Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Mar. 01, 2018 | Jun. 30, 2017 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | ALNA | ||
Entity Registrant Name | ALLENA PHARMACEUTICALS, INC. | ||
Entity Central Index Key | 1,624,658 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | No | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 20,695,556 | ||
Entity Public Float | $ 0 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 94,494 | $ 25,250 |
Short-term investments | 23,505 | |
Prepaid expenses and other current assets | 1,539 | 520 |
Total current assets | 96,033 | 49,275 |
Property and equipment, net | 127 | 169 |
Other assets | 89 | 35 |
Total assets | 96,249 | 49,479 |
Current liabilities: | ||
Accounts payable | 1,724 | 1,464 |
Loan payable, net of discount | 3,870 | 176 |
Accrued expenses | 1,949 | 1,610 |
Total current liabilities | 7,543 | 3,250 |
Loan payable, net of current portion and discount | 5,516 | 9,409 |
Warrants for the purchase of shares subject to redemption | 267 | |
Other liabilities | 320 | 103 |
Total liabilities | 13,379 | 13,029 |
Commitments and contingencies (Note 13) | ||
Stockholders’ equity (deficit): | ||
Common stock, $0.001 par value; 125,000,000 shares authorized at December 31, 2017, 75,000,000 shares authorized at December 31, 2016; 20,694,658 and 1,341,385 shares issued and outstanding at December 31, 2017 and 2016, respectively | 20 | 1 |
Additional paid-in capital | 164,807 | 1,031 |
Accumulated other comprehensive loss | (2) | |
Accumulated deficit | (81,957) | (60,307) |
Total stockholders’ equity (deficit) | 82,870 | (59,277) |
Total liabilities, convertible preferred stock and stockholders’ equity (deficit) | $ 96,249 | 49,479 |
Series A Convertible Preferred Stock | ||
Current liabilities: | ||
Convertible preferred stock | 17,967 | |
Series B Convertible Preferred Stock | ||
Current liabilities: | ||
Convertible preferred stock | 24,931 | |
Series C Convertible Preferred Stock | ||
Current liabilities: | ||
Convertible preferred stock | $ 52,829 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2017 | Dec. 31, 2016 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 125,000,000 | 75,000,000 |
Common stock, shares issued | 20,694,658 | 1,341,385 |
Common stock, shares outstanding | 20,694,658 | 1,341,385 |
Series A Convertible Preferred Stock | ||
Convertible preferred stock, par value | $ 0.001 | $ 0.001 |
Convertible preferred stock, shares authorized | 0 | 18,510,200 |
Convertible preferred stock, shares issued | 0 | 18,367,344 |
Convertible preferred stock, shares outstanding | 0 | 18,367,344 |
Series B Convertible Preferred Stock | ||
Convertible preferred stock, par value | $ 0.001 | $ 0.001 |
Convertible preferred stock, shares authorized | 0 | 19,481,270 |
Convertible preferred stock, shares issued | 0 | 19,841,270 |
Convertible preferred stock, shares outstanding | 0 | 19,841,270 |
Series C Convertible Preferred Stock | ||
Convertible preferred stock, par value | $ 0.001 | $ 0.001 |
Convertible preferred stock, shares authorized | 0 | 20,037,736 |
Convertible preferred stock, shares issued | 0 | 20,000,000 |
Convertible preferred stock, shares outstanding | 0 | 20,000,000 |
Undesignated Preferred Stock | ||
Convertible preferred stock, par value | $ 0.001 | $ 0.001 |
Convertible preferred stock, shares authorized | 5,000,000 | 0 |
Convertible preferred stock, shares issued | 0 | 0 |
Convertible preferred stock, shares outstanding | 0 | 0 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Operating expenses: | |||
Research and development | $ 15,519 | $ 20,103 | $ 11,540 |
General and administrative | 5,431 | 4,083 | 2,365 |
Total operating expenses | 20,950 | 24,186 | 13,905 |
Other income (expense): | |||
Interest income (expense), net | (443) | (200) | (335) |
Other income (expense), net | (257) | (121) | (7) |
Other income (expense), net | (700) | (321) | (342) |
Net loss | $ (21,650) | $ (24,507) | $ (14,247) |
Net loss per share attributable to common stockholders — basic and diluted | $ (4.80) | $ (18.35) | $ (11.35) |
Weighted-average common shares outstanding — basic and diluted | 4,520,337 | 1,339,254 | 1,258,123 |
Comprehensive loss: | |||
Net loss | $ (21,650) | $ (24,507) | $ (14,247) |
Other comprehensive income (loss): | |||
Unrealized loss on investments | (2) | ||
Total other comprehensive loss | (2) | ||
Comprehensive loss | $ (21,650) | $ (24,509) | $ (14,247) |
Consolidated Statements of Conv
Consolidated Statements of Convertible Preferred Stock and Stockholders' Equity (Deficit) - USD ($) $ in Thousands | Total | Series A Convertible Preferred Stock | Series B Convertible Preferred Stock | Series C Convertible Preferred Stock | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit |
Balance at Dec. 31, 2014 | $ 17,948 | $ 24,891 | ||||||
Balance, Shares at Dec. 31, 2014 | 18,367,344 | 19,841,270 | ||||||
Balance at Dec. 31, 2014 | $ (20,902) | $ 1 | $ 650 | $ (21,553) | ||||
Balance, Shares at Dec. 31, 2014 | 1,135,653 | |||||||
Issuance of Series C convertible preferred stock, net of issuance costs of $218 | $ 52,782 | |||||||
Issuance of Series C convertible preferred stock, net of issuance costs of $218, Shares | 20,000,000 | |||||||
Exercise of common stock options | 7 | 7 | ||||||
Exercise of common stock options, shares | 17,394 | |||||||
Vesting of restricted common stock | 3 | 3 | ||||||
Vesting of restricted common stock, shares | 162,893 | |||||||
Accretion of convertible preferred stock to redemption value | $ 11 | $ 22 | $ 4 | |||||
Accretion of convertible preferred stock to redemption value | (37) | (37) | ||||||
Stock-based compensation | 207 | 207 | ||||||
Net loss | (14,247) | (14,247) | ||||||
Balance at Dec. 31, 2015 | $ 17,959 | $ 24,913 | $ 52,786 | |||||
Balance, Shares at Dec. 31, 2015 | 18,367,344 | 19,841,270 | 20,000,000 | |||||
Balance at Dec. 31, 2015 | (34,969) | $ 1 | 830 | (35,800) | ||||
Balance, Shares at Dec. 31, 2015 | 1,315,940 | |||||||
Exercise of common stock options | 19 | $ 0 | 19 | |||||
Exercise of common stock options, shares | 24,770 | |||||||
Vesting of restricted common stock, shares | 675 | |||||||
Accretion of convertible preferred stock to redemption value | $ 8 | $ 18 | $ 43 | |||||
Accretion of convertible preferred stock to redemption value | (69) | (69) | ||||||
Stock-based compensation | 251 | 251 | ||||||
Change in unrealized gain (loss) on available for sale investments | (2) | $ (2) | ||||||
Net loss | (24,507) | (24,507) | ||||||
Balance at Dec. 31, 2016 | $ 17,967 | $ 24,931 | $ 52,829 | |||||
Balance, Shares at Dec. 31, 2016 | 18,367,344 | 19,841,270 | 20,000,000 | |||||
Balance at Dec. 31, 2016 | $ (59,277) | $ 1 | 1,031 | (2) | (60,307) | |||
Balance, Shares at Dec. 31, 2016 | 1,341,385 | 1,341,385 | ||||||
Issuance of common stock, net of issuance costs | $ 66,999 | $ 5 | 66,994 | |||||
Issuance of common stock, net of issuance costs, shares | 5,350,302 | |||||||
Exercise of common stock options | 28 | 28 | ||||||
Exercise of common stock options, shares | 33,061 | |||||||
Exercise of common stock warrants, shares | 24,401 | |||||||
Accretion of convertible preferred stock to redemption value | $ 7 | $ 15 | $ 36 | |||||
Accretion of convertible preferred stock to redemption value | (58) | (58) | ||||||
Conversion of preferred stock into common stock | $ (17,974) | $ (24,946) | $ (52,865) | |||||
Conversion of preferred stock into common stock, shares | (18,367,344) | (19,841,270) | (20,000,000) | |||||
Conversion of preferred stock into common stock | 95,785 | $ 14 | 95,771 | |||||
Conversion of preferred stock into common stock, shares | 13,945,509 | |||||||
Conversion of warrant liability to equity | 524 | 524 | ||||||
Stock-based compensation | 517 | 517 | ||||||
Change in unrealized gain (loss) on available for sale investments | 2 | $ 2 | ||||||
Net loss | (21,650) | (21,650) | ||||||
Balance, Shares at Dec. 31, 2017 | 0 | 0 | 0 | |||||
Balance at Dec. 31, 2017 | $ 82,870 | $ 20 | $ 164,807 | $ (81,957) | ||||
Balance, Shares at Dec. 31, 2017 | 20,694,658 | 20,694,658 |
Consolidated Statements of Con6
Consolidated Statements of Convertible Preferred Stock and Stockholders' (Deficit) Equity (Parenthetical) $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Series C Convertible Preferred Stock | |
Stock issuance cost | $ 218 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | |||
Net loss | $ (21,650,000) | $ (24,507,000) | $ (14,247,000) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Stock-based compensation expense | 517,000 | 251,000 | 207,000 |
Depreciation expense | 73,000 | 46,000 | 98,000 |
Non-cash interest expense | 351,000 | 204,000 | 167,000 |
Amortization of premium on investments | 33,000 | 153,000 | |
Loss on disposal of equipment | 7,000 | ||
Change in fair value of warrant liability | 257,000 | 132,000 | 36,000 |
Changes in assets and liabilities: | |||
Prepaid expenses and other current assets | (984,000) | 343,000 | (639,000) |
Other assets | (89,000) | ||
Accounts payable | 199,000 | (525,000) | 1,001,000 |
Accrued expenses | 228,000 | 689,000 | 219,000 |
Other liabilities | (180,000) | (24,000) | |
Net cash used in operating activities | (21,065,000) | (23,394,000) | (13,175,000) |
Cash flows from investing activities: | |||
Purchases of property and equipment | (57,000) | (102,000) | |
Purchases of investments | (1,247,000) | (53,210,000) | |
Maturities of investments | 24,721,000 | 29,550,000 | |
Sale of property and equipment | 5,000 | ||
Net cash provided by (used in) investing activities | 23,417,000 | (23,762,000) | 5,000 |
Cash flows from financing activities: | |||
Proceeds from the issuance of common stock, net of issuance costs | 67,197,000 | ||
Proceeds from exercise of stock options | 28,000 | 19,000 | 7,000 |
Proceeds from loan payable | 10,000,000 | 3,250,000 | |
Repayment of loan payable | (333,000) | (6,256,000) | (744,000) |
Debt issuance costs paid | (368,000) | ||
Net cash provided by financing activities | 66,892,000 | 3,395,000 | 55,295,000 |
Net increase (decrease) in cash and cash equivalents | 69,244,000 | (43,761,000) | 42,125,000 |
Cash and cash equivalents, beginning of period | 25,250,000 | 69,011,000 | 26,886,000 |
Cash and cash equivalents, end of period | 94,494,000 | 25,250,000 | 69,011,000 |
Supplemental disclosure of non-cash activities: | |||
Cash paid for interest | 452,000 | 472,000 | 193,000 |
Property and equipment purchases included in accounts payable | 11,000 | 38,000 | 9,000 |
Issuance of warrants in connection with loan payable | 67,000 | 7,000 | |
Accretion of convertible preferred stock to redemption value | 58,000 | $ 69,000 | 37,000 |
Initial public offering costs included in accounts payable and accrued expenses | $ 199,000 | ||
Series C Convertible Preferred Stock | |||
Cash flows from financing activities: | |||
Proceeds from the sale of convertible preferred stock, net of issuance costs | $ 52,782,000 |
Organization and Basis of Prese
Organization and Basis of Presentation | 12 Months Ended |
Dec. 31, 2017 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization and Basis of Presentation | 1. Organization and Basis of Presentation Allena Pharmaceuticals, Inc. (the “Company”) is a clinical stage company focused on developing non-absorbed oral enzyme therapeutics to treat metabolic conditions including hyperoxaluria and hyperuricemia. The Company was incorporated under the laws of the State of Delaware on June 24, 2011. The Company’s headquarters are in Newton, Massachusetts. On November 6, 2017, the Company completed an initial public offering (“IPO”), in which the Company issued and sold 5,333,333 shares of its common stock at a public offering price of $14.00 per share, for aggregate gross proceeds of $74.7 million. The underwriters partially exercised their over-allotment option December 1, 2017, and purchased an additional 16,969 shares of our common stock for aggregate gross proceeds of $0.2 million. As a result of the IPO, the Company received approximately $67.0 million in net proceeds after deducting $7.9 million of underwriting discounts and commissions and offering costs. Upon the closing of the IPO, all of the outstanding shares of convertible preferred stock automatically converted into 13,945,509 shares of common stock. Subsequent to the closing of the IPO, there were no shares of preferred stock outstanding. In connection with the IPO, the Company amended and restated its certificate of incorporation to change the authorized capital stock to 125,000,000 shares designated as common stock and 5,000,000 shares designated as preferred stock, all with a par value of $0.001 per share. In connection with preparing for its IPO, the Company effected a 1-for-4.174 reverse stock split of the Company’s common stock. The reverse stock split became effective on October 23, 2017. The par value and authorized shares of common stock and convertible preferred stock were not adjusted as a result of the reverse stock split. All share and per share amounts in the financial statements and notes thereto have been retroactively adjusted for all periods presented to give effect to this reverse stock split, including reclassifying an amount equal to the reduction in par value of common stock to additional paid-in capital. The financial statements have also been retroactively adjusted to reflect adjustments to the conversion ratio for each series of convertible preferred stock effected in connection with the reverse stock split. The Company is subject to risks common to companies in the biotechnology industry, including but not limited to, risks of failure of preclinical studies and clinical trials, the need to obtain marketing approval for any drug product candidate that it may identify and develop, the need to successfully commercialize and gain market acceptance of its product candidates, dependence on key personnel, protection of proprietary technology, compliance with government regulations, development by competitors of technological innovations, reliance on third party manufacturers, ability to transition from pilot-scale manufacturing to large-scale production of products and the need to obtain adequate additional financing to fund the development of its product candidates. The Company has an accumulated deficit of $82.0 million at December 31, 2017, and will require substantial additional capital to fund operations. The future success of the Company is dependent on its ability to identify and develop its product candidates and ultimately upon its ability to attain profitable operations. At December 31, 2017, the Company had $94.5 million of cash and cash equivalents. The Company believes its cash and cash equivalents as of December 31, 2017 will be sufficient to fund the Company's operating plan for a period of at least one year from the issuance date of the consolidated financial statements. Thereafter, the Company will be required to obtain additional funding in the future to achieve its operating plan. There can be no assurances, however, that the current operating plan will be achieved or that additional funding will be available on terms acceptable to the Company, or at all. Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Any reference in these notes to applicable guidance is meant to refer to the authoritative United States generally accepted accounting principles as found in the Accounting Standard Codification (“ASC”) and Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Principles of Consolidation The consolidated financial statements include the accounts of Allena Pharmaceuticals, Inc. and its wholly owned subsidiaries Allena Pharmaceuticals Security Corporation (“Security Corporation”), which was incorporated in December 2014, and Allena Pharmaceuticals Ireland Limited, which was incorporated in March 2017. All intercompany transactions and balances have been eliminated. Use of Estimates The preparation of the Company's consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, expenses and related disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of expenses during the reporting period. On an ongoing basis, the Company's management evaluates its estimates, which include but are not limited to management’s judgments of accrued expenses, fair value of common stock prior to the closing of the Company’s IPO, valuation of share-based awards, fair value of warrants, prior to the conversion into warrants for the purchase of common stock upon the closing of the IPO, and income taxes. Actual results could differ from those estimates. The Company utilized significant estimates and assumptions in determining the fair value of its common stock. The Company utilized various valuation methodologies in accordance with the framework of the American Institute of Certified Public Accountants Technical Practice Aid, Valuation of Privately-Held Company Equity Securities Issued as Compensation Segment Information Operating segments are defined as components of an enterprise about which separate discrete information is available for evaluation by the chief operating decision-maker in deciding how to allocate resources and assess performance. The Company's chief operating decision-maker, the Company's chief executive officer, views the Company's operations and manages its business as a single operating segment, which is the business of discovering and developing non-absorbed oral enzyme therapeutics. Comprehensive Income (Loss) Comprehensive income (loss) is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources. The Company’s only element of other comprehensive income (loss) is unrealized gains and losses on available-for-sale investments. Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Cash and cash equivalents include cash held in banks and amounts held in money market funds. Cash equivalents are stated at cost, which approximates market value. Cash and cash equivalents consist of the following at December 31, 2017 and 2016 (in thousands): December 31, 2017 2016 Cash and cash equivalents: Cash $ 749 $ 948 Money market funds 93,745 24,302 $ 94,494 $ 25,250 Investments The Company invests available cash primarily in U.S. and foreign corporate debt securities and United States government treasury securities. The Company classifies its investments as available-for-sale. Available-for-sale investments are carried at fair value with unrealized gains and losses included in stockholders’ (deficit) equity. Any premium or discount arising at purchase is amortized and/or accreted to interest income and/or expense. All investments are classified as current assets as they have contractual maturities of less than one year and are available to meet working capital needs and to fund current operations. The cost of securities sold is determined on a specific identification basis, and realized gains and losses are included in interest income (expense) within the statement of operations and comprehensive loss. The Company evaluates its investments with unrealized losses for other-than-temporary impairment. When assessing investments for other-than-temporary declines in value, the Company considers such factors as, among other things, how significant the decline in value is as a percentage of the original cost, how long the market value of the investment has been less than its original cost, the Company’s ability and intent to retain the investment for a period of time sufficient to allow for any anticipated recovery in fair value and market conditions in general. If any adjustment to fair value reflects a decline in the value of the investment that the Company considers to be “other than temporary”, the Company reduces the investment to fair value through a charge to the statement of operations and comprehensive loss. No such adjustments were necessary during the periods presented. Concentration of Credit Risk and Off-Balance Sheet Risk Financial instruments that potentially expose the Company to concentrations of credit risk consist primarily of cash, cash equivalents and investments. The Company maintains all of its cash, cash equivalents and investments balances at a single accredited financial institution, in amounts that exceed federally insured limits. The Company generally invests its excess cash in money market funds, corporate notes and United States government securities that are subject to minimal credit and market risk. Management has established guidelines relative to credit ratings and maturities intended to safeguard principal balances and maintain liquidity. The investment portfolio is maintained in accordance with the Company’s investment policy, which defines allowable investments, specifies credit quality standards and limits the credit exposure of any single issuer. The Company has no significant off-balance sheet risk such as foreign exchange contracts, option contracts, or other foreign hedging arrangements. Significant Suppliers The Company is dependent on third-party manufacturers to supply products for research and development activities of its programs, including preclinical and clinical testing. In particular, the Company relies and expects to continue to rely on a small number of manufacturers to supply it with its requirements for the active pharmaceutical ingredients and formulated drugs related to these programs. These programs could be adversely affected by a significant interruption in the supply of active pharmaceutical ingredients and formulated drugs. Fair Value of Financial Instruments Fair value is defined as the price that would be received upon sale of an asset or paid to transfer a liability between market participants at measurement dates. ASC Topic 820, Fair Value Measurement Level 1 inputs: Quoted prices in active markets for identical assets or liabilities. Level 2 inputs: Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable, such as quoted market prices, interest rates and yield curves. Level 3 inputs: Unobservable inputs developed using estimates or assumptions developed by the Company, which reflect those that a market participant would use in pricing the asset or liability. To the extent that the valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. A financial instrument's level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Property and Equipment Property and equipment consists of laboratory equipment, computer equipment, software and leasehold improvements recorded at cost. These amounts are depreciated using the straight-line method over the estimated useful lives of the assets as follows: Laboratory equipment 4 years Computer equipment 3 years Software 5 years Leasehold improvements Shorter of useful life or remaining term of related lease Upon retirement or sale, the cost of the assets disposed of and the related accumulated depreciation are eliminated from the balance sheet and related gains or losses are reflected in the statement of operations and comprehensive loss. Repairs and maintenance costs are expensed as incurred and costs of significant improvements are capitalized. Impairment of Long-Lived Assets The Company continually evaluates long-lived assets for potential impairment when events or changes in circumstances indicate the carrying value of the assets may not be recoverable. Recoverability is measured by comparing the book values of the assets to the expected future net undiscounted cash flows that the assets are expected to generate. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the book values of the assets exceed their fair value. The Company did not recognize any impairment losses for the years ended December 31, 2017, 2016 and 2015. Warrants to Purchase Shares Subject to Redemption Prior to the closing of the IPO, the Company accounted for warrant instruments that either conditionally or unconditionally obligate the issuer to transfer assets as liabilities regardless of the timing of the redemption feature or price, even though the underlying shares may be classified as equity. These warrants were subject to revaluation at each balance sheet date, and any changes in fair value were recorded as a component of other income (expense) in the statements of operations and comprehensive loss. Upon the closing of the IPO, the warrants met the criteria to be classified in stockholders’ equity and the fair value of the warrant liability as of the IPO date was reclassified to stockholders’ equity (deficit). Research and Development The Company expenses all costs incurred in performing research and development activities. Research and development expenses include salaries and benefits, materials and supplies, preclinical and clinical trial expenses, manufacturing expenses, stock-based compensation expense, depreciation of equipment, contract services and other outside expenses. Costs of certain development activities, such as manufacturing, are recognized based on an evaluation of the progress to completion of specific tasks. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred, and are reflected in the consolidated financial statements as prepaid or accrued research and development costs. Nonrefundable advance payments for goods or services to be received in the future for use in research and development activities are deferred and capitalized. The capitalized amounts are expensed as the related goods are delivered or the services are performed. Patent Costs The Company expenses patent application and related legal costs as incurred and classifies such costs as general and administrative expenses in the accompanying consolidated statements of operations and comprehensive loss. Accounting for Stock-Based Compensation The Company accounts for its stock-based compensation in accordance with ASC Topic 718, Compensation—Stock Compensation Equity-Based Payments to Non-Employees The Black-Scholes option pricing model requires inputs based on certain subjective assumptions, including (a) the expected stock price volatility, (b) the expected term of the award, (c) the risk-free interest rate and (d) expected dividends. Due to the lack of a public market for the Company’s common stock and a lack of company-specific historical and implied volatility data, the Company has based its computation of expected volatility on the historical volatility of a representative group of public companies with similar characteristics to the Company, including stage of product development and life science industry focus. The historical volatility is calculated based on a period of time commensurate with the expected term assumption. The Company uses the simplified method as prescribed by the SEC Staff Accounting Bulletin No. 107, Share-Based Payment In the first quarter of 2017, the Company made an accounting policy election to recognize forfeitures as they occur upon adoption of guidance per ASU No. 2016-09, Compensation – Stock Compensation The Company expenses the fair value of its share-based compensation awards to employees on a straight-line basis over the requisite service period, which is generally the vesting period. Stock-based compensation awards to non-employees are adjusted through stock-based compensation expense at each reporting period end to reflect the current fair value of such awards and are expensed on a straight-line basis. Income Taxes The Company accounts for income taxes using the liability method in accordance with ASC Topic 740, Income Taxes The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. Net Loss Per Share The Company has reported losses since inception and has computed basic net loss per share attributable to common stockholders by dividing net loss attributable to common stockholders by the weighted-average number of common shares outstanding for the period, without consideration for potentially dilutive securities. The Company has computed diluted net loss per common share after giving consideration to all potentially dilutive common shares, including options to purchase common stock, restricted common stock, convertible preferred stock and warrants to purchase convertible preferred stock, outstanding during the period determined using the treasury-stock and if-converted methods, except where the effect of including such securities would be anti-dilutive. Because the Company has reported net losses since inception, these potential common shares have been anti-dilutive and basic and diluted loss per share have been the same. Basic and diluted net loss per share attributable to common stockholders was calculated as follows (in thousands, except share and per share data): Years Ended December 31, 2017 2016 2015 Numerator: Net loss $ (21,650 ) $ (24,507 ) $ (14,247 ) Accretion of convertible preferred stock (58 ) (69 ) (37 ) Net loss attributable to common stockholders $ (21,708 ) $ (24,576 ) $ (14,284 ) Denominator: Weighted-average common shares – basic and diluted 4,520,337 1,339,254 1,258,123 Net loss per share attributable to common stockholders –basic and diluted $ (4.80 ) $ (18.35 ) $ (11.35 ) The following table sets forth the potentially dilutive securities that have been excluded from the calculation of diluted net loss per share because to include them would be anti-dilutive (in common stock equivalent shares): Years Ended December 31, 2017 2016 2015 Series A convertible preferred stock — 4,400,410 4,400,410 Series B convertible preferred stock — 4,753,536 4,753,536 Series C convertible preferred stock — 4,791,563 4,791,563 Warrants 9,040 43,265 34,225 Stock options 1,508,124 1,348,845 759,167 Restricted stock — — 675 Total 1,517,164 15,337,619 14,739,576 Loss Contingencies In accordance with ASC 450, Contingencies Guarantees The Company has identified the guarantees described below as disclosable, in accordance with ASC 460, Guarantees As permitted under Delaware law, the Company indemnifies its officers and directors for certain events or occurrences while the officer or director is, or was, serving at the Company’s request in such capacity. The maximum potential amount of future payments the Company could be required to make is unlimited; however, the Company has directors’ and officers’ insurance coverage that should limit its exposure and enable it to recover a portion of any future amounts paid. The Company is a party to a number of agreements entered into in the ordinary course of business that contain typical provisions that obligate the Company to indemnify the other parties to such agreements upon the occurrence of certain events. Such indemnification obligations are usually in effect from the date of execution of the applicable agreement for a period equal to the applicable statute of limitations. The aggregate maximum potential future liability of the Company under such indemnification provisions is uncertain. The Company leases office space under several noncancelable operating leases. The Company has standard indemnification arrangements under these leases that require it to indemnify the landlord against all costs, expenses, fines, suits, claims, demands, liabilities, and actions directly resulting from any breach, violation, or nonperformance of any covenant or condition of the respective lease. As of December 31, 2017, 2016 and 2015, the Company had not experienced any losses related to these indemnification obligations, and no material claims with respect thereto were outstanding. The Company does not expect significant claims related to these indemnification obligations and, consequently, concluded that the fair value of these obligations is negligible, and no related reserves have been established. Recently Adopted Accounting Pronouncements From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies and adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the impact of recently issued standards that are not yet effective will not have a material impact on its consolidated financial position or results of operations upon adoption. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements—Going Concern In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes In March 2016, the FASB issued ASU No. 2016-09, Compensation-Stock Compensation Compensation-Stock Compensation. Recently Issued Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments In May 2017, the FASB issued ASU No. 2017-09, Compensation-Stock Compensation (Topic 718): Scope of Modification Accounting |
Investments
Investments | 12 Months Ended |
Dec. 31, 2017 | |
Investments Debt And Equity Securities [Abstract] | |
Investments | 3. Investments The Company did not have any investments as of December 31, 2017. The following table summarizes the Company’s investments as of December 31, 2016 (in thousands): Amortized Gross Unrealized Estimated Cost Gains Losses Fair Value Available-for-sale securities: U.S. treasury securities $ 13,258 $ 3 $ (2 ) $ 13,259 U.S. corporate debt securities 7,397 — (3 ) 7,394 Foreign corporate debt securities 2,852 — — 2,852 Total available-for-sale securities $ 23,507 $ 3 $ (5 ) $ 23,505 The aggregate fair value of investments with unrealized losses was approximately $16.5 million at December 31, 2016. At December 31, 2016, 10 investments were in an unrealized loss position. All such investments have been in an unrealized loss position for less than a year and these losses are considered temporary. The Company has the ability and intent to hold these investments until a recovery of their amortized cost. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 4. Fair Value Measurements The following tables present information about the Company’s financial assets and liabilities that have been measured at fair value at December 31, 2017 and 2016 and indicates the fair value hierarchy of the valuation inputs utilized to determine such fair value (in thousands): Description December 31, 2017 Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds, included in cash and cash equivalents $ 93,745 $ 93,745 $ — $ — Total assets $ 93,745 $ 93,745 $ — $ — Liabilities: Warrants for the purchase of shares subject to redemption $ — $ — $ — $ — Total liabilities $ — $ — $ — $ — Description December 31, 2016 Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds, included in cash and cash equivalents $ 24,302 $ 24,302 $ — $ — Investments: U.S. treasury securities 13,259 13,259 — — U.S corporate debt securities 7,394 — 7,394 Foreign corporate debt securities 2,852 — 2,852 — Total assets $ 47,807 $ 37,561 $ 10,246 $ — Liabilities: Warrants for the purchase of shares subject to redemption $ 267 $ — $ — $ 267 Total liabilities $ 267 $ — $ — $ 267 At December 31, 2017 and 2016, all of the Company’s cash equivalents were comprised of money market funds. At December 31, 2016, items classified as Level 2 within the valuation hierarchy consist of U.S. and foreign corporate debt securities. The Company estimates the fair values of these investments by taking into consideration valuations obtained from third-party pricing sources. These pricing sources utilize industry standard valuation models, including both income and market-based approaches, for which all significant inputs are observable, either directly or indirectly, to estimate fair value. These inputs include market pricing based on real-time trade data for the same or similar securities, issuer credit spreads, benchmark yields, and other observable inputs. The Company validates the prices provided by its third-party pricing sources by understanding the models used, obtaining market values from other pricing sources and analyzing pricing data in certain instances. There have been no changes to the valuation methods used during the years ended December 31, 2017 and 2016. There were no transfers within the fair value hierarchy during the years ended December 31, 2017 and 2016. The carrying amounts reflected in the consolidated balance sheets for cash and cash equivalents, prepaid expenses and other current assets, accounts payable and accrued expenses approximate their carrying values. The Company believes the terms of the loan payable reflect current market conditions for an instrument with similar terms and maturity, therefore the carrying value of the Company’s debt approximates its fair value based on Level 3 of the fair value hierarchy. Warrants to Purchase Shares Subject to Redemption In connection with entering into a Loan and Security Agreement (“Loan Agreement”) in August 2014 (Note 7), the Company issued a warrant for the purchase of 71,428 shares of Series A preferred stock (“Series A Warrant”) when the Loan Agreement was executed. In connection with the first advance under the Loan Agreement, the Series A Warrant became exercisable for an additional 38,265 shares. In connection with a second advance under the Loan Agreement in March 2015, the Series A Warrant became exercisable for an additional 33,163 shares. The Company amended the Loan Agreement in May 2016. In connection with the first advance under the amended Loan Agreement in May 2016, the Company issued a warrant for the purchase of up to 28,302 shares of Series C preferred stock (“Series C Warrant”, together with the Series A Warrant, the “Warrants”). In connection with the second advance under the amended Loan Agreement in December 2016, the Series C Warrant became exercisable for an additional 9,434 shares. The estimated fair value of the Warrants was determined using the Black-Scholes option-pricing model. A significant input to the fair value of the warrants is the fair value of the Series A and C Preferred Stock which was determined based upon the Company’s common stock valuations. The fair value of the Warrants was remeasured at each reporting date through the date of the IPO using then-current assumptions with changes in fair value charged to other income (expense) on the statements of operations and comprehensive loss. As of November 6, 2017 and December 31, 2016, the Warrants were valued at $0.5 million and $0.3 million, respectively. The following assumptions were used in valuing the Warrants: November 6, 2017 December 31, 2016 Risk-free interest rate 2.1% - 2.2% 2.3% - 2.5% Expected dividend yield —% —% Expected term (in years) 6.8 - 8.5 7.6 - 9.3 Expected volatility 84% - 86% 90% The following table sets forth a summary of changes in the fair value of the Warrants, which represented a recurring measurement classified within Level 3 of the fair value hierarchy, wherein fair value was estimated using significant unobservable inputs (in thousands, except share data): Balance at December 31, 2015 $ 68 Initial fair value of Series C Warrant for the purchase of 28,302 shares 45 Initial fair value of Series C Warrant for the purchase of 9,434 shares 22 Change in fair value of Warrants included in other income (expense) 132 Balance at December 31, 2016 267 Change in fair value of Warrants through the date of the IPO included in other income (expense) 257 Fair value of Warrants reclassified to stockholders' equity (deficit) upon conversion to warrants for the conversion of common stock (524 ) Balance at December 31, 2017 $ — An entity may choose to measure many financial instruments and certain other items at fair value at specified election dates. Subsequent unrealized gains and losses on items for which the fair value option has been elected will be reported in earnings. The Company did not elect to measure any financial instruments or other items at fair value. |
Property and Equipment, Net
Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment, Net | 5. Property and Equipment, Net Property and equipment includes the following at December 31, 2017 and 2016 (in thousands): December 31, 2017 2016 Property and equipment: Laboratory equipment $ 263 $ 232 Computer equipment 6 6 Software 39 39 308 277 Less: Accumulated depreciation (181 ) (108 ) Property and equipment, net $ 127 $ 169 The Company recognized $73,000, $46,000 and $0.1 million of depreciation expense for the years ended December 31, 2017, 2016 and 2015, respectively. In September 2016, the Company wrote-off $0.1 million of fully depreciated leasehold improvements upon moving out of a laboratory facility. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Payables And Accruals [Abstract] | |
Accrued Expenses | 6. Accrued Expenses Accrued expenses consist of the following (in thousands): December 31, 2017 2016 Payroll and employee-related expenses $ 1,132 $ 914 Professional fees 420 172 Third-party research and development expenses 135 413 Loan interest 40 28 IPO-related costs 111 — Other 111 83 Total accrued expenses $ 1,949 $ 1,610 |
Loan and Security Agreement
Loan and Security Agreement | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Loan and Security Agreement | 7. Loan and Security Agreement In August 2014, the Company entered into a Loan Agreement with Silicon Valley Bank (“SVB”) to borrow up to $7.0 million. Upon entering into the Loan Agreement, SVB advanced $3.8 million to the Company. In March 2015, SVB advanced the remaining $3.2 million available under the Loan Agreement. In May 2016, the Loan Agreement was amended (“Amended Loan Agreement”) to borrow up to $10.0 million with a portion of the proceeds to be used to pay down the outstanding balance of the original $7.0 million of advances. At the time of the Amended Loan Agreement, SVB advanced a gross amount of $7.5 million to the Company. Net proceeds received by the Company were $1.6 million after deducting $5.3 million for repayment of the original advances and $0.6 million for final interest due upon maturity or prepayment of the original advances. The Amended Loan Agreement was accounted for as a debt modification pursuant to ASC 450-70, Modifications or Extinguishments The borrowings are secured by a lien on all Company assets, excluding intellectual property. The May 2016 and December 2016 advances have a floating per annum interest rate of the greater of 4.0% or 0.5% above the prime rate. The interest rate on the borrowings at December 31, 2016 and December 31, 2017 was 4.25% and 5.0%, respectively. Beginning in May 2016, payments were interest only for a period of 12 months. In December 2016, the interest only period was extended to 18 months. Upon the expiration of the interest only period, amounts borrowed will be repaid over 30 equal monthly payments of principal and interest. At its option, the Company may prepay all, but not less than all, of the outstanding borrowings subject to a prepayment premium as defined in the Amended Loan Agreement. The Company is also required to make a final payment equal to 8.25% of the total borrowings which is due on the earliest of the loan maturity date, an acceleration of the loan as defined in the Amended Loan Agreement or at the time of prepayment. The final payment is being accreted to interest expense through the maturity date of the loan. The minimum aggregate future loan and interest payments at December 31, 2017 are as follows (in thousands): Years Ending December 31, 2018 $ 4,377 2019 4,185 2020 2,512 Total minimum payments 11,074 Less: Amount representing interest (1,407 ) Less: Discount (281 ) Less: Current portion (3,870 ) Loan payable, net of current portion $ 5,516 The Company issued a Series A Warrant to SVB to purchase 71,428 shares of Series A convertible preferred stock (“Series A Preferred Stock”) at $0.98 per share upon executing the Loan Agreement. In addition, the Company issued an additional warrant to SVB to purchase a number of shares of Series A Preferred Stock equal to 1.0% of each additional loan advance amount. In connection with the initial advance and the advance in March 2015, the Company issued additional Series A Warrants to purchase up to 38,265 and 33,163 shares of Series A Preferred Stock at $0.98 per share, respectively. The Series A Warrants expire on August 17, 2024. Under the terms of the Amended Loan Agreement, the Company issued a Series C Warrant to SVB to purchase a number of shares of Series C convertible preferred stock (“Series C Preferred Stock”) at $2.65 per share equal to 1.0% of each loan advance amount. In connection with the initial advance and the advance in December 2016, the Company issued Series C Warrants to purchase up to 28,302 and 9,434 shares of Series C Preferred Stock at $2.65 per share, respectively. The Series C Warrants expire on May 1, 2026. Upon the closing of the IPO, the Series A Warrants converted to common stock warrants to purchase up to 34,225 shares of common stock at an exercise price of $4.09 per share. The Series C Warrants converted to common stock warrants to purchase up to 9,040 shares of common stock at an exercise price of $11.06 per share. On December 12, 2017, SVB exercised its warrants to purchase 34,225 shares of common stock using the cashless exercise option permitted per the terms of the warrant agreement. The Company issued 24,401 shares of common stock to SVB as settlement of the warrant. At December 31, 2017, warrants to purchase up to 9,040 shares of common stock at an exercise price of $11.06 remained outstanding. The Company recorded the fair value of the Warrants at issuance as a reduction to the loan payable balance. The discount is being accreted to interest expense over the period that the loan will be outstanding. The offsetting credit was recorded as warrants to purchase shares subject to redemption in the long-term liabilities section on the consolidated balance sheets. The fair value of the Warrants was remeasured at each reporting period through the closing of the IPO and changes in fair value The Amended Loan Agreement contains negative covenants restricting the Company’s activities, including limitations on dispositions, mergers or acquisitions, incurring indebtedness or liens, paying dividends or making investments and certain other business transactions. There are no financial covenants associated with the Amended Loan Agreement. The obligations under the Amended Loan Agreement are subject to acceleration upon the occurrence of specified events of default, including a material adverse change in the Company’s business, operations or financial or other condition. The Company has determined that the risk of subjective acceleration under the material adverse events clause is remote and therefore has classified the outstanding principal in current and long-term liabilities based on scheduled principal payments. The Loan Agreement was previously amended in December 2014 in conjunction with the formation of the Security Corporation, requiring the Company to maintain a balance of cash and cash equivalents in the Company’s operating, depository and securities accounts in an amount not less than 125% of the outstanding debt balance so long as the Company maintains a cash balance in the Security Corporation. At December 31, 2017 and 2016, the Company was required to have and had a balance of not less than $12.1 million and $12.5 million, respectively, included in cash and cash equivalents, representing 125% of the outstanding debt balances at December 31, 2017 and 2016 of $9.7 million and $10.0 million, respectively, in the Company’s operating account. The Company evaluated the Loan Agreement and Amended Loan Agreement for embedded features that require bifurcation, noting that the contingent interest feature and the incremental interest upon an event of default were required to be bifurcated, but were concluded to be de minimus in value at inception and at December 31, 2017 and 2016. |
Convertible Preferred Stock
Convertible Preferred Stock | 12 Months Ended |
Dec. 31, 2017 | |
Temporary Equity Disclosure [Abstract] | |
Convertible Preferred Stock | 8. Convertible Preferred Stock Series A Convertible Preferred Stock From September 2011 to May 2014, the Company issued a total of 18,367,344 shares of Series A Preferred Stock at $0.98 per share for total net proceeds of $17.9 million. Series B Convertible Preferred Stock In November 2014, the Company issued 19,841,270 shares of the Series B Convertible Preferred Stock (“Series B Preferred Stock”) at $1.26 per share for net proceeds of $24.9 million. Series C Convertible Preferred Stock In November 2015, the Company issued 20,000,000 shares of the Series C Preferred Stock (collectively with the Series A Preferred Stock and Series B Preferred Stock, the “Preferred Stock”) at $2.65 per share for net proceeds of $52.8 million. Conversion to Common Stock Upon the closing of the IPO, all of the outstanding shares of convertible preferred stock automatically converted into 13,945,509 shares of common stock. Subsequent to the closing of the IPO, there were no shares of preferred stock outstanding. In connection with the IPO, the Company amended and restated its certificate of incorporation to change the authorized capital stock to 125,000,000 shares designated as common stock and 5,000,000 shares designated as preferred stock, all with a par value of $0.001 per share. |
Stockholders_ Equity (Deficit)
Stockholders’ Equity (Deficit) | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Stockholders’ Equity (Deficit) | 9. Stockholders’ Equity (Deficit) Common Stock The holders of common stock are entitled to one vote for each share held. Common stockholders are not entitled to receive dividends, unless declared by the Board of Directors. The Company has reserved for future issuances the following shares of common stock as of December 31, 2017 and 2016: December 31, 2017 December 31, 2016 Series A convertible preferred stock — 4,400,410 Series B convertible preferred stock — 4,753,536 Series C convertible preferred stock — 4,791,563 Warrants 9,040 43,265 Stock options 3,538,345 2,130,560 Employee stock purchase plan 206,284 — Total 3,753,669 16,119,334 Restricted Common Stock In 2011 and 2012, the Company issued a total of 1,211,035 shares of restricted common stock to founders, employees, directors and consultants. These shares of common stock vested over four years. If any of these individuals ceased to be employed or to provide services to the Company prior to vesting, the Company had the right to repurchase any unvested shares of common stock at the price paid by the holder. 675 shares of restricted stock with a weighted average grant date fair value of $0.42 per share remained unvested at December 31, 2015. All of these shares vested during the year ended December 31, 2016. The fair value of restricted stock awards that vested during the year ended December 31, 2016, based on estimated fair values of the stock underlying the restricted stock awards on the day of vesting was $800. There were no shares of unvested restricted stock awards outstanding at December 31, 2017 and 2016. |
Stock Incentive Plans
Stock Incentive Plans | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock Incentive Plans | 10. Stock Incentive Plans Stock Option Plans On October 16, 2017, the Company’s stockholders approved the 2017 Stock Option and Incentive Plan (“2017 Plan”), which became effective on October 31, 2017. As of the effective date of the 2017 Plan, no further grants will be made under the 2011 Plan. The 2017 Plan initially provides for the grant of awards for 2,038,021 shares of common stock. In addition to the shares available for grant under the 2017 Plan, any awards outstanding under the 2011 Plan as of the October 31, 2017 that are cancelled, forfeited or otherwise terminated without being exercised, the number of shares underlying such awards will be available for future grant under the 2017 Plan. The 2017 Plan also provides that an additional number of shares will automatically be added to the shares authorized for issuance under the 2017 Plan on January 1 of each year. The number of shares added each year will be equal to the lesser of: (i) 4% of the outstanding shares on the immediately preceding December 31 or (ii) such amount as determined by the Compensation Committee of the registrant’s Board of Directors. On January 1, 2018, the shares available for grant under the 2017 Plan was automatically increased by 827,786 shares. All of the Company’s employees, officers, directors, consultants and advisors are eligible to be granted options, restricted stock units (“RSUs”), and other share-based awards under the terms of the 2017 Plan. As of December 31, 2017, 2,030,221 shares of common stock were available for future grant under the 2017 Plan. All stock option grants are nonstatutory stock options except option grants to employees (including officers and directors) intended to qualify as incentive stock options under the Internal Revenue Code of 1986, as amended. Incentive stock options may not be granted at less than the fair market value of the Company’s common stock on the date of grant. Nonqualified stock options may be granted at an exercise price established by the Board of Directors at its sole discretion (which has not been less than fair market value on the date of grant) and the vesting periods may vary. Vesting periods are generally four years and are determined by the Board of Directors or a delegated subcommittee. Stock options become exercisable as they vest. Options granted under the 2017 and 2011 Plans expire no more than 10 years from the date of grant. Stock-based compensation expense included in the Company’s statements of operations and comprehensive loss is as follows (in thousands): Years Ended December 31, 2017 2016 2015 Research and development $ 147 $ 68 $ 74 General and administrative 370 183 133 Total $ 517 $ 251 $ 207 The fair value of each stock option granted to employees and directors was estimated on the date of grant using the Black-Scholes option-pricing model, with the following range of assumptions for the years ended December 31, 2017, 2016 and 2015: Years Ended December 31, 2017 2016 2015 Risk-free interest rate 1.9% – 2.3% 1.3% – 1.7% 1.8% – 1.9% Expected dividend yield —% —% —% Expected term (in years) 5.6 – 6.3 5.4 – 6.4 6.25 Expected volatility 81% 77% 85% The expense related to awards granted to employees and directors for their service on the Board of Directors was $0.5 million, $0.2 million, and $0.2 million for the years ended December 31, 2017, 2016 and 2015, respectively. The fair value of each stock option granted to non-employees was estimated on the date of grant using the Black-Scholes option-pricing model, with the following range of assumptions for the years ended December 31, 2016 and 2015: Years Ended December 31, 2016 2015 Risk-free interest rate 1.9% – 2.4% 2.4 % Expected dividend yield —% — % Expected term (in years) 8.9 – 10.0 10.0 Expected volatility 89% 85 % We did not grant any stock options to non-employees during the year ended December 31, 2017. The expense related to awards granted to non-employees was $65,000, $24,000 and $28,000 for the years ended December 31, 2017 and 2016 and 2015, respectively. A summary of the stock option activity under the 2017 and 2011 Plans is as follows: Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Life (in years) Aggregate Intrinsic Value (in thousands) Outstanding at December 31, 2016 1,348,845 $ 1.29 8.6 $ 3,642 Granted 209,797 5.50 Exercised (33,061 ) 0.86 Cancelled (17,457 ) 1.87 Outstanding at December 31, 2017 1,508,124 $ 1.89 7.9 $ 12,328 Exercisable at December 31, 2017 787,375 $ 1.24 7.4 $ 6,945 Vested and expected to vest at December 31, 2017 1,508,124 $ 1.89 7.9 $ 12,328 The weighted-average fair value of options granted to employees and directors for their service on the Board of Directors during the years ended December 31, 2017, 2016 and 2015 was $6.16 ,$1.13 and $0.83 per share, respectively. The weighted-average fair value of options granted to non-employees during the year ended December 31, 2016 and 2015 was $1.38 and $1.00 per share, respectively. There were no options granted to non-employees during the year ended December 31, 2017. The aggregate intrinsic value of stock options is calculated as the difference between the exercise price of the stock options and the fair value of the Company’s common stock for those stock options that had exercise prices lower than the fair value of the Company’s common stock. The total intrinsic value of options exercised during the years ended December 31, 2017 and 2016 was $276,000 and $21,000, respectively. As of December 31, 2017, total unrecognized stock-based compensation expense relating to unvested stock options was $1.8 million. This amount is expected to be recognized over a weighted-average period of 2.4 years. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 11. Income Taxes New Tax Legislation On December 22, 2017, the President of the United States signed into law the Tax Cuts and Jobs Act (“TCJA”). This legislation reduced the U.S. corporate tax rate from the current rate of 34% to 21% for tax years beginning after December 31, 2017. As a result of the enacted law, the Company was required to revalue deferred tax assets and liabilities existing as of December 31, 2017 from the 34% federal rate in effect through the end of 2017, to the new 21% rate. The Company has recognized the impact of the Tax Reform Act in these consolidated financial statements and related disclosures. Due to the complexities involved in accounting for the enactment of the Tax Reform Act, the SEC staff issued Staff Accounting Bulletin No. 118 ("SAB 118"), which allows a registrant to record provisional amounts during a measurement period not to extend beyond one year of the enactment date. In accordance with SAB 118, the Company recorded provisional amounts reflecting the impact of the Tax Reform Act in these consolidated financial statements and related disclosures. The impact of the remeasurement of the Company’s U.S. deferred tax assets and liabilities to 21% resulted in the reduction of deferred tax assets of approximately $9.3 million, which is offset by a full valuation allowance. There was no impact to the Company’s income statement due to the reduction in the U.S. corporate tax rate. Our preliminary estimate of the TCJA and the remeasurement of our deferred tax assets and liabilities is subject to the finalization of management’s analysis related to certain matters, such as developing interpretations of the provisions of the TCJA, changes to certain estimates and the filing of our tax returns. U.S. Treasury regulations, administrative interpretations or court decisions interpreting the TJCA may require further adjustments and changes in our estimates. The final determination of the TCJA and the remeasurement of the Company’s deferred assets and liabilities will be completed as additional information becomes available, but no later than one year from the enactment of the TCJA. Income Taxes The Company records a provision or benefit for income taxes on pre-tax income or loss based on its estimated effective tax rate for the year. During the year ended December 31, 2017, the Company recorded a net loss of approximately $21.7 million and, since it maintains a full valuation allowance on its deferred tax assets, the Company did not record an income tax benefit for the year ended December 31, 2017. Deferred taxes are recognized for temporary differences between the basis of assets and liabilities for financial statement and income tax purposes. The significant components of the Company’s deferred tax assets are comprised of the following (in thousands): December 31, 2017 2016 Deferred tax assets: Net operating loss carryforwards $ 21,190 $ 23,028 Research and development credits 4,732 3,418 Licenses 24 38 Other 370 118 Total gross deferred tax asset 26,316 26,602 Less: Valuation allowance (26,316 ) (26,602 ) Net deferred tax asset $ — $ — ASC 740 requires a valuation allowance to reduce the deferred tax assets reported if, based on the weight of the evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized. After consideration of all the evidence, both positive and negative, the Company has recorded a valuation allowance against its deferred tax assets at December 31, 2017 and 2016, respectively, because the Company's management has determined that it is more likely than not that the Company will not recognize the benefits of its federal and state deferred tax assets primarily due to its cumulative loss position and, as a result, a valuation allowance of $26.3 million and $26.6 million has been established at December 31, 2017 and 2016, respectively. The valuation allowance decreased by approximately $0.3 million in the year ended December 31, 2017 due primarily to the revaluation of the deferred tax assets at a 21% Federal tax rate and increased by approximately $6.3 million during the year ended December 31, 2016 due primarily to the generation of net operating losses. The Company adopted ASU 2016-09, Improvements to Employee Share-Based Payment Accounting on January 1, 2017, however the Company did not have any NOL carryforwards associated with deductible stock option exercises as of December 31, 2016 and therefore the adoption of ASU 2016-09 has no impact on the Company’s operations, financial position or cash flows. A reconciliation of income tax expense computed at the statutory federal income tax rate to income taxes reflected in the financial statements is as follows: 2017 2016 2015 Income tax computed at federal statutory tax rate 34.0 % 34.0 % 34.0 % Permanent differences (2.4 )% (0.5 )% (0.4 )% State taxes, net of federal benefit 4.8 % 5.1 % (0.1 )% Research and development and other tax credits 5.0 % 6.1 % 5.5 % Other — % — % 0.1 % Federal rate change (42.7 )% — % — % Change in deferred tax asset valuation allowance 1.3 % (44.7 )% (39.1 )% — % — % — % As of December 31, 2017 and 2016, the Company had U.S. federal net operating loss carryforwards of approximately $77.9 million and $58.8 million, respectively, which may be available to offset future income tax liabilities and expire at various dates through 2037. As of December 31, 2017 and 2016, the Company also had U.S. state net operating loss carryforwards of approximately $76.5 million and $57.5 million, respectively, which may be available to offset future income tax liabilities and expire at various dates through 2037. As of December 31, 2017 and 2016, the Company had federal research and development tax credit carryforwards of approximately $3.3 million and $2.4 million, respectively, available to reduce future tax liabilities which expire at various dates through 2037. As of December 31, 2017 and 2016, the Company had state research and development tax credit carryforwards of approximately $1.9 million and $1.6 million, respectively, available to reduce future tax liabilities which expire at various dates through 2032. The Company has generated research credits but has not conducted a study to document the qualified activity. This study may result in an adjustment to the Company’s research and development credit carryforwards; however, until a study is completed and any adjustment is known, no amounts are being presented as an uncertain tax position. A full valuation allowance has been provided against the Company’s research and development credits and, if an adjustment is required, this adjustment would be offset by an adjustment to the deferred tax asset established for the research and development credit carryforwards and the valuation allowance. Under the provisions of the Internal Revenue Code, the net operating loss and tax credit carryforwards are subject to review and possible adjustment by the Internal Revenue Service and state tax authorities. Net operating loss and tax credit carryforwards may become subject to an annual limitation in the event of certain cumulative changes in the ownership interest of significant shareholders over a three-year period in excess of 50%, as defined under Sections 382 and 383 of the Internal Revenue Code, respectively, as well as similar state provisions. This could limit the amount of tax attributes that can be utilized annually to offset future taxable income or tax liabilities. The amount of the annual limitation is determined based on the value of the Company immediately prior to the ownership change. Subsequent ownership changes may further affect the limitation in future years. The Company has completed several financings since its inception which resulted in a change in control as defined by Sections 382 and 383 of the Internal Revenue Code. Ownership changes, as defined in the Internal Revenue Code, including those resulting from the issuance of common stock in connection with our public offerings, may limit the amount of net operating loss and tax credit carryforwards that can be utilized to offset future taxable income or tax liability. The amount of the limitation is determined in accordance with Section 382 of the Internal Revenue Code. We have performed an analysis of ownership changes through December 31, 2017. Based on this analysis, we do not believe that any of our tax attributes will expire unutilized due to Section 382 limitations. The Company will recognize interest and penalties related to uncertain tax positions in income tax expense. As of December 31, 2017 and 2016, the Company had no accrued interest or penalties related to uncertain tax positions and no such amounts have been recognized in the Company’s statements of operations and comprehensive loss. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 12. Related Party Transactions From September 2015 to June 2017, the Company received consulting and management services from one of its investors, Third Rock Ventures LLP (“Third Rock Ventures”). The Company paid Third Rock Ventures $2,000, $69,000 and $19,000 for these services during the years ended December 31, 2017, 2016 and 2015, respectively. No amounts were payable to Third Rock Ventures at December 31, 2017 and 2016. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 13. Commitments and Contingencies In August 2011 and October 2013, the Company and an independent third party entered into operating leases for approximately 6,055 square feet of office space in Newton, MA (“Newton Lease”) and approximately 3,170 square feet of laboratory space in Natick, MA, respectively. Base rent for the office space during the initial rent period was approximately $0.1 million per year and increased annually. Base rent for the lab space was approximately $59,000 annually. Rent expense, inclusive of the escalating rent payments and free rent period, was recognized on a straight-line basis over the term of each lease agreement. The Company and the independent third party were each jointly and severally liable for the obligations under both leases. In October 2016, the Newton lease was amended to extend the term one year to May 2018 and, effective June 1, 2017 removed the independent third party from the lease and all related obligations of the lease. In December 2017, the Newton lease was amended again to increase the amount of office space to approximately 7,795 square feet and extend the term to December 31, 2020. The amended lease for laboratory space expired October 31, 2017. In March 2015, the Company and the independent third party entered into a sublease agreement for approximately 5,385 square feet of office space in Newton, MA that expired in February 2017. In August 2016, the Company entered into an operating lease for approximately 3,890 square feet of laboratory space in Sudbury, MA. This lease was to expire in August 2017. In February 2017, the Company amended this lease to extend the term to February 2019 and increase the amount of rentable space to approximately 5,133 square feet, with an option to lease another 2,029 square feet. Base rent for this space is approximately $0.1 million annually. Rent expense includes the Company’s allocated portion of rental obligations under the leases. The Company recorded $0.4 million, $0.2 million and $0.2 million, of rent expense for the years ended December 31, 2017, 2016 and 2015, respectively. The minimum aggregate future operating lease commitments at December 31, 2017 are as follows (in thousands): December 31, 2017 2018 $ 458 2019 379 2020 362 $ 1,199 |
License Agreement
License Agreement | 12 Months Ended |
Dec. 31, 2017 | |
License Agreement [Abstract] | |
License Agreement | 14. License Agreement In March 2012, the Company entered into an exclusive license agreement (“License Agreement”) with Althea Technologies, Inc. (“Althea”) for certain intellectual property. The Company reimbursed Althea for patent related fees and costs incurred by Althea totaling $0.1 million in the aggregate and issued a total of 88,186 shares of common stock to Althea. Under the terms of the License Agreement, the Company agreed to pay annual license maintenance fees, milestone payments and royalties as a percentage of net sales. Annual license maintenance fees are creditable against royalties earned during the same calendar year and are not material to the financial statements. Milestone payments are triggered upon the achievement of specified development, regulatory and commercialization milestones and are not creditable against royalties. Actual amounts due under the License Agreement will vary depending on the number of products developed, the type and development path of the products, and other related factors. Milestone payments could total up to $56.0 million. The Company may terminate the agreement at any time with 60 days prior written notice. |
Employee Benefit Plan
Employee Benefit Plan | 12 Months Ended |
Dec. 31, 2017 | |
Defined Contribution Pension And Other Postretirement Plans Disclosure [Abstract] | |
Employee Benefit Plan | 15. Employee Benefit Plan Effective January 2012, employees of the Company are eligible to participate in the Company’s 401(k) retirement plan (“401(k) Plan”). Participants may contribute up to 100% of their annual compensation to the 401(k) Plan, subject to statutory limitations. The 401(k) Plan does not allow the Company to make matching contributions. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | 16. Selected Quarterly Financial Data (Unaudited) The following table contains quarterly financial information for 2017 and 2016. The Company believes that the following information reflects all normal recurring adjustments necessary for the fair statement of the information for the periods presented. The operating results for any quarter are not necessarily indicative of results for any future period. 2017 First Quarter Second Quarter Third Quarter Fourth Quarter Total (in thousands, except per share amounts) Total operating expenses $ 5,543 $ 4,474 $ 4,362 $ 6,571 $ 20,950 Loss from operations (5,543 ) (4,474 ) (4,362 ) (6,571 ) (20,950 ) Net loss (5,671 ) (4,632 ) (4,670 ) (6,677 ) (21,650 ) Net loss attributable to common stockholders - basic and diluted $ (4.24 ) $ (3.46 ) $ (3.49 ) $ (0.48 ) $ (4.80 ) 2016 First Quarter Second Quarter Third Quarter Fourth Quarter Total (in thousands, except per share amounts) Total operating expenses $ 5,041 $ 7,041 $ 6,102 $ 6,002 $ 24,186 Loss from operations (5,041 ) (7,041 ) (6,102 ) (6,002 ) (24,186 ) Net loss (5,113 ) (7,039 ) (6,136 ) (6,219 ) (24,507 ) Net loss attributable to common stockholders - basic and diluted $ (3.85 ) $ (5.26 ) $ (4.59 ) $ (4.65 ) $ (18.35 ) |
Summary of Significant Accoun24
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Any reference in these notes to applicable guidance is meant to refer to the authoritative United States generally accepted accounting principles as found in the Accounting Standard Codification (“ASC”) and Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of Allena Pharmaceuticals, Inc. and its wholly owned subsidiaries Allena Pharmaceuticals Security Corporation (“Security Corporation”), which was incorporated in December 2014, and Allena Pharmaceuticals Ireland Limited, which was incorporated in March 2017. All intercompany transactions and balances have been eliminated. |
Use of Estimates | Use of Estimates The preparation of the Company's consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, expenses and related disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of expenses during the reporting period. On an ongoing basis, the Company's management evaluates its estimates, which include but are not limited to management’s judgments of accrued expenses, fair value of common stock prior to the closing of the Company’s IPO, valuation of share-based awards, fair value of warrants, prior to the conversion into warrants for the purchase of common stock upon the closing of the IPO, and income taxes. Actual results could differ from those estimates. The Company utilized significant estimates and assumptions in determining the fair value of its common stock. The Company utilized various valuation methodologies in accordance with the framework of the American Institute of Certified Public Accountants Technical Practice Aid, Valuation of Privately-Held Company Equity Securities Issued as Compensation |
Segment Information | Segment Information Operating segments are defined as components of an enterprise about which separate discrete information is available for evaluation by the chief operating decision-maker in deciding how to allocate resources and assess performance. The Company's chief operating decision-maker, the Company's chief executive officer, views the Company's operations and manages its business as a single operating segment, which is the business of discovering and developing non-absorbed oral enzyme therapeutics. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) Comprehensive income (loss) is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources. The Company’s only element of other comprehensive income (loss) is unrealized gains and losses on available-for-sale investments. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Cash and cash equivalents include cash held in banks and amounts held in money market funds. Cash equivalents are stated at cost, which approximates market value. Cash and cash equivalents consist of the following at December 31, 2017 and 2016 (in thousands): December 31, 2017 2016 Cash and cash equivalents: Cash $ 749 $ 948 Money market funds 93,745 24,302 $ 94,494 $ 25,250 |
Investments | Investments The Company invests available cash primarily in U.S. and foreign corporate debt securities and United States government treasury securities. The Company classifies its investments as available-for-sale. Available-for-sale investments are carried at fair value with unrealized gains and losses included in stockholders’ (deficit) equity. Any premium or discount arising at purchase is amortized and/or accreted to interest income and/or expense. All investments are classified as current assets as they have contractual maturities of less than one year and are available to meet working capital needs and to fund current operations. The cost of securities sold is determined on a specific identification basis, and realized gains and losses are included in interest income (expense) within the statement of operations and comprehensive loss. The Company evaluates its investments with unrealized losses for other-than-temporary impairment. When assessing investments for other-than-temporary declines in value, the Company considers such factors as, among other things, how significant the decline in value is as a percentage of the original cost, how long the market value of the investment has been less than its original cost, the Company’s ability and intent to retain the investment for a period of time sufficient to allow for any anticipated recovery in fair value and market conditions in general. If any adjustment to fair value reflects a decline in the value of the investment that the Company considers to be “other than temporary”, the Company reduces the investment to fair value through a charge to the statement of operations and comprehensive loss. No such adjustments were necessary during the periods presented. |
Concentration of Credit Risk and Off-Balance Sheet Risk | Concentration of Credit Risk and Off-Balance Sheet Risk Financial instruments that potentially expose the Company to concentrations of credit risk consist primarily of cash, cash equivalents and investments. The Company maintains all of its cash, cash equivalents and investments balances at a single accredited financial institution, in amounts that exceed federally insured limits. The Company generally invests its excess cash in money market funds, corporate notes and United States government securities that are subject to minimal credit and market risk. Management has established guidelines relative to credit ratings and maturities intended to safeguard principal balances and maintain liquidity. The investment portfolio is maintained in accordance with the Company’s investment policy, which defines allowable investments, specifies credit quality standards and limits the credit exposure of any single issuer. The Company has no significant off-balance sheet risk such as foreign exchange contracts, option contracts, or other foreign hedging arrangements. |
Significant Suppliers | Significant Suppliers The Company is dependent on third-party manufacturers to supply products for research and development activities of its programs, including preclinical and clinical testing. In particular, the Company relies and expects to continue to rely on a small number of manufacturers to supply it with its requirements for the active pharmaceutical ingredients and formulated drugs related to these programs. These programs could be adversely affected by a significant interruption in the supply of active pharmaceutical ingredients and formulated drugs. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair value is defined as the price that would be received upon sale of an asset or paid to transfer a liability between market participants at measurement dates. ASC Topic 820, Fair Value Measurement Level 1 inputs: Quoted prices in active markets for identical assets or liabilities. Level 2 inputs: Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable, such as quoted market prices, interest rates and yield curves. Level 3 inputs: Unobservable inputs developed using estimates or assumptions developed by the Company, which reflect those that a market participant would use in pricing the asset or liability. To the extent that the valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. A financial instrument's level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. |
Property and Equipment | Property and Equipment Property and equipment consists of laboratory equipment, computer equipment, software and leasehold improvements recorded at cost. These amounts are depreciated using the straight-line method over the estimated useful lives of the assets as follows: Laboratory equipment 4 years Computer equipment 3 years Software 5 years Leasehold improvements Shorter of useful life or remaining term of related lease Upon retirement or sale, the cost of the assets disposed of and the related accumulated depreciation are eliminated from the balance sheet and related gains or losses are reflected in the statement of operations and comprehensive loss. Repairs and maintenance costs are expensed as incurred and costs of significant improvements are capitalized. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company continually evaluates long-lived assets for potential impairment when events or changes in circumstances indicate the carrying value of the assets may not be recoverable. Recoverability is measured by comparing the book values of the assets to the expected future net undiscounted cash flows that the assets are expected to generate. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the book values of the assets exceed their fair value. The Company did not recognize any impairment losses for the years ended December 31, 2017, 2016 and 2015. |
Warrants to Purchase Shares Subject to Redemption | Warrants to Purchase Shares Subject to Redemption Prior to the closing of the IPO, the Company accounted for warrant instruments that either conditionally or unconditionally obligate the issuer to transfer assets as liabilities regardless of the timing of the redemption feature or price, even though the underlying shares may be classified as equity. These warrants were subject to revaluation at each balance sheet date, and any changes in fair value were recorded as a component of other income (expense) in the statements of operations and comprehensive loss. Upon the closing of the IPO, the warrants met the criteria to be classified in stockholders’ equity and the fair value of the warrant liability as of the IPO date was reclassified to stockholders’ equity (deficit). |
Research and Development | Research and Development The Company expenses all costs incurred in performing research and development activities. Research and development expenses include salaries and benefits, materials and supplies, preclinical and clinical trial expenses, manufacturing expenses, stock-based compensation expense, depreciation of equipment, contract services and other outside expenses. Costs of certain development activities, such as manufacturing, are recognized based on an evaluation of the progress to completion of specific tasks. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred, and are reflected in the consolidated financial statements as prepaid or accrued research and development costs. Nonrefundable advance payments for goods or services to be received in the future for use in research and development activities are deferred and capitalized. The capitalized amounts are expensed as the related goods are delivered or the services are performed. |
Patent Costs | Patent Costs The Company expenses patent application and related legal costs as incurred and classifies such costs as general and administrative expenses in the accompanying consolidated statements of operations and comprehensive loss. |
Accounting for Stock-Based Compensation | Accounting for Stock-Based Compensation The Company accounts for its stock-based compensation in accordance with ASC Topic 718, Compensation—Stock Compensation Equity-Based Payments to Non-Employees The Black-Scholes option pricing model requires inputs based on certain subjective assumptions, including (a) the expected stock price volatility, (b) the expected term of the award, (c) the risk-free interest rate and (d) expected dividends. Due to the lack of a public market for the Company’s common stock and a lack of company-specific historical and implied volatility data, the Company has based its computation of expected volatility on the historical volatility of a representative group of public companies with similar characteristics to the Company, including stage of product development and life science industry focus. The historical volatility is calculated based on a period of time commensurate with the expected term assumption. The Company uses the simplified method as prescribed by the SEC Staff Accounting Bulletin No. 107, Share-Based Payment In the first quarter of 2017, the Company made an accounting policy election to recognize forfeitures as they occur upon adoption of guidance per ASU No. 2016-09, Compensation – Stock Compensation The Company expenses the fair value of its share-based compensation awards to employees on a straight-line basis over the requisite service period, which is generally the vesting period. Stock-based compensation awards to non-employees are adjusted through stock-based compensation expense at each reporting period end to reflect the current fair value of such awards and are expensed on a straight-line basis. |
Income Taxes | Income Taxes The Company accounts for income taxes using the liability method in accordance with ASC Topic 740, Income Taxes The Company recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. |
Net Loss Per Share | Net Loss Per Share The Company has reported losses since inception and has computed basic net loss per share attributable to common stockholders by dividing net loss attributable to common stockholders by the weighted-average number of common shares outstanding for the period, without consideration for potentially dilutive securities. The Company has computed diluted net loss per common share after giving consideration to all potentially dilutive common shares, including options to purchase common stock, restricted common stock, convertible preferred stock and warrants to purchase convertible preferred stock, outstanding during the period determined using the treasury-stock and if-converted methods, except where the effect of including such securities would be anti-dilutive. Because the Company has reported net losses since inception, these potential common shares have been anti-dilutive and basic and diluted loss per share have been the same. Basic and diluted net loss per share attributable to common stockholders was calculated as follows (in thousands, except share and per share data): Years Ended December 31, 2017 2016 2015 Numerator: Net loss $ (21,650 ) $ (24,507 ) $ (14,247 ) Accretion of convertible preferred stock (58 ) (69 ) (37 ) Net loss attributable to common stockholders $ (21,708 ) $ (24,576 ) $ (14,284 ) Denominator: Weighted-average common shares – basic and diluted 4,520,337 1,339,254 1,258,123 Net loss per share attributable to common stockholders –basic and diluted $ (4.80 ) $ (18.35 ) $ (11.35 ) The following table sets forth the potentially dilutive securities that have been excluded from the calculation of diluted net loss per share because to include them would be anti-dilutive (in common stock equivalent shares): Years Ended December 31, 2017 2016 2015 Series A convertible preferred stock — 4,400,410 4,400,410 Series B convertible preferred stock — 4,753,536 4,753,536 Series C convertible preferred stock — 4,791,563 4,791,563 Warrants 9,040 43,265 34,225 Stock options 1,508,124 1,348,845 759,167 Restricted stock — — 675 Total 1,517,164 15,337,619 14,739,576 |
Loss Contingencies | Loss Contingencies In accordance with ASC 450, Contingencies |
Guarantees | Guarantees The Company has identified the guarantees described below as disclosable, in accordance with ASC 460, Guarantees As permitted under Delaware law, the Company indemnifies its officers and directors for certain events or occurrences while the officer or director is, or was, serving at the Company’s request in such capacity. The maximum potential amount of future payments the Company could be required to make is unlimited; however, the Company has directors’ and officers’ insurance coverage that should limit its exposure and enable it to recover a portion of any future amounts paid. The Company is a party to a number of agreements entered into in the ordinary course of business that contain typical provisions that obligate the Company to indemnify the other parties to such agreements upon the occurrence of certain events. Such indemnification obligations are usually in effect from the date of execution of the applicable agreement for a period equal to the applicable statute of limitations. The aggregate maximum potential future liability of the Company under such indemnification provisions is uncertain. The Company leases office space under several noncancelable operating leases. The Company has standard indemnification arrangements under these leases that require it to indemnify the landlord against all costs, expenses, fines, suits, claims, demands, liabilities, and actions directly resulting from any breach, violation, or nonperformance of any covenant or condition of the respective lease. As of December 31, 2017, 2016 and 2015, the Company had not experienced any losses related to these indemnification obligations, and no material claims with respect thereto were outstanding. The Company does not expect significant claims related to these indemnification obligations and, consequently, concluded that the fair value of these obligations is negligible, and no related reserves have been established. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies and adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the impact of recently issued standards that are not yet effective will not have a material impact on its consolidated financial position or results of operations upon adoption. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements—Going Concern In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes In March 2016, the FASB issued ASU No. 2016-09, Compensation-Stock Compensation Compensation-Stock Compensation. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments In May 2017, the FASB issued ASU No. 2017-09, Compensation-Stock Compensation (Topic 718): Scope of Modification Accounting |
Summary of Significant Accoun25
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary of Cash and Cash Equivalents | Cash and cash equivalents consist of the following at December 31, 2017 and 2016 (in thousands): December 31, 2017 2016 Cash and cash equivalents: Cash $ 749 $ 948 Money market funds 93,745 24,302 $ 94,494 $ 25,250 |
Summary of Estimated Useful Lives of Assets | These amounts are depreciated using the straight-line method over the estimated useful lives of the assets as follows: Laboratory equipment 4 years Computer equipment 3 years Software 5 years Leasehold improvements Shorter of useful life or remaining term of related lease |
Summary of Basic and Diluted Net Loss per Share Attributable to Common Stockholders | Basic and diluted net loss per share attributable to common stockholders was calculated as follows (in thousands, except share and per share data): Years Ended December 31, 2017 2016 2015 Numerator: Net loss $ (21,650 ) $ (24,507 ) $ (14,247 ) Accretion of convertible preferred stock (58 ) (69 ) (37 ) Net loss attributable to common stockholders $ (21,708 ) $ (24,576 ) $ (14,284 ) Denominator: Weighted-average common shares – basic and diluted 4,520,337 1,339,254 1,258,123 Net loss per share attributable to common stockholders –basic and diluted $ (4.80 ) $ (18.35 ) $ (11.35 ) |
Summary of Anti-dilutive Securities Excluded from Calculation of Diluted Net Loss per Share | The following table sets forth the potentially dilutive securities that have been excluded from the calculation of diluted net loss per share because to include them would be anti-dilutive (in common stock equivalent shares): Years Ended December 31, 2017 2016 2015 Series A convertible preferred stock — 4,400,410 4,400,410 Series B convertible preferred stock — 4,753,536 4,753,536 Series C convertible preferred stock — 4,791,563 4,791,563 Warrants 9,040 43,265 34,225 Stock options 1,508,124 1,348,845 759,167 Restricted stock — — 675 Total 1,517,164 15,337,619 14,739,576 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Investments Debt And Equity Securities [Abstract] | |
Summary of Investments | The following table summarizes the Company’s investments as of December 31, 2016 (in thousands): Amortized Gross Unrealized Estimated Cost Gains Losses Fair Value Available-for-sale securities: U.S. treasury securities $ 13,258 $ 3 $ (2 ) $ 13,259 U.S. corporate debt securities 7,397 — (3 ) 7,394 Foreign corporate debt securities 2,852 — — 2,852 Total available-for-sale securities $ 23,507 $ 3 $ (5 ) $ 23,505 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Summary of Financial Assets and Liabilities Measured at Fair Value | The following tables present information about the Company’s financial assets and liabilities that have been measured at fair value at December 31, 2017 and 2016 and indicates the fair value hierarchy of the valuation inputs utilized to determine such fair value (in thousands): Description December 31, 2017 Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds, included in cash and cash equivalents $ 93,745 $ 93,745 $ — $ — Total assets $ 93,745 $ 93,745 $ — $ — Liabilities: Warrants for the purchase of shares subject to redemption $ — $ — $ — $ — Total liabilities $ — $ — $ — $ — Description December 31, 2016 Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds, included in cash and cash equivalents $ 24,302 $ 24,302 $ — $ — Investments: U.S. treasury securities 13,259 13,259 — — U.S corporate debt securities 7,394 — 7,394 Foreign corporate debt securities 2,852 — 2,852 — Total assets $ 47,807 $ 37,561 $ 10,246 $ — Liabilities: Warrants for the purchase of shares subject to redemption $ 267 $ — $ — $ 267 Total liabilities $ 267 $ — $ — $ 267 |
Schedule of Assumptions Used in Valuing Warrants | The following assumptions were used in valuing the Warrants: November 6, 2017 December 31, 2016 Risk-free interest rate 2.1% - 2.2% 2.3% - 2.5% Expected dividend yield —% —% Expected term (in years) 6.8 - 8.5 7.6 - 9.3 Expected volatility 84% - 86% 90% |
Summary of Changes in Fair Value of Warrants, Represented a Recurring Measurement Classified Within Level 3 of Fair Value Hierarchy, using Significant Unobservable Inputs | The following table sets forth a summary of changes in the fair value of the Warrants, which represented a recurring measurement classified within Level 3 of the fair value hierarchy, wherein fair value was estimated using significant unobservable inputs (in thousands, except share data): Balance at December 31, 2015 $ 68 Initial fair value of Series C Warrant for the purchase of 28,302 shares 45 Initial fair value of Series C Warrant for the purchase of 9,434 shares 22 Change in fair value of Warrants included in other income (expense) 132 Balance at December 31, 2016 267 Change in fair value of Warrants through the date of the IPO included in other income (expense) 257 Fair value of Warrants reclassified to stockholders' equity (deficit) upon conversion to warrants for the conversion of common stock (524 ) Balance at December 31, 2017 $ — |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Summary of Property and Equipment, Net | Property and equipment includes the following at December 31, 2017 and 2016 (in thousands): December 31, 2017 2016 Property and equipment: Laboratory equipment $ 263 $ 232 Computer equipment 6 6 Software 39 39 308 277 Less: Accumulated depreciation (181 ) (108 ) Property and equipment, net $ 127 $ 169 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Payables And Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses consist of the following (in thousands): December 31, 2017 2016 Payroll and employee-related expenses $ 1,132 $ 914 Professional fees 420 172 Third-party research and development expenses 135 413 Loan interest 40 28 IPO-related costs 111 — Other 111 83 Total accrued expenses $ 1,949 $ 1,610 |
Loan and Security Agreement (Ta
Loan and Security Agreement (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Summary of Minimum Aggregate Future Loan and Interest Payments | The minimum aggregate future loan and interest payments at December 31, 2017 are as follows (in thousands): Years Ending December 31, 2018 $ 4,377 2019 4,185 2020 2,512 Total minimum payments 11,074 Less: Amount representing interest (1,407 ) Less: Discount (281 ) Less: Current portion (3,870 ) Loan payable, net of current portion $ 5,516 |
Stockholders_ Equity (Deficit)
Stockholders’ Equity (Deficit) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Summary of Shares of Common Stock Reserved | The Company has reserved for future issuances the following shares of common stock as of December 31, 2017 and 2016: December 31, 2017 December 31, 2016 Series A convertible preferred stock — 4,400,410 Series B convertible preferred stock — 4,753,536 Series C convertible preferred stock — 4,791,563 Warrants 9,040 43,265 Stock options 3,538,345 2,130,560 Employee stock purchase plan 206,284 — Total 3,753,669 16,119,334 |
Stock Incentive Plans (Tables)
Stock Incentive Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Summary of Stock-based Compensation Expense | Stock-based compensation expense included in the Company’s statements of operations and comprehensive loss is as follows (in thousands): Years Ended December 31, 2017 2016 2015 Research and development $ 147 $ 68 $ 74 General and administrative 370 183 133 Total $ 517 $ 251 $ 207 |
Summary of Stock Option Activity | A summary of the stock option activity under the 2017 and 2011 Plans is as follows: Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Life (in years) Aggregate Intrinsic Value (in thousands) Outstanding at December 31, 2016 1,348,845 $ 1.29 8.6 $ 3,642 Granted 209,797 5.50 Exercised (33,061 ) 0.86 Cancelled (17,457 ) 1.87 Outstanding at December 31, 2017 1,508,124 $ 1.89 7.9 $ 12,328 Exercisable at December 31, 2017 787,375 $ 1.24 7.4 $ 6,945 Vested and expected to vest at December 31, 2017 1,508,124 $ 1.89 7.9 $ 12,328 |
Employees and Directors | |
Schedule of Assumptions Used in Black-Scholes Option Pricing Model to Estimate Fair Value of Stock Options | The fair value of each stock option granted to employees and directors was estimated on the date of grant using the Black-Scholes option-pricing model, with the following range of assumptions for the years ended December 31, 2017, 2016 and 2015: Years Ended December 31, 2017 2016 2015 Risk-free interest rate 1.9% – 2.3% 1.3% – 1.7% 1.8% – 1.9% Expected dividend yield —% —% —% Expected term (in years) 5.6 – 6.3 5.4 – 6.4 6.25 Expected volatility 81% 77% 85% |
Non-Employees | |
Schedule of Assumptions Used in Black-Scholes Option Pricing Model to Estimate Fair Value of Stock Options | The fair value of each stock option granted to non-employees was estimated on the date of grant using the Black-Scholes option-pricing model, with the following range of assumptions for the years ended December 31, 2016 and 2015: Years Ended December 31, 2016 2015 Risk-free interest rate 1.9% – 2.4% 2.4 % Expected dividend yield —% — % Expected term (in years) 8.9 – 10.0 10.0 Expected volatility 89% 85 % |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Summary of Deferred Tax Assets | The significant components of the Company’s deferred tax assets are comprised of the following (in thousands): December 31, 2017 2016 Deferred tax assets: Net operating loss carryforwards $ 21,190 $ 23,028 Research and development credits 4,732 3,418 Licenses 24 38 Other 370 118 Total gross deferred tax asset 26,316 26,602 Less: Valuation allowance (26,316 ) (26,602 ) Net deferred tax asset $ — $ — |
Reconciliation of Income Taxes Computed at Statutory Federal Income Tax Rate to Income Taxes Reflected In Financial Statements | A reconciliation of income tax expense computed at the statutory federal income tax rate to income taxes reflected in the financial statements is as follows: 2017 2016 2015 Income tax computed at federal statutory tax rate 34.0 % 34.0 % 34.0 % Permanent differences (2.4 )% (0.5 )% (0.4 )% State taxes, net of federal benefit 4.8 % 5.1 % (0.1 )% Research and development and other tax credits 5.0 % 6.1 % 5.5 % Other — % — % 0.1 % Federal rate change (42.7 )% — % — % Change in deferred tax asset valuation allowance 1.3 % (44.7 )% (39.1 )% — % — % — % |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Lease Commitments for Operating Leases | The minimum aggregate future operating lease commitments at December 31, 2017 are as follows (in thousands): December 31, 2017 2018 $ 458 2019 379 2020 362 $ 1,199 |
Selected Quarterly Financial 35
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | The following table contains quarterly financial information for 2017 and 2016. The Company believes that the following information reflects all normal recurring adjustments necessary for the fair statement of the information for the periods presented. 2017 First Quarter Second Quarter Third Quarter Fourth Quarter Total (in thousands, except per share amounts) Total operating expenses $ 5,543 $ 4,474 $ 4,362 $ 6,571 $ 20,950 Loss from operations (5,543 ) (4,474 ) (4,362 ) (6,571 ) (20,950 ) Net loss (5,671 ) (4,632 ) (4,670 ) (6,677 ) (21,650 ) Net loss attributable to common stockholders - basic and diluted $ (4.24 ) $ (3.46 ) $ (3.49 ) $ (0.48 ) $ (4.80 ) 2016 First Quarter Second Quarter Third Quarter Fourth Quarter Total (in thousands, except per share amounts) Total operating expenses $ 5,041 $ 7,041 $ 6,102 $ 6,002 $ 24,186 Loss from operations (5,041 ) (7,041 ) (6,102 ) (6,002 ) (24,186 ) Net loss (5,113 ) (7,039 ) (6,136 ) (6,219 ) (24,507 ) Net loss attributable to common stockholders - basic and diluted $ (3.85 ) $ (5.26 ) $ (4.59 ) $ (4.65 ) $ (18.35 ) |
Organization and Basis of Pre36
Organization and Basis of Presentation - Additional Information (Detail) $ / shares in Units, $ in Thousands | Dec. 01, 2017USD ($)shares | Nov. 06, 2017USD ($)$ / sharesshares | Oct. 23, 2017 | Dec. 31, 2017USD ($)$ / sharesshares | Nov. 07, 2017shares | Dec. 31, 2016USD ($)$ / sharesshares | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) |
Class of Stock [Line Items] | ||||||||
Net proceeds after deducting underwriting discounts and commissions and offering costs | $ | $ 67,197 | |||||||
Convertible preferred stock, shares outstanding | 0 | |||||||
Common stock, shares authorized | 125,000,000 | 75,000,000 | ||||||
Common stock, par value | $ / shares | $ 0.001 | $ 0.001 | ||||||
Accumulated deficit | $ | $ 81,957 | $ 60,307 | ||||||
Cash and cash equivalents | $ | $ 94,494 | $ 25,250 | $ 69,011 | $ 26,886 | ||||
Common Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Common stock, shares issued and sold | 5,350,302 | |||||||
Reverse stock split ratio | 0.2396 | |||||||
Reverse stock split effective date | Oct. 23, 2017 | |||||||
Initial Public Offering | ||||||||
Class of Stock [Line Items] | ||||||||
Common stock, shares issued and sold | 5,333,333 | |||||||
Issuance price per shares | $ / shares | $ 14 | |||||||
Gross proceeds from issuance of common stock | $ | $ 74,700 | |||||||
Net proceeds after deducting underwriting discounts and commissions and offering costs | $ | 67,000 | |||||||
Underwriting discounts and commissions and offering costs | $ | $ 7,900 | |||||||
Convertible preferred stock converted into common stock | 13,945,509 | 13,945,509 | ||||||
Common stock, shares authorized | 125,000,000 | 125,000,000 | ||||||
Preferred stock, shares authorized | 5,000,000 | |||||||
Common stock, par value | $ / shares | $ 0.001 | |||||||
Preferred stock, par value | $ / shares | $ 0.001 | |||||||
Over-allotment Option | ||||||||
Class of Stock [Line Items] | ||||||||
Common stock, shares issued and sold | 16,969 | |||||||
Gross proceeds from issuance of common stock | $ | $ 200 |
Summary of Significant Accoun37
Summary of Significant Accounting Policies - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | |
Entity incorporated date | Dec. 31, 2014 |
Income tax positions recognized, minimum percentage | 50.00% |
ASU No. 2016-09 | |
Summary Of Significant Accounting Policies [Line Items] | |
Excess tax benefit associated with stock option exercises | $ 0 |
Deferred tax asset | $ 0 |
Allena Pharmaceuticals Security Corporation | |
Summary Of Significant Accounting Policies [Line Items] | |
Entity incorporated date | Dec. 31, 2014 |
Allena Pharmaceuticals Ireland Limited | |
Summary Of Significant Accounting Policies [Line Items] | |
Entity incorporated date | Mar. 31, 2017 |
Summary of Significant Accoun38
Summary of Significant Accounting Policies - Summary of Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Cash and cash equivalents: | ||||
Cash | $ 749 | $ 948 | ||
Money market funds | 93,745 | 24,302 | ||
Cash and Cash Equivalents, at Carrying Value | $ 94,494 | $ 25,250 | $ 69,011 | $ 26,886 |
Summary of Significant Accoun39
Summary of Significant Accounting Policies - Summary of Estimated Useful Lives of Assets (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Laboratory Equipment | |
Property, Plant and Equipment [Line Items] | |
Laboratory equipment | 4 years |
Computer Equipment | |
Property, Plant and Equipment [Line Items] | |
Laboratory equipment | 3 years |
Software | |
Property, Plant and Equipment [Line Items] | |
Laboratory equipment | 5 years |
Leasehold Improvements | |
Property, Plant and Equipment [Line Items] | |
Leasehold improvements | Shorter of useful life or remaining term of related lease |
Summary of Significant Accoun40
Summary of Significant Accounting Policies- Summary of Basic and Diluted Net Loss per Share Attributable to Common Stockholders (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Numerator: | |||||||||||
Net loss | $ (6,677) | $ (4,670) | $ (4,632) | $ (5,671) | $ (6,219) | $ (6,136) | $ (7,039) | $ (5,113) | $ (21,650) | $ (24,507) | $ (14,247) |
Accretion of convertible preferred stock | (58) | (69) | (37) | ||||||||
Net loss attributable to common stockholders | $ (21,708) | $ (24,576) | $ (14,284) | ||||||||
Denominator: | |||||||||||
Weighted-average common shares – basic and diluted | 4,520,337 | 1,339,254 | 1,258,123 | ||||||||
Net loss per share attributable to common stockholders — basic and diluted | $ (0.48) | $ (3.49) | $ (3.46) | $ (4.24) | $ (4.65) | $ (4.59) | $ (5.26) | $ (3.85) | $ (4.80) | $ (18.35) | $ (11.35) |
Summary of Significant Accoun41
Summary of Significant Accounting Policies - Summary of Anti-dilutive Securities Excluded from Calculation of Diluted Net Loss per Share (Details) - shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from the calculation of loss per share | 1,517,164 | 15,337,619 | 14,739,576 |
Series A Convertible Preferred Stock | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from the calculation of loss per share | 4,400,410 | 4,400,410 | |
Series B Convertible Preferred Stock | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from the calculation of loss per share | 4,753,536 | 4,753,536 | |
Series C Convertible Preferred Stock | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from the calculation of loss per share | 4,791,563 | 4,791,563 | |
Warrants | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from the calculation of loss per share | 9,040 | 43,265 | 34,225 |
Stock Options | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from the calculation of loss per share | 1,508,124 | 1,348,845 | 759,167 |
Restricted Stock | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from the calculation of loss per share | 675 |
Investments - Additional Inform
Investments - Additional Information (Detail) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($)Investment |
Investments Debt And Equity Securities [Abstract] | ||
Investments | $ 0 | |
Aggregate fair value of investments in unrealized losses | $ 16,500,000 | |
Number of investments in unrealized loss position less than a year | Investment | 10 |
Investments - Summary of Invest
Investments - Summary of Investments (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Schedule Of Available For Sale Securities [Line Items] | |
Available-for-sale securities, Amortized Cost | $ 23,507 |
Available-for-sale securities, Gross Unrealized Gains | 3 |
Available-for-sale securities, Gross Unrealized Losses | (5) |
Available-for-sale securities, Estimated Fair Value | 23,505 |
U.S. Treasury Securities | |
Schedule Of Available For Sale Securities [Line Items] | |
Available-for-sale securities, Amortized Cost | 13,258 |
Available-for-sale securities, Gross Unrealized Gains | 3 |
Available-for-sale securities, Gross Unrealized Losses | (2) |
Available-for-sale securities, Estimated Fair Value | 13,259 |
U.S. Corporate Debt Securities | |
Schedule Of Available For Sale Securities [Line Items] | |
Available-for-sale securities, Amortized Cost | 7,397 |
Available-for-sale securities, Gross Unrealized Losses | (3) |
Available-for-sale securities, Estimated Fair Value | 7,394 |
Foreign Corporate Debt Securities | |
Schedule Of Available For Sale Securities [Line Items] | |
Available-for-sale securities, Amortized Cost | 2,852 |
Available-for-sale securities, Estimated Fair Value | $ 2,852 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Financial Assets and Liabilities Measured at Fair Value (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets | $ 93,745 | $ 47,807 |
Total liabilities | 267 | |
U.S. Treasury Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities, debt securities | 13,259 | |
U.S. Corporate Debt Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities, debt securities | 7,394 | |
Foreign Corporate Debt Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities, debt securities | 2,852 | |
Warrants for purchase of shares subject to redemption | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Derivative liability, fair value disclosure | 267 | |
Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets | 93,745 | 37,561 |
Level 1 | U.S. Treasury Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities, debt securities | 13,259 | |
Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets | 10,246 | |
Level 2 | U.S. Corporate Debt Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities, debt securities | 7,394 | |
Level 2 | Foreign Corporate Debt Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities, debt securities | 2,852 | |
Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total liabilities | 267 | |
Level 3 | Warrants for purchase of shares subject to redemption | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Derivative liability, fair value disclosure | 267 | |
Money market funds, included in cash and cash equivalents | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents, fair value disclosure | 93,745 | 24,302 |
Money market funds, included in cash and cash equivalents | Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents, fair value disclosure | $ 93,745 | $ 24,302 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) | 1 Months Ended | 12 Months Ended | ||||
May 31, 2016 | Aug. 31, 2014 | Dec. 31, 2017 | Dec. 31, 2016 | Nov. 06, 2017 | Mar. 31, 2015 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||||
Change in valuation methods or transfers | $ 0 | $ 0 | ||||
Transfers within fair value hierarchy | $ 0 | 0 | ||||
Warrants exercisable shares | 9,040 | |||||
Level 3 | Warrants | ||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||||
Fair value of warrants | $ 300,000 | $ 500,000 | ||||
Level 3 | Loan Agreement | Series A Convertible Preferred Stock | Warrants | ||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||||
Issue of warrants for purchase of preferred stock | 71,428 | |||||
Warrants exercisable shares | 38,265 | 33,163 | ||||
Level 3 | Loan Agreement | Series C Convertible Preferred Stock | Warrants | ||||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||||
Issue of warrants for purchase of preferred stock | 28,302 | |||||
Warrants exercisable shares | 9,434 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Assumptions Used in Valuing Warrants (Detail) - Warrants | Nov. 06, 2017 | Dec. 31, 2016 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Expected volatility | 90.00% | |
Minimum | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Risk-free interest rate | 2.10% | 2.30% |
Expected term (in years) | 6 years 9 months 18 days | 7 years 7 months 6 days |
Expected volatility | 84.00% | |
Maximum | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Risk-free interest rate | 2.20% | 2.50% |
Expected term (in years) | 8 years 6 months | 9 years 3 months 19 days |
Expected volatility | 86.00% |
Fair Value Measurements - Sum47
Fair Value Measurements - Summary of Changes in Fair Value of Warrants, Represented a Recurring Measurement Classified Within Level 3 of Fair Value Hierarchy, using Significant Unobservable Inputs (Detail) - Warrants - Level 3 - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Beginning balance | $ 300 | |
Ending balance | $ 300 | |
Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Beginning balance | 267 | 68 |
Change in fair value of Warrants included in other income (expense) | 257 | 132 |
Fair value of Warrants reclassified to stockholders' equity (deficit) upon conversion to warrants for the conversion of common stock | $ (524) | |
Ending balance | 267 | |
Recurring | Series C Convertible Preferred Stock One | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Initial fair value of Series A Warrant for the purchase of shares | 45 | |
Recurring | Series C Convertible Preferred Stock Two | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Initial fair value of Series A Warrant for the purchase of shares | $ 22 |
Fair Value Measurements - Sum48
Fair Value Measurements - Summary of Changes in Fair Value of Warrants, Represented a Recurring Measurement Classified Within Level 3 of Fair Value Hierarchy, using Significant Unobservable Inputs (Parenthetical) (Detail) - shares | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Warrants exercisable shares | 9,040 | |
Warrants | Recurring | Series C Convertible Preferred Stock One | Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Warrants exercisable shares | 28,302 | |
Warrants | Recurring | Series C Convertible Preferred Stock Two | Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Warrants exercisable shares | 9,434 |
Property and Equipment, Net - S
Property and Equipment, Net - Summary of Property and Equipment, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Property and equipment: | ||
Property and equipment, gross | $ 308 | $ 277 |
Less: Accumulated depreciation | (181) | (108) |
Property and equipment, net | 127 | 169 |
Laboratory Equipment | ||
Property and equipment: | ||
Property and equipment, gross | 263 | 232 |
Computer Equipment | ||
Property and equipment: | ||
Property and equipment, gross | 6 | 6 |
Software | ||
Property and equipment: | ||
Property and equipment, gross | $ 39 | $ 39 |
Property and Equipment, Net - A
Property and Equipment, Net - Additional Information (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Sep. 30, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Property, Plant and Equipment [Line Items] | ||||
Depreciation expense | $ 73,000 | $ 46,000 | $ 98,000 | |
Leasehold Improvements | ||||
Property, Plant and Equipment [Line Items] | ||||
Leasehold improvements written off | $ 100,000 |
Accrued Expenses - Schedule of
Accrued Expenses - Schedule of Accrued Expenses (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Payables And Accruals [Abstract] | ||
Payroll and employee-related expenses | $ 1,132 | $ 914 |
Professional fees | 420 | 172 |
Third-party research and development expenses | 135 | 413 |
Loan interest | 40 | 28 |
IPO-related costs | 111 | |
Other | 111 | 83 |
Total accrued expenses | $ 1,949 | $ 1,610 |
Loan and Security Agreement - A
Loan and Security Agreement - Additional Information (Details) | 1 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2016USD ($)$ / sharesshares | May 31, 2016USD ($) | Mar. 31, 2015USD ($)$ / sharesshares | Aug. 31, 2014USD ($)$ / sharesshares | Dec. 31, 2017USD ($)MonthlyPayment$ / sharesshares | Dec. 31, 2016USD ($)$ / sharesshares | Dec. 31, 2015USD ($) | Dec. 12, 2017shares | Nov. 06, 2017$ / sharesshares | Dec. 31, 2014USD ($) | |
Debt Instrument [Line Items] | ||||||||||
Payment for final interest due upon maturity or prepayment of the original advances | $ | $ 452,000 | $ 472,000 | $ 193,000 | |||||||
Warrants exercisable shares | 9,040 | |||||||||
Exercise price of warrants | $ / shares | $ 11.06 | |||||||||
Cash and cash equivalents | $ | $ 25,250,000 | $ 94,494,000 | $ 25,250,000 | $ 69,011,000 | $ 26,886,000 | |||||
Series A Warrant | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Warrants exercisable shares | 34,225 | |||||||||
Exercise price of warrants | $ / shares | $ 4.09 | |||||||||
Series C Warrant | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Warrants exercisable shares | 9,040 | |||||||||
Exercise price of warrants | $ / shares | $ 11.06 | |||||||||
SVB | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Warrants exercisable shares | 34,225 | |||||||||
SVB | Warrants | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Number of common stock issued as settlement of warrant | 24,401 | |||||||||
Loan Agreement | SVB | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Loan agreement, maximum borrowing capacity | $ | $ 10,000,000 | $ 7,000,000 | ||||||||
Proceeds from loan agreement | $ | $ 2,500,000 | 7,500,000 | $ 3,200,000 | $ 3,800,000 | ||||||
Net proceeds from loan agreement | $ | 1,600,000 | |||||||||
Repayment under loan agreement | $ | 5,300,000 | |||||||||
Payment for final interest due upon maturity or prepayment of the original advances | $ | $ 600,000 | |||||||||
Loan agreement, stated interest rate | 4.00% | |||||||||
Loan agreement, interest rate above prime rate | 0.50% | |||||||||
Loan agreement, effective interest rate | 4.25% | 5.00% | 4.25% | |||||||
Loan agreement, interest only payment period | 12 months | |||||||||
Loan agreement, extended interest only payment period | 18 months | |||||||||
Loan agreement, number of monthly payments | MonthlyPayment | 30 | |||||||||
Loan agreement, frequency of payments | monthly | |||||||||
Percentage of final payment based on total borrowings | 8.25% | |||||||||
Percentage of cash and cash equivalent of outstanding debt balance | 125.00% | 125.00% | 125.00% | |||||||
Cash in operating depository and securities account | $ | $ 10,000,000 | $ 9,700,000 | $ 10,000,000 | |||||||
Loan Agreement | SVB | Minimum | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Cash and cash equivalents | $ | $ 12,500,000 | $ 12,100,000 | $ 12,500,000 | |||||||
Loan Agreement | SVB | Series A Convertible Preferred Stock | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Warrants exercisable shares | 33,163 | |||||||||
Share price | $ / shares | $ 0.98 | |||||||||
Loan Agreement | SVB | Series C Convertible Preferred Stock | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Warrants exercisable shares | 9,434 | 9,434 | ||||||||
Share price | $ / shares | $ 2.65 | $ 2.65 | ||||||||
Loan Agreement | SVB | Series A Warrant | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Warrants exercisable shares | 38,265 | |||||||||
Exercise price of warrants | $ / shares | $ 0.98 | |||||||||
Loan Agreement | SVB | Series A Warrant | Series A Convertible Preferred Stock | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Warrants exercisable shares | 71,428 | |||||||||
Share price | $ / shares | $ 0.98 | |||||||||
Percentage of loan advance amount for which additional warrants were issued to purchase preferred stock | 1.00% | |||||||||
Warrant expiration date | Aug. 17, 2024 | |||||||||
Loan Agreement | SVB | Series C Warrant | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Warrants exercisable shares | 28,302 | 28,302 | ||||||||
Exercise price of warrants | $ / shares | $ 2.65 | $ 2.65 | ||||||||
Loan Agreement | SVB | Series C Warrant | Series C Convertible Preferred Stock | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Share price | $ / shares | $ 2.65 | |||||||||
Percentage of loan advance amount for which additional warrants were issued to purchase preferred stock | 1.00% | |||||||||
Warrant expiration date | May 1, 2026 |
Loan and Security Agreement - S
Loan and Security Agreement - Summary of Minimum Aggregate Future Loan and Interest Payments (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Debt Disclosure [Abstract] | ||
2,018 | $ 4,377 | |
2,019 | 4,185 | |
2,020 | 2,512 | |
Total minimum payments | 11,074 | |
Less: Amount representing interest | (1,407) | |
Less: Discount | (281) | |
Less: Current portion | (3,870) | $ (176) |
Loan payable, net of current portion | $ 5,516 | $ 9,409 |
Convertible Preferred Stock - A
Convertible Preferred Stock - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | 33 Months Ended | ||||
Nov. 30, 2015 | Nov. 30, 2014 | Dec. 31, 2015 | May 31, 2014 | Dec. 31, 2017 | Nov. 06, 2017 | Dec. 31, 2016 | |
Temporary Equity [Line Items] | |||||||
Common stock, shares authorized | 125,000,000 | 75,000,000 | |||||
Initial Public Offering | |||||||
Temporary Equity [Line Items] | |||||||
Issuance price per shares | $ 14 | ||||||
Convertible preferred stock converted into common stock | 13,945,509 | 13,945,509 | |||||
Preferred stock, shares outstanding | 0 | ||||||
Common stock, shares authorized | 125,000,000 | 125,000,000 | |||||
Convertible preferred stock, shares authorized | 5,000,000 | ||||||
Convertible preferred stock, par value | $ 0.001 | ||||||
Series A Convertible Preferred Stock | |||||||
Temporary Equity [Line Items] | |||||||
Convertible preferred stock, shares issued | 18,367,344 | 0 | 18,367,344 | ||||
Issuance price per shares | $ 0.98 | ||||||
Proceeds from the sale of convertible preferred stock, net of issuance costs | $ 17,900 | ||||||
Convertible preferred stock, shares authorized | 0 | 18,510,200 | |||||
Convertible preferred stock, par value | $ 0.001 | $ 0.001 | |||||
Series B Convertible Preferred Stock | |||||||
Temporary Equity [Line Items] | |||||||
Convertible preferred stock, shares issued | 19,841,270 | 0 | 19,841,270 | ||||
Issuance price per shares | $ 1.26 | ||||||
Proceeds from the sale of convertible preferred stock, net of issuance costs | $ 24,900 | ||||||
Convertible preferred stock, shares authorized | 0 | 19,481,270 | |||||
Convertible preferred stock, par value | $ 0.001 | $ 0.001 | |||||
Series C Convertible Preferred Stock | |||||||
Temporary Equity [Line Items] | |||||||
Convertible preferred stock, shares issued | 20,000,000 | 0 | 20,000,000 | ||||
Issuance price per shares | $ 2.65 | ||||||
Proceeds from the sale of convertible preferred stock, net of issuance costs | $ 52,800 | $ 52,782 | |||||
Convertible preferred stock, shares authorized | 0 | 20,037,736 | |||||
Convertible preferred stock, par value | $ 0.001 | $ 0.001 |
Stockholders' Equity (Deficit)
Stockholders' Equity (Deficit) - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Common stock, voting rights | one vote for each share held | ||||
Restricted Stock | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Common stock issued, shares | 1,211,035 | 1,211,035 | |||
Common stock vesting period | 4 years | 4 years | |||
Shares, Unvested | 0 | 0 | 675 | ||
Weighted average grant date fair value, Unvested | $ 0.42 | ||||
Estimated fair values of stock underlying restricted stock awards | $ 800 |
Stockholders' Equity (Deficit56
Stockholders' Equity (Deficit) - Summary of Shares of Common Stock Reserved (Details) - shares | Dec. 31, 2017 | Dec. 31, 2016 |
Class of Stock [Line Items] | ||
Shares of common stock reserved for future issuances | 3,753,669 | 16,119,334 |
Series A Convertible Preferred Stock | ||
Class of Stock [Line Items] | ||
Shares of common stock reserved for future issuances | 4,400,410 | |
Series B Convertible Preferred Stock | ||
Class of Stock [Line Items] | ||
Shares of common stock reserved for future issuances | 4,753,536 | |
Series C Convertible Preferred Stock | ||
Class of Stock [Line Items] | ||
Shares of common stock reserved for future issuances | 4,791,563 | |
Warrants | ||
Class of Stock [Line Items] | ||
Shares of common stock reserved for future issuances | 9,040 | 43,265 |
Stock Options | ||
Class of Stock [Line Items] | ||
Shares of common stock reserved for future issuances | 3,538,345 | 2,130,560 |
Employee Stock Purchase Plan | ||
Class of Stock [Line Items] | ||
Shares of common stock reserved for future issuances | 206,284 |
Stock Incentive Plans - Additio
Stock Incentive Plans - Additional Information (Details) - USD ($) | Jan. 01, 2018 | Oct. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Expense related to awards granted | $ 517,000 | $ 251,000 | $ 207,000 | ||
Total intrinsic value of options exercised | 276,000 | $ 21,000 | |||
Unrecognized stock-based compensation expense related to unvested employee stock options | $ 1,800,000 | ||||
Unrecognized stock-based compensation expense, weighted average period for recognition | 2 years 4 months 24 days | ||||
Employees and Directors | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Weighted-average fair value of options granted | $ 6.16 | $ 1.13 | $ 0.83 | ||
Non-Employees | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Number of stock options granted | 0 | ||||
Expense related to awards granted | $ 65,000 | $ 24,000 | $ 28,000 | ||
Weighted-average fair value of options granted | $ 1.38 | $ 1 | |||
2011 Plan | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Number of stock options granted | 209,797 | ||||
2017 Plan | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Number of stock options granted | 209,797 | ||||
Stock Options | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Stock-based award, vesting period | 4 years | ||||
Stock Options | Employees and Directors | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Expense related to awards granted | $ 500,000 | $ 200,000 | $ 200,000 | ||
Stock Options | 2011 Plan | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Number of stock options granted | 0 | ||||
Stock Options | 2011 Plan | Maximum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Stock-based award, expiration period | 10 years | ||||
Stock Options | 2017 Plan | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Stock option grant effective date | Oct. 31, 2017 | ||||
Share-based compensation arrangement by share-based payment award, description | On October 16, 2017, the Company’s stockholders approved the 2017 Stock Option and Incentive Plan (“2017 Plan”), which became effective on October 31, 2017. As of the effective date of the 2017 Plan, no further grants will be made under the 2011 Plan. The 2017 Plan initially provides for the grant of awards for 2,038,021 shares of common stock. In addition to the shares available for grant under the 2017 Plan, any awards outstanding under the 2011 Plan as of the October 31, 2017 that are cancelled, forfeited or otherwise terminated without being exercised, the number of shares underlying such awards will be available for future grant under the 2017 Plan. The 2017 Plan also provides that an additional number of shares will automatically be added to the shares authorized for issuance under the 2017 Plan on January 1 of each year. The number of shares added each year will be equal to the lesser of: (i) 4% of the outstanding shares on the immediately preceding December 31 or (ii) such amount as determined by the Compensation Committee of the registrant’s Board of Directors. On January 1, 2018, the shares available for grant under the 2017 Plan was automatically increased by 827,786 shares. | ||||
Number of shares authorized for grant | 2,038,021 | ||||
Percentage of additional shares added on outstanding shares | 4.00% | ||||
Shares available for future grant | 2,030,221 | ||||
Stock Options | 2017 Plan | Maximum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Stock-based award, expiration period | 10 years | ||||
Stock Options | 2017 Plan | Subsequent Event | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Additional shares available for grant | 827,786 |
Stock Incentive Plans - Summary
Stock Incentive Plans - Summary of Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 517 | $ 251 | $ 207 |
Research and Development | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Stock-based compensation expense | 147 | 68 | 74 |
General and Administrative | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 370 | $ 183 | $ 133 |
Stock Incentive Plans - Schedul
Stock Incentive Plans - Schedule of Assumptions Used in Black-Scholes Option Pricing Model to Estimate Fair Value of Stock Options (Details) - Stock Options | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Employees and Directors | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Risk-free interest rate, minimum | 1.90% | 1.30% | 1.80% |
Risk-free interest rate, maximum | 2.30% | 1.70% | 1.90% |
Expected term (in years) | 6 years 3 months | ||
Expected volatility | 85.00% | ||
Expected volatility, minimum | 81.00% | 77.00% | |
Expected volatility, maximum | 87.00% | 84.00% | |
Non-Employees | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Risk-free interest rate, minimum | 1.90% | ||
Risk-free interest rate, maximum | 2.40% | ||
Expected term (in years) | 10 years | ||
Expected volatility | 85.00% | ||
Expected volatility, minimum | 89.00% | ||
Expected volatility, maximum | 96.00% | ||
Risk-free interest rate | 2.40% | ||
Minimum | Employees and Directors | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term (in years) | 5 years 7 months 6 days | 5 years 4 months 24 days | |
Minimum | Non-Employees | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term (in years) | 8 years 10 months 24 days | ||
Maximum | Employees and Directors | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term (in years) | 6 years 3 months 18 days | 6 years 4 months 24 days | |
Maximum | Non-Employees | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected term (in years) | 10 years |
Stock Incentive Plans - Summa60
Stock Incentive Plans - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
2017 Plan | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Shares, Outstanding, Beginning balance | 1,348,845 | |
Shares, Granted | 209,797 | |
Shares, Exercised | (33,061) | |
Shares, Cancelled | (17,457) | |
Shares, Outstanding, Ending balance | 1,508,124 | 1,348,845 |
Shares, Exercisable | 787,375 | |
Shares, Vested and expected to vest | 1,508,124 | |
Weighted-Average Exercise Price, Outstanding, Beginning balance | $ 1.29 | |
Weighted-Average Exercise Price, Granted | 5.50 | |
Weighted-Average Exercise Price, Exercised | 0.86 | |
Weighted-Average Exercise Price, Cancelled | 1.87 | |
Weighted-Average Exercise Price, Outstanding, Ending balance | 1.89 | $ 1.29 |
Weighted-Average Exercise Price, Exercisable | 1.24 | |
Weighted-Average Exercise Price, Vested and expected to vest | $ 1.89 | |
Weighted-Average Remaining Contractual Life (in years), Outstanding | 7 years 10 months 24 days | 8 years 7 months 6 days |
Weighted-Average Remaining Contractual Life (in years), Exercisable | 7 years 4 months 24 days | |
Weighted-Average Remaining Contractual Life (in years), Vested and expected to vest | 7 years 10 months 24 days | |
Aggregate Intrinsic Value, Outstanding | $ 12,328 | $ 3,642 |
Aggregate Intrinsic Value, Exercisable | 6,945 | |
Aggregate Intrinsic Value, Vested and expected to vest | $ 12,328 | |
2011 Plan | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Shares, Outstanding, Beginning balance | 1,348,845 | |
Shares, Granted | 209,797 | |
Shares, Exercised | (33,061) | |
Shares, Cancelled | (17,457) | |
Shares, Outstanding, Ending balance | 1,508,124 | 1,348,845 |
Shares, Exercisable | 787,375 | |
Shares, Vested and expected to vest | 1,508,124 | |
Weighted-Average Exercise Price, Outstanding, Beginning balance | $ 1.29 | |
Weighted-Average Exercise Price, Granted | 5.50 | |
Weighted-Average Exercise Price, Exercised | 0.86 | |
Weighted-Average Exercise Price, Cancelled | 1.87 | |
Weighted-Average Exercise Price, Outstanding, Ending balance | 1.89 | $ 1.29 |
Weighted-Average Exercise Price, Exercisable | 1.24 | |
Weighted-Average Exercise Price, Vested and expected to vest | $ 1.89 | |
Weighted-Average Remaining Contractual Life (in years), Outstanding | 7 years 10 months 24 days | 8 years 7 months 6 days |
Weighted-Average Remaining Contractual Life (in years), Exercisable | 7 years 4 months 24 days | |
Weighted-Average Remaining Contractual Life (in years), Vested and expected to vest | 7 years 10 months 24 days | |
Aggregate Intrinsic Value, Outstanding | $ 12,328 | $ 3,642 |
Aggregate Intrinsic Value, Exercisable | 6,945 | |
Aggregate Intrinsic Value, Vested and expected to vest | $ 12,328 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Operating Loss Carryforwards [Line Items] | ||||||||||||
Federal statutory tax rate | 34.00% | 34.00% | 34.00% | |||||||||
Reduction in deferred tax assets | $ 9,300,000 | |||||||||||
Net loss | $ (6,677,000) | $ (4,670,000) | $ (4,632,000) | $ (5,671,000) | $ (6,219,000) | $ (6,136,000) | $ (7,039,000) | $ (5,113,000) | (21,650,000) | $ (24,507,000) | $ (14,247,000) | |
Income tax benefit | 0 | |||||||||||
Valuation allowance | 26,316,000 | 26,602,000 | 26,316,000 | 26,602,000 | ||||||||
Valuation allowances period increase (decrease) | (300,000) | 6,300,000 | ||||||||||
Accrued interest and penalties related to uncertain tax positions | 0 | 0 | 0 | 0 | ||||||||
Federal | ||||||||||||
Operating Loss Carryforwards [Line Items] | ||||||||||||
Net operating loss carryforwards | 77,900,000 | 58,800,000 | $ 77,900,000 | 58,800,000 | ||||||||
Operating loss carryforwards expiration period | 2,037 | |||||||||||
Federal | Research and Development | ||||||||||||
Operating Loss Carryforwards [Line Items] | ||||||||||||
Tax credit carryforward | 3,300,000 | 2,400,000 | $ 3,300,000 | 2,400,000 | ||||||||
Tax credit carryforward expiration period | 2,037 | |||||||||||
State | ||||||||||||
Operating Loss Carryforwards [Line Items] | ||||||||||||
Net operating loss carryforwards | 76,500,000 | 57,500,000 | $ 76,500,000 | 57,500,000 | ||||||||
Operating loss carryforwards expiration period | 2,037 | |||||||||||
State | Research and Development | ||||||||||||
Operating Loss Carryforwards [Line Items] | ||||||||||||
Tax credit carryforward | $ 1,900,000 | 1,600,000 | $ 1,900,000 | 1,600,000 | ||||||||
Tax credit carryforward expiration period | 2,032 | |||||||||||
ASU No. 2016-09 | ||||||||||||
Operating Loss Carryforwards [Line Items] | ||||||||||||
Net operating loss carryforwards associate with deductible stock option exercises | $ 0 | $ 0 | ||||||||||
Scenario Plan | ||||||||||||
Operating Loss Carryforwards [Line Items] | ||||||||||||
Federal statutory tax rate | 21.00% |
Income Taxes - Summary of Defer
Income Taxes - Summary of Deferred Tax Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets: | ||
Net operating loss carryforwards | $ 21,190 | $ 23,028 |
Research and development credits | 4,732 | 3,418 |
Licenses | 24 | 38 |
Other | 370 | 118 |
Total gross deferred tax asset | 26,316 | 26,602 |
Less: Valuation allowance | $ (26,316) | $ (26,602) |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Income Taxes Computed at Statutory Federal Income Tax Rate (Details) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Income tax computed at federal statutory tax rate | 34.00% | 34.00% | 34.00% |
Permanent differences | (2.40%) | (0.50%) | (0.40%) |
State taxes, net of federal benefit | 4.80% | 5.10% | (0.10%) |
Research and development and other tax credits | 5.00% | 6.10% | 5.50% |
Other | 0.10% | ||
Federal rate change | (42.70%) | ||
Change in deferred tax asset valuation allowance | 1.30% | (44.70%) | (39.10%) |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) - Third Rock Ventures LLP - Consulting and Management Services - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Related Party Transaction [Line Items] | |||
Services received from related party | $ 2,000 | $ 69,000 | $ 19,000 |
Due to related party | $ 0 | $ 0 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) | Jun. 01, 2017 | Dec. 31, 2017ft² | Feb. 28, 2017USD ($)ft² | Oct. 31, 2016 | Aug. 31, 2016ft² | Mar. 31, 2015ft² | Oct. 31, 2013USD ($)ft² | Aug. 31, 2011USD ($)ft² | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Operating Leased Assets [Line Items] | |||||||||||
Operating leases, rent expense, net | $ | $ 400,000 | $ 200,000 | $ 200,000 | ||||||||
Newton, MA | |||||||||||
Operating Leased Assets [Line Items] | |||||||||||
Rentable office space under operating lease | 6,055 | ||||||||||
Base rent for office space | $ | $ 100,000 | ||||||||||
Newton, MA | Sublease Agreement | |||||||||||
Operating Leased Assets [Line Items] | |||||||||||
Rentable office space under operating lease | 5,385 | ||||||||||
Operating lease expiration period | 2017-02 | ||||||||||
Natick, MA | |||||||||||
Operating Leased Assets [Line Items] | |||||||||||
Rentable laboratory space under operating lease | 3,170 | ||||||||||
Base rent for lab space | $ | $ 59,000 | ||||||||||
Sudbury, MA | |||||||||||
Operating Leased Assets [Line Items] | |||||||||||
Rentable laboratory space under operating lease | 5,133 | 3,890 | |||||||||
Base rent for lab space | $ | $ 100,000 | ||||||||||
Operating lease extended period | 2019-02 | ||||||||||
Operating lease expiration period | 2017-08 | ||||||||||
Option to lease other, rentable laboratory space under operating lease | 2,029 | ||||||||||
Lease Amendment One | Newton, MA | |||||||||||
Operating Leased Assets [Line Items] | |||||||||||
Operating lease extended period | 2016-10 | ||||||||||
Operating lease extended term | 1 year | ||||||||||
Lease Amendment Two | Newton, MA | |||||||||||
Operating Leased Assets [Line Items] | |||||||||||
Rentable office space under operating lease | 7,795 | ||||||||||
Operating lease extended period | 2020-12 | 2018-05 | |||||||||
Operating Lease Effective Period Month And Year | 2,017 | ||||||||||
Operating lease amendment period | 2017-12 | ||||||||||
Lease Amendment Three | Newton, MA | |||||||||||
Operating Leased Assets [Line Items] | |||||||||||
Operating lease expiration period | 2017-10 |
Commitments and Contingencies66
Commitments and Contingencies - Schedule of Future Minimum Lease Commitments for Operating Leases (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Operating Leases Future Minimum Payments Due [Abstract] | |
2,018 | $ 458 |
2,019 | 379 |
2,020 | 362 |
Total future operating lease commitment | $ 1,199 |
License Agreement - Additional
License Agreement - Additional Information (Details) - Althea Technologies, Inc | 12 Months Ended |
Dec. 31, 2017USD ($)shares | |
License Agreement [Line Items] | |
Contract termination period | 60 days |
Maximum | License Agreement | |
License Agreement [Line Items] | |
Potential milestone payable | $ 56,000,000 |
Patents | License Agreement | |
License Agreement [Line Items] | |
Fees and costs incurred | $ 100,000 |
Issuance of common stock, net of issuance costs, shares | shares | 88,186 |
Employee Benefit Plan - Additio
Employee Benefit Plan - Additional Information (Details) - 401(k) Plan | 12 Months Ended |
Dec. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Maximum annual contribution per employee | 100.00% |
Individual contribution, description | Participants may contribute up to 100% of their annual compensation to the 401(k) Plan, subject to statutory limitations. The 401(k) Plan does not allow the Company to make matching contributions |
Selected Quarterly Financial 69
Selected Quarterly Financial Data (Unaudited) - Schedule of Quarterly Financial Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Statement [Abstract] | |||||||||||
Total operating expenses | $ 6,571 | $ 4,362 | $ 4,474 | $ 5,543 | $ 6,002 | $ 6,102 | $ 7,041 | $ 5,041 | $ 20,950 | $ 24,186 | $ 13,905 |
Loss from operations | (6,571) | (4,362) | (4,474) | (5,543) | (6,002) | (6,102) | (7,041) | (5,041) | (20,950) | (24,186) | |
Net loss | $ (6,677) | $ (4,670) | $ (4,632) | $ (5,671) | $ (6,219) | $ (6,136) | $ (7,039) | $ (5,113) | $ (21,650) | $ (24,507) | $ (14,247) |
Net loss attributable to common stockholders - basic and diluted | $ (0.48) | $ (3.49) | $ (3.46) | $ (4.24) | $ (4.65) | $ (4.59) | $ (5.26) | $ (3.85) | $ (4.80) | $ (18.35) | $ (11.35) |