Strongbridge Biopharma (SBBP) 10-K 27 Feb 19 2018 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2018	Feb. 20, 2019	Jun. 30, 2018
Document and Entity Information [Abstract]
Entity Registrant Name	Strongbridge Biopharma plc
Entity Central Index Key	1,634,432
Document Type	10-K
Current Fiscal Year End Date	--12-31
Document Period End Date	Dec. 31, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	FY
Amendment Flag	false
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Shell Company	false
Entity Public Float			$ 260,068,140
Entity Common Stock, Shares Outstanding		54,158,948

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Current assets:
Cash and cash equivalents	$ 122,490	$ 57,510
Accounts receivable	1,626	1,584
Inventory	3,946	511
Prepaid expenses and other current assets	4,236	1,208
Total current assets	132,298	60,813
Property and equipment, net	294	15
Intangible assets, net	30,132	35,155
Goodwill	7,256	7,256
Other assets	305	686
Total assets	170,285	103,925
Current liabilities:
Accounts payable	1,184	1,247
Accrued liabilities	16,065	11,232
Total current liabilities	17,249	12,479
Long-term debt		37,794
Warrant liability	15,513	41,308
Supply agreement liability, noncurrent	24,568	24,258
Total liabilities	57,330	115,839
Commitments and contingencies (Note 9)
Stockholders’ equity (deficit):
Deferred shares, $1.098 par value, 40,000 shares authorized, issued and outstanding at December 31, 2018 and December 31, 2017	44	44
Ordinary shares, $0.01 par value, 600,000,000 shares authorized at December 31, 2018 and December 31, 2017; 54,122,074 and 40,149,812 shares issued and outstanding at December 31, 2018 and December 31, 2017	541	401
Additional paid-in capital	323,402	230,524
Accumulated deficit	(211,032)	(242,883)
Total stockholders’ equity (deficit)	112,955	(11,914)
Total liabilities and stockholders’ equity (deficit)	$ 170,285	$ 103,925

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Dec. 31, 2018	Dec. 31, 2017
Consolidated Balance Sheets
Deferred shares, par value (in dollars per share)	$ 1.098	$ 1.098
Deferred shares, shares authorized	40,000	40,000
Deferred shares, shares issued	40,000	40,000
Deferred shares, shares outstanding	40,000	40,000
Ordinary shares, par value (in dollars per share)	$ 0.01	$ 0.01
Ordinary shares, shares authorized	600,000,000	600,000,000
Ordinary shares, shares issued	54,122,074	40,149,812
Ordinary shares, shares outstanding	54,122,074	40,149,812

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Revenues:
Net product sales	$ 18,027	$ 7,046
Total revenues	18,027	7,046
Cost and expenses:
Cost of sales (excluding amortization of intangible assets)	3,986	1,483
Selling, general and administrative	63,336	36,292	$ 14,875
Research and development	25,441	17,268	20,023
Amortization of intangible assets	7,187	5,022
Impairment of intangible asset		20,723	15,828
Total cost and expenses	99,950	80,788	50,726
Operating loss	(81,923)	(73,742)	(50,726)
Other income (expense), net:
Unrealized gain (loss) on fair value of warrants	16,337	(30,218)	638
Interest expense	(12,515)	(4,313)	(20)
Foreign exchange loss	(47)	(41)	(69)
Loss on extinguishment of debt	(21,549)	(3,545)
Gain on sale of subsidiary	(130,832)
Other income (expense), net	1,252	147	(1,180)
Total other income (expense), net	114,310	(37,970)	(631)
Income (loss) before income taxes	32,387	(111,712)	(51,357)
Income tax (expense) benefit	(536)	(1,771)	2,638
Net income (loss)	31,851	(113,483)	(48,719)
Net income (loss) attributable to non-controlling interest			122
Net income (loss) attributable to Strongbridge Biopharma	31,851	(113,483)	(48,597)
Net income (loss) attributable to ordinary shareholders:
Basic	31,851	(113,483)	(48,597)
Diluted	$ 15,514	$ (113,483)	$ (49,236)
Net income (loss) per share attributable to ordinary shareholders:
Net income (loss) per share - Basic (in dollars per share)	$ 0.69	$ (3.11)	$ (2.26)
Net income (loss) per share - Diluted (in dollars per share)	$ 0.31	$ (3.11)	$ (2.27)
Weighted-average shares used in computing net loss per share attributable to ordinary shareholders:
Weighted-average ordinary shares outstanding - Basic (in shares)	46,297,088	36,544,825	21,550,353
Weighted average common shares outstanding - Diluted (in shares)	49,724,503	36,544,825	21,655,564

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity (Deficit) - USD ($) $ in Thousands	Ordinary SharesIssuance of shares, Public offering	Ordinary SharesIssuance of shares, Public offering and concurrent with CRG credit facility	Ordinary SharesATM FacilityMaximum	Ordinary SharesATM Facility	Ordinary SharesMaximum	Ordinary Shares	Deferred Shares	Additional Paid-In CapitalIssuance of shares, Public offering	Additional Paid-In CapitalIssuance of shares, Public offering and concurrent with CRG credit facility	Additional Paid-In CapitalATM Facility	Additional Paid-In Capital	Accumulated Deficit	Non Controlling Interest	Issuance of shares, Public offering	Issuance of shares, Public offering and concurrent with CRG credit facility	ATM Facility	Total
Balance at beginning of period at Dec. 31, 2015						$ 212	$ 44				$ 170,910	$ (80,803)	$ 564				$ 90,927
Balance (in shares) at Dec. 31, 2015						21,205,382	40,000
Increase (Decrease) in Stockholders' Equity
Net income (loss)												(48,597)	(122)				(48,719)
Stock-based compensation											4,606						4,606
Acquisition of non-controlling interest											(972)		$ (442)				(1,414)
Issuance of shares, net of costs	$ 140							$ 20,430						$ 20,570
Issuance of shares, net of costs (in shares)	14,000,000
Issuance of warrants related to the loan agreements											882						882
Exercise of stock options						$ 1					119						120
Exercise of stock options (in shares)						129,644
Balance at end of period at Dec. 31, 2016						$ 353	$ 44				195,975	(129,400)					66,972
Balance (in shares) at Dec. 31, 2016						35,335,026	40,000
Increase (Decrease) in Stockholders' Equity
Net income (loss)												(113,483)					(113,483)
Stock-based compensation											5,167						5,167
Issuance of shares, net of costs		$ 44	$ 1						$ 26,340	$ 73					$ 26,384	$ 73
Issuance of shares, net of costs (in shares)		4,429,799		10,300
Exercise of warrants						$ 2					(2)
Exercise of warrants (in shares)						178,606
Issuance of warrants related to the loan agreements											2,347						2,347
Exercise of stock options						$ 2					624						626
Exercise of stock options (in shares)						196,081
Balance at end of period at Dec. 31, 2017						$ 401	$ 44				230,524	(242,883)					(11,914)
Balance (in shares) at Dec. 31, 2017						40,149,812	40,000
Increase (Decrease) in Stockholders' Equity
Net income (loss)												31,851					31,851
Stock-based compensation											7,807						7,807
Issuance of shares, net of costs	$ 53			$ 13				$ 33,455		$ 8,583				$ 33,508		$ 8,596
Issuance of shares, net of costs (in shares)	5,255,683			1,281,903
Issuance of shares to Novo						$ 52					22,331						22,383
Issuance of shares to Novo (in shares)						5,242,000
Issuance of shares to CRG						$ 7					2,798						2,805
Issuance of shares to CRG (in shares)						656,929
Exercise of warrants						$ 14					10,619						10,633
Exercise of warrants (in shares)						1,384,062
Issuance of warrants related to the loan agreements											7,663						7,663
Exercise of stock options					$ 1						96						96
Exercise of stock options (in shares)						50,654
Common stock issued, net of shares withheld for employee taxes						$ 1					(474)						(473)
Common stock issued, net of shares withheld for employee taxes (in shares)						101,031
Balance at end of period at Dec. 31, 2018						$ 541	$ 44				$ 323,402	$ (211,032)					$ 112,955
Balance (in shares) at Dec. 31, 2018						54,122,074	40,000

Consolidated Statements of Cash

Consolidated Statements of Cash Flow - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Cash flows from operating activities:
Net income (loss)	$ 31,851	$ (113,483)	$ (48,719)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Change in fair value of warrant liability	(16,337)	30,218	(638)
Impairment of intangible asset		20,723	15,828
Stock-based compensation	7,807	5,167	4,606
Amortization of intangible assets	7,187	5,022
Interest and related guarantee fees paid in kind		896
Amortization of debt discounts and debt issuance costs	1,484	482
Loss on extinguishment of debt	21,549	3,545
Gain on sale of subsidiary	130,832
Deferred income tax expense (benefit)		1,958	(2,884)
Depreciation	46	10	10
Impairment/loss on investment in Antisense Therapeutics			550
Changes in operating assets and liabilities:
Accounts receivable	(42)	(1,584)
Inventory	(3,437)	(511)
Prepaid expenses and other current assets	(3,028)	(444)	848
Other assets	381	(536)	(88)
Accounts payable	(63)	158	(1,702)
Accrued liabilities and other liabilities	(1,142)	3,043	475
Net cash used in operating activities	(84,576)	(45,336)	(31,714)
Cash flows from investing activities:
Payment for acquisitions	(24,655)	(7,500)	(3,392)
Purchases of property and equipment	(326)
Proceeds from sale of subsidiary	159,311
Net cash provided by (used in) investing activities	134,330	(7,500)	(3,392)
Cash flows from financing activities:
Proceeds from long-term debt, net	44,930	39,987	19,316
Payment for loss on extinguishment of debt	(9,990)	(1,300)
Repayment of long-term debt	(85,000)	(22,261)
Proceeds from issuance of ordinary shares, net	33,508	26,384	32,298
Proceeds from share subscription to Novo	22,383
Proceeds from issuance of ordinary shares in connection with at-the-market offering	8,596	73
Proceeds from exercise of warrants	1,176
Proceeds from exercise of stock options	96	626	120
Payments related to tax withholding for net-share settled equity awards	(473)
Acquisition of non-controlling interest			(1,414)
Net cash provided by financing activities	15,226	43,509	50,320
Net increase (decrease) in cash and cash equivalents	64,980	(9,327)	15,214
Cash and cash equivalents—beginning of period	57,510	66,837	51,623
Cash and cash equivalents—end of period	122,490	57,510	66,837
Supplemental disclosures of cash flow information - Cash paid during the year for:
Interest	11,122	2,935	$ 20
Income taxes other, net of refunds	1	$ 127
Supplemental non-cash financing activities:
Issuance of shares to settle debt	$ 2,805

Organization

Organization	12 Months Ended
	Dec. 31, 2018
Organization
Organization	1. Organization We are a global, commercial-stage biopharmaceutical company focused on the development and commercialization of therapies for rare diseases with significant unmet needs. Our first commercial product is Keveyis (dichlorphenamide), the first and only treatment approved by the U.S. Food and Drug Administration (the “FDA”) for hyperkalemic, hypokalemic, and related variants of primary periodic paralysis (“PPP”), a group of rare hereditary disorders that cause episodes of muscle weakness or paralysis. In January 2018, Strongbridge Ireland Ltd., one of our wholly-owned subsidiaries, acquired the U.S. and Canadian rights to Macrilen (macimorelin), the first and only oral drug approved by the FDA for the diagnosis of patients with adult growth hormone deficiency. We launched Macrilen in the United States in July 2018. In December 2018, we sold Strongbridge Ireland Ltd. to Novo Nordisk Healthcare AG (“Novo”) for $145 million plus the right to receive tiered royalties on net sales of Macrilen through 2027. In addition, Strongbridge U.S. Inc, another of our wholly-owned subsidiaries, entered into an agreement with Novo Nordisk Inc., subsidiary of Novo (“NNI”), pursuant to which NNI will fund the costs of 23 of our field-based employees to provide full-time ongoing services to NNI, including the promotion of Macrilen in the United States, for a period of three years. Novo also purchased 5.2 million of our ordinary shares at a purchase price of $7.00 per share W e have two clinical-stage product candidates for rare endocrine diseases, Recorlev and veldoreotide. Recorlev (levoketoconazole) is a cortisol synthesis inhibitor currently being studied for the treatment of endogenous Cushing's syndrome. Veldoreotide is a next-generation somatostatin analog being investigated for potential applications in conditions amenable to somatostatin receptor activation, such as acromegaly. Both Recorlev and veldoreotide have received orphan designation from the FDA and the European Medicines Agency (“EMA”). Liquidity We believe that our cash resources of $122.5 million at December 31, 2018 will be sufficient to allow us to fund planned operations for at least 12 months beyond the issuance date of these financial statements. We may never achieve profitability, and unless and until we do, we will continue to need to raise additional capital. We plan to continue to fund our operations and capital funding needs through equity or debt financing along with revenues from Keveyis and royalty income from Macrilen . There can be no assurances, however, that additional funding will be available on terms acceptable to us.

Summary of significant accounti

Summary of significant accounting policies and basis of presentation	12 Months Ended
	Dec. 31, 2018
Summary of significant accounting policies and basis of presentation
Summary of significant accounting policies and basis of presentation	2. Summary of significant accounting policies and basis of presentation Basis of presentation and principles of consolidation The accompanying consolidated financial statements include the accounts of our wholly owned subsidiaries, Strongbridge U.S. Inc. (Trevose, Pennsylvania, United States), Strongbridge Dublin Limited (Dublin, Ireland), Cortendo AB (Gothenburg, Sweden) and Cortendo Cayman (Georgetown, Cayman Islands). All intercompany balances and transactions have been eliminated in consolidation. These audited consolidated financial statements have been prepared in conformity with generally accepted accounting principles in the United States (“U.S. GAAP”). Any reference in these notes to applicable guidance is meant to refer to the authoritative U.S. GAAP as found in the Accounting Standards Codification (“ASC”) and Accounting Standards Update (“ASU”) of the FASB. Revenue recognition We follow ASC Topic 606, Revenue from Contracts with Customers (“ASC 606”) , effective for revenue accounting. Topic 606 applies to all contracts with customers, except for contracts that are within the scope of other standards, such as leases, insurance, collaboration arrangements and financial instruments. Under Topic 606, an entity recognizes revenue when its customer obtains control of promised goods or services, in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that an entity determines are within the scope of Topic 606, the entity performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. We apply the five-step model to contracts only when it is probable that we will collect the consideration we are entitled to receive in exchange for the goods or services we transfer to the customer. At contract inception, once the contract is determined to be within the scope of Topic 606, we assess the goods or services promised within each contract, determine those that are performance obligations, and assess whether each promised good or service is distinct. We then recognize as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. For a complete discussion of accounting for net product revenue, see Note 3. Inventory and cost of sales Inventory is stated at the lower of cost or net realizable value where cost is determined using the first-in, first-out method. Our inventory consists of only finished goods. Cost of sales includes the cost of inventory sold, which includes third-party acquisition costs, third-party warehousing and product distribution charges. Foreign currency translation The consolidated financial statements are reported in United States dollars, which is the functional currency of our subsidiaries. Transactions in foreign currencies are remeasured into our functional currency at the rate of exchange prevailing at the date of the transaction. Any monetary assets and liabilities arising from these transactions are remeasured into our functional currency at exchange rates prevailing at the balance sheet date or on settlement. Resulting gains and losses are recorded in foreign exchange loss in our consolidated statements of operations. Use of estimates The preparation of financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the reported amounts in the financial statements and accompanying notes. We must apply significant judgment in this process. Actual results could materially differ from those estimates. Cash and cash equivalents We consider all short‑term highly liquid investments with an original maturity at the date of purchase of three months or less to be cash equivalents. Cash and cash equivalents consist of account balances at banks and money market accounts, respectively. Concentration of credit risk and other risks and uncertainties As part of our cash and investment management processes, we perform periodic evaluations of the credit standing of the financial institutions with which we deposit our cash or purchase cash equivalents, and we have not sustained any credit losses from instruments held at these financial institutions. Fair value of financial instruments Fair value accounting is applied for all financial assets and liabilities and non‑financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis (at least annually). We are required to disclose information on all assets and liabilities reported at fair value that enables an assessment of the inputs used in determining the reported fair values. FASB ASC Topic 820, Fair Value Measurements and Disclosures (“ASC 820”), establishes a hierarchy of inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from sources independent of us. Unobservable inputs are inputs that reflect our assumptions about the inputs that market participants would use in pricing the asset or liability and are developed based on the best information available in the circumstances. The fair value hierarchy applies only to the valuation inputs used in determining the reported fair value of the investments and is not a measure of the investment credit quality. The three levels of the fair value hierarchy are described as follows: Level 1—Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that we have the ability to access at the measurement date. Level 2—Valuations based on quoted prices for similar assets or liabilities, or quoted prices in markets that are not active, and for which all significant inputs are observable, either directly or indirectly. Level 3—Valuations that require inputs that reflect our own assumptions that are both significant to the fair value measurement and unobservable. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment we exercise 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. In December 2016, we issued warrants in connection with our private placement of ordinary shares. Pursuant to the terms of the warrant agreement, the Company could be required to settle the warrants in cash in the event of an acquisition of the Company and, as a result, the warrants are required to be measured at fair value and reported as a liability in the consolidated balance sheet. We recorded the fair value of the warrants upon issuance using the Black-Scholes Model and are required to revalue the warrants at each reporting date with any changes in fair value recorded on our statement of operations. The valuation of the warrants is considered under Level 3 of the fair value hierarchy due to the need to use assumptions in the valuation that that are both significant to the fair value measurement and unobservable. The change in the fair value of the Level 3 warrant liabilities is reflected in the statement of operations for the years ended December 31, 2018, 2017 and 2016. Property and equipment, net Property and equipment, net, consists of office equipment such as furniture, fixtures and computers. Depreciation expense for the years ended December 31, 2018 and 2017 was not significant. The following useful lives were used for the various classifications of property and equipment, net: Amortization Periods Computer hardware - years Computer software - years Furniture and fixtures - years Leasehold improvements Lesser of useful life or remaining lease term Intangible assets Certain intangible assets were acquired as part of an asset purchase and have been capitalized at their acquisition date fair value. Acquired definite life intangible assets are amortized using the straight-line method over their respective estimated useful lives. The Company evaluates the potential impairment of intangible assets if events or changes in circumstances indicate that the carrying amount of the assets may not be fully recoverable or that the useful lives of these assets are no longer appropriate. Purchased identifiable intangible assets with indefinite lives are evaluated for impairment annually in accordance with our policy and whenever events or changes in circumstances indicate that it is more likely than not that the fair value of these assets may not be recovered. Goodwill We test goodwill for impairment on an annual basis or whenever events occur that may indicate possible impairment. This analysis requires us to make a series of critical assumptions to (1) evaluate whether any impairment exists and (2) measure the amount of impairment. Because we have one operating segment, when testing for a potential impairment of goodwill, we are required to estimate the fair value of our business and determine the carrying value. If the estimated fair value is less than the carrying value of our business, then we are required to estimate the fair value of all identifiable assets and liabilities in a manner similar to a purchase price allocation for an acquired business. Only after this process is completed can the goodwill impairment be determined, if any. To estimate the fair value of the business, primarily a market‑based approach is applied, utilizing our public market value. We did not record a charge for impairment for our goodwill for the years ended December 31, 2018, 2017, and 2016. Research and development expenses Research and development costs are expensed as incurred. Research and development expenses consist of internal and external expenses. Internal expenses include compensation and related expenses. External expenses include development, clinical trials, report writing, and regulatory compliance costs incurred with clinical research organizations and other third‑party vendors. At the end of the reporting period, we compare payments made to third‑party service providers to the estimated progress toward completion of the research or development objectives. Such estimates are subject to change as additional information becomes available. Depending on the timing of payments to the service providers and the progress that we estimate has been made as a result of the service provided, we may record net prepaid or accrued expense relating to these costs. Upfront and milestone payments made to third parties who perform research and development services on our behalf are expensed as services are rendered. Stock‑based compensation We account for stock‑based compensation awards in accordance with Financial Accounting Standards Board (“FASB”) ASC Topic 718, Compensation—Stock Compensation (“ASC 718”). ASC 718 requires all stock‑based payments including grants of stock options and restricted stock and modifications to existing stock options, to be recognized in the consolidated statements of operations based on their fair values. Our stock‑based awards are subject to either service‑based or performance‑based vesting conditions. Vesting of certain awards could also be accelerated upon achievement of defined market‑based vesting conditions. Certain awards also contain a combination of service and market conditions or performance and market conditions. We record compensation expense for service‑based awards over the vesting period of the award on a straight‑line basis. Compensation expense related to awards with performance‑based vesting conditions is recognized over the requisite service period using the accelerated attribution method to the extent achievement of the performance condition is probable. For those awards in which the performance condition was the completion of our IPO, we did not recognize compensation expense until the close of the IPO as we did not deem the IPO probable until it occurred. Compensation expense for awards with service and market‑based vesting conditions is recognized using the accelerated attribution method over the shorter of the requisite service period or the implied period associated with achievement of the market‑based vesting provisions. We estimate the fair value of our awards with service conditions using the Black‑Scholes option pricing model, which requires the input of subjective assumptions, including (i) the expected stock price volatility, (ii) the expected term of the award, (iii) the risk‑free interest rate and (iv) expected dividends. Due to the lack of historical and implied volatility data of our ordinary shares, we based our estimate of expected volatility on the historical volatility of a group of similar companies that are publicly traded. We selected companies with comparable characteristics to us, including enterprise value, risk profiles and position within the industry, and with historical share price information sufficient to meet the expected term of the stock‑based awards. We compute historical volatility data using the daily closing prices for the selected companies’ shares during the equivalent period of the calculated expected term of the stock‑based awards. We estimate the fair value of our awards with market conditions using a Monte Carlo simulation to determine the probability of satisfying the market condition. We make this estimate using the conditions that exist at the grant date. The derived service period, which may be the requisite service period, is also determined at this time. Compensation cost for our awards with a market condition is recognized ratably using the accelerated attribution method if the award is subject to graded vesting over the requisite service period. The compensation cost for our awards with a market condition is not reversed if the market condition is not satisfied. We have estimated the expected term of employee service‑based stock options using the “simplified” method, whereby the expected term equals the arithmetic average of the vesting term and the original contractual term of the option, due to our lack of sufficient historical data. We have estimated the expected term of employee awards with market conditions using a Monte‑Carlo simulation model. This approach involves generating random stock‑price paths through a lattice‑type structure. Each path results in a certain financial outcome, such as accelerated vesting or specific option payout. We have estimated the expected term of nonemployee service‑ and performance‑based awards based on the remaining contractual term of such awards. The risk‑free interest rates for periods within the expected term of the option are based on the U.S. Treasury Bond rate with a maturity date commensurate with the expected term of the associated award. We have never paid dividends and do not expect to pay dividends in the foreseeable future. We account for forfeitures as they occur. Income taxes On December 22, 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act makes broad and complex changes to the U.S. tax code, including, but not limited to, reducing the top U.S. federal corporate tax rate from 35 percent to 21 percent; requiring companies to pay a one-time transition tax on certain un-repatriated earnings of foreign subsidiaries; generally eliminating U.S. federal income taxes on dividends from foreign subsidiaries; requiring a current inclusion in U.S. federal taxable income of certain earnings of controlled foreign corporations; eliminating the corporate alternative minimum tax (“AMT”) and changing how existing AMT credits can be realized; creating the base erosion anti-abuse tax (“BEAT”), a new minimum tax; creating a new limitation on deductible interest expense; and changing rules related to uses and limitations of net operating loss carryforwards created in tax years beginning after December 31, 2017. The Tax Act reduces our U.S. corporate income tax rate from 34% to 21%, effective January 1, 2018. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to reverse. As a result of the reduction in the U.S. corporate income tax rate from 34% to 21% under the Tax Act, we revalued our ending net deferred tax assets and liabilities at December 31, 2017. The Tax Act provided for a one-time transition tax on the deemed repatriation of post-1986 undistributed foreign subsidiary earnings and profits (“E&P”). Strongbridge did not have to recognize any income tax expense related to the transition tax as they own no controlled foreign corporations. The global intangible low-taxed income tax and base erosion provisions are effective for taxable years beginning after December 31, 2017. The Company does not currently expect these provisions to have a material impact on its tax rate as they do not own any controlled foreign corporations and they are currently below the gross receipts threshold for purposes of the base erosion provisions. In accordance with Staff Accounting Bulletin No. 118 (“SAB 118”), the Company has finalized the accounting for the Tax Act and has recorded no additional amount during the current year. We recognize interest and penalties related to uncertain tax positions in income tax expense. As of December 31, 2018, 2017 and 2016, we had no accrued interest or penalties related to uncertain tax positions and no amounts have been recognized in our statements of operations. Net income (loss) per share Basic net income (loss) per share is calculated by dividing the net income (loss) attributable to shareholders by the weighted-average number of ordinary shares outstanding during the period. Diluted net income (loss) per share is calculated by dividing the net income (loss) attributable to shareholders by the weighted‑average number of ordinary shares outstanding for the period, including any dilutive effect from outstanding stock options and other equity-based awards. Net income (loss) per share was calculated as follows for the periods indicated below: Year Ended December 31, (in thousands, except per share data) 2018 2017 2016 Basic Net Income (Loss) Per Share Basic net income (loss) $ 31,851 $ (113,483) $ (48,597) Weighted-average ordinary shares outstanding 46,297,088 36,544,825 21,550,353 Basic net income (loss per share) $ 0.69 $ (3.11) $ (2.26) Diluted Net Income (Loss) Per Share Diluted net income (loss) $ 15,514 $ (113,483) $ (49,236) Weighted-average ordinary shares outstanding 46,297,088 36,544,825 21,550,353 Dilutive warrants, stock options and RSUs 3,427,415 - 105,211 Weighted-average shares used to compute diluted net income (loss) per share 49,724,503 36,544,825 21,655,564 Diluted net income (loss) per share $ 0.31 $ (3.11) $ (2.27) Shares used in the diluted net loss per share calculations exclude anti‑dilutive ordinary share equivalents, which consist of outstanding stock options, unvested restricted stock units and warrants, if applicable. Year Ended December 31, 2018 2017 2016 Warrants 1,642,539 7,555,003 7,000,000 Stock options issued and outstanding 4,444,830 6,104,715 3,249,784 Unvested RSUs — 267,250 184,000 Recently issued accounting pronouncements In January 2017, the FASB issued Accounting Standards Update (“ASU”) 2017-04, Intangibles - Goodwill and Other : Simplifying the Accounting for Goodwill Impairment . ASU 2017-04 removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. A goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. This standard, which will be effective for us beginning in the first quarter of fiscal year 2020, is required to be applied prospectively. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We are currently evaluating the impact this new accounting guidance will have on our consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases , that requires lessees to recognize leases on-balance sheet and disclose key information about leasing arrangements. The new standard establishes a right-of-use (“ROU”) model that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. The standard is effective on January 1, 2019, with early adoption permitted. We adopted the new standard on January 1, 2019 and use the effective date as our date of initial application. In July 2018, the FASB issued an update that provided an additional transition option that allows companies to continue applying the guidance under the lease standard in effect at that time in the comparative periods presented in the consolidated financial statements. Companies that elect this option would record a cumulative-effect adjustment to the opening balance of retained earnings on the date of adoption. We elected this optional transition method. We also elected the “package of practical expedients”, which permits us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. We continue to evaluate other practical expedients available under the standard. We have substantially completed our assessment of the standard. We continue to finalize our calculations, including our discount rate assumptions, related to the new standard. We are also continuing to establish new processes and internal controls that may be required to comply with the new lease accounting and disclosure requirements set by the new standard. We expect the impact of the standard adoption to increase our assets and liabilities no more than 5% within our consolidated balance sheet as a result of the recognition of new ROU assets and liabilities in accordance with the new leasing standard.

Revenue recognition

Revenue recognition	12 Months Ended
	Dec. 31, 2018
Revenue recognition
Revenue recognition	3. Revenue recognition Product revenue, net We launched our second commercial product, Macrilen, in July 2018. Our product sales result from sales of Keveyis and Macrilen. We will no longer record product sales of Macrilen following its sale to Novo in December 2018. We recognize net product sales at the time our products are received by our customers (primarily wholesalers and specialty pharmacies). The products are subsequently sold to patients, who are covered by payors that may provide for government-mandated or privately negotiated rebates with respect to the purchase of our products. Disaggregation of Revenue The following table summarizes revenue by product for the twelve months ended December 31, 2018 and 2017 (in thousands): Twelve Months Twelve Months Ended Ended December 31, 2018 December 31, 2017 Products Keveyis $ 16,802 $ 7,046 Macrilen 1,225 — Total $ 18,027 $ 7,046 Reserves for variable consideration Revenues from sales of our products are recorded at the net sales price (transaction price), which includes estimates of variable consideration for which reserves are established and that result from rebates, co-pay assistance and other allowances that are offered by us and the patients’ payors. These reserves are based on the amounts earned or to be claimed on the related sales and are classified as reductions of accounts receivable (if the amount is payable to our customer) or a current liability (if the amount is payable to a party other than our customer). Where appropriate, these estimates may take into consideration a range of possible outcomes that are probability-weighted for relevant factors such as our historical experience, current contractual and statutory requirements, specific known market events and trends, industry data and forecasted customer buying and payment patterns. Overall, these reserves reflect our best estimates of the amount of consideration to which we are entitled based on the terms of the contract. The amount of variable consideration that is included in the transaction price may be constrained and is included in the net sales price only to the extent that it is probable that a significant reversal in the amount of the cumulative revenue recognized will not occur in a future period. Actual amounts of consideration ultimately received may differ from our estimates. We reassess our estimates on an ongoing basis. If actual results in the future vary from our estimates, we will adjust our estimates. Any such adjustments would affect net product revenue and earnings in the period such variances become known. Trade discount : Our contracts with our customers provide for a discount, that is recorded as a reduction of revenue in the period the related product revenue is recognized. In addition, we receive sales order management, data and distribution services from our customers. To the extent the services received are distinct from our sale of products to our customers, these payments are classified in selling, general and administrative expenses in our consolidated statement of operations. Prompt Pay Discount : We offer cash discounts to our customers, generally 2% of the sales price, as an incentive for prompt payment. We estimate for cash discounts using the most likely amount method by reducing accounts receivable by the prompt pay discount amount. The discount is recognized as a reduction of revenue in the same period as the related revenue. Funded Co-pay Assistance Program : We contract with a third-party to manage the co-pay assistance program intended to provide financial assistance to qualified insured patients. The calculation of the accrual for co-pay assistance is based on an estimate of claims and the cost per claim that we expect to receive associated with the product that has been recognized as revenue but remains in the distribution channel inventories at the end of each reporting period. These payments are consideration payable to our customers and the related reserve is recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability which is included in accrued expenses on the consolidated balance sheet. Government rebates : We are subject to discount obligations under state Medicaid programs and Medicare. We estimate our Medicaid and Medicare rebates based upon a range of possible outcomes that are probability-weighted for the estimated patient mix. These reserves are recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability, which is included in accrued expenses on the consolidated balance sheet. For Medicaid, accruals are based on estimates of future Medicaid beneficiary utilization applied to the Medicaid unit rebate formula established by the Center for Medicaid and Medicare Services. Effective January 1, 2011, manufacturers of pharmaceutical products are responsible for 50% of the patient’s cost of branded prescription drugs related to the Medicare Part D Coverage Gap. In order to estimate the cost to us of this Medicare coverage gap responsibility, we estimate the number of patients in the prescription drug coverage gap for whom we will owe an additional liability under the Medicare Part D program. Our liability for these rebates consists of estimates of claims for the current quarter and estimated future claims that will be made that have been recognized as revenue but remain in the distribution channel inventories at the end of each reporting period. Temporary Supply and Patient Assistance Programs : We provide free product to uninsured patients who satisfy pre-established criteria for either the Temporary Supply Program for Keveyis or the Patient Assistance Program for Keveyis. Patients who meet the Temporary Supply Program eligibility criteria may receive a temporary supply of free Keveyis for no more than sixty days while we determine the patient’s third-party insurance, prescription drug benefit or other third-party coverage for Keveyis. The Patient Assistance Program provides free Keveyis for up to twelve months to patients who satisfy pre-established criteria for financial need. We do not recognize any revenue related to these free products and the associated costs are classified in selling, general and administrative expenses in our consolidated statements of operations.

Fair value measurement

Fair value measurement	12 Months Ended
	Dec. 31, 2018
Fair value measurement
Fair value measurement	4. Fair value measurement The following table sets forth the fair value measurements by level within the fair value hierarchy, that are measured on a recurring basis. Our l evel 3 instrument consist of the ordinary share warrant liability. The fair values of the outstanding warrants were measured using the Black-Scholes option-pricing model. Inputs used to determine estimated fair value of the warrant liabilities include the estimated fair value of the underlying stock at the valuation date, the estimated term of the warrants, risk-free interest rates, expected dividends and the expected volatility of the underlying stock. The significant unobservable inputs used in the fair value measurement of the warrant liabilities were the volatility rate and the estimated term of the warrants. Generally, increases (decreases) in the fair value of the underlying stock and estimated term would result in a directionally similar impact to the fair value measurement. The following table presents the Company’s assets and liabilities that are measured at fair value on a recurring basis for the periods presented (in thousands) : As of December 31, 2018 Level I Level II Level III Total Cash equivalents 122,300 — — 122,300 Total assets $ 122,300 $ — $ — $ 122,300 Warrant liability — — 15,513 15,513 Total liabilities $ — $ — $ 15,513 $ 15,513 As of December 31, 2017 Level I Level II Level III Total Cash equivalents 57,024 — — 57,024 Total assets $ 57,024 $ — $ — $ 57,024 Warrant liability — — 41,308 41,308 Total liabilities $ — $ — $ 41,308 $ 41,308

Intangible assets and goodwill

Intangible assets and goodwill	12 Months Ended
	Dec. 31, 2018
Intangible assets and goodwill
Intangible assets and goodwill	5. Intangible assets and goodwill The gross carrying amount of in‑process research and development, acquired developed product rights and goodwill is as follows (in thousands): As of December 31, 2018 Beginning of Period Additions Sold Amortization End of Period Keveyis $ 35,155 $ — $ — $ (5,023) $ 30,132 Macrilen — 24,834 (22,670) (2,164) — Goodwill 7,256 — — — 7,256 Total $ 42,411 $ 24,834 $ (22,670) $ (7,187) $ 37,388 As of December 31, 2017 Beginning of Period Additions Impairment Amortization End of Period IPR&D $ 20,723 $ — $ (20,723) $ — $ — Keveyis 40,177 — — (5,022) 35,155 Goodwill 7,256 — — — 7,256 Total $ 68,156 $ — $ (20,723) $ (5,022) $ 42,411 Estimated amortization of our acquired developed product rights intangible asset for the five years subsequent to December 31, 2018 is as follows (in thousands): 2019 $ 5,022 2020 5,022 2021 5,022 2022 5,022 2023 5,022 Goodwill and in‑process research and development resulted from our acquisition of BioPancreate and our 2015 acquisition of veldoreotide from Aspireo Pharmaceuticals, Ltd. In‑process research and development is initially measured at its fair value and is not amortized until commercialization. We recorded $20.7 million of impairment relating for our veldoreotide in-process research and development during the year ended December 31, 2017. The significant inputs to the fair value measurement were future revenues expected to be generated, estimated costs to manufacture and appropriate risk-adjusted discount rate. The impairment of veldoreotide was due to estimated increased development costs and longer time lines related to the development process resulting in a decrease in the valuation of our intangible asset. Our finite lived intangible asset consists of acquired developed product rights obtained from the asset acquisition of Keveyis (dichlorphenamide) from a subsidiary of Taro Pharmaceutical Industries Ltd. (“Taro”). In connection with the Asset Purchase and Supply Agreement we entered into with Taro, we have paid Taro an upfront payment in two installments of $1 million in December 2016 and $7.5 million in March 2017. We concluded that the supply price payable by us exceeds fair value and, therefore, have used a discounted cash flow method with a probability assumption to value the payments in excess of fair value at $29.3 million, for which we have recorded an intangible asset and corresponding liability. This liability will be amortized as we purchase inventory over the term of the agreement. In addition, we incurred transaction costs of $2.4 million resulting in the recording of an Intangible Asset of $40.2 million. This asset began being amortized in 2017 and is being amortized over an 8-year period. In January 2018, we entered into a License and Assignment Agreement with Aeterna Zentaris GmbH, pursuant to which we acquired the U.S. and Canadian rights to manufacture and commercialize Macrilen (macimorelin) for $24 million and incurred transaction costs of $0.7 million, resulting in an initial intangible of $24.7 million. We recorded any royalty liability as an increase to the intangible asset. This asset was being amortized over a ten-year period using the straight-line method until our sale of the rights to the asset to Novo in December 2018.

Accrued liabilities

Accrued liabilities	12 Months Ended
	Dec. 31, 2018
Accrued liabilities
Accrued liabilities	6. Accrued liabilities Accrued liabilities consist of the following (in thousands): December 31, December 31, 2018 2017 Consulting and professional fees $ 4,145 $ 2,465 Supply agreement - current portion 1,638 4,237 Employee compensation 5,717 3,668 Accrued sales allowances 2,233 742 Accrued royalties 802 — Other 1,530 120 Total accrued liabilities $ 16,065 $ 11,232

Long-term debt

Long-term debt	12 Months Ended
	Dec. 31, 2018
Long-term debt
Long-term debt	7. Long-term debt On January 16, 2018 (the “First Loan Amendment Effective Date”), we and our subsidiaries, Strongbridge U.S. Inc., Strongbridge Ireland Limited , Cortendo AB (publ) and Cortendo Cayman Ltd., entered into an amendment (the “First Loan Amendment”), to the Term Loan Agreement (the “Loan Agreement”), dated July 14, 2017, with CRG Servicing LLC (“CRG”), as administrative agent and collateral agent, and the lenders named therein (the “Lenders”). The primary purpose of the First Loan Amendment was to increase the total potential borrowing under the Loan Agreement from $50 million to $100 million. The First Loan Amendment provided for (i) an additional disbursement of $45.0 million (the “Second Tranche”) to the Company on the First Loan Amendment Effective Date, and (ii) an additional disbursement of $5.0 million (the “Fourth Tranche”) to us at our election, contingent upon our achievement of certain revenue milestones and a market capitalization condition on or before December 31, 2018, as described in the First Loan Amendment. Under the First Loan Amendment, we continued to be eligible to borrow up to an additional $10.0 million (the “Third Tranche”), contingent upon our achievement of certain revenue milestones on or before June 30, 2018, as previously provided in the Loan Agreement; provided, however, that under the Loan Agreement, as amended, the Third Tranche would be subject to a market capitalization condition, as described in the First Loan Amendment. As a condition to the addition of the Second Tranche under the First Loan Amendment, we issued to the Lenders on the First Loan Amendment Effective Date warrants to purchase an aggregate of 1,248,250 of our ordinary shares, at an exercise price of $10.00 per share. On June 6, 2018, we and our subsidiaries, Strongbridge U.S. Inc., Cortendo Cayman Ltd., Strongbridge Ireland Limited and Cortendo AB (publ), entered into a second amendment (the “Second Loan Amendment”), to the Loan Agreement. The primary purposes of the Second Loan Amendment (as requested by the Company) was to reduce the aggregate commitments under the Loan Agreement from $100 million to $95 million and to combine the Third Tranche and the Fourth Tranche under the Loan Agreement into one final borrowing tranche for up to $10 million (the “Final Tranche”). Under the terms of the Second Loan Amendment, the Final Tranche borrowing must occur on or before March 19, 2019. The Final Tranche is subject to the Company’s achievement of a certain revenue milestone, which under the Second Loan Amendment must be satisfied on or prior to December 31, 2018, and satisfaction of a market capitalization condition for the 20 consecutive trading days ending on the trading day immediately prior to the Final Tranche borrowing date (as described in the Loan Agreement, as amended). The amendment in January 2018, resulted in a greater than 10% change in cash flows as compared to the original debt instrument under the First Loan Amendment, the First Loan Amendment was accounted for as a debt extinguishment, which resulted in a $0.5 million loss during year ended December 31 , 2018. In December 2018, we extinguished our outstanding debt of $88.3 million, in which we incurred final payment fees of $12.5 million, wrote-off unamortized debt discounts of $9.4 million which resulted in a loss on early extinguishment of debt of $21.0 million. We also issued CRG 656,259 of our ordinary shares as part of our debt extinguishment.

Warrants

Warrants	12 Months Ended
	Dec. 31, 2018
Warrants and Rights Note Disclosure [Abstract]
Warrants	8. Warrants Ordinary share warrants are accounted for in accordance with applicable accounting guidance provided in ASC Topic 815 , Derivatives and Hedging — Contracts in Entity’s Own Equity (“ASC Topic 815”), as either derivative liabilities or as equity instruments depending on the specific terms of the warrant agreement. Warrants outstanding and warrant activity for the year ended December 31, 2018 is as follows: Warrants Outstanding Exercise Expiration Warrants Warrants December 31, Classification Price Date Issued Exercised 2018 Warrants in connection with private equity placement Liability $ 2.50 6/28/2022 7,000,000 (1,970,000) 5,030,000 Warrants in connection with Horizon and Oxford loan agreement Equity $ 2.45 12/28/2026 428,571 (267,857) 160,714 Warrants in connection with CRG loan agreement Equity $ 7.37 7/14/2024 394,289 — 394,289 Warrants in connection with CRG loan amendment in January 2018 Equity $ 10.00 1/16/2025 1,248,250 — 1,248,250 9,071,110 6,833,253

Commitments and contingencies

Commitments and contingencies	12 Months Ended
	Dec. 31, 2018
Commitments and contingencies
Commitments and contingencies	9. Commitments and contingencies (a) Lease In March 2015, we entered into a 52-month building sublease agreement for 14,743 square feet of office space in Trevose, Pennsylvania. The lease has annual rent escalations and is recognized on a straight‑line basis over the term of the lease. In November 2017, we entered into a 60-month building lease agreement for an additional 7,326 square feet of office space in the same building in Trevose, Pennsylvania. The lease has annual rent escalations. We obtained access to this newly leased space on November 27, 2017, which was considered the lease commencement date for accounting purposes. Thus, rent expense began on this date and is recognized on a straight‑line basis over the term of the lease. The lease provides for us the ability to continue leasing its currently subleased office space upon expiration of the sublease described above. As of December 31, 2018, future minimum commitments under facility operating leases were as follows (in thousands): Operating leases 2019 439 2020 470 2021 481 2022 492 2023 207 Total minimum lease payments $ 2,089 Rent expense recognized under our operating leases was $719,000, $285,000 and $273,000 for the years ended December 31, 2018, 2017 and 2016, respectively. (b) Commitments to Taro Pharmaceuticals Industries Ltd. In December 2016, we acquired the U.S. marketing rights to Keveyis (dichlorphenamide) from Taro. Under the terms of an asset purchase agreement, we paid Taro an upfront payment in two installments of $1 million in December 2016 and $7.5 million in March 2017, and will pay an aggregate of $7.5 million in potential milestones upon the achievement of certain product sales targets. Taro has agreed to continue to manufacture Keveyis for us under an exclusive supply agreement through the orphan exclusivity period. We are obligated to purchase certain annual minimum amounts of product totaling approximately $29 million over a six-year period. As of December 31, 2018, our remaining obligation was $22.1 million. The supply agreement may extend beyond the orphan exclusivity period unless terminated by either party pursuant to the terms of the agreement. If terminated by Taro at the conclusion of the orphan exclusivity period, we have the right to manufacture the product on our own or have the product manufactured by a third party on our behalf. We are required to reimburse Taro for their royalty obligation resulting from their sale of Keveyis to us. (c) Indemnifications In the ordinary course of business and in connection with the sale of assets and businesses and other transactions, we often indemnify our counterparties against certain liabilities that may arise in connection with the transaction or that are related to events and activities prior to or following a transaction, such as breaches of contracts, unfavorable tax consequences and employee liabilities. If the indemnified party were to make a successful claim pursuant to the terms of the indemnification, we may be required to reimburse the loss and such amount could be material to our financial statements. Where appropriate, the obligation for such indemnifications is recorded as a liability. Because the amount of these types of indemnifications generally is not specifically stated, the overall maximum amount of the obligation under such indemnifications cannot be reasonably estimated. However, we believe that the likelihood of a material liability being triggered under these indemnification obligations is not probable at this time.

Defined contribution plan

Defined contribution plan	12 Months Ended
	Dec. 31, 2018
Defined contribution plan
Defined Contribution Plan	10. Defined contribution plan Our 401(k) Employee Savings Plan (“401(k) Plan”) is available to all employees. We have elected a Safe-Harbor provision for the 401(k) Plan in which participants are always fully vested in their employer contributions. We match 100% of the first 4% of participating employee contributions. In 2018, we contributed approximately $704,000. Our contributions are made in cash. Our ordinary shares are not an investment option available to participants in the 401(k) Plan.

Income taxes

Income taxes	12 Months Ended
	Dec. 31, 2018
Income taxes
Income taxes	11. Income taxes For the years ended December 31, 2018, 2017 and 2016, the components of income (loss) before income taxes were as follows (in thousands): Year Ended December 31, 2018 2017 2016 Sweden $ 4,712 $ (19,249) $ (16,433) Ireland 73,409 (47,211) (11,653) Cayman Islands (701) (21,709) (19,550) U.S. (45,033) (23,543) (3,721) Total $ 32,387 $ (111,712) $ (51,357) The components of income tax expense (benefit) for the years ended December 31, 2018, 2017 and 2016 were as follows (in thousands): Year Ended December 31, 2018 2017 2016 Current tax (benefit) expense: Sweden $ 535 $ — $ — Ireland — (22) 22 U.S. Federal — (151) 151 State 1 (14) 73 Total current tax expense (benefit) $ 536 $ (187) $ 246 Deferred tax expense (benefit): Sweden $ 12,395 $ (4,586) $ (834) Ireland (13,337) 1,280 (1,547) U.S. Federal (1,785) 39 (3,412) State (354) (2,392) (678) Change in valuation allowance 3,081 7,617 3,587 Total deferred tax expense (benefit) — 1,958 (2,884) Total tax expense (benefit) $ 536 $ 1,771 $ (2,638) With the exception of Sweden, we have net operating loss carryforwards in all other countries. For the Ireland and Swedish operations, we have not reflected any benefit of net operating loss carryforwards (“NOLs”) in the accompanying financial statements. Strongbridge US, Inc., as a result of the intercompany service agreements, was in taxable income and determined they were able to recognize all deferred tax assets in 2016. In 2017, Strongbridge US, Inc. generated book loss as we decided this entity will market and commercialize certain products. As such, given the expenses incurred, it is not more likely than not we will recognize all deferred tax assets which results in us establishing a full valuation allowance against its deferred tax assets. During 2018, we transferred all our intercompany intellectual property to Ireland , resulting in current taxes due in Sweden, the utilization of NOLs in Sweden, which previously had a full valuation allowance, and the creation of amortizable deferred tax assets in Ireland, which have a full valuation allowance. Deferred taxes are recognized for temporary differences between the bases of assets and liabilities for financial statement and income tax purposes. The tax effect of temporary differences that give rise to significant portions of the deferred tax assets are as follows (in thousands): Year Ended December 31, 2018 2017 Deferred tax assets: Net operating loss carryforwards $ 4,576 $ 28,570 Stock-based compensation 4,944 2,824 Other deferred activity 960 617 Tax credits 10,826 9,182 Interest disallowance 9,889 — Intangibles 13,240 — Capitalized research and development costs — 161 Total deferred tax assets 44,435 41,354 Valuation allowance (44,435) (41,354) Deferred tax assets recognized — — We have evaluated the positive and negative evidence bearing upon the realizability of our deferred tax assets. Based on our history of operating losses, aside from the gain associated with the sale of our subsidiary, we have concluded that it is more likely than not that the benefit of our deferred tax assets will not be realized. The valuation allowance increased by approximately $2.7 million and $7.6 million during the years ended December 31, 2018 and 2017, respectively, due primarily to net operating losses. Our effective income tax rate differs from the ultimate parent company, Strongbridge Biopharma plc, Irish domestic statutory rate of 12.5% for the year ended December 31, 2018, 2017 and 2016. Year Ended December 31, 2018 2017 2016 Ireland statutory income tax rate 12.50 % 12.50 % 12.50 % Foreign tax differential between Sweden, U.S., Cayman Island and Ireland 7.55 3.99 2.28 Federal tax credits (4.58) — — Change in valuation allowance 9.51 (6.82) (6.69) State income taxes (1.09) 1.43 0.92 Permanent differences 4.01 (5.04) 1.59 Rate change - tax impact — (7.09) — Foreign exchange remeasurement of Swedish deferred tax asset — 0.83 (5.42) Provision to return 3.95 (1.33) — Sale of subsidiary (37.58) — — Net operating loss adjustment 7.72 — — Other (0.34) (0.06) (0.04) Effective income tax rate 1.65 % (1.59) % 5.14 % At December 31, 2018, as a result of the transfer of our intellectual property to Ireland, we have no Swedish NOLs and approximately $1.6 million of Irish NOLs, which have an indefinite life, and approximately $13,8 million of U.S. federal and $14.6 million of state NOLs, which begin to expire in 2031. Due to tax reform, federal U.S. net operating losses generated after January 1, 2018 will have an indefinite life. Through December 31, 2015 we operated through a permanent establishment in both Sweden and the United States. As a result of utilizing the Swedish NOLs, we have written off all attributes associated with the prior U.S. branch. At December 31, 2018, we had $10.7 million of U.S. federal orphan drug tax credit carryforwards, which begin to expire in 2032, and $0.2 million of U.S. federal research and development tax credit carryforwards, which begin to expire in 2031. The orphan drug credit carryforward is attributable to the permanent establishment of the Swedish entity within the U.S. Utilization of the NOLs may be subject to limitations under Swedish tax regulations or U.S. Internal Revenue Code Section 382 if there is a greater than 50% ownership change as determined under applicable regulations. We file income tax returns in Sweden, Ireland, the United States, and various states within the United States. In the normal course of business, we are subject to examination by federal, state and foreign jurisdictions, where applicable. Our tax years are still open under statute from inception to present. All open years may be examined to the extent that tax credit or net operating loss carryforwards are used in future periods.

Ordinary shares

Ordinary shares	12 Months Ended
	Dec. 31, 2018
Ordinary shares.
Ordinary shares	12. Ordinary shares Voting rights and privileges As of December 31, 2018, and December 31, 2017, there are 600,000,000 authorized shares and 54,122,074 and 40,149,812 outstanding shares, respectively. The holders of our ordinary shares are entitled to one vote for each ordinary share held at all meetings of shareholders without limitation and written actions in lieu of meetings. The holders are entitled to receive dividends if and when declared by our Board of Directors. No dividends have been declared or paid since our inception. The holders are entitled to share ratably in our assets available for distribution to stockholders, in the event of any voluntary or involuntary liquidation. In addition, on May 26, 2015 the Company issued 40,000 deferred shares with a €1.00 par value per share (US$1.098). The deferred shares are issued in order to satisfy an Irish legislative requirement to maintain a minimum level of issued share capital denominated in euro. The deferred shares carry no voting rights and are not entitled to any dividend or distribution. Equity financings On December 18, 2018, we sold 5,242,000 shares of our ordinary shares to Novo for $7.00 per share and an aggregate purchase price of $36.7 million. We accounted for the $14.3 million premium paid over the market price of our ordinary shares as additional gain on the sale of our subsidiary. On January 25, 2018, we sold 5,000,000 ordinary shares in a public offering at a price to the public of $6.75 per ordinary share for net proceeds of approximately $31.7 million, after deducting underwriting discounts and commissions and offering expenses payable by us. On February 26, 2018, we sold an additional 255,683 ordinary shares as part of our January 2018 public offering at a price of $6.75 per ordinary share for net proceeds of approximately $1.6 million, after deducting underwriting discounts and commissions and offering expenses payable by us. On October 6, 2017, we sold 4,000,000 ordinary shares in a public offering at a price to the public of $6.25 per ordinary share for net proceeds of approximately $23.4 million, after deducting underwriting discounts and commissions and offering expenses payable by us. Concurrent with the CRG credit facility from July 2017, CRG purchased 429,799 shares of our ordinary shares at a price of $6.98 per share for total proceeds to us of approximately $3.0 million. We entered into an equity distribution agreement with JMP Securities LLC (“JMP Securities”) on April 28, 2017, pursuant to which we may sell, at our option, from time to time, up to an aggregate of $40 million in ordinary shares of the Company through JMP Securities, as sales agent. We will pay JMP Securities a commission equal to 3% of the gross proceeds from the sale of ordinary shares under the ATM Facility. Pursuant to the terms of the equity distribution agreement, we reimbursed JMP Securities for certain out-of-pocket expenses, including the fees and disbursements of counsel to JMP Securities, incurred in connection with establishing the ATM Facility and have provided JMP Securities with customary indemnification rights. During the year ended December 31, 2018, we sold an aggregate of 1,281,903 ordinary shares under the ATM Facility for net proceeds of approximately $8.6 million and paid fees of $0.3 million to JMP Securities. As December 31, 2018, we have approximately $31.1 million available for sale under our ATM facility. Shares reserved for issuance There were 8,579,511 and 6,104,715 ordinary shares reserved for future issuance upon exercise of stock options as of December 31, 2018 and 2017, respectively. As of December 31, 2018, we have 6,833,253 shares reserved for outstanding warrants.

Stock-based compensation

Stock-based compensation	12 Months Ended
	Dec. 31, 2018
Stock-based compensation
Stock based compensation	13. Stock‑based compensation Our board of directors has adopted the 2017 Inducement Plan (the “Inducement Plan”). The Inducement Plan provides for the grant of equity-based awards to new employees. The purpose of the Inducement Plan is to attract valued employees by offering them a greater stake in our success and a closer identity with us, and to encourage ownership of our ordinary shares by such employees. The Inducement Plan became effective on February 23, 2017. As of December 31, 2018, 638,200 shares are available for issuance pursuant to the Inducement Plan. Our board of directors has adopted, and our shareholders have approved, the 2015 Equity Compensation Plan (the “2015 Plan”). The 2015 Plan provides for the grant of incentive stock options to our employees and any parent or subsidiary corporation’s employees, and for the grant of nonstatutory stock options, stock awards, and RSUs to our employees, directors and consultants and our parent or subsidiary corporations’ employees and consultants. The 2015 Plan became effective on September 3, 2015. As of December 31, 2018, 216,630 shares are available for issuance pursuant to the 2015 Plan. Our board of directors has adopted, and our shareholders have approved, the Non‑Employee Director Equity Compensation Plan (the “Non‑Employee Director Plan”). The Non‑Employee Director Plan provides for the grant of nonstatutory stock options, stock awards, and RSUs to our non‑employee directors. The Non‑Employee Director Plan became effective on September 3, 2015. As of December 31, 2018, 1,541 shares are available for issuance pursuant to the Non‑Employee Director Plan. A summary of the outstanding stock options activity for the year ended December 31, 2018 is as follows: Options Outstanding Weighted- Average Weighted- Remaining Average Contractual Number of Exercise Term Aggregate Shares Price (Years) Intrinsic Value (in thousands) Outstanding—January 1, 2018 6,104,715 $ 7.50 7.70 $ 14,021 Granted 2,969,255 $ 6.72 Forfeited and cancelled (407,421) $ 5.95 Exercised (87,038) $ 4.25 Outstanding—December 31, 2018 8,579,511 $ 7.35 7.57 $ 3,281 Vested and exercisable—December 31, 2018 3,873,952 $ 8.85 6.30 $ 1,427 Included in the stock options outstanding at December 31, 2018 are unvested stock options to purchase 88,908 shares at a weighted-average exercise price of $18.80 per share for which the vesting of certain tranches will accelerate if the fair value per share of our stock reaches $31.46. In addition, the options outstanding include 97,652 shares that vest upon a market appreciation event, so long as it occurs prior to the date specified in the applicable award agreement and 97,652 shares that will vest upon the one-year anniversary of the market appreciation event. The market appreciation event, which had not yet occurred as of December 31, 2018, is defined as the last trading day in the period in which our closing stock price on each of 20 consecutive trading days reported on NASDAQ has been at least $30.14 or $33.66 for the respective grantee. Stock‑based compensation expense We recognized stock‑based compensation expense for employees and non‑employees in the accompanying consolidated statements of operations as follows (in thousands): Year Ended December 31, 2018 2017 2016 Selling, general and administrative $ 6,012 $ 4,027 $ 4,005 Research and development 1,795 1,140 601 Total stock-based compensation $ 7,807 $ 5,167 $ 4,606 As of December 31, 2018, the total unrecognized compensation expense related to unvested options was $15.6 million, which we expect to recognize over an estimated weighted‑average period of 2.70 years. In determining the estimated fair value of the stock‑based awards, we use the Black‑Scholes option‑pricing model and assumptions discussed below. Each of these inputs is subjective and generally requires significant judgment. The fair value of stock option awards was estimated with the following assumptions: Year Ended December 31, 2018 2017 2016 Expected term (in years) 6.11 5.98 5.9 Risk-free interest rate 2.25% - 3.04% 1.78% - 2.26% 1.21% - 2.23% Expected volatility 78.2% - 85.0% 78.2% - 85.0% 78.1% - 83.6% Dividend rate —% —% —% Our board of directors have approved grants of restricted stock units (“RSUs”) to employees. These RSUs vest two years from the date of issuance, provided that the employee is employed by us on such vesting date. All RSUs will fully vest upon a change of control of our company. If and when the RSUs vest, we will issue one ordinary share for each whole RSU that has vested, subject to satisfaction of the employees’ tax withholding obligations. The RSUs will cease to be outstanding upon such issuance of ordinary shares. We recorded expense, which is included in the stock-based compensation table above, of $454,000 and $436,000 for the year ended December 31, 2018 and 2017, respectively. As of December 31, 2018, the total unrecognized compensation expense related to unvested RSUs is $0.4 million, which we expect to recognize over an estimated weighted‑average period of 0.99 years. A summary of our unvested RSUs as of December 31, 2018 is as follows: Number of Shares Outstanding—January 1, 2018 267,250 Granted 69,150 Forfeited (18,300) Vested (175,000) Unvested—December 31, 2018 143,100

Segment and other information

Segment and other information	12 Months Ended
	Dec. 31, 2018
Segment and other information
Segment and other information	14. Segment and other information Operating segments are identified as components of an enterprise about which separate discreet financial information is available for evaluation by the chief operating decision maker, or decision-making group, in making decisions on how to allocate resources and assess performance. We view our operations and manage our business in one operating segment. All of our sales were in the United States. The following table represents total long-lived assets by location (in thousands): December 31, 2018 December 31, 2017 United States $ 294 $ 15 Total long-lived assets (1) $ 294 $ 15 (1) Long-lived assets consist of property and equipment. Customer concentration The following table presents the gross sales from customers that represented more than 10% of our gross sales included in our single operating segment: 2018 2017 Customer A

Sale of Subsidiary

Sale of Subsidiary	12 Months Ended
	Dec. 31, 2018
Sale of Subsidiary
Sale of Subsidiary	15. Sale of Subsidiary In December 2018, we sold Strongbridge Ireland Ltd, whose only asset was the rights to Macrilen, to Novo for $145 million. As part of the sale, we are entitled to received tiered royalties based on net sales of Macrilen through 2027. In addition, Strongbridge U.S. Inc entered into an agreement with NNI pursuant to which we have agreed to provide 23 field-based employees of Strongbridge U.S. to NNI to provide commercial services related to Macrilen, including the promotion of Macrilen in the United States, for a period of three years which will be accounted over the course of the contract with the income and expense being recorded as non-operating income and expense, respectively. Novo also purchased 5.2 million of our ordinary shares at a purchase price of $7.00 per share. We accounted for the $14.3 million excess fair value of Novo’s share purchase over the market price of our ordinary shares as additional gain on the sale. We incurred $5.8 million of expenses relating to the sale, which were recorded as part of the gain on the sale. We originally acquired the product rights to Macrilen in January 2018 for $24.8 million and recorded amortization in 2018 of $2.2 million resulting in a net book value of $22.6 million at the time of sale.

Quarterly financial information

Quarterly financial information (unaudited)	12 Months Ended
	Dec. 31, 2018
Quarterly financial information (unaudited)
Quarterly financial information (unaudited)	16. Quarterly financial information (unaudited) This table summarizes the unaudited consolidated financial results of operations for the quarters ended: (in thousands, except share and per share data) March 31, June 30, September 30, December 31, 2018 Quarter Ended Total revenues $ 3,870 $ 4,296 $ 5,347 $ 4,514 Cost of sales (excluding amortization of intangible assets) 667 753 1,441 1,125 Total costs and expenses 19,012 22,535 28,639 25,778 Other (expense) income (12,914) 16,070 4,174 106,980 Income tax (expense) benefit — (1) — (535) Net (loss) income (28,723) (2,923) (20,559) 84,056 Net (loss) income per ordinary share, basic (1) (0.66) (0.06) (0.44) 1.73 Net (loss) income per ordinary share, diluted (1) (0.66) (0.43) (0.55) 1.64 2017 Quarter Ended Total revenues $ — $ 1,529 $ 2,533 $ 2,984 Cost of sales (excluding amortization of intangible asset) — 377 591 515 Total costs and expenses 12,179 15,525 34,967 16,634 Other expenses (15,712) (15,910) (2,885) (3,463) Income tax (expense) benefit (1,594) 92 850 (1,119) Net loss (29,485) (30,191) (35,060) (18,747) Net loss per ordinary share, basic and diluted (1) (0.83) (0.86) (0.98) (0.47) (1) Net loss per share amounts may not agree to the per share for the full year due to the use of weighted-average shares for each period.

Summary of significant accoun_2

Summary of significant accounting policies and basis of presentation (Policies)	12 Months Ended
	Dec. 31, 2018
Summary of significant accounting policies and basis of presentation
Basis of presentation and principles of consolidation	Basis of presentation and principles of consolidation The accompanying consolidated financial statements include the accounts of our wholly owned subsidiaries, Strongbridge U.S. Inc. (Trevose, Pennsylvania, United States), Strongbridge Dublin Limited (Dublin, Ireland), Cortendo AB (Gothenburg, Sweden) and Cortendo Cayman (Georgetown, Cayman Islands). All intercompany balances and transactions have been eliminated in consolidation. These audited consolidated financial statements have been prepared in conformity with generally accepted accounting principles in the United States (“U.S. GAAP”). Any reference in these notes to applicable guidance is meant to refer to the authoritative U.S. GAAP as found in the Accounting Standards Codification (“ASC”) and Accounting Standards Update (“ASU”) of the FASB.
Revenue recognition	Revenue recognition We follow ASC Topic 606, Revenue from Contracts with Customers (“ASC 606”) , effective for revenue accounting. Topic 606 applies to all contracts with customers, except for contracts that are within the scope of other standards, such as leases, insurance, collaboration arrangements and financial instruments. Under Topic 606, an entity recognizes revenue when its customer obtains control of promised goods or services, in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that an entity determines are within the scope of Topic 606, the entity performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. We apply the five-step model to contracts only when it is probable that we will collect the consideration we are entitled to receive in exchange for the goods or services we transfer to the customer. At contract inception, once the contract is determined to be within the scope of Topic 606, we assess the goods or services promised within each contract, determine those that are performance obligations, and assess whether each promised good or service is distinct. We then recognize as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. For a complete discussion of accounting for net product revenue, see Note 3.
Inventory and cost of sales	Inventory and cost of sales Inventory is stated at the lower of cost or net realizable value where cost is determined using the first-in, first-out method. Our inventory consists of only finished goods. Cost of sales includes the cost of inventory sold, which includes third-party acquisition costs, third-party warehousing and product distribution charges.
Foreign currency translation	Foreign currency translation The consolidated financial statements are reported in United States dollars, which is the functional currency of our subsidiaries. Transactions in foreign currencies are remeasured into our functional currency at the rate of exchange prevailing at the date of the transaction. Any monetary assets and liabilities arising from these transactions are remeasured into our functional currency at exchange rates prevailing at the balance sheet date or on settlement. Resulting gains and losses are recorded in foreign exchange loss in our consolidated statements of operations.
Use of estimates	Use of estimates The preparation of financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the reported amounts in the financial statements and accompanying notes. We must apply significant judgment in this process. Actual results could materially differ from those estimates.
Cash and cash equivalents	Cash and cash equivalents We consider all short‑term highly liquid investments with an original maturity at the date of purchase of three months or less to be cash equivalents. Cash and cash equivalents consist of account balances at banks and money market accounts, respectively.
Concentration of credit risk and other risks and uncertainties	Concentration of credit risk and other risks and uncertainties As part of our cash and investment management processes, we perform periodic evaluations of the credit standing of the financial institutions with which we deposit our cash or purchase cash equivalents, and we have not sustained any credit losses from instruments held at these financial institutions.
Fair value of financial instruments	Fair value of financial instruments Fair value accounting is applied for all financial assets and liabilities and non‑financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis (at least annually). We are required to disclose information on all assets and liabilities reported at fair value that enables an assessment of the inputs used in determining the reported fair values. FASB ASC Topic 820, Fair Value Measurements and Disclosures (“ASC 820”), establishes a hierarchy of inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from sources independent of us. Unobservable inputs are inputs that reflect our assumptions about the inputs that market participants would use in pricing the asset or liability and are developed based on the best information available in the circumstances. The fair value hierarchy applies only to the valuation inputs used in determining the reported fair value of the investments and is not a measure of the investment credit quality. The three levels of the fair value hierarchy are described as follows: Level 1—Valuations based on unadjusted quoted prices in active markets for identical assets or liabilities that we have the ability to access at the measurement date. Level 2—Valuations based on quoted prices for similar assets or liabilities, or quoted prices in markets that are not active, and for which all significant inputs are observable, either directly or indirectly. Level 3—Valuations that require inputs that reflect our own assumptions that are both significant to the fair value measurement and unobservable. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment we exercise 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. In December 2016, we issued warrants in connection with our private placement of ordinary shares. Pursuant to the terms of the warrant agreement, the Company could be required to settle the warrants in cash in the event of an acquisition of the Company and, as a result, the warrants are required to be measured at fair value and reported as a liability in the consolidated balance sheet. We recorded the fair value of the warrants upon issuance using the Black-Scholes Model and are required to revalue the warrants at each reporting date with any changes in fair value recorded on our statement of operations. The valuation of the warrants is considered under Level 3 of the fair value hierarchy due to the need to use assumptions in the valuation that that are both significant to the fair value measurement and unobservable. The change in the fair value of the Level 3 warrant liabilities is reflected in the statement of operations for the years ended December 31, 2018, 2017 and 2016.
Property and equipment, net	Property and equipment, net Property and equipment, net, consists of office equipment such as furniture, fixtures and computers. Depreciation expense for the years ended December 31, 2018 and 2017 was not significant. The following useful lives were used for the various classifications of property and equipment, net: Amortization Periods Computer hardware - years Computer software - years Furniture and fixtures - years Leasehold improvements Lesser of useful life or remaining lease term
Intangible assets	Intangible assets Certain intangible assets were acquired as part of an asset purchase and have been capitalized at their acquisition date fair value. Acquired definite life intangible assets are amortized using the straight-line method over their respective estimated useful lives. The Company evaluates the potential impairment of intangible assets if events or changes in circumstances indicate that the carrying amount of the assets may not be fully recoverable or that the useful lives of these assets are no longer appropriate. Purchased identifiable intangible assets with indefinite lives are evaluated for impairment annually in accordance with our policy and whenever events or changes in circumstances indicate that it is more likely than not that the fair value of these assets may not be recovered.
Goodwill	Goodwill We test goodwill for impairment on an annual basis or whenever events occur that may indicate possible impairment. This analysis requires us to make a series of critical assumptions to (1) evaluate whether any impairment exists and (2) measure the amount of impairment. Because we have one operating segment, when testing for a potential impairment of goodwill, we are required to estimate the fair value of our business and determine the carrying value. If the estimated fair value is less than the carrying value of our business, then we are required to estimate the fair value of all identifiable assets and liabilities in a manner similar to a purchase price allocation for an acquired business. Only after this process is completed can the goodwill impairment be determined, if any. To estimate the fair value of the business, primarily a market‑based approach is applied, utilizing our public market value. We did not record a charge for impairment for our goodwill for the years ended December 31, 2018, 2017, and 2016.
Research and development expenses	Research and development expenses Research and development costs are expensed as incurred. Research and development expenses consist of internal and external expenses. Internal expenses include compensation and related expenses. External expenses include development, clinical trials, report writing, and regulatory compliance costs incurred with clinical research organizations and other third‑party vendors. At the end of the reporting period, we compare payments made to third‑party service providers to the estimated progress toward completion of the research or development objectives. Such estimates are subject to change as additional information becomes available. Depending on the timing of payments to the service providers and the progress that we estimate has been made as a result of the service provided, we may record net prepaid or accrued expense relating to these costs. Upfront and milestone payments made to third parties who perform research and development services on our behalf are expensed as services are rendered.
Stock-based compensation	Stock‑based compensation We account for stock‑based compensation awards in accordance with Financial Accounting Standards Board (“FASB”) ASC Topic 718, Compensation—Stock Compensation (“ASC 718”). ASC 718 requires all stock‑based payments including grants of stock options and restricted stock and modifications to existing stock options, to be recognized in the consolidated statements of operations based on their fair values. Our stock‑based awards are subject to either service‑based or performance‑based vesting conditions. Vesting of certain awards could also be accelerated upon achievement of defined market‑based vesting conditions. Certain awards also contain a combination of service and market conditions or performance and market conditions. We record compensation expense for service‑based awards over the vesting period of the award on a straight‑line basis. Compensation expense related to awards with performance‑based vesting conditions is recognized over the requisite service period using the accelerated attribution method to the extent achievement of the performance condition is probable. For those awards in which the performance condition was the completion of our IPO, we did not recognize compensation expense until the close of the IPO as we did not deem the IPO probable until it occurred. Compensation expense for awards with service and market‑based vesting conditions is recognized using the accelerated attribution method over the shorter of the requisite service period or the implied period associated with achievement of the market‑based vesting provisions. We estimate the fair value of our awards with service conditions using the Black‑Scholes option pricing model, which requires the input of subjective assumptions, including (i) the expected stock price volatility, (ii) the expected term of the award, (iii) the risk‑free interest rate and (iv) expected dividends. Due to the lack of historical and implied volatility data of our ordinary shares, we based our estimate of expected volatility on the historical volatility of a group of similar companies that are publicly traded. We selected companies with comparable characteristics to us, including enterprise value, risk profiles and position within the industry, and with historical share price information sufficient to meet the expected term of the stock‑based awards. We compute historical volatility data using the daily closing prices for the selected companies’ shares during the equivalent period of the calculated expected term of the stock‑based awards. We estimate the fair value of our awards with market conditions using a Monte Carlo simulation to determine the probability of satisfying the market condition. We make this estimate using the conditions that exist at the grant date. The derived service period, which may be the requisite service period, is also determined at this time. Compensation cost for our awards with a market condition is recognized ratably using the accelerated attribution method if the award is subject to graded vesting over the requisite service period. The compensation cost for our awards with a market condition is not reversed if the market condition is not satisfied. We have estimated the expected term of employee service‑based stock options using the “simplified” method, whereby the expected term equals the arithmetic average of the vesting term and the original contractual term of the option, due to our lack of sufficient historical data. We have estimated the expected term of employee awards with market conditions using a Monte‑Carlo simulation model. This approach involves generating random stock‑price paths through a lattice‑type structure. Each path results in a certain financial outcome, such as accelerated vesting or specific option payout. We have estimated the expected term of nonemployee service‑ and performance‑based awards based on the remaining contractual term of such awards. The risk‑free interest rates for periods within the expected term of the option are based on the U.S. Treasury Bond rate with a maturity date commensurate with the expected term of the associated award. We have never paid dividends and do not expect to pay dividends in the foreseeable future. We account for forfeitures as they occur.
Income taxes	Income taxes On December 22, 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act makes broad and complex changes to the U.S. tax code, including, but not limited to, reducing the top U.S. federal corporate tax rate from 35 percent to 21 percent; requiring companies to pay a one-time transition tax on certain un-repatriated earnings of foreign subsidiaries; generally eliminating U.S. federal income taxes on dividends from foreign subsidiaries; requiring a current inclusion in U.S. federal taxable income of certain earnings of controlled foreign corporations; eliminating the corporate alternative minimum tax (“AMT”) and changing how existing AMT credits can be realized; creating the base erosion anti-abuse tax (“BEAT”), a new minimum tax; creating a new limitation on deductible interest expense; and changing rules related to uses and limitations of net operating loss carryforwards created in tax years beginning after December 31, 2017. The Tax Act reduces our U.S. corporate income tax rate from 34% to 21%, effective January 1, 2018. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to reverse. As a result of the reduction in the U.S. corporate income tax rate from 34% to 21% under the Tax Act, we revalued our ending net deferred tax assets and liabilities at December 31, 2017. The Tax Act provided for a one-time transition tax on the deemed repatriation of post-1986 undistributed foreign subsidiary earnings and profits (“E&P”). Strongbridge did not have to recognize any income tax expense related to the transition tax as they own no controlled foreign corporations. The global intangible low-taxed income tax and base erosion provisions are effective for taxable years beginning after December 31, 2017. The Company does not currently expect these provisions to have a material impact on its tax rate as they do not own any controlled foreign corporations and they are currently below the gross receipts threshold for purposes of the base erosion provisions. In accordance with Staff Accounting Bulletin No. 118 (“SAB 118”), the Company has finalized the accounting for the Tax Act and has recorded no additional amount during the current year. We recognize interest and penalties related to uncertain tax positions in income tax expense. As of December 31, 2018, 2017 and 2016, we had no accrued interest or penalties related to uncertain tax positions and no amounts have been recognized in our statements of operations.
Net income (loss) per share	Net income (loss) per share Basic net income (loss) per share is calculated by dividing the net income (loss) attributable to shareholders by the weighted-average number of ordinary shares outstanding during the period. Diluted net income (loss) per share is calculated by dividing the net income (loss) attributable to shareholders by the weighted‑average number of ordinary shares outstanding for the period, including any dilutive effect from outstanding stock options and other equity-based awards. Net income (loss) per share was calculated as follows for the periods indicated below: Year Ended December 31, (in thousands, except per share data) 2018 2017 2016 Basic Net Income (Loss) Per Share Basic net income (loss) $ 31,851 $ (113,483) $ (48,597) Weighted-average ordinary shares outstanding 46,297,088 36,544,825 21,550,353 Basic net income (loss per share) $ 0.69 $ (3.11) $ (2.26) Diluted Net Income (Loss) Per Share Diluted net income (loss) $ 15,514 $ (113,483) $ (49,236) Weighted-average ordinary shares outstanding 46,297,088 36,544,825 21,550,353 Dilutive warrants, stock options and RSUs 3,427,415 - 105,211 Weighted-average shares used to compute diluted net income (loss) per share 49,724,503 36,544,825 21,655,564 Diluted net income (loss) per share $ 0.31 $ (3.11) $ (2.27) Shares used in the diluted net loss per share calculations exclude anti‑dilutive ordinary share equivalents, which consist of outstanding stock options, unvested restricted stock units and warrants, if applicable. Year Ended December 31, 2018 2017 2016 Warrants 1,642,539 7,555,003 7,000,000 Stock options issued and outstanding 4,444,830 6,104,715 3,249,784 Unvested RSUs — 267,250 184,000
Recent accounting pronouncements	Recently issued accounting pronouncements In January 2017, the FASB issued Accounting Standards Update (“ASU”) 2017-04, Intangibles - Goodwill and Other : Simplifying the Accounting for Goodwill Impairment . ASU 2017-04 removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. A goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. This standard, which will be effective for us beginning in the first quarter of fiscal year 2020, is required to be applied prospectively. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. We are currently evaluating the impact this new accounting guidance will have on our consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases , that requires lessees to recognize leases on-balance sheet and disclose key information about leasing arrangements. The new standard establishes a right-of-use (“ROU”) model that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. The standard is effective on January 1, 2019, with early adoption permitted. We adopted the new standard on January 1, 2019 and use the effective date as our date of initial application. In July 2018, the FASB issued an update that provided an additional transition option that allows companies to continue applying the guidance under the lease standard in effect at that time in the comparative periods presented in the consolidated financial statements. Companies that elect this option would record a cumulative-effect adjustment to the opening balance of retained earnings on the date of adoption. We elected this optional transition method. We also elected the “package of practical expedients”, which permits us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. We continue to evaluate other practical expedients available under the standard. We have substantially completed our assessment of the standard. We continue to finalize our calculations, including our discount rate assumptions, related to the new standard. We are also continuing to establish new processes and internal controls that may be required to comply with the new lease accounting and disclosure requirements set by the new standard. We expect the impact of the standard adoption to increase our assets and liabilities no more than 5% within our consolidated balance sheet as a result of the recognition of new ROU assets and liabilities in accordance with the new leasing standard.

Summary of significant accoun_3

Summary of significant accounting policies and basis of presentation (Tables)	12 Months Ended
	Dec. 31, 2018
Summary of significant accounting policies and basis of presentation
Schedule of useful lives of various classification of property and equipment, net	Amortization Periods Computer hardware - years Computer software - years Furniture and fixtures - years Leasehold improvements Lesser of useful life or remaining lease term
Schedule of Net income (loss) per share	Year Ended December 31, (in thousands, except per share data) 2018 2017 2016 Basic Net Income (Loss) Per Share Basic net income (loss) $ 31,851 $ (113,483) $ (48,597) Weighted-average ordinary shares outstanding 46,297,088 36,544,825 21,550,353 Basic net income (loss per share) $ 0.69 $ (3.11) $ (2.26) Diluted Net Income (Loss) Per Share Diluted net income (loss) $ 15,514 $ (113,483) $ (49,236) Weighted-average ordinary shares outstanding 46,297,088 36,544,825 21,550,353 Dilutive warrants, stock options and RSUs 3,427,415 - 105,211 Weighted-average shares used to compute diluted net income (loss) per share 49,724,503 36,544,825 21,655,564 Diluted net income (loss) per share $ 0.31 $ (3.11) $ (2.27)
Schedule of potentially dilutive securities excluded from computations of diluted weighted average shares outstanding	Year Ended December 31, 2018 2017 2016 Warrants 1,642,539 7,555,003 7,000,000 Stock options issued and outstanding 4,444,830 6,104,715 3,249,784 Unvested RSUs — 267,250 184,000

Revenue recognition (Tables)

Revenue recognition (Tables)	12 Months Ended
	Dec. 31, 2018
Revenue recognition
Schedule of disaggregation of revenue	Twelve Months Twelve Months Ended Ended December 31, 2018 December 31, 2017 Products Keveyis $ 16,802 $ 7,046 Macrilen 1,225 — Total $ 18,027 $ 7,046

Fair value measurement (Tables)

Fair value measurement (Tables)	12 Months Ended
	Dec. 31, 2018
Fair value measurement
Schedule of fair value of financial assets by level	The following table presents the Company’s assets and liabilities that are measured at fair value on a recurring basis for the periods presented (in thousands) : As of December 31, 2018 Level I Level II Level III Total Cash equivalents 122,300 — — 122,300 Total assets $ 122,300 $ — $ — $ 122,300 Warrant liability — — 15,513 15,513 Total liabilities $ — $ — $ 15,513 $ 15,513 As of December 31, 2017 Level I Level II Level III Total Cash equivalents 57,024 — — 57,024 Total assets $ 57,024 $ — $ — $ 57,024 Warrant liability — — 41,308 41,308 Total liabilities $ — $ — $ 41,308 $ 41,308

Intangible assets and goodwill

Intangible assets and goodwill (Tables)	12 Months Ended
	Dec. 31, 2018
Intangible assets and goodwill
Schedule of gross carrying amount of in process research and development and goodwill	The gross carrying amount of in‑process research and development, acquired developed product rights and goodwill is as follows (in thousands): As of December 31, 2018 Beginning of Period Additions Sold Amortization End of Period Keveyis $ 35,155 $ — $ — $ (5,023) $ 30,132 Macrilen — 24,834 (22,670) (2,164) — Goodwill 7,256 — — — 7,256 Total $ 42,411 $ 24,834 $ (22,670) $ (7,187) $ 37,388 As of December 31, 2017 Beginning of Period Additions Impairment Amortization End of Period IPR&D $ 20,723 $ — $ (20,723) $ — $ — Keveyis 40,177 — — (5,022) 35,155 Goodwill 7,256 — — — 7,256 Total $ 68,156 $ — $ (20,723) $ (5,022) $ 42,411
Schedule of estimated amortization of our acquired developed product rights intangible asset	Estimated amortization of our acquired developed product rights intangible asset for the five years subsequent to December 31, 2018 is as follows (in thousands): 2019 $ 5,022 2020 5,022 2021 5,022 2022 5,022 2023 5,022

Accrued liabilities (Tables)

Accrued liabilities (Tables)	12 Months Ended
	Dec. 31, 2018
Accrued liabilities
Schedule of accrued liabilities	Accrued liabilities consist of the following (in thousands): December 31, December 31, 2018 2017 Consulting and professional fees $ 4,145 $ 2,465 Supply agreement - current portion 1,638 4,237 Employee compensation 5,717 3,668 Accrued sales allowances 2,233 742 Accrued royalties 802 — Other 1,530 120 Total accrued liabilities $ 16,065 $ 11,232

Warrants (Tables)

Warrants (Tables)	12 Months Ended
	Dec. 31, 2018
Warrants and Rights Note Disclosure [Abstract]
Schedule of warrants	Warrants Outstanding Exercise Expiration Warrants Warrants December 31, Classification Price Date Issued Exercised 2018 Warrants in connection with private equity placement Liability $ 2.50 6/28/2022 7,000,000 (1,970,000) 5,030,000 Warrants in connection with Horizon and Oxford loan agreement Equity $ 2.45 12/28/2026 428,571 (267,857) 160,714 Warrants in connection with CRG loan agreement Equity $ 7.37 7/14/2024 394,289 — 394,289 Warrants in connection with CRG loan amendment in January 2018 Equity $ 10.00 1/16/2025 1,248,250 — 1,248,250 9,071,110 6,833,253

Commitments and contingencies (

Commitments and contingencies (Tables)	12 Months Ended
	Dec. 31, 2018
Commitments and contingencies
Schedule of future minimum commitments under facility operating leases	As of December 31, 2018, future minimum commitments under facility operating leases were as follows (in thousands): Operating leases 2019 439 2020 470 2021 481 2022 492 2023 207 Total minimum lease payments $ 2,089

Income taxes (Tables)

Income taxes (Tables)	12 Months Ended
	Dec. 31, 2018
Income taxes
Schedule of components of loss before income taxes	For the years ended December 31, 2018, 2017 and 2016, the components of income (loss) before income taxes were as follows (in thousands): Year Ended December 31, 2018 2017 2016 Sweden $ 4,712 $ (19,249) $ (16,433) Ireland 73,409 (47,211) (11,653) Cayman Islands (701) (21,709) (19,550) U.S. (45,033) (23,543) (3,721) Total $ 32,387 $ (111,712) $ (51,357)
Schedule of components of income tax (benefit)	The components of income tax expense (benefit) for the years ended December 31, 2018, 2017 and 2016 were as follows (in thousands): Year Ended December 31, 2018 2017 2016 Current tax (benefit) expense: Sweden $ 535 $ — $ — Ireland — (22) 22 U.S. Federal — (151) 151 State 1 (14) 73 Total current tax expense (benefit) $ 536 $ (187) $ 246 Deferred tax expense (benefit): Sweden $ 12,395 $ (4,586) $ (834) Ireland (13,337) 1,280 (1,547) U.S. Federal (1,785) 39 (3,412) State (354) (2,392) (678) Change in valuation allowance 3,081 7,617 3,587 Total deferred tax expense (benefit) — 1,958 (2,884) Total tax expense (benefit) $ 536 $ 1,771 $ (2,638)
Schedule of tax effect of temporary differences that give rise to significant portions of the deferred tax assets	The tax effect of temporary differences that give rise to significant portions of the deferred tax assets are as follows (in thousands): Year Ended December 31, 2018 2017 Deferred tax assets: Net operating loss carryforwards $ 4,576 $ 28,570 Stock-based compensation 4,944 2,824 Other deferred activity 960 617 Tax credits 10,826 9,182 Interest disallowance 9,889 — Intangibles 13,240 — Capitalized research and development costs — 161 Total deferred tax assets 44,435 41,354 Valuation allowance (44,435) (41,354) Deferred tax assets recognized — —
Schedule of effective tax rate reconciliation to statutory rate	Year Ended December 31, 2018 2017 2016 Ireland statutory income tax rate 12.50 % 12.50 % 12.50 % Foreign tax differential between Sweden, U.S., Cayman Island and Ireland 7.55 3.99 2.28 Federal tax credits (4.58) — — Change in valuation allowance 9.51 (6.82) (6.69) State income taxes (1.09) 1.43 0.92 Permanent differences 4.01 (5.04) 1.59 Rate change - tax impact — (7.09) — Foreign exchange remeasurement of Swedish deferred tax asset — 0.83 (5.42) Provision to return 3.95 (1.33) — Sale of subsidiary (37.58) — — Net operating loss adjustment 7.72 — — Other (0.34) (0.06) (0.04) Effective income tax rate 1.65 % (1.59) % 5.14 %

Stock-based compensation (Table

Stock-based compensation (Tables)	12 Months Ended
	Dec. 31, 2018
Stock-based compensation
Schedule of summary of outstanding stock options activity	Options Outstanding Weighted- Average Weighted- Remaining Average Contractual Number of Exercise Term Aggregate Shares Price (Years) Intrinsic Value (in thousands) Outstanding—January 1, 2018 6,104,715 $ 7.50 7.70 $ 14,021 Granted 2,969,255 $ 6.72 Forfeited and cancelled (407,421) $ 5.95 Exercised (87,038) $ 4.25 Outstanding—December 31, 2018 8,579,511 $ 7.35 7.57 $ 3,281 Vested and exercisable—December 31, 2018 3,873,952 $ 8.85 6.30 $ 1,427
Schedule of stock-based compensation	We recognized stock‑based compensation expense for employees and non‑employees in the accompanying consolidated statements of operations as follows (in thousands): Year Ended December 31, 2018 2017 2016 Selling, general and administrative $ 6,012 $ 4,027 $ 4,005 Research and development 1,795 1,140 601 Total stock-based compensation $ 7,807 $ 5,167 $ 4,606
Schedule of assumptions for estimating fair value of stock option awards	Year Ended December 31, 2018 2017 2016 Expected term (in years) 6.11 5.98 5.9 Risk-free interest rate 2.25% - 3.04% 1.78% - 2.26% 1.21% - 2.23% Expected volatility 78.2% - 85.0% 78.2% - 85.0% 78.1% - 83.6% Dividend rate —% —% —%
Schedule of summary of unvested RSUs	Number of Shares Outstanding—January 1, 2018 267,250 Granted 69,150 Forfeited (18,300) Vested (175,000) Unvested—December 31, 2018 143,100

Segment and other information (

Segment and other information (Tables)	12 Months Ended
	Dec. 31, 2018
Segment and other information
Schedule of long-lived assets by location	The following table represents total long-lived assets by location (in thousands): December 31, 2018 December 31, 2017 United States $ 294 $ 15 Total long-lived assets (1) $ 294 $ 15 (1) Long-lived assets consist of property and equipment.
Schedule of customer concentration	The following table presents the gross sales from customers that represented more than 10% of our gross sales included in our single operating segment: 2018 2017 Customer A

Quarterly financial informati_2

Quarterly financial information (unaudited) (Tables)	12 Months Ended
	Dec. 31, 2018
Quarterly financial information (unaudited)
Schedule of unaudited quarterly financial information	(in thousands, except share and per share data) March 31, June 30, September 30, December 31, 2018 Quarter Ended Total revenues $ 3,870 $ 4,296 $ 5,347 $ 4,514 Cost of sales (excluding amortization of intangible assets) 667 753 1,441 1,125 Total costs and expenses 19,012 22,535 28,639 25,778 Other (expense) income (12,914) 16,070 4,174 106,980 Income tax (expense) benefit — (1) — (535) Net (loss) income (28,723) (2,923) (20,559) 84,056 Net (loss) income per ordinary share, basic (1) (0.66) (0.06) (0.44) 1.73 Net (loss) income per ordinary share, diluted (1) (0.66) (0.43) (0.55) 1.64 2017 Quarter Ended Total revenues $ — $ 1,529 $ 2,533 $ 2,984 Cost of sales (excluding amortization of intangible asset) — 377 591 515 Total costs and expenses 12,179 15,525 34,967 16,634 Other expenses (15,712) (15,910) (2,885) (3,463) Income tax (expense) benefit (1,594) 92 850 (1,119) Net loss (29,485) (30,191) (35,060) (18,747) Net loss per ordinary share, basic and diluted (1) (0.83) (0.86) (0.98) (0.47) (1) Net loss per share amounts may not agree to the per share for the full year due to the use of weighted-average shares for each period.

Organization - Sale of subsidia

Organization - Sale of subsidiary (Detail) $ / shares in Units, $ in Millions	Dec. 18, 2018$ / sharesshares	Dec. 31, 2018USD ($)employee$ / sharesshares	Dec. 31, 2018USD ($)$ / sharesshares
Ordinary Shares
Agreements
Issuance of shares to Novo (in shares)			5,242,000
Novo | Ordinary Shares
Agreements
Issuance of shares to Novo (in shares)	5,242,000	5,200,000
Price per share (in dollars per share) | $ / shares	$ 7	$ 7	$ 7
Macrilen Acquisition Agreement | Novo
Agreements
Consideration for sale of subsidiary | $		$ 145	$ 145
Services Agreement | NNI
Agreements
Number of employees funded by counterparty | employee		23
Term of agreement		3 years

Organization - Liquidity (Detai

Organization - Liquidity (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Liquidity
Cash and cash equivalents	$ 122,490	$ 57,510

Summary of significant accoun_4

Summary of significant accounting policies and basis of presentation - Property and equipment, net (Details)	12 Months Ended
	Dec. 31, 2018
Computer hardware | Minimum
Property and equipment, net
Amortization Periods	3 years
Computer hardware | Maximum
Property and equipment, net
Amortization Periods	5 years
Computer software | Minimum
Property and equipment, net
Amortization Periods	2 years
Computer software | Maximum
Property and equipment, net
Amortization Periods	5 years
Furniture and fixtures | Minimum
Property and equipment, net
Amortization Periods	2 years
Furniture and fixtures | Maximum
Property and equipment, net
Amortization Periods	5 years

Summary of significant accoun_5

Summary of significant accounting policies and basis of presentation - Goodwill (Details)	12 Months Ended
	Dec. 31, 2018segment
Goodwill
Number of operating segments	1

Summary of significant accoun_6

Summary of significant accounting policies and basis of presentation - Income taxes (Details)	12 Months Ended
	Dec. 31, 2018USD ($)company	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)
Income taxes
Number of controlled foreign corporations owned | company	0
Accrued interest or penalties related to uncertain tax positions	$ 0	$ 0	$ 0
Interest or penalties related to uncertain tax positions	$ 0	$ 0	$ 0
Federal corporate tax rate	12.50%	12.50%	12.50%
U.S.
Income taxes
Federal corporate tax rate	21.00%	34.00%
Maximum | U.S.
Income taxes
Federal corporate tax rate		35.00%

Summary of significant accoun_7

Summary of significant accounting policies and basis of presentation - Net loss per share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended				12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Basic Net Income (Loss) Per Share
Basic net income (loss)					$ 31,851	$ (113,483)	$ (48,597)
Weighted-average ordinary shares outstanding - Basic (in shares)					46,297,088	36,544,825	21,550,353
Net income (loss) per share - Basic (in dollars per share)	$ 1.73	$ (0.44)	$ (0.06)	$ (0.66)	$ 0.69	$ (3.11)	$ (2.26)
Diluted Net Income (Loss) Per Share
Diluted net income (loss)					$ 15,514	$ (113,483)	$ (49,236)
Weighted-average ordinary shares outstanding (in shares)					46,297,088	36,544,825	21,550,353
Dilutive warrants, stock options and RSUs					3,427,415		105,211
Weighted-average shares used to compute diluted net income (loss) per share					49,724,503	36,544,825	21,655,564
Net income (loss) per share - Diluted (in dollars per share)	$ 1.64	$ (0.55)	$ (0.43)	$ (0.66)	$ 0.31	$ (3.11)	$ (2.27)

Summary of significant accoun_8

Summary of significant accounting policies and basis of presentation - Anti-dilutive securities (Details) - shares	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Warrants
Net income (loss) per share
Anti-dilutive shares of common stock (in shares)	1,642,539	7,555,003	7,000,000
Stock options
Net income (loss) per share
Anti-dilutive shares of common stock (in shares)	4,444,830	6,104,715	3,249,784
RSUs
Net income (loss) per share
Anti-dilutive shares of common stock (in shares)		267,250	184,000

Summary of significant accoun_9

Summary of significant accounting policies and basis of presentation - Leases (Details) - ASU 2016-02 - Maximum	Jan. 01, 2019
Recently issued accounting pronouncements
Expected increase in total liabilities (as a percent)	5.00%
Expected increase in total assets (as a percent)	5.00%

Revenue recognition - Disaggreg

Revenue recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Revenue by product
Total revenue	$ 18,027	$ 7,046
Keveyis
Revenue by product
Total revenue	16,802	$ 7,046
Macrilen
Revenue by product
Total revenue	$ 1,225

Revenue recognition - Reserves

Revenue recognition - Reserves (Details)	12 Months Ended
	Dec. 31, 2018
Prompt payment discount (as a percent)	2.00%
Percentage of patient’s cost of branded prescription drugs related to the Medicare Part D Coverage Gap for which manufacturers of pharmaceutical products are responsible	50.00%
Maximum
Temporary supply period	60 days
Financial need period	12 months

Fair value measurement (Details

Fair value measurement (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Liabilities
Warrant liabilities	$ 15,513	$ 41,308
Recurring
Assets
Cash equivalents	122,300	57,024
Total Assets	122,300	57,024
Liabilities
Warrant liabilities	15,513	41,308
Total liabilities	15,513	41,308
Recurring | Level I
Assets
Cash equivalents	122,300	57,024
Total Assets	122,300	57,024
Recurring | Level III
Liabilities
Warrant liabilities	15,513	41,308
Total liabilities	$ 15,513	$ 41,308

Intangible assets and goodwil_2

Intangible assets and goodwill - Components (Details) - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
	Jan. 31, 2018	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2018
Intangible assets and goodwill
IPRandD, Beginning of Period			$ 20,723
IPRandD, Impairment			(20,723)
Finite-lived intangible assets, Amortization		$ (7,187)	(5,022)
Goodwill, Beginning of Period	$ 7,256	7,256	7,256
Goodwill, End of Period		7,256	7,256
Total, Beginning of Period	42,411	42,411	68,156
Total, Additions		24,834
Total Impairment		(22,670)	(20,723)
Amortization		(7,187)	(5,022)
Total	42,411	42,411	68,156	$ 37,388
Keveyis
Intangible assets and goodwill
Finite-lived intangible assets, Beginning of Period	35,155	35,155	40,177
Finite-lived intangible assets, Amortization		(5,023)	(5,022)
Finite-lived intangible assets, End of Period		30,132	35,155
Amortization		(5,023)	$ (5,022)
Macrilen
Intangible assets and goodwill
Finite-lived intangible assets, Additions	$ 24,800	24,834
Finite-lived intangible assets, Sold/ Impairment		(22,670)
Finite-lived intangible assets, Amortization		(2,164)
Amortization		$ (2,164)

Intangible assets and goodwil_3

Intangible assets and goodwill - Amortization maturity schedule (Details) $ in Thousands	Dec. 31, 2018USD ($)
Amortization of intangible asset
2,019	$ 5,022
2,020	5,022
2,021	5,022
2,022	5,022
2,023	$ 5,022

Intangible assets and goodwil_4

Intangible assets and goodwill - Asset purchase (Details) $ in Thousands	1 Months Ended			12 Months Ended
	Jan. 31, 2018USD ($)	Mar. 31, 2017USD ($)	Dec. 31, 2016USD ($)payment	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Dec. 31, 2016installment	Dec. 31, 2016USD ($)
In-process research and development and Goodwill
IPRandD, Impairment					$ (20,723)
Amortization of intangible assets				$ 7,187	5,022
BioPancreate Acquisition | IPRandD
In-process research and development and Goodwill
IPRandD, Impairment					(20,700)
Keveyis
In-process research and development and Goodwill
Acquired product rights				30,132	35,155		$ 40,177
Amortization of intangible assets				5,023	$ 5,022
Keveyis | Taro | Acquired product rights
In-process research and development and Goodwill
Acquired product rights							40,200
Transaction costs							2,400
Estimated life					8 years
Macrilen
In-process research and development and Goodwill
Amortization of intangible assets				$ 2,164
Asset Purchase Agreement | Keveyis | Taro | Acquired product rights
In-process research and development and Goodwill
Number of installment payments			2			2
Installment payment		$ 7,500	$ 1,000
Supply Agreement | Keveyis | Taro | Acquired product rights
In-process research and development and Goodwill
Acquired product rights							$ 29,300
License and assignment agreement | Macrilen | Aeterna Zentaris GmbH | Acquired product rights
In-process research and development and Goodwill
Acquired product rights	$ 24,700
Collaborative arrangement consideration paid	24,000
Transaction costs	$ 700
Estimated life	10 years

Accrued liabilities (Details)

Accrued liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Accrued liabilities
Consulting and professional fees	$ 4,145	$ 2,465
Supply agreement - current portion	1,638	4,237
Employee compensation	5,717	3,668
Accrued sales allowances	2,233	742
Accrued royalties	802
Other	1,530	120
Total accrued liabilities	$ 16,065	$ 11,232

Long-term debt - Agreements (De

Long-term debt - Agreements (Details) $ / shares in Units, $ in Thousands	Jun. 06, 2018USD ($)item	Jan. 16, 2018USD ($)$ / sharesshares	Dec. 31, 2018USD ($)$ / shares	Dec. 31, 2018USD ($)$ / sharesshares	Dec. 31, 2017USD ($)	Jun. 05, 2018USD ($)	Jan. 15, 2018USD ($)
Loan agreement
Extinguishment of debt			$ 88,300
Final payment fee			12,500
Write-off of unamortized debt discounts			9,400
Loss on extinguishment of debt			$ 21,000	$ 21,549	$ 3,545
CRG credit facility
Loan agreement
Maximum borrowing capacity							$ 50,000
Loss on extinguishment of debt				$ 500
Credit Facility2017, Amendments
Loan agreement
Maximum borrowing capacity	$ 95,000	$ 100,000				$ 100,000
Consecutive trading period	20 days
Change in cash flow (as a percent)		10.00%
CRG credit facility amendments, Second Tranche
Loan agreement
Additional borrowing capacity on achievement of milestones		$ 45,000
CRG credit facility amendments, Final tranche
Loan agreement
Additional borrowing capacity on achievement of milestones	$ 10,000
Number of borrowing tranches | item	1
CRG credit facility amendments, Fourth Tranche
Loan agreement
Additional borrowing capacity on achievement of milestones		5,000
CRG credit facility amendments, Third Tranche
Loan agreement
Additional borrowing capacity on achievement of milestones		$ 10,000
Warrants in connection with CRG credit facility
Loan agreement
Warrant exercise price (in dollars per share) | $ / shares			$ 7.37	$ 7.37
Warrants in connection with CRG loan agreement, Second Tranche | Credit Facility2017, Amendments
Loan agreement
Securities that warrants may purchase (in shares) | shares		1,248,250
Warrant exercise price (in dollars per share) | $ / shares		$ 10
Ordinary Shares
Loan agreement
Issuance of shares to CRG (in shares) | shares				656,929

Warrants (Details)

Warrants (Details)	12 Months Ended
	Dec. 31, 2018$ / sharesshares
Warrants
Warrants Issued (in shares)	9,071,110
Warrants Outstanding (in shares)	6,833,253
Warrants in connection with private equity placement
Warrants
Exercise Price (in dollars per share) | $ / shares	$ 2.50
Warrants Issued (in shares)	7,000,000
Warrants Exercised (in shares)	(1,970,000)
Warrants Outstanding (in shares)	5,030,000
Warrants in connection with Horizon and Oxford loan agreement
Warrants
Exercise Price (in dollars per share) | $ / shares	$ 2.45
Warrants Issued (in shares)	428,571
Warrants Exercised (in shares)	(267,857)
Warrants Outstanding (in shares)	160,714
Warrants in connection with CRG credit facility
Warrants
Exercise Price (in dollars per share) | $ / shares	$ 7.37
Warrants Issued (in shares)	394,289
Warrants Outstanding (in shares)	394,289
Warrants in connection with CRG credit facility amendment
Warrants
Exercise Price (in dollars per share) | $ / shares	$ 10
Warrants Issued (in shares)	1,248,250
Warrants Outstanding (in shares)	1,248,250

Commitments and contingencies -

Commitments and contingencies - Lease (Details)	12 Months Ended
	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)	Nov. 30, 2017ft²	Mar. 31, 2015ft²
Future minimum commitments under facility operating leases
2,019	$ 439,000
2,020	470,000
2,021	481,000
2,022	492,000
2,023	207,000
Total minimum lease payments	2,089,000
Rent expense	$ 719,000	$ 285,000	$ 273,000
Building lease, March 2015
Lease
Lease term					52 months
Amount of space leased (in square feet) | ft²					14,743
Building lease, November 2017
Lease
Lease term				60 months
Amount of space leased (in square feet) | ft²				7,326

Commitments and contingencies_2

Commitments and contingencies - Commitments to Taro (Details) - Acquired product rights - Taro - Keveyis $ in Millions	1 Months Ended
	Mar. 31, 2017USD ($)	Dec. 31, 2016USD ($)payment	Dec. 31, 2018USD ($)	Dec. 31, 2016installment	Dec. 31, 2016USD ($)
Asset Purchase Agreement
Other Commitments
Number of installment payments		2		2
Installment payment	$ 7.5	$ 1
Potential milestone payments					$ 7.5
Supply Agreement
Other Commitments
Minimum amount of purchases obligated					$ 29
Purchase obligation period		6 years
Remaining obligation			$ 22.1

Defined contribution plan (Deta

Defined contribution plan (Details)	12 Months Ended
	Dec. 31, 2018USD ($)
Defined contribution plan
Percentage of employee's percentage contribution matched	100.00%
Percentage of employees' pay matched	4.00%
Amount contributed	$ 704,000

Income taxes - Components of in

Income taxes - Components of income (loss) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Components of income (loss) before income taxes
Loss before income taxes	$ 32,387	$ (111,712)	$ (51,357)
Sweden
Components of income (loss) before income taxes
Loss before income taxes	4,712	(19,249)	(16,433)
Ireland
Components of income (loss) before income taxes
Loss before income taxes	73,409	(47,211)	(11,653)
Cayman Islands
Components of income (loss) before income taxes
Loss before income taxes	(701)	(21,709)	(19,550)
U.S.
Components of income (loss) before income taxes
Loss before income taxes	$ (45,033)	$ (23,543)	$ (3,721)

Income taxes - Components of _2

Income taxes - Components of income tax (Details) - USD ($) $ in Thousands	3 Months Ended						12 Months Ended
	Dec. 31, 2018	Jun. 30, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Components of income tax expense (benefit)
Current tax expense (benefit)							$ 536	$ (187)	$ 246
Change in valuation allowance							3,081	7,617	3,587
Deferred tax expense (benefit)								1,958	(2,884)
Total tax expense (benefit)	$ 535	$ 1	$ 1,119	$ (850)	$ (92)	$ 1,594	536	1,771	(2,638)
Sweden
Components of income tax expense (benefit)
Current tax expense (benefit)							535
Deferred tax expense (benefit)							12,395	(4,586)	(834)
Ireland
Components of income tax expense (benefit)
Current tax expense (benefit)								(22)	22
Deferred tax expense (benefit)							(13,337)	1,280	(1,547)
U.S. | Federal
Components of income tax expense (benefit)
Current tax expense (benefit)								(151)	151
Deferred tax expense (benefit)							(1,785)	39	(3,412)
U.S. | State
Components of income tax expense (benefit)
Current tax expense (benefit)							1	(14)	73
Deferred tax expense (benefit)							$ (354)	$ (2,392)	$ (678)

Income taxes - Deferred taxes (

Income taxes - Deferred taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Deferred tax assets:
Net operating loss carryforwards	$ 4,576	$ 28,570
Stock based compensation	4,944	2,824
Other deferred activity	960	617
Tax credits	10,826	9,182
Interest disallowance	9,889
Intangibles	13,240
Capitalized research and development costs		161
Total deferred tax assets	44,435	41,354
Valuation allowance	(44,435)	(41,354)
Increase in valuation allowance	$ 2,700	$ 7,600

Income taxes - Effective tax ra

Income taxes - Effective tax rate (Details)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Schedule of effective tax rate of our benefit for income taxes differs from the statutory rate
Domestic statutory income tax rate	12.50%	12.50%	12.50%
Foreign tax differential between Sweden, U.S., Cayman Island and Ireland	7.55%	3.99%	2.28%
Federal tax credits	(4.58%)
Change in valuation allowance	9.51%	(6.82%)	(6.69%)
State income taxes	(1.09%)	1.43%	0.92%
Permanent differences	4.01%	(5.04%)	1.59%
Rate change - tax impact		(7.09%)
Fx remeasurement of Swedish deferred tax asset		0.83%	(5.42%)
Provision to return	3.95%	(1.33%)
Sale of subsidiary	(37.58%)
Net operating loss adjustment	7.72%
Other	(0.34%)	(0.06%)	(0.04%)
Effective income tax rate	1.65%	(1.59%)	5.14%

Income taxes - NOLs (Details)

Income taxes - NOLs (Details) $ in Millions	Dec. 31, 2018USD ($)
Sweden
Operating Loss Carryforwards
NOLs	$ 0
Ireland
Operating Loss Carryforwards
NOLs	1.6
U.S. | Federal
Operating Loss Carryforwards
NOLs	138
U.S. | State
Operating Loss Carryforwards
NOLs	$ 14.6

Income taxes - Tax credit carry

Income taxes - Tax credit carryforwards (Details) $ in Millions	12 Months Ended
	Dec. 31, 2018USD ($)
Sweden
Tax credit carryforward
Ownership change threshold (as a percent)	50.00%
U.S.
Tax credit carryforward
Ownership change threshold (as a percent)	50.00%
U.S. | Orphan drug tax credit carryforward | Federal
Tax credit carryforward
Tax credit carryforward	$ 10.7
U.S. | Research and development tax credit carryforward | Federal
Tax credit carryforward
Tax credit carryforward	$ 0.2

Ordinary shares - Voting rights

Ordinary shares - Voting rights and privileges (Details)	May 26, 2015$ / sharesshares	Dec. 31, 2018item$ / sharesshares	Dec. 31, 2018$ / sharesshares	Dec. 31, 2017$ / sharesshares	May 26, 2015€ / shares
Voting rights and privileges
Ordinary shares, shares authorized | shares		600,000,000	600,000,000	600,000,000
Ordinary shares, shares outstanding | shares		54,122,074	54,122,074	40,149,812
Number of votes per ordinary share | item		1
Dividends declared (in dollars per share) | $ / shares			$ 0
Dividends paid (in dollars per share) | $ / shares			0
Deferred shares, par value (in dollars/euro per share) | $ / shares		$ 1.098	$ 1.098	$ 1.098
Deferred Shares
Voting rights and privileges
Beneficial shares issued (in shares) | shares	40,000
Deferred shares, par value (in dollars/euro per share) | (per share)	$ 1.098				€ 1
Number of votes per deferred share | item		0

Ordinary shares - Equity financ

Ordinary shares - Equity financings - 2018 (Details) - USD ($) $ / shares in Units, $ in Thousands	Dec. 18, 2018	Feb. 26, 2018	Jan. 25, 2018	Oct. 06, 2017	Dec. 31, 2018	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Equity transactions
Proceeds from issuance of ordinary shares, net						$ 33,508	$ 26,384	$ 32,298
Issuance of shares, Public offering
Equity transactions
Issuance of shares, net of costs						$ 33,508		$ 20,570
Proceeds from issuance of ordinary shares, net		$ 1,600	$ 31,700	$ 23,400
Ordinary Shares
Equity transactions
Issuance of shares to Novo (in shares)						5,242,000
Ordinary Shares | Issuance of shares, Public offering
Equity transactions
Price per share (in dollars per share)		$ 6.75	$ 6.75	$ 6.25
Issuance of shares, net of costs (in shares)		255,683	5,000,000	4,000,000		5,255,683		14,000,000
Issuance of shares, net of costs						$ 53		$ 140
Novo
Equity transactions
Aggregate purchase price	$ 36,700
Additional gain on sale of subsidiary	$ 14,300
Novo | Ordinary Shares
Equity transactions
Issuance of shares to Novo (in shares)	5,242,000				5,200,000
Price per share (in dollars per share)	$ 7				$ 7	$ 7

Ordinary shares - Equity fina_2

Ordinary shares - Equity financings - 2017 (Details) - USD ($) $ / shares in Units, $ in Thousands	Apr. 28, 2017	Dec. 31, 2018	Jul. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Equity transactions
Proceeds from issuance of ordinary shares, net				$ 33,508	$ 26,384	$ 32,298
Concurrent with CRG credit facility borrowing
Equity transactions
Gross proceeds from stock issuance			$ 3,000
ATM Facility
Equity transactions
Proceeds from issuance of ordinary shares, net				8,600
Aggregate shares issuable (in dollars)	$ 40,000
Commission on gross proceeds from sale of shares (as a percent)	3.00%
Payment of fees on issuance of ordinary shares				300
Amount available for sale		$ 31,100		$ 31,100
Ordinary Shares | CRG credit facility
Equity transactions
Issuance of shares, net of costs (in shares)		656,259
Ordinary Shares | Concurrent with CRG credit facility borrowing
Equity transactions
Issuance of shares, net of costs (in shares)			429,799
Price per share (in dollars per share)			$ 6.98
Ordinary Shares | ATM Facility
Equity transactions
Issuance of shares, net of costs (in shares)				1,281,903	10,300

Ordinary shares - Shares reserv

Ordinary shares - Shares reserved for issuance (Details) - shares	Dec. 31, 2018	Dec. 31, 2017
Stock Options
Shares reserved for issuance
Common stock reserved for future issuance (in shares)	8,579,511	6,104,715
Warrants issued in private equity placement or loan agreement
Shares reserved for issuance
Common stock reserved for future issuance (in shares)	6,833,253

Stock-based compensation - Gene

Stock-based compensation - General (Details)	Dec. 31, 2018shares
Inducement Plan
Stock-based compensation
Number of shares available for issuance	638,200
2015 Plan
Stock-based compensation
Number of shares available for issuance	216,630
Non-Employee Director Plan
Stock-based compensation
Number of shares available for issuance	1,541

Stock-based compensation - Stoc

Stock-based compensation - Stock options activity (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Summary of outstanding stock options
Outstanding at beginning of period (in shares)	6,104,715
Granted (in shares)	2,969,255
Forfeited and cancelled (in shares)	(407,421)
Exercised (in shares)	(87,038)
Outstanding at end of period (in shares)	8,579,511	6,104,715
Vested and exercisable at end of period (in shares)	3,873,952
Weighted-Average Exercise Price
Granted (in dollars per share)	$ 6.72
Forfeited and cancelled (in dollars per share)	5.95
Exercised (in dollars per share)	4.25
Outstanding (in dollars per share)	7.35	$ 7.50
Vested and exercisable at end of period (in dollars per share)	$ 8.85
Additional Disclosures - Options
Weighted Average Remaining Contractual Term, Outstanding	7 years 6 months 26 days	7 years 8 months 12 days
Weighted Average Remaining Contractual Term, Vested and exercisable	6 years 3 months 18 days
Aggregate Intrinsic Value, Outstanding (in dollars)	$ 3,281	$ 14,021
Aggregate Intrinsic Value, Vested and exercisable at end of the period (in dollars)	$ 1,427

Stock-based compensation - Opti

Stock-based compensation - Options outstanding (Details) - $ / shares	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Stock options
Options outstanding (in shares)	8,579,511	6,104,715
Options outstanding, weighted-average exercise price (in dollars per share)	$ 7.35	$ 7.50
Vesting subject to acceleration
Stock options
Options outstanding (in shares)	88,908
Options outstanding, weighted-average exercise price (in dollars per share)	$ 18.80
Share price vesting threshold (in dollars per share)	31.46
Vesting based on market appreciation event | Grantee, One
Stock options
Share price vesting threshold (in dollars per share)	30.14
Vesting based on market appreciation event | Grantee, Two
Stock options
Share price vesting threshold (in dollars per share)	$ 33.66
Vesting based on market appreciation event | Vesting at market appreciation event
Stock options
Options outstanding (in shares)	97,652
Consecutive trading days threshold	20 days
Vesting based on market appreciation event | Vesting at one year anniversary of market appreciation event
Stock options
Options outstanding (in shares)	97,652
Vesting period following event	1 year
Consecutive trading days threshold	20 days

Stock-based compensation - St_2

Stock-based compensation - Stock-based compensation expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Stock-based compensation expense
Total stock-based compensation	$ 7,807	$ 5,167	$ 4,606
Total unrecognized compensation expense	$ 15,600
Employee and non-employee stock options
Stock-based compensation expense
Estimated weighted average period over which expense is expected to be recognized	2 years 8 months 12 days
Selling, general and administrative
Stock-based compensation expense
Total stock-based compensation	$ 6,012	4,027	4,005
Research and development
Stock-based compensation expense
Total stock-based compensation	$ 1,795	$ 1,140	$ 601

Stock-based compensation - Fair

Stock-based compensation - Fair value assumptions (Details)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Fair value assumptions
Expected term (in years)	6 years 1 month 10 days	5 years 11 months 23 days	5 years 10 months 24 days
Minimum Risk-free interest rate (as a percent)	2.25%	1.78%	1.21%
Maximum Risk-free interest rate (as a percent)	3.04%	2.26%	2.23%
Minimum Expected volatility (as a percent)	78.20%	78.20%	78.10%
Maximum Expected volatility (as a percent)	85.00%	85.00%	83.60%

Stock-based compensation - Rest

Stock-based compensation - Restricted stock units (Details) - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Stock-based compensation
Stock-based compensation	$ 7,807,000	$ 5,167,000	$ 4,606,000
RSUs
Stock-based compensation
Vesting period	2 years
Number of shares issued for each stock award vested	1
Stock-based compensation	$ 454,000	$ 436,000
Total unrecognized compensation expense	$ 400,000
Estimated weighted average period over which expense is expected to be recognized	11 months 27 days
Summary of unvested RSUs
Unvested - Beginning of period (in shares)	267,250
Granted (in shares)	69,150
Forfeited (in shares)	(18,300)
Vested (in shares)	(175,000)
Unvested - End of period (in shares)	143,100	267,250

Segment and other information -

Segment and other information - Long-lived assets (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Long-lived assets by location
Property and equipment, net	$ 294	$ 15
U.S.
Long-lived assets by location
Property and equipment, net	$ 294	$ 15

Segment and other information_2

Segment and other information - Customer concentration (Details)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Sales revenue | Customer A | Customer Concentration Risk
Customer concentration
Concentration (as a percent)	92.00%	100.00%

Sale of Subsidiary (Details)

Sale of Subsidiary (Details) $ / shares in Units, $ in Thousands	Dec. 18, 2018USD ($)$ / sharesshares	Dec. 31, 2018USD ($)employee$ / sharesshares	Jan. 31, 2018USD ($)	Dec. 31, 2018USD ($)$ / sharesshares	Dec. 31, 2017USD ($)
Agreements
Amortization of intangible assets				$ 7,187	$ 5,022
Macrilen
Agreements
Acquired product rights, Additions			$ 24,800	24,834
Amortization of intangible assets				2,164
Net book value of finite-lived intangible asset	$ 22,600
Novo
Agreements
Additional gain on sale of subsidiary	$ 14,300
Novo | Macrilen Acquisition Agreement
Agreements
Consideration for sale of subsidiary		$ 145,000		$ 145,000
Additional gain on sale of subsidiary		14,300
Expenses on sale of subsidiary		$ 5,800
NNI | Services Agreement
Agreements
Number of employees funded by counterparty | employee		23
Term of agreement		3 years
Ordinary Shares
Agreements
Issuance of shares to Novo (in shares) | shares				5,242,000
Ordinary Shares | Novo
Agreements
Issuance of shares to Novo (in shares) | shares	5,242,000	5,200,000
Price per share (in dollars per share) | $ / shares	$ 7	$ 7		$ 7

Quarterly financial informati_3

Quarterly financial information (unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Quarterly financial information (unaudited)
Total revenues	$ 4,514	$ 5,347	$ 4,296	$ 3,870	$ 2,984	$ 2,533	$ 1,529		$ 18,027	$ 7,046
Cost of sales (excluding amortization of intangible assets)	1,125	1,441	753	667	515	591	377		3,986	1,483
Total costs and expenses	25,778	28,639	22,535	19,012	16,634	34,967	15,525	$ 12,179
Other (expense) income	106,980	4,174	16,070	(12,914)	(3,463)	(2,885)	(15,910)	(15,712)	114,310	(37,970)	$ (631)
Income tax (expense) benefit	(535)		(1)		(1,119)	850	92	(1,594)	(536)	(1,771)	2,638
Net (loss) income	$ 84,056	$ (20,559)	$ (2,923)	$ (28,723)	$ (18,747)	$ (35,060)	$ (30,191)	$ (29,485)	$ 31,851	$ (113,483)	$ (48,719)
Net (loss) income per ordinary share, basic (in dollars per share)	$ 1.73	$ (0.44)	$ (0.06)	$ (0.66)					$ 0.69	$ (3.11)	$ (2.26)
Net (loss) income per ordinary share, diluted (in dollars per share)	$ 1.64	$ (0.55)	$ (0.43)	$ (0.66)					$ 0.31	$ (3.11)	$ (2.27)
Net loss per ordinary share, basic and diluted (in dollars per share)					$ (0.47)	$ (0.98)	$ (0.86)	$ (0.83)