparisons should not be relied upon as an indication of future performance. For the Quarter Ended June 30, March 31, December 31, September 2016 (in thousands, except share and per share amounts) Operating expenses $ (5,066 ) $ (5,940 ) $ (5,569 ) $ (5,595 ) Net loss attributable to ordinary shareholders $ (3,969 ) $ (5,745 ) $ (5,691 ) $ (3,960 ) Net loss per share attributable to common shareholders—basic and diluted $ (0.34 ) $ (0.50 ) $ (0.49 ) $ (0.35 ) 2015 Operating expenses $ (4,904 ) $ (5,109 ) $ (4,666 ) $ (5,357 ) Net loss attributable to ordinary shareholders $ (4,479 ) $ (2,668 ) $ (2,413 ) $ (2,297 ) Net loss per share attributable to common shareholders—basic and diluted $ (0.39 ) $ (0.36 ) $ (2.01 ) $ (2.13 ) |
Summary of Significant Accoun28
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accompanying consolidated financial statements of the Company include the operations of all its wholly-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). Such operations include the Company, Nexvet Australia, NVIP Pty Limited, Nexvet Ireland Limited, Tevxen Limited, BioNua Limited (“BioNua”), and Nexvet US, Inc. All intercompany balances and transactions have been eliminated in consolidation. The Company’s fiscal year ends on June 30, and references to any fiscal year are to the Company’s year ended June 30 in that year. |
Use of Estimates | Use of Estimates The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions relating to the reported amount of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the period. Significant items subject to such estimates and assumptions include research and development income, research and development accruals, share-based payments, valuation of warrants, options and restricted share units and deferred income taxes. Actual results could differ from those estimates. |
Net Loss Per Share | Net Loss Per Share Net loss per share information is determined using the two-class method, which includes the weighted-average number of ordinary shares outstanding during the period and other securities that participate in dividends (a participating security). The Company’s convertible preference shares are participating securities as defined by Accounting Standards Codification (“ASC”) Topic 260-10, Earnings Per Share Under the two-class method, basic net loss per share applicable to ordinary shareholders is computed by dividing the net loss applicable to ordinary shareholders by the weighted-average number of ordinary shares outstanding for the reporting period. Diluted net loss per share gives effect to all potentially dilutive securities, including convertible preference shares and shares issuable upon the exercise or conversion, as applicable, of outstanding warrants, share options and restricted share units, using the treasury shares method. The Company has excluded the effects of all potentially dilutive shares, which include convertible preference shares, warrants to purchase ordinary shares, ordinary share options, restricted share units and the ordinary shares issued subject to limited recourse loans, from the weighted-average number of ordinary shares outstanding as their inclusion in the computation for all periods would be anti-dilutive due to net losses. |
Cash | Cash As of June 30, 2016 and 2015, the Company’s unrestricted cash consisted of cash deposited in a business operating account or in short-term deposit accounts of less than 90 days’ original duration. |
Concentration of Credit Risk and Other Risks and Uncertainties | Concentration of Credit Risk and Other Risks and Uncertainties The Company receives research and development income and grants from single sources, the Australian and Irish governments. The Company’s cash is deposited with several large commercial banks located in the U.S., Australia and Ireland that are federally insured or guaranteed, limiting the amount of credit exposure to any one financial institution. The Company’s cash balances with these financial institutions often exceed the amount insured. The Company is subject to risks common to companies in the biotechnology industry. The Company’s research and development may not be successfully completed, adequate protection for the Company’s technology may not be obtained, any products developed may not obtain necessary government regulatory approval and any approved products may not be commercially viable. The Company operates in an environment of substantial competition from other animal health companies, some of which have substantially more resources at their disposal. In addition, the Company is dependent upon the services of its employees and consultants, as well as third-party contract research organizations and manufacturers. |
Fair Value Measurements | Fair Value Measurements The Company records certain assets and liabilities at fair value in accordance with the provisions of ASC Topic 820, Fair Value Measurements · Level 1—Unadjusted quoted prices in active, accessible markets for identical assets or liabilities. · Level 2—Other inputs that are directly or indirectly observable in the marketplace. · Level 3—Unobservable inputs that are supported by little or no market activity. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The Company’s material financial instruments include cash and short-term deposits. |
Other Income Receivable | Other Income Receivable Other income receivable is recorded at the invoiced amount where available. BioNua is eligible under an agreement with the Industrial Development Agency (Ireland) (“IDA”) to receive cash as grant income based on a fixed percentage of eligible research and development expenditure in Ireland on a defined project, which includes the achievement of pre-agreed performance targets. Government grants are recognized at their fair value when there is reasonable assurance that the grant will be received and it is probable that all attaching conditions will be complied with. Nexvet Australia is eligible under the AusIndustry research and development tax incentive program to obtain a cash amount from the Australian Taxation Office (“ATO”). The income is available to Nexvet Australia on the basis of specific criteria with which Nexvet Australia must comply. Specifically, Nexvet Australia must have revenue of less than A$20 million and cannot be controlled by income tax exempt entities. Nexvet Ireland and BioNua are both eligible under the Research and Development Tax Credit (“R&D Tax Credit”) Guidelines of Ireland to claim a tax credit, up to 25% of eligible research and development expenditure less expenditure already covered by the IDA grant assistance. The tax credit is normally offset against corporation tax payable in Ireland. For companies at the same stage of development as Nexvet Ireland and BioNua, there is the ability to elect to receive the tax credit as a cash payment in three equal amounts, approximately 9, 21 and 33 months after the relevant fiscal year end, subject to meeting certain qualifying subject criteria. In this later situation, the relevant company will recognize the cash receivable as other income. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment are recorded at acquisition cost, net of accumulated depreciation and impairment. Depreciation on property and equipment is calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful life of machinery and equipment is three to 10 years. Leasehold improvements are amortized on the straight-line method over the shorter of the remaining lease term or estimated useful life of the asset. Upon retirement or sale of an asset, its cost and related accumulated depreciation or accumulated amortization are removed from the property accounts and any gain or loss is included in the results of operations. Maintenance and repairs are expensed as incurred. |
Intangible Assets | Intangible Assets The Company accounts for intangible assets under ASC 350, Intangibles—Goodwill and Other |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company reviews its tangible and intangible assets for impairment whenever events or changes in business circumstances indicate that the carrying amount of the asset may not be fully recoverable. Recoverability of assets is measured by a comparison of the carrying amount of an asset to the estimated undiscounted cash flows expected to be generated by the asset. If the carrying amount of the asset exceeds its estimated future cash flows, an impairment charge will be recognized in the amount by which the carrying amount of the asset exceeds the fair value of the asset. There were no impairments of long-lived assets during fiscal years 2016, 2015 or 2014. |
Consumable Stores | Consumable Stores Consumable stores represent items that are used in the manufacturing process of clinical or commercial batches of our product candidates. Consumable stores are recorded at the lower of cost and net realizable value. |
Foreign Currency | Foreign Currency The Parent Company’s functional currency is U.S dollars, and the functional currency for most subsidiaries is their local currency. Foreign currency transactions are translated into the functional currency using the current exchange rate as of the date of the transaction. At year end, monetary items denominated in a foreign currency are translated into the functional currency of the relevant entity using the year end spot rate. The exchange gain of $0.2 million and $4.2 million in fiscal year 2016 and 2015, respectively, and an exchange loss of $0.4 million in fiscal year 2014, primarily relate to the translation of Nexvet Australia’s U.S. dollar-denominated bank accounts to its Australian dollar functional currency. In preparing the Company’s consolidated financial statements, the financial statements of the subsidiaries are translated into the US dollar presentation currency at year-end exchange rates as to assets and liabilities and weighted-average rates as to revenue and expenses. The resulting translation adjustments are recognized in other comprehensive income (loss) (“OCI”). The non-cash translation adjustment in accumulated OCI was a loss of $0.9 million and $4.9 million in fiscal years 2016 and 2015. These adjustments primarily relate to the translation of U.S. dollar-denominated bank accounts within Nexvet Australia’s balance sheet to the U.S dollar presentation currency of the consolidated balance sheet. Under U.S. GAAP, there is no offset of these two exchange-related items within the consolidated statements of operations and comprehensive loss. Net loss and associated calculations are impacted by this treatment. |
Income Taxes | Income Taxes The Company has historically filed income tax returns in the U.S., Australia and Ireland. The Company applies ASC Topic 740, Income Taxes When the Company determines that it is more likely than not that some portion or all of the deferred tax assets will not be realized in the future, the deferred tax assets are reduced by a valuation allowance. The valuation allowance is sufficient to reduce the deferred tax assets to the amount that the Company determines is more likely than not to be realized. The income tax benefit from an uncertain tax position is only recognized if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on technical merits of the position. The Company evaluates and adjusts these accruals based on changing facts and circumstances. The Company’s policy is to record interest and penalties related to income taxes as part of its income tax provision. |
License and Collaboration Agreement Revenue Recognition | License and Collaboration Agreement Revenue Recognition Future revenue under a license and collaboration agreement is expected to consist of fees for services, royalties for product sales or payments when specific milestones are met and match underlying activities occurring during the term of the arrangement. In fiscal year 2013, the Company entered into a license and collaboration agreement with a third party for the research and development of animal health products in Japan. The terms of the agreement include non-refundable signing and license fees, development milestone payments, the potential for manufacturing and supply services and royalties on any product sales derived from the collaboration. The Company analyzed this arrangement to determine whether the deliverables, which included license and performance obligations such as research and steering committee services, can be separated or whether these must be accounted for as a single unit of accounting. The Company recognizes license payments as revenue upon delivery of the license only if the license has stand-alone value and there are no undelivered performance obligations related to the license. If the license is considered not to have stand-alone value, the arrangement would then be accounted for as a single unit of accounting and the license payments and payments for performance obligations would be recognized as revenue over the estimated period of when the performance obligations are performed. When the Company determines that an arrangement should be accounted for as a single unit of accounting, it determines the period over which the performance obligations will be performed and revenue will be recognized. Revenue will be recognized using either a proportional performance or straight-line method. The Company recognizes revenue using the proportional performance method when the level of effort required to complete its performance obligations under an arrangement can be reasonably estimated, and such performance obligations are provided on a best-efforts basis. Direct labor hours or full-time equivalents are typically used as the measurement of performance. If the Company cannot reasonably estimate the level of effort to complete its performance obligations under an arrangement, then revenue under the arrangement would be recognized on a straight-line basis over the period the Company is expected to complete its performance obligations. The Company’s license and collaboration agreement entitles it to additional payments upon the achievement of performance-based milestones. Milestones that involve substantial effort on the Company’s part are considered “substantive milestones.” A substantive milestone is included in the Company’s revenue model when the milestone is achieved. To date, no milestone payments have been received. Royalty revenue is recognized upon the sale of the related products, provided the Company has no remaining performance obligations under the arrangement. |
Research and Development Expense | Research and Development Expense Research and development costs are expensed as incurred and consist primarily of (i) payroll and related expense for all employees engaged in scientific research and development functions, including wages, related benefits and share-based compensation, (ii) fees for regulatory, professional and other consultants and (iii) development costs, including costs of drug discovery, safety, proof‑of‑concept, pilot and pivotal safety and efficacy studies, development of biological materials and service providers. The Company uses its employee and infrastructure resources across multiple development programs. The Company allocates outsourced development costs by lead product candidates but does not allocate personnel or other internal costs related to development to specific product candidates. |
General and Administrative Expense | General and Administrative Expense General and administrative expense consists primarily of non-research and development-related payroll and related expense for employees, consultants and directors, including wages, related benefits and share-based compensation. General and administrative expense also includes professional and consulting fees for legal, accounting, tax services and other general business services, as well as other expenses such as travel, rent and facilities costs. |
Other Income (Expense) | Other Income (Expense) Research and development income Australia Nexvet Australia is eligible under the AusIndustry research and development tax incentive program to obtain a cash amount from the ATO. The tax incentive is available to Nexvet Australia on the basis of specific criteria with which Nexvet Australia must comply. Although the tax incentive is administered through the ATO, the Company has accounted for the tax incentive outside the scope of ASC Topic 740, Income Taxes Ireland Nexvet Ireland and BioNua are both eligible under the Research and Development Tax Credit (“R&D Tax Credit”) Guidelines of Ireland to claim a tax credit, up to 25% of eligible research and development expenditure less expenditure already covered by the IDA grant assistance. The tax credit is normally offset against corporation tax payable in Ireland. For companies at the same stage of development as Nexvet Ireland and BioNua, there is the ability to elect to receive the tax credit as a cash payment in three equal amounts, approximately 9, 21 and 33 months after the relevant fiscal year end, subject to meeting certain qualifying subject criteria. In this later situation the relevant company will recognize the cash receivable as other income. Government grant income BioNua is eligible, under an agreement with the IDA, to receive cash as grant income based on a fixed percentage of eligible research and development expenditure in Ireland on a defined project, which includes the achievement of pre-agreed performance targets. Any expenditure eligible under this agreement cannot be claimed under the R&D Tax Credit program. The maximum grant available to the Company is €2.4 million over the life of the agreement. The Company recognizes government grant income at fair value when there is reasonable assurance that the grant will be received and it is probable that all attaching conditions will be complied with. When the grant relates to an asset, the fair value is included in the balance sheet as deferred grant income, which is released to income over the expected useful life in a manner consistent with the depreciation method for the relevant asset and subject to meeting other relevant conditions, and it is recorded on the balance sheet as other income receivable until cash is received. When the grant relates to an expense item, it is recognized as income over the periods necessary to match the grant on a systematic basis to the costs that it is intended to compensate, and it is recorded on the balance sheet as other income receivable until cash is received. The Company has complied with all other requirements of the agreement to date. Exchange gain (loss) Exchange gain (loss) consists primarily of gains or losses due to foreign exchange translation, primarily reflecting changes in Australian and U.S. foreign exchange rates. Under U.S. GAAP, these gains (losses) primarily relate to a translation of U.S. dollar-denominated bank accounts into Nexvet Australia’s Australian dollar functional currency and represent a non-cash item. Interest income The Company earns interest on the cash balances held with financial institutions and recognizes interest when earned on an accrual basis over time. |
Comprehensive Loss | Comprehensive Loss Comprehensive loss represents the total change in shareholders’ equity during the period other than from transactions with shareholders, which for the Company, includes net change in foreign currency translation adjustments. |
Share-Based Compensation | Share-Based Compensation The Company’s share-based compensation plan (see Note 14) provides for the grant of share options, restricted share units and other share-based awards. The fair value of share options is determined as of the date of grant using the binomial option-pricing model. This method incorporates the fair value of the Company’s ordinary shares at the date of each grant and various assumptions such as the risk-free interest rate, expected volatility based on the historic volatility of peer companies, expected dividend yield, and expected term of the share option. Restricted share units are valued at the fair value of the underlying ordinary shares as of the date of grant. The Company classifies share-based compensation expense in the statements of operations and comprehensive loss in the same manner in which the award recipient’s payroll costs are classified. The Company recognizes share-based compensation expense based on the grant date fair value of the entire award over the total period during which an employee is required to provide service in exchange for the award. In accordance with ASC 718, the amount of compensation expense recognized at each balance date is at least equal to the grant date fair value of the vested portion of the award on that date. Where performance conditions are attached to the awards, compensation expense is recognized in the period in which it becomes probable that the performance target will be achieved, net of estimate of pre-vesting forfeitures over the requisite service period. The probability of vesting is reassessed at each reporting period for awards with performance conditions and compensation expense is adjusted based on its probability assessment. Share-based compensation expense is classified in the statements of operation and comprehensive loss in the same manner in which the award recipient’s payroll costs are classified. Equity instruments issued to non-employees, including consultants, are accounted for in accordance with Financial Accounting Standards Board (“FASB”) guidance. All transactions in which services are the consideration received for the issuance of equity instruments are accounted for based on the fair value of the consideration received or the fair value of the equity instrument issued, whichever is more reliably measurable. The measurement date of the fair value of the equity instrument issued is the earlier of the date on which the counterparty’s performance is complete or the date on which it is probable that performance will occur. For transactions where the fair value of the equity instrument issued to non-employees is the more reliable measurement and a measurement date has not been reached, the fair value is re-measured at each balance sheet date using the binomial option-pricing model. Compensation expense for these share-based awards is recognized over the term of the consulting agreement or until the award is approved and settled. |
Segment Data | Segment Data The Company manages its operations as a single segment for the purposes of assessing performance and making operating decisions. The Company is a clinical-stage biopharmaceutical company focusing on developing therapies for companion animals. Total assets, property and equipment, net and total property and equipment additions by geography, reconciled to the consolidated amounts, were as follows as of the dates indicated: June 30, June 2016 2015 United States (in thousands) Total assets $ 30,809 $ 38,973 Property and equipment, net 8 4 Total property and equipment additions 7 4 Australia Total assets $ 3,404 $ 17,259 Property and equipment, net 1,186 538 Total property and equipment additions 975 283 Ireland Total assets $ 6,111 $ 440 Property and equipment, net 3,714 7 Total property and equipment additions 3,945 7 Consolidated Total assets $ 40,324 $ 56,672 Property and equipment, net 4,908 549 Total property and equipment additions 4,927 294 |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements The Company has early adopted the provisions of Accounting Standards Update (“ASU”) No. 2014-10, Elimination of Certain Financial Requirements, Including an Amendment to Variable Interest Entities Guidance Topic in Topic 810, Consolidation Development Stage Entities. Recently Issued Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). · Contracts with customers —including revenue and impairments recognized, disaggregation of revenue and information about contract balances and performance obligations (including the transaction price allocated to the remaining performance obligations). · Significant judgments and changes in judgments —determining the timing of satisfaction of performance obligations (over time or at a point in time), and determining the transaction price and amounts allocated to performance obligations. · Certain assets —assets recognized from the costs to obtain or fulfill a contract. In June 2014, the FASB issued ASU 2014-12, Compensation—Stock Compensation Compensation—Stock Compensation In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements Going Concern (Subtopic 205-40) In September 2015, the FASB issued ASU 2015-16 , Business Combinations (Topic 805) In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740) Balance Sheet Classification of Deferred Taxes In January 2016, the FASB issued ASU 2016-01, Financial Instruments Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02 , Leases (Topic 842) In March 2016, the FASB issued ASU 2016-05, Liabilities—Derivative and Hedging (Topic 815) In March 2016, the FASB issued ASU 2016-09, Compensation—Stock Compensation (Topic 718) Improvements to Employee Share-Based Payment Accounting In April 2016, the FASB issued ASU 2016-10, Revenue from Contracts with Customers (Topic 606) Identifying Performance Obligations and Licensing Revenue from Contracts with Customers (Topic 606 Narrow-Scope Improvements and Practical Expedients. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326) |
Summary of Significant Accoun29
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Reconciliation of Total Assets, Property and Equipment, Net and Total Property and Equipment Additions by Geography to Consolidated | Total assets, property and equipment, net and total property and equipment additions by geography, reconciled to the consolidated amounts, were as follows as of the dates indicated: June 30, June 2016 2015 United States (in thousands) Total assets $ 30,809 $ 38,973 Property and equipment, net 8 4 Total property and equipment additions 7 4 Australia Total assets $ 3,404 $ 17,259 Property and equipment, net 1,186 538 Total property and equipment additions 975 283 Ireland Total assets $ 6,111 $ 440 Property and equipment, net 3,714 7 Total property and equipment additions 3,945 7 Consolidated Total assets $ 40,324 $ 56,672 Property and equipment, net 4,908 549 Total property and equipment additions 4,927 294 |
Other Income Receivable (Tables
Other Income Receivable (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Receivables [Abstract] | |
Schedule of Other Income Receivable | Other income receivable consisted of the following as of the dates indicated: June 30, 2016 2015 (in thousands) Current Research and development income $ 1,809 $ 3,301 Government grant income 374 — Interest income 18 — Other income receivable $ 2,201 $ 3,301 Noncurrent Research and development income $ 251 $ — Other income receivable $ 251 $ — |
Prepaid Expenses and Other (Tab
Prepaid Expenses and Other (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | |
Schedule of Prepaid Expenses and Other | Prepaid expenses and other consisted of the following as of the dates indicated: June 30, 2016 2015 (in thousands) Current Prepaid expenses $ 398 $ 279 Consumable stores 484 — Other 398 328 Prepaid expenses and other $ 1,280 $ 607 Noncurrent Prepaid expenses $ 129 $ 163 Prepaid expenses and other $ 129 $ 163 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property, Plant and Equipment, Net | Property, plant and equipment, net consisted of the following as of the dates indicated: June 30, Useful Lives 2016 2015 (in years) (in thousands) Computer equipment 3-7 $ 213 $ 89 Research and development equipment 5-10 3,206 432 Office equipment 5-20 134 83 Plant and equipment 8 949 — Leasehold improvements 5-10 1,118 133 Less: Accumulated depreciation and amortization (712 ) (188 ) Property, plant and equipment, net $ 4,908 $ 549 |
Summary of Movement in Property, Plant and Equipment | Computer Equipment Research and Development Equipment Office Equipment Plant and Equipment Leasehold Improvements Total (in thousands) Opening balance July 1, 2014 $ 57 $ 214 $ 92 $ — $ 151 $ 514 Additions $ 35 $ 258 $ 1 $ — $ — $ 294 Disposals — — — — — — Depreciation (25 ) (86 ) (12 ) — (29 ) (152 ) Exchange rate adjustment (11 ) (52 ) (19 ) — (25 ) (107 ) Closing balance June 30, 2015 $ 56 $ 334 $ 62 $ — $ 97 $ 549 Additions $ 127 $ 2,780 $ 54 $ 965 $ 1,001 $ 4,927 Disposals — (7 ) — — — (7 ) Depreciation (41 ) (289 ) (17 ) (77 ) (83 ) (507 ) Exchange rate adjustment (2 ) (9 ) (1 ) (31 ) (11 ) (54 ) Closing balance June 30, 2016 $ 140 $ 2,809 $ 98 $ 857 $ 1,004 $ 4,908 |
Schedule of Acquired Certain Manufacturing Assets | In September 2015, the Company acquired certain manufacturing assets as follows: Assets Acquired and Consideration (in thousands) Assets acquired Research and development equipment $ 380 Plant and equipment 934 Leasehold improvements 663 Total assets acquired $ 1,977 Consideration Cash paid $ 1,977 Total consideration $ 1,977 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | Intangible assets, net consisted of the following as of the dates indicated: June 30, Useful Lives 2016 2015 (in years) (in thousands) Computer software 1-3 $ 85 $ 21 Less: Accumulated amortization (11 ) (2 ) Intangible assets, net $ 74 $ 19 |
Accrued Expenses and Other Li34
Accrued Expenses and Other Liabilities (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Payables And Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Liabilities | Accrued expenses and other liabilities consisted of the following as of the dates indicated: June 30, 2016 2015 Current (in thousands) Payroll and related expenses $ 1,883 $ 1,027 Professional fees 297 361 Research and development costs 1,115 964 Accrued expenses and other liabilities $ 3,295 $ 2,352 Noncurrent Payroll and related expenses $ 97 $ — Other 7 — Accrued expenses and other liabilities $ 104 $ — |
Deferred Income (Tables)
Deferred Income (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Deferred Revenue Disclosure [Abstract] | |
Schedule of Deferred Income Consisting of Lease Incentive | Deferred income consisted of a lease incentive as of the dates indicated: June 30, 2016 2015 (in thousands) Current $ 23 $ 23 Noncurrent $ 37 $ 61 |
Warrants (Tables)
Warrants (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Warrants And Rights Note Disclosure [Abstract] | |
Schedule of Warrants | June 30, June 30, 2016 2015 (in thousands) Warrants $ — $ — |
Convertible Preference Shares (
Convertible Preference Shares (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
Schedule of Convertible Preference Shares | Preference Shares consisted of the following as of June 30, 2014: June 30, 2014 Preference Shares Issued and Outstanding Liquidation Preference Carrying Value (in thousands) SIRPS Preference Shares 1,737,132 $ 16,353 $ 8,177 Series B Preference Shares 4,200,006 51,298 25,649 5,937,138 $ 67,651 $ 33,826 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis | Assets and liabilities carried at fair value on a recurring basis as of June 30, 2016 and 2015, including financial instruments which the Company accounts for under the fair value option, are summarized in the following tables. June 30, 2016 Level 1 Level 2 Level 3 Assets/ Liabilities at Fair Value (in thousands) Assets Cash $ 31,481 $ — $ — $ 31,481 June 30, 2015 Level 1 Level 2 Level 3 Assets/ Liabilities at Fair Value Assets Cash $ 52,033 $ — $ — $ 52,033 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Calculation of Net Loss Per Participating Securities | The calculation of net loss per participating securities (“EPS”) for fiscal years 2016 and 2015 is presented below. Year Ended June 30, 2016 2015 2014 (in thousands, except share and per share amounts) Net loss $ (19,365 ) $ (11,857 ) $ (6,710 ) Weighted-average ordinary shares issued and outstanding—basic and diluted 11,517,507 5,214,957 1,000,872 Net loss per ordinary share—basic and diluted $ (1.68 ) $ (2.27 ) $ (6.70 ) |
Ordinary Share Equivalents Excluded from Calculation of Diluted Net Loss Per Share | The following ordinary share equivalents were excluded from the calculation of diluted net loss per share for the periods ended on the dates indicated because including them would have an anti-dilutive effect: Year Ended June 30, 2016 2015 2014 Preference shares — — 5,937,138 Share-based awards 1,041,164 834,303 245,020 Warrants 1,766,998 1,766,998 1,766,998 Shares subject to limited recourse loans (see Note 14) — — 254,680 Total 2,808,162 2,601,301 8,203,836 |
Valuation of Share Awards (Tabl
Valuation of Share Awards (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Estimated Fair Value of Share Awards | The fair value of the share awards was estimated using the following assumptions: Year Ended June 30, 2016 2015 Risk free interest rate 1.7% 1.7% Expected term (in years) 1 - 4 years 3-6 years Expected volatility 75% 80% Forfeiture rate 7.5% 0 Expected dividend yield zero zero |
Summary of Share Option Activities | The following table summarizes share option activity for fiscal years 2015 and 2016: Shares Issuable Under Options Weighted- Average Exercise Price Outstanding as of July 1, 2014 470,479 $ 2.33 Granted 663,661 9.55 Exercised (96,540 ) 0.125 Ordinary shares no longer subject to limited recourse loans (109,611 ) (1) 4.20 Repurchased (145,069 ) 6.35 Expired or forfeited (6,289 ) 0.125 Outstanding as of June 30, 2015 776,631 $ 8.18 Granted 60,000 $ 5.10 Exercised (126,017 ) 0.125 Expired or forfeited — — Outstanding as of June 30, 2016 710,614 $ 9.35 Options vested and expected to vest, as of June 30, 2014 6,195 $ 0.125 Options vested and expected to vest, as of June 30, 2015 159,937 $ 5.77 Options vested and expected to vest, as of June 30, 2016 371,812 $ 10.08 (1) Reflects ordinary shares issued subject to limited recourse loans. See Note 14. |
Summary of Restricted Share Unit Activity | The table below presents the Company’s restricted share unit activity for fiscal years 2016 and 2015: Number of Restricted Share Units Weighted Average Grant Date Fair Value Outstanding as of July 1, 2014 29,214 $ 5.15 Granted 57,947 7.83 Converted (29,489 ) 5.85 Forfeited — — Outstanding as of June 30, 2015 57,672 $ 7.48 Granted 306,560 $ 4.28 Converted (32,200 ) 7.72 Forfeited (1,482 ) — Outstanding as of June 30, 2016 330,550 $ 4.50 Converted and expected to convert, as of June 30, 2014 — $ — Converted and expected to convert, as of June 30, 2015 4,400 $ 9.19 Converted and expected to convert, as of June 30, 2016 — $ — |
Share Based Compensation Expense Related to Share Options and Restricted Share Units | The Company recorded share-based compensation expense related to share options and restricted share units for the fiscal years 2016, 2015 and 2014 as follows: Year Ended June 30, 2016 2015 2014 (in thousands) Research and development $ 726 $ 756 $ 74 General and administrative 1,029 1,325 224 Total $ 1,755 $ 2,081 $ 298 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Commitments And Contingencies Disclosure [Abstract] | |
Summary of Commitments for Operating Lease and Purchase Obligation | Operating Lease and Purchase Obligation Commitments consisted of the following as of the dates indicated: Total Less than 1 Year 1-3 Years 3-5 Years After 5 Years June 30, 2016 (in thousands) Operating leases (1) (3) $ 1,318 $ 193 $ 378 $ 244 $ 503 Purchase obligations (2) 456 456 — — — Total $ 1,774 $ 649 $ 378 $ 244 $ 503 (1) Represents future minimum lease payments under our non-cancelable operating lease, including our Melbourne, Australia and Tullamore, Ireland facilities. (2) Represents future payments pursuant to contracts with suppliers of goods and services to support our product development. We enter into agreements in the normal course of business with CROs for pivotal safety and efficacy studies and with vendors for pre-clinical research studies and other services and products for operating purposes which are cancelable at any time by us, generally upon 30 days prior written notice. (3) The Company occupies research facilities in Australia and expects to enter a lease arrangement in the near future, if this agreement was in place at balance date the operating leases amount would increase by a total $0.2 million (< 1 year $0.1 million, 1-3 year $0.1 million) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Reconciliation of the Statutory Income Tax Rate to the Effective Income Tax Rate | A reconciliation of the statutory income tax rate to the Company’s effective income tax rate is as follows: Year Ended June 30, 2016 2015 2014 (in thousands) Statutory income tax rate $ 2,421 $ 1,482 $ 1,988 Adjustment for foreign tax rates 2,550 1,913 — Non-assessable income and other (316 ) 1,722 703 Non-deductible expenses (1,802 ) (3,669 ) (1,687 ) Change in deferred tax asset valuation allowance (2,943 ) (1,344 ) (1,004 ) Change in tax rates 90 (104 ) — Effective income tax rate $ — $ — $ — |
Net Deferred Tax Assets | Net deferred tax assets as of June 30, 2016 and 2015 consisted of the following: June 30, 2016 2015 (in thousands) Deferred tax assets: Net operation loss carry forward $ 5,184 $ 2,578 Accrued expenses, deferred income and other 738 218 Exchange loss/(gain) 64 (591 ) Net deferred tax assets 5,986 2,205 Valuation allowance (5,986 ) (2,205 ) Net deferred tax assets, net of valuation allowance $ — $ — |
Changes in the Valuation Allowance for Deferred Tax Assets | Changes in the valuation allowance for deferred tax assets during fiscal years 2016, 2015 and 2014 were as follows: June 30, 2016 2015 2014 (in thousands) Valuation allowance as of beginning of year $ 2,205 $ 1,737 $ 479 Increases recorded to income tax provision 3,781 468 1,258 Valuation allowance as of end of year $ 5,986 $ 2,205 $ 1,737 |
Selected Quarterly Financial 43
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Jun. 30, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information (Unaudited) | The following table presents selected unaudited quarterly financial information for the years ended June 30, 2016 and 2015. The results for any quarter are not necessarily indicative of future quarterly results and, accordingly, period to period comparisons should not be relied upon as an indication of future performance. For the Quarter Ended June 30, March 31, December 31, September 2016 (in thousands, except share and per share amounts) Operating expenses $ (5,066 ) $ (5,940 ) $ (5,569 ) $ (5,595 ) Net loss attributable to ordinary shareholders $ (3,969 ) $ (5,745 ) $ (5,691 ) $ (3,960 ) Net loss per share attributable to common shareholders—basic and diluted $ (0.34 ) $ (0.50 ) $ (0.49 ) $ (0.35 ) 2015 Operating expenses $ (4,904 ) $ (5,109 ) $ (4,666 ) $ (5,357 ) Net loss attributable to ordinary shareholders $ (4,479 ) $ (2,668 ) $ (2,413 ) $ (2,297 ) Net loss per share attributable to common shareholders—basic and diluted $ (0.39 ) $ (0.36 ) $ (2.01 ) $ (2.13 ) |
Net Loss Per Share - Calculatio
Net Loss Per Share - Calculation of Net Loss Per Participating Securities (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Earnings Per Share Basic And Diluted [Abstract] | |||||||||||
Net loss | $ (3,969) | $ (5,745) | $ (5,691) | $ (3,960) | $ (4,479) | $ (2,668) | $ (2,413) | $ (2,297) | $ (19,365) | $ (11,857) | $ (6,710) |
Weighted-average ordinary shares issued and outstanding—basic and diluted | 11,517,507 | 5,214,957 | 1,000,872 | ||||||||
Net loss per ordinary share—basic and diluted | $ (0.34) | $ (0.50) | $ (0.49) | $ (0.35) | $ (0.39) | $ (0.36) | $ (2.01) | $ (2.13) | $ (1.68) | $ (2.27) | $ (6.70) |
Net Loss Per Share - Ordinary S
Net Loss Per Share - Ordinary Share Equivalents Excluded from Calculation of Diluted Net Loss Per Share (Details) - shares | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of diluted earnings per share | 2,808,162 | 2,601,301 | 8,203,836 |
Preference Shares | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of diluted earnings per share | 5,937,138 | ||
Share-Based Awards | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of diluted earnings per share | 1,041,164 | 834,303 | 245,020 |
Warrants | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of diluted earnings per share | 1,766,998 | 1,766,998 | 1,766,998 |
Shares Subject To Limited Recourse Loans | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of diluted earnings per share | 254,680 |
Organization and Description 46
Organization and Description of Business - Additional Information (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Nov. 30, 2014 | Aug. 31, 2014 | Jun. 30, 2016USD ($)Cat | Jun. 30, 2015USD ($) | |
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||
Number of cats enrolled for new study | Cat | 126 | |||
Accumulated deficit | $ (43,020) | $ (23,655) | ||
Unrestricted cash | $ 31,500 | |||
Share consolidation, ratio | 0.8 | 0.25 | ||
Stockholders' Equity, Reverse Stock Split | In August 2014, the Company completed a one-for-four share consolidation. Each holder of ordinary shares and preference shares received one ordinary share or preference share for every four ordinary shares or preference shares held by such holder. The number of ordinary shares that may be acquired upon exercise of options or warrants or upon conversion of restricted share units was similarly reduced on a one-for-four basis, with a proportionate adjustment to the exercise or conversion price, as applicable. | |||
Nexvet Biopharma | ||||
Organization Consolidation And Presentation Of Financial Statements Disclosure [Line Items] | ||||
Share consolidation, ratio | 0.8 | |||
Stockholders' Equity, Reverse Stock Split | In November 2014, the Company completed a four-for-five share consolidation. Each holder of ordinary shares and preference shares received four ordinary shares or four preference shares for every five ordinary shares or five preference shares held by such holder. The number of ordinary shares that may be acquired upon exercise of options or warrants or upon conversion of restricted share units was similarly reduced on a four-for-five basis, with a proportionate adjustment to the exercise or conversion price, as applicable. |
Summary of Significant Accoun47
Summary of Significant Accounting Policies - Additional Information (Details) € in Millions, AUD in Millions | 12 Months Ended | ||||
Jun. 30, 2016USD ($) | Jun. 30, 2016AUD | Jun. 30, 2016EUR (€) | Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($) | |
Accounting Policies [Line Items] | |||||
Revenues | AUD | AUD 20 | ||||
Property plant and equipment depreciation methods | Depreciation on property and equipment is calculated using the straight-line method over the estimated useful lives of the assets. | Depreciation on property and equipment is calculated using the straight-line method over the estimated useful lives of the assets. | Depreciation on property and equipment is calculated using the straight-line method over the estimated useful lives of the assets. | ||
Leasehold improvements amortization methods | Leasehold improvements are amortized on the straight-line method over the shorter of the remaining lease term or estimated useful life of the asset. | Leasehold improvements are amortized on the straight-line method over the shorter of the remaining lease term or estimated useful life of the asset. | Leasehold improvements are amortized on the straight-line method over the shorter of the remaining lease term or estimated useful life of the asset. | ||
Intangible assets amortization method | straight-line basis | straight-line basis | straight-line basis | ||
Impairment of long-lived assets | $ 0 | $ 0 | $ 0 | ||
Gain (losses) from foreign currency translation | 183,000 | 4,151,000 | (375,000) | ||
Loss in accumulated OCI due to translation adjustment | 900,000 | 4,900,000 | |||
Milestone method revenue recognized | 0 | ||||
Government grant income | $ 380,000 | € 2.4 | $ 403,000 | $ 1,317,000 | |
Minimum | |||||
Accounting Policies [Line Items] | |||||
Intangible asset useful life | 1 year | 1 year | 1 year | ||
Minimum | Machinery and Equipment | |||||
Accounting Policies [Line Items] | |||||
Estimated useful life | 3 years | 3 years | 3 years | ||
Maximum | |||||
Accounting Policies [Line Items] | |||||
Intangible asset useful life | 3 years | 3 years | 3 years | ||
Maximum | Machinery and Equipment | |||||
Accounting Policies [Line Items] | |||||
Estimated useful life | 10 years | 10 years | 10 years | ||
IRELAND | |||||
Accounting Policies [Line Items] | |||||
Research and development tax credit percentage | 25.00% | 25.00% | 25.00% |
Summary of Significant Accoun48
Summary of Significant Accounting Policies - Reconciliation of Total Assets, Property and Equipment, Net and Total Property and Equipment Additions by Geography to Consolidated (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Total assets | $ 40,324 | $ 56,672 | ||
Property, plant and equipment, net | 4,908 | 549 | $ 514 | |
Total property and equipment additions | $ 1,977 | 4,927 | 294 | |
United States | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Total assets | 30,809 | 38,973 | ||
Property, plant and equipment, net | 8 | 4 | ||
Total property and equipment additions | 7 | 4 | ||
Australia | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Total assets | 3,404 | 17,259 | ||
Property, plant and equipment, net | 1,186 | 538 | ||
Total property and equipment additions | 975 | 283 | ||
IRELAND | ||||
Segment Reporting Asset Reconciling Item [Line Items] | ||||
Total assets | 6,111 | 440 | ||
Property, plant and equipment, net | 3,714 | 7 | ||
Total property and equipment additions | $ 3,945 | $ 7 |
Other Income Receivable - Sched
Other Income Receivable - Schedule of Other Income Receivable (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 |
Current | ||
Research and development income | $ 1,809 | $ 3,301 |
Government grant income | 374 | |
Interest income | 18 | |
Other income receivable | 2,201 | $ 3,301 |
Noncurrent | ||
Research and development income | 251 | |
Other income receivable | $ 251 |
Prepaid Expenses and Other - Sc
Prepaid Expenses and Other - Schedule of Prepaid Expenses and Other (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 |
Current | ||
Prepaid expenses | $ 398 | $ 279 |
Consumable stores | 484 | |
Other | 398 | 328 |
Prepaid expenses and other | 1,280 | 607 |
Noncurrent | ||
Prepaid expenses | 129 | 163 |
Prepaid expenses and other | $ 129 | $ 163 |
Prepaid Expenses and Other - Ad
Prepaid Expenses and Other - Additional Information (Details) - USD ($) | Jun. 30, 2016 | Jun. 30, 2015 |
Prepaid Expenses And Other [Line Items] | ||
Restricted cash | $ 100,000 | $ 100,000 |
Minimum | ||
Prepaid Expenses And Other [Line Items] | ||
Restricted cash collateral balance | $ 50,000 |
Property, Plant and Equipment -
Property, Plant and Equipment - Schedule of Property, Plant and Equipment, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Property Plant And Equipment [Line Items] | |||
Less: Accumulated depreciation and amortization | $ (712) | $ (188) | |
Property, plant and equipment, net | 4,908 | 549 | $ 514 |
Computer Equipment | |||
Property Plant And Equipment [Line Items] | |||
Property plant and equipment, gross | 213 | 89 | |
Property, plant and equipment, net | $ 140 | 56 | 57 |
Computer Equipment | Minimum | |||
Property Plant And Equipment [Line Items] | |||
Estimated useful life | 3 years | ||
Computer Equipment | Maximum | |||
Property Plant And Equipment [Line Items] | |||
Estimated useful life | 7 years | ||
Research and Development Equipment | |||
Property Plant And Equipment [Line Items] | |||
Property plant and equipment, gross | $ 3,206 | 432 | |
Property, plant and equipment, net | $ 2,809 | 334 | 214 |
Research and Development Equipment | Minimum | |||
Property Plant And Equipment [Line Items] | |||
Estimated useful life | 5 years | ||
Research and Development Equipment | Maximum | |||
Property Plant And Equipment [Line Items] | |||
Estimated useful life | 10 years | ||
Office Equipment | |||
Property Plant And Equipment [Line Items] | |||
Property plant and equipment, gross | $ 134 | 83 | |
Property, plant and equipment, net | $ 98 | 62 | 92 |
Office Equipment | Minimum | |||
Property Plant And Equipment [Line Items] | |||
Estimated useful life | 5 years | ||
Office Equipment | Maximum | |||
Property Plant And Equipment [Line Items] | |||
Estimated useful life | 20 years | ||
Plant and Equipment | |||
Property Plant And Equipment [Line Items] | |||
Property plant and equipment, gross | $ 949 | ||
Property, plant and equipment, net | $ 857 | ||
Estimated useful life | 8 years | ||
Leasehold Improvements | |||
Property Plant And Equipment [Line Items] | |||
Property plant and equipment, gross | $ 1,118 | 133 | |
Property, plant and equipment, net | $ 1,004 | $ 97 | $ 151 |
Leasehold Improvements | Minimum | |||
Property Plant And Equipment [Line Items] | |||
Estimated useful life | 5 years | ||
Leasehold Improvements | Maximum | |||
Property Plant And Equipment [Line Items] | |||
Estimated useful life | 10 years |
Property Plant and Equipment -
Property Plant and Equipment - Summary of Movement in Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Sep. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Property Plant And Equipment [Line Items] | |||
Opening balance | $ 549 | $ 514 | |
Additions | $ 1,977 | 4,927 | 294 |
Disposals | (7) | ||
Depreciation | (507) | (152) | |
Exchange rate adjustment | (54) | (107) | |
Closing balance | 4,908 | 549 | |
Computer Equipment | |||
Property Plant And Equipment [Line Items] | |||
Opening balance | 56 | 57 | |
Additions | 127 | 35 | |
Depreciation | (41) | (25) | |
Exchange rate adjustment | (2) | (11) | |
Closing balance | 140 | 56 | |
Research and Development Equipment | |||
Property Plant And Equipment [Line Items] | |||
Opening balance | 334 | 214 | |
Additions | 380 | 2,780 | 258 |
Disposals | (7) | ||
Depreciation | (289) | (86) | |
Exchange rate adjustment | (9) | (52) | |
Closing balance | 2,809 | 334 | |
Office Equipment | |||
Property Plant And Equipment [Line Items] | |||
Opening balance | 62 | 92 | |
Additions | 54 | 1 | |
Depreciation | (17) | (12) | |
Exchange rate adjustment | (1) | (19) | |
Closing balance | 98 | 62 | |
Plant and Equipment | |||
Property Plant And Equipment [Line Items] | |||
Additions | 934 | 965 | |
Depreciation | (77) | ||
Exchange rate adjustment | (31) | ||
Closing balance | 857 | ||
Leasehold Improvements | |||
Property Plant And Equipment [Line Items] | |||
Opening balance | 97 | 151 | |
Additions | $ 663 | 1,001 | |
Depreciation | (83) | (29) | |
Exchange rate adjustment | (11) | (25) | |
Closing balance | $ 1,004 | $ 97 |
Property Plant and Equipment 54
Property Plant and Equipment - Schedule of Acquired Certain Manufacturing Assets (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Assets acquired | ||||
Total assets acquired | $ 1,977 | $ 4,927 | $ 294 | |
Consideration | ||||
Cash paid | 1,977 | 4,927 | 294 | $ 512 |
Total consideration | 1,977 | |||
Research and Development Equipment | ||||
Assets acquired | ||||
Total assets acquired | 380 | 2,780 | $ 258 | |
Plant and Equipment | ||||
Assets acquired | ||||
Total assets acquired | 934 | 965 | ||
Leasehold Improvements | ||||
Assets acquired | ||||
Total assets acquired | $ 663 | $ 1,001 |
Intangible Assets - Schedule of
Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Finite Lived Intangible Assets [Line Items] | ||
Less: Accumulated amortization | $ (11) | $ (2) |
Intangible assets, net | $ 74 | 19 |
Minimum | ||
Finite Lived Intangible Assets [Line Items] | ||
Intangible asset useful life | 1 year | |
Maximum | ||
Finite Lived Intangible Assets [Line Items] | ||
Intangible asset useful life | 3 years | |
Computer software | ||
Finite Lived Intangible Assets [Line Items] | ||
Computer software | $ 85 | $ 21 |
Computer software | Minimum | ||
Finite Lived Intangible Assets [Line Items] | ||
Intangible asset useful life | 1 year | |
Computer software | Maximum | ||
Finite Lived Intangible Assets [Line Items] | ||
Intangible asset useful life | 3 years |
Accrued Expenses and Other Li56
Accrued Expenses and Other Liabilities - Schedule of Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 |
Current | ||
Payroll and related expenses | $ 1,883 | $ 1,027 |
Professional fees | 297 | 361 |
Research and development costs | 1,115 | 964 |
Accrued expenses and other liabilities | 3,295 | $ 2,352 |
Noncurrent | ||
Payroll and related expenses | 97 | |
Other | 7 | |
Accrued expenses and other liabilities | $ 104 |
Deferred Income - Schedule of D
Deferred Income - Schedule of Deferred Income Consisting of Lease Incentive (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 |
Deferred Revenue Disclosure [Abstract] | ||
Deferred income | $ 23 | $ 23 |
Deferred income | $ 37 | $ 61 |
Warrants - Additional Informati
Warrants - Additional Information (Details) - $ / shares | 1 Months Ended | 12 Months Ended |
May 31, 2014 | Jun. 30, 2016 | |
Class Of Warrant Or Right [Line Items] | ||
Warrants contractual life | 5 years | |
Series B Preferred Stock | ||
Class Of Warrant Or Right [Line Items] | ||
Warrants issued to purchase ordinary shares | 1,574,998 | |
Warrants exercise price | $ 8.625 | |
Financial Advisors | ||
Class Of Warrant Or Right [Line Items] | ||
Warrants issued to purchase ordinary shares | 192,000 | |
Warrants exercise price | $ 7.50 |
Convertible Preference Shares -
Convertible Preference Shares - Additional Information (Details) - $ / shares | Feb. 28, 2015 | Nov. 30, 2014 | Jun. 30, 2014 |
Equity [Abstract] | |||
Convertible preference shares, shares authorized | 12,000,000 | ||
Convertible preference shares, nominal value per share | $ 0.01 | $ 0.125 | |
Preference shares converted into ordinary shares | 5,937,160 | 16 |
Convertible Preference Shares60
Convertible Preference Shares - Schedule of Convertible Preference Shares (Details) $ in Thousands | Jun. 30, 2014USD ($)shares |
Class Of Stock [Line Items] | |
Preference Shares, Outstanding | shares | 5,937,138 |
Preference Shares, Liquidation Preference | $ 67,651 |
Convertible preferred stock | $ 33,826 |
SIRPS Convertible Preference Shares | |
Class Of Stock [Line Items] | |
Preference Shares, Outstanding | shares | 1,737,132 |
Preference Shares, Liquidation Preference | $ 16,353 |
Convertible preferred stock | $ 8,177 |
Series B Convertible Preferred Stock | |
Class Of Stock [Line Items] | |
Preference Shares, Outstanding | shares | 4,200,006 |
Preference Shares, Liquidation Preference | $ 51,298 |
Convertible preferred stock | $ 25,649 |
Ordinary Shares - Additional In
Ordinary Shares - Additional Information (Details) | 1 Months Ended | 12 Months Ended | ||||||
Feb. 28, 2015$ / sharesshares | Jun. 30, 2015$ / sharesshares | Jun. 30, 2014$ / sharesshares | Jun. 30, 2016$ / sharesshares | Jun. 30, 2016€ / sharesshares | Jun. 30, 2015€ / sharesshares | Feb. 28, 2015€ / sharesshares | Nov. 30, 2014$ / sharesshares | |
Class Of Stock [Line Items] | ||||||||
Euro deferred shares, shares authorized | 400 | 400 | 400 | 400 | 400 | 400 | ||
Euro deferred shares, nominal value per share | € / shares | € 100 | € 100 | € 100 | |||||
Ordinary shares, shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 | 100,000,000 | ||
Ordinary shares, nominal value per share | $ / shares | $ 0.125 | $ 0.125 | $ 0.125 | $ 0.125 | ||||
Undesignated preferred shares , shares authorized | 10,000,000 | 10,000,000 | ||||||
Convertible preference shares, nominal value per share | $ / shares | $ 0.01 | $ 0.125 | ||||||
Ordinary shares, shares outstanding | 11,406,916 | 11,565,133 | 11,565,133 | 11,406,916 | ||||
Preference shares, shares outstanding | 5,937,160 | 5,937,160 | ||||||
Preference shares converted into ordinary shares | 5,937,160 | 5,937,160 | 16 | |||||
Common Stock | ||||||||
Class Of Stock [Line Items] | ||||||||
Issuance of ordinary shares, shares | 4,176,903 | 4,176,903 | 4,424 |
Fair Value Measurement - Summar
Fair Value Measurement - Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 |
Assets | ||
Cash | $ 31,481 | $ 52,033 |
Level 1 | ||
Assets | ||
Cash | $ 31,481 | $ 52,033 |
Share Based Awards - 2012 Emplo
Share Based Awards - 2012 Employee Share Option Plan - Additional Information (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Aug. 31, 2012 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Ordinary shares repurchased exercise price per share | $ 9.35 | $ 8.18 | $ 2.33 | |
Repurchased ordinary shares | 145,069 | |||
2012 Employee Share Option Plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Ordinary shares issued | 264,386 | |||
Repurchase ordinary shares issued, purchase price per share | $ 4.20 | $ 6.35 | ||
Limited recourse loan, repayment term | 30 days | |||
Limited recourse loan | $ 0 | $ 1,000,000 | ||
Ordinary shares repurchased exercise price per share | $ 6.35 | |||
Options expire date | Feb. 28, 2018 | |||
2012 Employee Share Option Plan | Dr. Heffernan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Loan amount | $ 300,000 | |||
Repurchased ordinary shares | 52,040 | |||
Share options to purchase ordinary shares | 52,040 | |||
2012 Employee Share Option Plan | Dr. Gearing | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Loan amount | $ 300,000 | |||
Repurchased ordinary shares | 46,372 | |||
Share options to purchase ordinary shares | 46,372 |
Share Based Awards - 2013 Long
Share Based Awards - 2013 Long Term Incentive Plan - Additional Information (Details) | 1 Months Ended | 12 Months Ended | |||||||
Jun. 30, 2015$ / sharesshares | Nov. 30, 2014$ / sharesshares | Sep. 30, 2014$ / sharesshares | Aug. 31, 2014 | Nov. 30, 2013$ / sharesshares | Jun. 30, 2016$ / sharesshares | Jun. 30, 2015$ / sharesshares | Feb. 28, 2015$ / shares | Jun. 30, 2014shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||
Share options to purchase ordinary shares | shares | 60,000 | 663,661 | |||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 7.115 | ||||||||
Ordinary shares, nominal value per share | $ 0.125 | $ 0.125 | $ 0.125 | $ 0.125 | $ 0.125 | ||||
Share consolidation, ratio | 0.8 | 0.25 | |||||||
Employee Stock Option | |||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||
Share options to purchase ordinary shares | shares | 141,792 | 16,800 | 215,799 | ||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 9.37 | $ 6.35 | $ 5.15 | ||||||
Restricted Stock | |||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||
Restricted share units to acquire ordinary shares | shares | 57,672 | 16,427 | 21,240 | 29,214 | 330,550 | 57,672 | 29,214 | ||
Previously Reported Value | |||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||
Ordinary shares, nominal value per share | $ 0.10 | ||||||||
2013 Long Term Incentive Plan | |||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||
Ordinary share exercise price | $ 0.125 | $ 0.10 | $ 0 | ||||||
Share options and restricted share units vesting description | Except for share options and restricted share units held by directors (which vested in November 2014), share options and restricted share units held by employees and consultants vest in three equal tranches in November 2014, November 2015 and November 2016 | ||||||||
Vesting period of share options and restricted share units held by employees and consultants | 3 years | ||||||||
2013 Long Term Incentive Plan | Minimum | |||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||
Vesting period of share options and restricted share units held by employees and consultants | 1 year | ||||||||
2013 Long Term Incentive Plan | Maximum | |||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||
Vesting period of share options and restricted share units held by employees and consultants | 3 years |
Share Based Awards - 2015 Long
Share Based Awards - 2015 Long Term Incentive Plan - Additional Information (Details) $ / shares in Units, $ in Millions | 1 Months Ended | 12 Months Ended | |||||||||
Nov. 30, 2015Employee$ / sharesshares | Sep. 30, 2015$ / sharesshares | Aug. 31, 2015Employee$ / sharesshares | Jun. 30, 2015$ / sharesshares | May 31, 2015$ / sharesshares | Nov. 30, 2014$ / sharesshares | Sep. 30, 2014$ / sharesshares | Nov. 30, 2013$ / sharesshares | Jun. 30, 2016USD ($)$ / sharesshares | Jun. 30, 2015$ / sharesshares | Jun. 30, 2014shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 7.115 | ||||||||||
Share options to purchase ordinary shares | shares | 60,000 | 663,661 | |||||||||
Bonus Awards | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Ordinary shares issued | shares | 42,691 | ||||||||||
Ordinary shares issued per share | $ 0.125 | $ 0.125 | |||||||||
Directors | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Vesting period of shares | shares | 2,280 | ||||||||||
New Employee | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Restricted share units to acquire ordinary shares | shares | 2,000 | ||||||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 4.76 | ||||||||||
Ordinary share exercise price | $ 0.125 | ||||||||||
Number of new employees awarded with options and other than options | Employee | 2 | ||||||||||
Vesting date of granted shares | Sep. 21, 2016 | ||||||||||
Number of new employees awarded with other than options | Employee | 1 | ||||||||||
Employee Stock Option | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 9.37 | $ 6.35 | $ 5.15 | ||||||||
Share options to purchase ordinary shares | shares | 141,792 | 16,800 | 215,799 | ||||||||
Employee Stock Option | Employees | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Share options to purchase ordinary shares | shares | 360,000 | ||||||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 5.93 | ||||||||||
Employee Stock Option | New Employee | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 2.71 | ||||||||||
Ordinary share exercise price | $ 5.10 | ||||||||||
Share options to purchase ordinary shares | shares | 60,000 | ||||||||||
Restricted Stock | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Restricted share units to acquire ordinary shares | shares | 57,672 | 16,427 | 21,240 | 29,214 | 330,550 | 57,672 | 29,214 | ||||
Incentive awards, fair value per share of underlying ordinary shares | $ 4.28 | $ 7.83 | |||||||||
Restricted Stock | Directors | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Restricted share units to acquire ordinary shares | shares | 20,280 | ||||||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 6.99 | ||||||||||
Restricted Stock | New Employee | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Restricted share units to acquire ordinary shares | shares | 8,500 | ||||||||||
Ordinary share exercise price | $ 0.125 | ||||||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 4.97 | ||||||||||
Restricted Stock | Employees And Directors | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Restricted share units to acquire ordinary shares | shares | 298,834 | ||||||||||
Ordinary share exercise price | $ 0.125 | ||||||||||
Vesting period of shares | shares | 296,059 | ||||||||||
Minimum | Restricted Stock | Employees And Directors | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 4.26 | ||||||||||
Maximum | Restricted Stock | Employees And Directors | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Incentive awards, fair value per share of underlying ordinary shares | $ 4.27 | ||||||||||
2015 Equity Incentive Plan | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Common Stock, Capital Shares Reserved for Future Issuance | shares | 1,280,000 | ||||||||||
Percentage of shares issued under equity incentive plan | 4.00% | ||||||||||
Aggregate intrinsic value of share-based awards | $ | $ 2.1 | ||||||||||
Aggregate intrinsic value of share-based awards, vested | $ | 0.1 | ||||||||||
Aggregate intrinsic value of share-based awards, unvested | $ | $ 2 | ||||||||||
2015 Equity Incentive Plan | Employees | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Ordinary share exercise price | 15 | ||||||||||
2015 Equity Incentive Plan | Directors | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Ordinary share exercise price | $ 0.125 | ||||||||||
2015 Equity Incentive Plan | Restricted Stock | Employees | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Vesting period of share options and restricted share units held by employees and consultants | 4 years | ||||||||||
2015 Equity Incentive Plan | Restricted Stock | Directors | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Vesting date of granted shares | Jul. 1, 2016 | ||||||||||
2015 Equity Incentive Plan | Minimum | Directors | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Vesting period of share options and restricted share units held by employees and consultants | 1 year | ||||||||||
2015 Equity Incentive Plan | Minimum | New Employee | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Vesting period of share options and restricted share units held by employees and consultants | 1 year | ||||||||||
2015 Equity Incentive Plan | Maximum | Directors | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Vesting period of share options and restricted share units held by employees and consultants | 5 years | ||||||||||
2015 Equity Incentive Plan | Maximum | New Employee | |||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||||||
Vesting period of share options and restricted share units held by employees and consultants | 4 years |
Share Based Awards - Share Awar
Share Based Awards - Share Awards to Consultants or Advisors for Services Provided - Additional information (Details) - $ / shares | 1 Months Ended | 12 Months Ended | |
Nov. 30, 2013 | Jun. 30, 2016 | Jun. 30, 2015 | |
Consultants or advisors | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Issuance of ordinary shares, shares | 0 | 0 | |
Financial Advisors | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Financial advisor fees in ordinary shares | 8,849 | ||
Ordinary shares issued per share | $ 5.18 |
Valuation of Share Awards - Est
Valuation of Share Awards - Estimated Fair Value of Share Awards (Details) | 12 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Risk free interest rate | 1.70% | 1.70% |
Expected volatility | 75.00% | 80.00% |
Forfeiture rate | 7.50% | 0.00% |
Expected dividend yield | 0.00% | 0.00% |
Minimum | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Expected term (in years) | 1 year | 3 years |
Maximum | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Expected term (in years) | 4 years | 6 years |
Valuation of Share Awards - Sum
Valuation of Share Awards - Summary of Share Option Activities (Details) - $ / shares | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||
Shares Issuable Under Options, Outstanding | 776,631 | 470,479 | |
Shares Issuable Under Options, Granted | 60,000 | 663,661 | |
Shares Issuable Under Options, Exercised | (126,017) | (96,540) | |
Shares Issuable Under Options, Ordinary shares no longer subject to limited recourse loans | (109,611) | ||
Shares Issuable Under Options, Repurchased | (145,069) | ||
Shares Issuable Under Options, Expired or forfeited | (6,289) | ||
Shares Issuable Under Options, Outstanding | 710,614 | 776,631 | |
Shares Issuable Under Options, vested and expected to vest | 371,812 | 159,937 | 6,195 |
Weighted-Average Exercise Price, Outstanding | $ 8.18 | $ 2.33 | |
Weighted-Average Exercise Price, Granted | 5.10 | 9.55 | |
Weighted-Average Exercise Price, Exercised | 0.125 | 0.125 | |
Weighted-Average Exercise Price, Ordinary shares no longer subject to limited recourse loans | 4.20 | ||
Weighted-Average Exercise Price, Repurchased | 6.35 | ||
Weighted-Average Exercise Price, Expired or forfeited | 0.125 | ||
Weighted-Average Exercise Price, Outstanding | 9.35 | 8.18 | |
Weighted-Average Exercise Price, Options vested and expected to vest | $ 10.08 | $ 5.77 | $ 0.125 |
Valuation of Share Awards - Add
Valuation of Share Awards - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Total intrinsic value of share options exercised | $ 0.5 | $ 0.5 | $ 0 |
Unrecognized share-based compensation expenses share options and restricted shares | $ 2.9 | $ 3.1 | |
Unrecognized compensation expense weighted average period | 5 years | 4 years | |
Restricted Stock | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Total intrinsic value of restricted share units converted | $ 0.1 | $ 0.2 | $ 0 |
Valuation of Share Awards - S70
Valuation of Share Awards - Summary of Restricted Share Unit Activity (Details) - Restricted Stock - $ / shares | 12 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Number of Restricted Share Units, Outstanding | 57,672 | 29,214 |
Number of Restricted Share Units, Granted | 306,560 | 57,947 |
Number of Restricted Share Units, Converted | (32,200) | (29,489) |
Number of Restricted Share Units, Forfeited | (1,482) | |
Number of Restricted Share Units, Outstanding | 330,550 | 57,672 |
Number of Restricted Share Units, Converted and expected to convert | 4,400 | |
Weighted Average Grant Date Fair Value, Outstanding | $ 7.48 | $ 5.15 |
Weighted Average Grant Date Fair Value, Granted | 4.28 | 7.83 |
Weighted Average Grant Date Fair Value, Converted | 7.72 | 5.85 |
Weighted Average Grant Date Fair Value, Outstanding | $ 4.50 | 7.48 |
Weighted Average Grant Date Fair Value, Converted and expected to convert | $ 9.19 |
Valuation of Share Awards - Sha
Valuation of Share Awards - Share Based Compensation Expense Related to Share Options and Restricted Share Units (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Recognized share-based compensation expense | $ 1,755 | $ 2,081 | $ 298 |
Research and Development | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Recognized share-based compensation expense | 726 | 756 | 74 |
General and Administrative | |||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||
Recognized share-based compensation expense | $ 1,029 | $ 1,325 | $ 224 |
Commitments and Contingencies -
Commitments and Contingencies - Summary of Commitments for Operating Lease and Purchase Obligation (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 |
Commitments And Contingencies Disclosure [Abstract] | ||
Operating leases | $ 1,318 | |
Operating leases Less than1 Year | 193 | |
Operating leases 1-3Years | 378 | |
Operating leases 3-5Years | 244 | |
Operating leases After 5Years | 503 | |
Purchase obligations | 456 | $ 700 |
Purchase obligations next 12 months | 456 | |
Total contractual | 1,774 | |
Total contractual, next 12 months | 649 | |
Total contractual, 1-3 years | 378 | |
Total contractual, 3-5 years | 244 | |
Total contractual, After 5 years | $ 503 |
Commitments and Contingencies73
Commitments and Contingencies - Summary of Commitments for Operating Lease and Purchase Obligation (Parenthetical) (Details) $ in Millions | 12 Months Ended |
Jun. 30, 2016USD ($) | |
Commitments And Contingencies Disclosure [Abstract] | |
Prior written notice period upon cancellation of purchase obligations agreements | P30D |
Increase in operating leases | $ 0.2 |
Increase in operating leases less than1 year | 0.1 |
Increase in operating leases 1-3 year | $ 0.1 |
Commitments and Contingencies74
Commitments and Contingencies - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Commitments and Contingencies [Line Items] | |||
Operating lease expiration period | 5 years | ||
Operating lease commitments | $ 200,000 | $ 400,000 | |
Rent expense | 200,000 | 200,000 | $ 100,000 |
Build-out incentive | $ 26,000 | 26,000 | $ 11,000 |
Unexpired term of lease | 60 months | ||
Contracts with suppliers for goods and services | $ 456,000 | $ 700,000 | |
Tullamore, Ireland | |||
Commitments and Contingencies [Line Items] | |||
Operating lease expiration period | 10 years | ||
Operating lease commitments | $ 1,100,000 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Income Taxes [Line Items] | |||
Provision for income taxes | $ 0 | ||
Deferred tax assets | $ 5,986,000 | $ 2,205,000 | |
Unrecognized tax benefits | $ 0 | $ 0 | |
Australian Income Tax | |||
Income Taxes [Line Items] | |||
Corporate tax rate | 30.00% |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of the Statutory Income Tax Rate to the Effective Income Tax Rate (Details) - USD ($) | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Income Tax Disclosure [Abstract] | |||
Statutory income tax rate | $ 2,421,000 | $ 1,482,000 | $ 1,988,000 |
Adjustment for foreign tax rates | 2,550,000 | 1,913,000 | |
Non-assessable income and other | (316,000) | 1,722,000 | 703,000 |
Non-deductible expenses | (1,802,000) | (3,669,000) | (1,687,000) |
Change in deferred tax asset valuation allowance | (2,943,000) | (1,344,000) | $ (1,004,000) |
Change in tax rates | 90,000 | $ (104,000) | |
Effective income tax rate | $ 0 |
Income Taxes - Net Deferred Tax
Income Taxes - Net Deferred Tax Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 |
Deferred tax assets: | ||||
Net operation loss carry forward | $ 5,184 | $ 2,578 | ||
Accrued expenses, deferred income and other | 738 | 218 | ||
Exchange loss/(gain) | 64 | (591) | ||
Net deferred tax assets | 5,986 | 2,205 | ||
Valuation allowance | $ (5,986) | $ (2,205) | $ (1,737) | $ (479) |
Income Taxes - Changes in the V
Income Taxes - Changes in the Valuation Allowance for Deferred Tax Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Income Tax Disclosure [Abstract] | |||
Valuation allowance as of beginning of year | $ 2,205 | $ 1,737 | $ 479 |
Increases recorded to income tax provision | 3,781 | 468 | 1,258 |
Valuation allowance as of end of year | $ 5,986 | $ 2,205 | $ 1,737 |
Related Party Transaction - Add
Related Party Transaction - Additional Information (Details) - USD ($) | 12 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Related Party Transaction [Line Items] | ||||
General and administrative | $ 7,293,000 | $ 10,191,000 | $ 4,426,000 | |
Ordinary shares, shares issued | 11,565,133 | 11,406,916 | ||
Research and development | $ 14,877,000 | $ 9,845,000 | 5,617,000 | |
Ridge Biotechnology Consulting L L C | ||||
Related Party Transaction [Line Items] | ||||
General and administrative | 39,000 | 200,000 | 100,000 | |
Payable to related party | 13,000 | 19,000 | ||
Robert Gearing | ||||
Related Party Transaction [Line Items] | ||||
Research and development services | 48,000 | |||
Biocomm Squared Pty Ltd | ||||
Related Party Transaction [Line Items] | ||||
Payable to related party | 12,000 | 17,000 | ||
Research and development | $ 200,000 | $ 200,000 | $ 200,000 | |
2012 Employee Share Option Plan | Robert Gearing | ||||
Related Party Transaction [Line Items] | ||||
Ordinary shares, shares issued | 4,424 | 6,250 |
Selected Quarterly Financial 80
Selected Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Operating expenses | $ (5,066) | $ (5,940) | $ (5,569) | $ (5,595) | $ (4,904) | $ (5,109) | $ (4,666) | $ (5,357) | $ (22,170) | $ (20,036) | $ (10,043) |
Net loss attributable to ordinary shareholders | $ (3,969) | $ (5,745) | $ (5,691) | $ (3,960) | $ (4,479) | $ (2,668) | $ (2,413) | $ (2,297) | $ (19,365) | $ (11,857) | $ (6,710) |
Net loss per share attributable to common shareholders—basic and diluted | $ (0.34) | $ (0.50) | $ (0.49) | $ (0.35) | $ (0.39) | $ (0.36) | $ (2.01) | $ (2.13) | $ (1.68) | $ (2.27) | $ (6.70) |