Urovant Sciences (UROV) 10-Q 7 Nov 19 2020 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Sep. 30, 2019	Nov. 06, 2019
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2019
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Trading Symbol	UROV
Entity Registrant Name	Urovant Sciences Ltd.
Entity Central Index Key	0001740547
Current Fiscal Year End Date	--03-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Current Reporting Status	Yes
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		30,381,433
Entity File Number	001-38667
Entity Tax Identification Number	98-1463899
Entity Address, Address Line One	Suite 1, 3rd Floor
Entity Address, Address Line Two	11-12 St. James’s Square
Entity Address, City or Town	London
Entity Address, Postal Zip Code	SW1Y 4LB
Entity Address, Country	GB
City Area Code	+44 (0)207
Local Phone Number	400-3347
Document Quarterly Report	true
Document Transition Report	false
Entity Incorporation, State or Country Code	D0
Title of 12(b) Security	Common Shares, $0.000037453 par value
Security Exchange Name	NASDAQ
Entity Interactive Data Current	Yes

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2019	Mar. 31, 2019
Current assets:
Cash and cash equivalents	$ 67,796	$ 85,353
Restricted cash	243	243
Prepaid expenses and other current assets	8,823	12,914
Total current assets	76,862	98,510
Furniture and equipment, net	1,226	923
Operating lease right-of-use assets	3,301
Restricted cash, net of current portion	623	600
Other assets	16	88
Total assets	82,028	100,121
Current liabilities:
Accounts payable	1,567	1,925
Accrued expenses	9,590	9,877
Due to Roivant Sciences Ltd.	133	15
Current portion of long-term debt	10
Current portion of operating lease liabilities	265
Total current liabilities	11,565	11,817
Long-term debt, net of current portion	43,438	13,534
Operating lease liabilities, net of current portion	3,269
Total liabilities	58,272	25,351
Commitments and contingencies (Note 9)
Shareholders' equity
Common shares, par value $0.000037453 per share, 267,001,308 shares authorized, 30,381,433 and 30,322,911 issued and outstanding at September 30, 2019 and March 31, 2019, respectively	1	1
Common shares subscribed	(1)	(1)
Accumulated other comprehensive income	365	269
Additional paid-in capital	253,148	250,032
Accumulated deficit	(229,757)	(175,531)
Total shareholders' equity	23,756	74,770
Total liabilities and shareholders' equity	$ 82,028	$ 100,121

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2019	Mar. 31, 2019
Statement Of Financial Position [Abstract]
Common shares, par value	$ 0.000037453	$ 0.000037453
Common shares, authorized	267,001,308	267,001,308
Common shares, issued	30,381,433	30,322,911
Common shares, outstanding	30,381,433	30,322,911

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Operating expenses:
Research and development	[1]	$ 17,796	$ 20,664	$ 39,810	$ 48,009
General and administrative	[2]	7,435	3,664	12,900	7,788
Total operating expenses		25,231	24,328	52,710	55,797
Other income (expense):
Interest expense, net		(581)		(1,094)
Loss on disposal of furniture and equipment				(236)
Other income (expense)		79	(309)	(111)	(80)
Loss before provision for income taxes		(25,733)	(24,637)	(54,151)	(55,877)
Provision for income taxes		8	5	75	60
Net loss		$ (25,741)	$ (24,642)	$ (54,226)	$ (55,937)
Net loss per common share—basic and diluted		$ (0.85)	$ (1.23)	$ (1.79)	$ (2.79)
Weighted average common shares outstanding—basic and diluted		30,355,874	20,025,098	30,340,603	20,025,098
[1]	Includes $0 and $0 and $48 and $2,230 of costs allocated from Roivant Sciences Ltd. during the three and six months ended September 30, 2019 and 2018, respectively. Also includes share-based compensation expense (see Note 8).
[2]	Includes $72 and $132 and $537 and $1,679 of costs allocated from Roivant Sciences Ltd. during the three and six months ended September 30, 2019 and 2018, respectively. Also includes share-based compensation expense (see Note 8).

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Operations (Parenthetical) - Roivant Sciences Ltd. - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Research and Development
Costs allocated from related party	$ 0	$ 48	$ 0	$ 2,230
General and Administrative
Costs allocated from related party	$ 72	$ 537	$ 132	$ 1,679

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Statement Of Income And Comprehensive Income [Abstract]
Net loss	$ (25,741)	$ (24,642)	$ (54,226)	$ (55,937)
Other comprehensive income (loss):
Foreign currency translation adjustment	(92)	317	96	97
Total other comprehensive income (loss)	(92)	317	96	97
Comprehensive loss	$ (25,833)	$ (24,325)	$ (54,130)	$ (55,840)

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Shareholder's Equity (Deficit) - USD ($) $ in Thousands	Total	Common Shares	Common Shares Subscribed	Shareholder Receivable	Additional Paid-in Capital	Accumulated Deficit	Accumulated Other Comprehensive Income (Loss)
Beginning balance at Mar. 31, 2018	$ 7,074	$ 1	$ (1)	$ (1,310)	$ 72,562	$ (64,185)	$ 7
Beginning balance (in shares) at Mar. 31, 2018		20,025,098
Capital contributions	18,500				18,500
Share-based compensation expense	320				320
Capital contribution – share-based compensation expense	486				486
Foreign currency translation adjustment	(220)						(220)
Net loss	(31,295)					(31,295)
Ending balance at Jun. 30, 2018	(5,135)	$ 1	(1)	(1,310)	91,868	(95,480)	(213)
Ending balance (in shares) at Jun. 30, 2018		20,025,098
Beginning balance at Mar. 31, 2018	7,074	$ 1	(1)	(1,310)	72,562	(64,185)	7
Beginning balance (in shares) at Mar. 31, 2018		20,025,098
Foreign currency translation adjustment	97
Net loss	(55,937)
Ending balance at Sep. 30, 2018	(6,727)	$ 1	(1)	(1,310)	114,601	(120,122)	104
Ending balance (in shares) at Sep. 30, 2018		20,025,098
Beginning balance at Jun. 30, 2018	(5,135)	$ 1	(1)	(1,310)	91,868	(95,480)	(213)
Beginning balance (in shares) at Jun. 30, 2018		20,025,098
Capital contributions	21,744				21,744
Share-based compensation expense	895				895
Capital contribution – share-based compensation expense	94				94
Foreign currency translation adjustment	317						317
Net loss	(24,642)					(24,642)
Ending balance at Sep. 30, 2018	(6,727)	$ 1	(1)	$ (1,310)	114,601	(120,122)	104
Ending balance (in shares) at Sep. 30, 2018		20,025,098
Beginning balance at Mar. 31, 2019	$ 74,770	$ 1	(1)		250,032	(175,531)	269
Beginning balance (in shares) at Mar. 31, 2019	30,322,911	30,322,911
Capital contributions	$ 130				130
Share-based compensation expense	1,047				1,047
Exercise of stock options	70				70
Exercise of stock options (in shares)		17,521
Foreign currency translation adjustment	188						188
Net loss	(28,485)					(28,485)
Ending balance at Jun. 30, 2019	47,720	$ 1	(1)		251,279	(204,016)	457
Ending balance (in shares) at Jun. 30, 2019		30,340,432
Beginning balance at Mar. 31, 2019	$ 74,770	$ 1	(1)		250,032	(175,531)	269
Beginning balance (in shares) at Mar. 31, 2019	30,322,911	30,322,911
Exercise of stock options (in shares)	58,522
Foreign currency translation adjustment	$ 96
Net loss	(54,226)
Ending balance at Sep. 30, 2019	$ 23,756	$ 1	(1)		253,148	(229,757)	365
Ending balance (in shares) at Sep. 30, 2019	30,381,433	30,381,433
Beginning balance at Jun. 30, 2019	$ 47,720	$ 1	(1)		251,279	(204,016)	457
Beginning balance (in shares) at Jun. 30, 2019		30,340,432
Capital contributions	60				60
Share-based compensation expense	1,221				1,221
Exercise of stock options	$ 150				150
Exercise of stock options (in shares)	41,001	41,001
Warrants issued with long-term debt	$ 438				438
Foreign currency translation adjustment	(92)						(92)
Net loss	(25,741)					(25,741)
Ending balance at Sep. 30, 2019	$ 23,756	$ 1	$ (1)		$ 253,148	$ (229,757)	$ 365
Ending balance (in shares) at Sep. 30, 2019	30,381,433	30,381,433

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Cash flows from operating activities:
Net loss	$ (54,226)	$ (55,937)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	113	85
Share-based compensation expense	2,268	1,795
Amortization of debt discount and issuance costs	352
Non-cash operating lease cost	256
Loss on disposal of furniture and equipment	236
Unrealized foreign currency translation adjustment	96	97
Changes in operating assets and liabilities:
Prepaid expenses and other current assets	4,091	(6,561)
Other assets	72
Due to Roivant Sciences Ltd.	55	6,574
Accounts payable	(358)	3,801
Accrued expenses	100	5,802
Operating lease liabilities	(23)
Net cash used in operating activities	(46,968)	(44,344)
Cash flows from investing activities:
Purchases of furniture and equipment	(589)	(162)
Net cash used in investing activities	(589)	(162)
Cash flows from financing activities:
Proceeds from capital contributions from Roivant Sciences Ltd.	190	40,244
Proceeds from exercise of stock options	220
Debt financing costs paid	(387)
Cash proceeds from debt financing	30,000
Initial public offering costs paid		(1,273)
Net cash provided by financing activities	30,023	38,971
Net change in cash, cash equivalents and restricted cash	(17,534)	(5,535)
Cash, cash equivalents and restricted cash—beginning of period	86,196	7,194
Cash, cash equivalents and restricted cash—end of period	68,662	1,659
Non-cash investing and financing activities:
Warrants issued with long-term debt	438
Furniture and equipment included in due to Roivant Sciences Ltd.	63
Unpaid initial public offering costs included in accounts payable		928
Supplemental disclosure of cash paid:
Income taxes	50	$ 155
Interest	$ 867

Description of Business and Liq

Description of Business and Liquidity	6 Months Ended
	Sep. 30, 2019
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Description of Business and Liquidity	Note 1—Description of business and liquidity [A] Description of business: Urovant Sciences Ltd. and its subsidiaries (collectively, the “Company”) is a clinical-stage biopharmaceutical company focused on developing and commercializing innovative therapies for urologic conditions. The Company’s lead product candidate, vibegron, is an oral, once-daily, small molecule beta-3 agonist. The Company is currently developing vibegron for the treatment of overactive bladder, or OAB. The Company is also developing vibegron for the treatment of two additional potential indications: OAB in men with benign prostatic hyperplasia and abdominal pain due to irritable bowel syndrome. The Company’s second product candidate, URO-902, is a gene therapy that the Company is developing for patients with OAB who have failed oral pharmacological therapy. There are no currently available FDA-approved gene therapy treatments for OAB. The Company was founded on January 27, 2016 as a Bermuda Exempted Limited Company and a wholly owned subsidiary of Roivant Sciences Ltd. In November 2016, the Company incorporated as its wholly owned subsidiaries (1) Urovant Holdings Ltd. (“UHL”), a private limited company incorporated under the laws of England and Wales, (2) Urovant Sciences GmbH (“USG”), a company with limited liability formed under the laws of Switzerland, (3) Urovant Sciences, Inc. (“USI”), a Delaware corporation based in the United States of America, and in March 2019 incorporated as its wholly owned subsidiaries (4) Urovant Treasury Holdings, Inc. (“UTH”), a Delaware corporation based in the United States of America, and (5) Urovant Sciences Treasury, Inc. (“UST”), a Delaware corporation based in the United States of America. Since its inception, the Company has devoted substantially all of its efforts to organizing and staffing the Company, acquiring its product candidates, vibegron and URO-902, and preparing for and advancing vibegron into clinical development. Vibegron was licensed from Merck Sharp & Dohme Corp. (“Merck”), a subsidiary of Merck & Co., in February 2017. URO-902 was licensed from Ion Channel Innovations, LLC (“ICI”) in August 2018. The Company has determined that it has one operating and reporting segment as it allocates resources and assesses financial performance on a consolidated basis. [B] Liquidity: The Company has not historically been capitalized with sufficient funding to conduct its operations. Certain other costs of conducting the Company’s operations prior to the Company’s initial public offering, which was completed in October 2018, were paid by Roivant Sciences Ltd., inclusive of its wholly owned subsidiaries (“RSL”), and were reimbursed by the Company including amounts pursuant to services agreements with Roivant Sciences, Inc. (“RSI”) and Roivant Sciences GmbH (“RSG”). The accompanying condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. The condensed consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might result from the outcome of this uncertainty. he Company has not generated any revenues and does not anticipate generating any revenues unless and until it successfully completes development and obtains regulatory approval for one of its product candidates. the Company entered into a letter agreement with Sumitomo Dainippon Pharma Co., Ltd. (“DSP”) pursuant to which DSP committed to provide the Company with a $200 million low-interest loan facility (see Note 11). he Company will seek to obtain additional capital through equity financings, the sale of debt or other arrangements. However, there can be no assurance that the potential loan facility with DSP will be available or that the Company will be able to raise additional capital when needed or under acceptable terms, if at all. The sale of additional equity may dilute existing shareholders and newly issued shares may contain senior rights and preferences compared to currently outstanding common shares. The Company will prioritize necessary and appropriate steps to enable the continued operations of the business and preservation of the value of its assets beyond the next twelve months, including but not limited to actions such as reduced personnel-related costs, curtailment of the Company’s development activities and other discretionary expenditures that are within the Company’s control. These reductions in expenditures, if required, may have an adverse impact on our ability to achieve certain of the Company’s planned objectives in fiscal year 2020. The Company’s future operations are highly dependent on a combination of factors, including (1) the success of its research and development programs; (2) the timely and successful completion of any additional financing; (3) the development of competitive therapies by other biotechnology and pharmaceutical companies; (4) the Company’s ability to manage growth of the organization; (5) the Company’s ability to protect its technology and products; and, ultimately (6) regulatory approval and market acceptance of vibegron, URO-902 or any future product candidate.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2—Summary of significant accounting policies [A] Basis of presentation: The Company’s fiscal year ends on March 31. The accompanying interim condensed consolidated balance sheet as of September 30, 2019, the condensed consolidated statements of operations and comprehensive loss for the three and six months ended September 30, 2019 and 2018, the condensed consolidated statements of cash flows for the six months ended September 30, 2019 and 2018 and the condensed consolidated statements of shareholders’ equity (deficit) for the three and six months ended September 30, 2019 and 2018 are unaudited. The accompanying interim unaudited consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they as certain footnotes or other financial information that are normally required by U.S. GAAP can be condensed or omitted . The condensed consolidated balance sheet at March 31, 2019 has been derived from the audited consolidated financial statements at that date. In the opinion of management, the interim consolidated financial statements include all adjustments, consisting of normal recurring adjustments, necessary for the fair presentation of the Company’s consolidated financial position and its results of operations and cash flows for the interim periods presented. The results for the three and six months ended September 30, 2019 are not necessarily indicative of the results to be expected for the year ending March 31, 2020 or for any future period. 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 Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). The consolidated financial statements include the accounts of USL and UHL, USG, USI, UTH and UST, USL’s wholly owned subsidiaries. USL has no unconsolidated subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. T here have been no significant changes in the Company's accounting policies from those disclosed in its Annual Report on Form 10-K for the fiscal year ended March 31, 2019 filed with the SEC on June 14, 2019 other than the adoption of ASU No. 2016-02, Leases (Topic 842) (“ASU No. 2016-02”). [B] Use of estimates: The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. The Company regularly evaluates estimates and assumptions related to assets, liabilities, costs, expenses and compensation expense allocated to the Company under its services agreements with RSI and RSG, as well as share-based compensation, research and development costs and income taxes. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could materially differ from those estimates. [C] Financial instruments: The Company applies a fair value framework in order to measure and disclose its financial assets and liabilities. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The fair value hierarchy requires an entity to maximize the use of observable inputs, where available, and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs that may be used to measure fair value: • Level 1 - Quoted prices in active markets for identical assets or liabilities. • Level 2 - Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Fair values are determined by utilizing quoted prices for similar assets and liabilities in active markets or other market observable inputs such as interest rates and yield curves. • Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. To the extent the valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. A financial instrument's level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The Company’s financial instruments consist of cash, cash equivalents consisting of money market accounts, restricted cash, accounts payable, accrued expenses, amounts due to and from RSL and long-term debt. The carrying value of the Company’s long-term debt approximates fair value based on current interest rates for similar types of borrowings and is included in Level 2 of the fair value hierarchy. The remaining financial instruments are stated at their respective historical carrying amounts, which approximates fair value due to their short-term nature. [D] : Cash and cash equivalents include cash deposits in banks and all highly liquid investments that are readily convertible to cash without penalty. The Company considers all highly liquid investments purchased with original maturities of three months or less to be cash equivalents. The Company maintains cash deposits and cash equivalents in highly-rated, federally-insured financial institutions in excess of federally insured limits. The Company has established guidelines relative to diversification and maturities to maintain liquidity and preservation of capital. The Company has not experienced any credit losses related to these financial instruments and does not believe that it is exposed to any significant credit risk related to these instruments. Restricted cash consists of legally restricted non-interest-bearing deposit accounts held as compensating balances against the Company’s corporate credit card program and irrevocable standby letters of credit connected to its office leases (see Note 10) Restricted cash classified as a current asset consists of the restricted deposit account relating to the Company’s corporate credit card agreement. Restricted cash classified as a long-term asset consists of the restricted deposit account related to the irrevocable standby letters of credit. Cash as reported in the condensed consolidated statements of cash flows includes the aggregate amounts of cash, cash equivalents, and restricted cash as presented on the condensed consolidated balance sheets. Cash as reported in the condensed consolidated statements of cash flows consists of (in thousands): September 30, 2019 March 31, 2019 Cash and cash equivalents $ 67,796 $ 85,353 Restricted cash 866 843 Cash, cash equivalents and restricted cash $ 68,662 $ 86,196 [E] : In accordance with ASC 842, as adopted by the Company on April 1, 2019, the Company determines if an arrangement is a lease at inception. Operating lease right-of-use (“ROU”) assets represent the Company’s right to use an underlying asset during the lease term, and operating lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Operating leases are included in ROU assets, current operating lease liabilities, and long-term operating lease liabilities on our condensed consolidated balance sheets. Operating lease ROU assets and lease liabilities are initially recognized based on the present value of the future minimum lease payments over the lease term at commencement date calculated using the Company’s incremental borrowing rate applicable to the lease asset, unless the implicit rate is readily determinable. Operating lease ROU assets also include any lease payments made at or before lease commencement and exclude any lease incentives received. The Company determines the lease term as the noncancellable period of the lease, and may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Leases with a term of 12 months or less are not recognized on the condensed consolidated balance sheet. The Company’s leases do not contain any residual value guarantees. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The Company accounts for lease and non-lease components as a single lease component for all its facilities leases. Prior to April 1, 2019, at the inception of a lease, the Company evaluated the lease agreement to determine whether the lease was an operating or capital lease. For operating leases, the Company recognized rent expense on a straight-line basis over the lease term and recorded the difference between cash rent payments and the recognition of rent expense as a deferred liability. Where lease agreements contained rent escalation clauses, rent abatements and/or concessions, such as rent holidays and tenant improvement allowances, the Company applied them in the determination of straight-line rent expense over the lease term. [F] : Basic net loss per common share is computed by dividing net loss applicable to common shareholder by the weighted-average number of common shares outstanding during the period. Diluted net loss per common share is computed by dividing the net loss applicable to common shareholders by the diluted weighted-average number of common shares outstanding during the period calculated in accordance with the treasury stock method. In periods in which the Company reports a net loss, all common share equivalents are deemed anti-dilutive such that basic net loss per common share and diluted net loss per common share are equivalent. Potentially dilutive common shares have been excluded from the diluted net loss per common share computations in all periods presented because such securities have an anti-dilutive effect on net loss per common share due to the Company’s net loss. There are no reconciling items used to calculate the weighted-average number of total common shares outstanding for basic and diluted net loss per common share data. At September 30, 2019 and 2018, potentially dilutive securities were as follows: September 30, 2019 2018 Options 4,169,654 2,554,875 Restricted stock units (unvested) 15,000 — Warrants 99,777 — Total 4,284,431 2,554,875 [G] Recently adopted accounting pronouncements : In February 2016, the FASB issued ASU No. 2016-02, a comprehensive new lease standard that amended various aspects of existing accounting guidance for leases. The core principle of ASU No. 2016-02 required lessees to present the assets and liabilities that arise from leases on their consolidated balance sheets. ASU No. 2016-02 was effective for annual periods beginning after December 15, 2018, and interim periods within fiscal years beginning after December 15, 2018. The Company adopted this standard, codified as ASC 842, on April 1, 2019 using the optional modified retrospective transition method and applied the transition package of practical expedients allowed by the standard. Comparative periods were not restated. Upon adoption, on April 1, 2019, the Company recorded a $0.2 million increase in operating lease right-of-use assets and a $0.2 million increase in operating lease liabilities. The adoption of the new standard did not materially impact the Company’s consolidated results of operations and cash flows and did not have an impact on the Company’s beginning accumulated deficit balance. ASU No. 2016-02 provided a number of optional practical expedients in transition. For leases that commenced prior to April 1, 2019, the Company elected the following package of practical expedients when assessing the transition impact: (1) not to reassess whether any expired or existing contracts are or contain leases; (2) not to reassess the lease classification for any expired or existing leases; and (3) not to reassess initial direct costs for any existing leases. The Company also elected to: (1) use the total lease term in its initial incremental borrowing rate calculation; (2) combine its lease and non-lease components and account for them as a single lease component for its facilities leases; and (3) not apply the use of hindsight in determining the lease term when considering lessee options to extend or terminate the lease and to purchase the underlying asset. For additional information regarding the Company’s leases, see Note 10. Other recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force), the American Institute of Certified Public Accountants, and the SEC did not, or are not believed by management to, have a material impact on the Company’s present or future consolidated financial position, results of operations or cash flows. [H] Recently issued accounting pronouncements : In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework Changes to the Disclosure Requirements for Fair Value Measurement

Accrued Expenses

Accrued Expenses	6 Months Ended
	Sep. 30, 2019
Payables And Accruals [Abstract]
Accrued Expenses	Note 3—Accrued expenses Accrued expenses at September 30, 2019 and March 31, 2019 consist of the following (in thousands): September 30, 2019 March 31, 2019 Research and development expenses $ 7,722 $ 4,993 Compensation-related expenses 1,494 3,398 Professional services expenses 242 821 Other general and administrative expenses 132 665 Total accrued expenses $ 9,590 $ 9,877

Long-term Debt

Long-term Debt	6 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
Long-term Debt	Note 4—Long-term debt In February 2019, the Company and its subsidiaries, UHL, USG (collectively with the Company and UHL, the “Borrowers”) and USI (collectively with the Borrowers, the “Loan Parties”) entered into a secured debt financing agreement (the “Hercules Loan Agreement”) with Hercules Capital, Inc. (“Hercules”), as agent and lender, in the amount of $100 million (the “Term Loans”). A first tranche of $15 million, or net cash proceeds of $14.1 million, was funded upon execution of the Hercules Loan Agreement, and a second tranche of $30 million was funded in September 2019. The remaining $55 million is available in two additional optional tranches through June 30, 2021, subject to certain terms and conditions, including the achievement of certain milestones. The Term Loans bear a variable interest rate equal to the greater of (i) 10.15% or (ii) the lesser of (x) the prime rate as reported in The Wall Street Journal plus 4.65% and (y) 12.15%. The interest rate on the Term Loans was 10.15% at September 30, 2019. The Company is obligated to make monthly payments of accrued interest for the first 12 months from closing (the “Interest-only Period”), followed by monthly installments of principal and interest through the maturity date. Pursuant to the terms of the Hercules Loan Agreement, the end of the Interest-only Period has been extended from April 1, 2020 to October 1, 2020 as a result of the achievement of a clinical milestone. The Interest-only Period may be extended an additional six months to April 1, 2021 if certain milestones are met. The Term Loans mature 36 months from closing and include an option for the Loan Parties to extend the maturity date up to 18 months if certain defined milestones are met. Pursuant to the terms of the Hercules Loan Agreement, the Term Loan Maturity Date (as defined in the Hercules Loan Agreement) has been extended from March 1, 2022 to March 1, 2023 as a result of the achievement of a clinical milestone. The Loan Parties have the option to prepay the Terms Loans and the prepayment of the Term Loans will be subject to, in some circumstances, a prepayment charge equal to 2% in the first 12 months from closing, 1% in the second 12 months, and 0% thereafter. Upon repayment of the Term Loans, the Company will be obligated to pay an end of term charge in an amount equal to 4.25% of the amount of the Term Loans actually advanced. The Company’s obligations under the Hercules Loan Agreement are fully and unconditionally guaranteed by the subsidiaries of the Borrowers, including USI. The Loan Parties’ obligations under the Hercules Loan Agreement are secured by a first priority security interest on substantially all of their personal property, other than intellectual property, and subject to certain other exceptions. The Hercules Loan Agreement contains certain representations and warranties, affirmative covenants, negative covenants and conditions that are customarily required for similar financings. The agreement also contains a minimum cash covenant that requires the Loan Parties to hold certain minimum cash balances in the event that either certain milestones are not achieved or the market capitalization of the Company is below a certain threshold for certain periods of time. Such minimum cash covenant ceases to apply if the Company achieves certain clinical development and financial milestones as set forth in the Hercules Loan Agreement. The Hercules Loan Agreement also contains customary events of default (subject, in certain instances, to specified grace periods). If any event of default occurs, the principal, premium, if any, interest and any other monetary obligations on all the then outstanding amounts under the Term Loans may become due and payable immediately. Upon the occurrence of an event of default, a default interest rate of an additional 5% may be applied to the outstanding principal balance, and Hercules may declare all outstanding obligations immediately due and payable (subject, in certain instances, to specified grace periods) and take such other actions as set forth in the Hercules Loan Agreement. Upon the occurrence of certain bankruptcy and insolvency events, the obligations under the Hercules Loan Agreement would automatically become due and payable. The Company is in compliance with the covenants under the Hercules Loan Agreement as of September 30, 2019. In connection with each funding of the Term Loans, the Company is required to issue to Hercules a warrant (the “Warrants”) to purchase a number of the Company’s common shares equal to 2% of the principal amount of the relevant Term Loan funded divided by the exercise price, which will be based on the closing price of the Company’s common shares on the business day immediately prior to the relevant Term Loan funding (or for the first and second tranches only at the lower of (i) $9.02 per share or (ii) the closing price of the Company’s common shares on the business day immediately prior to the relevant Term Loan funding). The Warrants may be exercised on a cashless basis, and are immediately exercisable through the seventh anniversary of the applicable funding date. The number of common shares for which each Warrant is exercisable and the associated exercise price are subject to certain proportional adjustments as set forth in such Warrant. In connection with the first tranche of the Term Loans, the Company issued a Warrant to Hercules, exercisable for an aggregate of 33,259 of the Company’s common shares at an exercise price of $9.02 per share. Concurrent with the funding of the second tranche, the Company issued a Warrant to Hercules exercisable for an aggregate of 66,518 of the Company’s common shares at an exercise price of $9.02 per share. The Company accounted for the Warrants as equity instruments since they were indexed to the Company’s common shares and met the criteria for classification in shareholders’ equity. The relative fair value of the Warrants related to the first and second tranche funding was approximately $0.2 million and $0.4 million, respectively, and were treated as a discount to the Term Loans. This amount is being amortized to interest expense using the effective interest method over the life of the Term Loans. The Company estimated the fair value of the Warrants using the Black-Scholes option-pricing model based on the following key assumptions: Tranche 1 Tranche 2 Exercise price $ 9.02 $ 9.02 Common share price on date of issuance $ 10.50 $ 10.12 Expected volatility 69.6 % 65.9 % Contractual term, in years 7.00 7.00 Risk-free interest rate 2.55 % 1.68 % Expected dividend yield — % — % The Company recorded the first tranche of the Term Loans at a discount of $1.8 million, including the proceeds allocated to the related Warrant, and incurred financing costs of $0.4 million relating to the Hercules Loan Agreement which are recorded as an offset to long-term debt on the Company’s condensed consolidated balance sheet. The Company recorded the second tranche of the Terms Loans at a discount of $1.7 million, including the proceeds allocated to the related Warrant. The debt discount and deferred financing costs are being amortized over the term of the debt using the effective interest method, and are included in interest expense in the Company’s condensed consolidated statement of operations. During the three and six months ended September 30, 2019, interest expense included $0.2 million and $0.4 million, respectively, of amortized debt discount and issuance costs related to the Term Loans. Outstanding debt obligations to Hercules Capital, Inc. are as follows (in thousands): September 30, 2019 Principal amount $ 45,000 End of term charge 1,913 Less: unamortized debt discount and issuance costs (3,465 ) Loan payable less unamortized debt discount and issuance costs 43,448 Less: current maturities (10 ) Long-term debt, net of unamortized debt discount and issuance costs $ 43,438

Related Party Transactions

Related Party Transactions	6 Months Ended
	Sep. 30, 2019
Related Party Transactions [Abstract]
Related Party Transactions	Note 5—Related party transactions [A] Services agreements: In May 2017, the Company entered into a services agreement with RSI effective January 17, 2017, as amended and restated on July 9, 2018, under which RSI agreed to provide certain administrative and research and development services to the Company during its formative period. Under this services agreement, the Company will pay or reimburse RSI for any expenses it, or third parties acting on its behalf, incurs for the Company. For any general and administrative and research and development activities performed by RSI employees, RSI will charge back the employee compensation expense plus a pre-determined markup. RSI also provided such services prior to the formalization of this services agreement, and such costs have been recognized by the Company in the period in which the services were rendered. Employee compensation expense, inclusive of base salary and fringe benefits, is determined based upon the relative percentage of time utilized on Company matters. All other costs will be billed back at cost. The condensed consolidated financial statements also include third-party expenses that have been paid by RSI and RSL since the inception of the Company. In addition, in May 2017, USG entered into a separate services agreement with RSG, effective as of January 17, 2017, as amended and restated on July 9, 2018, for the provisioning of services by RSG to USG related to clinical development, administrative and finance and accounting activities. The Company refers to the amended and restated services agreements with RSI and RSG, collectively, as the Services Agreements. Under the Services Agreements, for the three and six months ended September 30, 2019 and 2018, the Company incurred expenses of $0.07 million and $0.1 million and $0.5 million and $3.3 million, respectively, inclusive of the mark-up. Based upon the service performed under the Services Agreements, amounts included in research and development expenses totaled $0 and $0 and $0.2 million and $2.1 million, and amounts included in general and administrative expenses totaled $0.07 million and $0.1 million and $0.3 million and $1.2 million during the three and six months ended September 30, 2019 and 2018, respectively. [B] Information sharing and cooperation agreement: On July 9, 2018, the Company entered into an information sharing and cooperation agreement (the “Cooperation Agreement”) with RSL. The Cooperation Agreement, among other things: (1) obligates the Company to deliver to RSL periodic financial statements and other information upon reasonable request and to comply with other specified financial reporting requirements; (2) requires the Company to supply certain material information to RSL to assist it in preparing any future SEC filings; and (3) requires the Company to implement and observe certain policies and procedures related to applicable laws and regulations. The Company agreed to indemnify RSL and its affiliates and their respective officers, employees and directors against all losses arising out of, due to or in connection with RSL’s status as a shareholder under the Cooperation Agreement and the operations of or services provided by RSL or its affiliates or their respective officers, employees or directors to the Company or any of the Company’s subsidiaries, subject to certain limitations set forth in the Cooperation Agreement. No amounts have been paid or received under this agreement; however, the Company believes this agreement is material to its business and operations. [C] Data sharing agreement: On May 22, 2018, USG entered into a data sharing agreement (the “Data Sharing Agreement”) with Datavant, Inc. (“Datavant”), a subsidiary of the Company’s parent company, RSL. Pursuant to this Data Sharing Agreement, USG granted to Datavant a royalty-free, worldwide (excluding jurisdictions prohibited by the United States government), non-exclusive, irrevocable license to all data, subject to certain exceptions set forth in the Data Sharing Agreement, collected as part of clinical trials (but not prior to completion of such clinical trials and the publication or presentation of the data generated in connection with such clinical trials) or other patient-level data that is owned or licensed by USG and all other data mutually agreed by USG and Datavant, solely for Datavant to (1) use such data to develop its data or other analytics products (the “Datavant Products”), or (2) provide such data to third parties, subject to the limitations and conditions set forth in the Data Sharing Agreement, including limitations on providing such data to any third party that competes with USG. Pursuant to the Data Sharing Agreement, Datavant granted to USG a royalty-free, worldwide (excluding jurisdictions prohibited by the United States government), nonexclusive, irrevocable license to use all data, subject to certain exceptions set forth in the Data Sharing Agreement, owned or licensed by Datavant and applicable Datavant Products for such specified purposes as set forth in the Data Sharing Agreement. The Data Sharing Agreement has an initial term of two years and will automatically renew annually thereafter, subject to 30 days’ written notice of termination by either party. In addition, either party may terminate (1) upon a change of control of either party upon 60 days’ written notice or (2) upon 90 days’ written notice for an uncured material breach by the other party. No amounts have been paid or received under this agreement, however, the Company believes this agreement is material to its business and operations. [D] Operating lease: In June 2019, the Company entered into a sublease agreement with our affiliate, RSI, for 2,784 square feet of office space located in Durham, North Carolina that expires in July 2025. The lease has scheduled rent increases each year and the total lease payment obligations under the agreement is $0.6 million. See Note 10 for more details on the lease.

Income Taxes

Income Taxes	6 Months Ended
	Sep. 30, 2019
Income Tax Disclosure [Abstract]
Income Taxes	Note 6—Income taxes The Company is not subject to taxation under the laws of Bermuda since it was organized as a Bermuda Exempted Limited Company, for which there is no current tax regime. The Company’s provision for income taxes is primarily based on income taxes in the U.S. for federal and state taxes. The Company’s effective tax rate for the three months ended September 30, 2019 and 2018 was (0.03)% and (0.02)%, respectively. The Company’s effective tax rate for the six months ended September 30, 2019 and 2018 was (0.14)% and (0.11)%, respectively. The effective tax rate is driven by the Company’s jurisdictional earnings by location and a valuation allowance that eliminates the Company’s global net deferred tax assets. The Company assesses the realizability of its deferred tax assets at each balance sheet date based on available positive and negative evidence in order to determine the amount which is more likely than not to be realized and records a valuation allowance as necessary.

Shareholder's Equity

Shareholder's Equity	6 Months Ended
	Sep. 30, 2019
Equity [Abstract]
Shareholder's Equity	Note 7—Shareholders’ equity Capital contributions: For the three and six months ended September 30, 2019 and 2018, RSL made capital contributions of $0.1 million and $0.2 million and $21.7 million and $40.2 million, respectively

Share-based Compensation

Share-based Compensation	6 Months Ended
	Sep. 30, 2019
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Share-Based Compensation	Note 8—Share-based compensation Equity incentive plan: On June 1, 2017, the Company adopted its 2017 Equity Incentive Plan (the “2017 Plan”), under which 2,002,509 common shares are reserved for grant. On June 15, 2018, the Board of Directors approved an increase in the common shares reserved for grant under the 2017 Plan of 1,068,006 common shares. The 2017 Plan was approved by the Company’s shareholders in September 2018. In connection with the Company’s initial public offering, the 2017 Plan was amended effective upon the execution of the underwriting agreement related to the offering. All references herein to the Company’s 2017 Plan will be deemed to refer to the 2017 Plan, as amended and restated, unless context otherwise requires. In September 2019, the shareholders of the Company approved at the 2019 Annual General Meeting of Shareholders an amendment to the 2017 Plan to increase the number of common shares reserved for issuance under the 2017 Plan by 3,000,000 shares. Pursuant to the “evergreen” provision contained in the 2017 Plan, the number of common shares reserved for issuance under the 2017 Plan automatically increases on November 1 of each year, commencing on November 1, 2018 and ending on November 1, 2028, in an amount equal to 4% of the total number of the Company’s common shares outstanding on the last day of the preceding month, or by a lesser number of common shares as may be determined by the Company’s Board of Directors prior to any such increase date. At September 30, 2019, a total of 3,040,255 common shares were available for future issuance under the 2017 Plan. Stock options: The Company estimated the fair value of each stock option on the date of grant using the Black-Scholes option pricing model applying the range of assumptions in the following table: Three Months Ended September 30, 2019 Three Months Ended September 30, 2018 Six Months Ended September 30, 2019 Six Months Ended September 30, 2018 Risk-free interest rate 1.39% - 1.92% 2.77% - 2.99% 1.39% - 2.33% 2.73% - 2.99% Expected term, in years 5.50 - 6.11 6.11 5.50 - 6.11 6.00 - 6.25 Expected volatility 62.7% - 63.7% 67.2% - 67.9% 62.7% - 65.1% 67.2% - 68.4% Expected dividend yield —% —% —% —% The following table presents a summary of stock option activity and data under the Company’s 2017 Plan through September 30, 2019 (in thousands, except share and per share data): Number of Options Weighted Average Exercise Price Weighted Average Grant Date Fair Value Weighted Average Remaining Contractual Life Aggregate Intrinsic Value Options outstanding at March 31, 2019 4,058,866 $ 6.10 $ 3.90 9.13 Granted 302,100 $ 8.43 $ 4.91 Exercised (58,522 ) $ 3.76 $ 2.53 Forfeited (132,790 ) $ 6.55 $ 4.37 Options outstanding at September 30, 2019 4,169,654 $ 6.29 $ 3.98 8.71 $ 14,249 Options exercisable at September 30, 2019 1,023,036 $ 4.68 $ 3.06 8.19 $ 4,944 The aggregate intrinsic value is calculated as the difference between the exercise price of all outstanding and exercisable stock options and the quoted market price of our common shares at September 30, 2019. At September 30, 2019, there were 1,023,036 vested or exercisable options outstanding. During the three and six months ended September 30, 2019, the Company granted options to purchase 216,300 common shares and 302,100 common shares, respectively, to certain employees and directors of the Company with a weighted-average exercise price of $8.58 and $8.43, respectively, under the 2017 Plan. The aggregate intrinsic value of options exercised to purchase 41,001 common shares and 58,522 common shares, respectively, during the three and six months ended September 30, 2019 was $0.2 million and $0.3 million, respectively. Restricted stock unit (“RSUs”): A summary of restricted stock unit activity under the Company’s 2017 Plan through September 30, 2019 is as follows: Number of Shares Unvested balance at March 31, 2019 5,000 Granted 10,000 Unvested balance at September 30, 2019 15,000 The weighted average grant-date fair value of RSUs granted during the three and six months ended September 30, 2019 was $7.99 per unit. [A] Share-based compensation expense: Share-based compensation expense was as follows (in thousands): Three Months Ended September 30, 2019 Three Months Ended September 30, 2018 Six Months Ended September 30, 2019 Six Months Ended September 30, 2018 Share-based compensation recognized as: Research and development $ 257 $ 293 $ 522 $ 565 General and administrative 964 696 1,746 1,230 $ 1,221 $ 989 $ 2,268 $ 1,795 Share-based compensation expense is included in research and development and general and administrative expenses in the accompanying condensed consolidated statements of operations consistent with the grantee’s salary classification. Share-based compensation expense presented in the table above includes share-based compensation expense allocated to the Company by RSL as described below in Note 8[B]. Of the total share-based compensation expense, amounts recognized for options granted to non-employees were immaterial for all periods presented. For the three and six months ended September 30, 2019 and 2018, the Company recorded share-based compensation expense related to stock options and restricted stock units issued to employees, directors and consultants of $1.2 million and $2.3 million and $0.9 million and $1.2 million, respectively. This share-based compensation expense is included in general and administrative expenses and research and development expenses in the accompanying condensed consolidated statements of operations. Total unrecognized share-based compensation expense was approximately $11.8 million at September 30, 2019 and is expected to be recognized over a weighted-average period of 2.72 years. [B] Share-based compensation allocated to the Company by RSL: In relation to the RSL common share awards and options issued by RSL to RSL, RSI and RSG employees, the Company recorded no share-based compensation expense for the three and six months ended September 30, 2019. For the three and six months ended September 30, 2018, the Company recorded share-based compensation of $0.1 million and $0.6 million, respectively. Share-based compensation expense is allocated to the Company by RSL based upon the relative percentage of time utilized by RSL, RSI and RSG employees on Company matters. The RSL common share awards and RSL options are valued at fair value on the date of grant and that fair value is recognized over the requisite service period. Significant judgment and estimates were used to estimate the fair value of these RSL awards and RSL options, as they are not publicly traded. RSL common share awards and RSL options are subject to specified vesting schedules and requirements (a mix of time-based and performance-based events). The fair value of each RSL common share award is based on various corporate event-based considerations, including targets for RSL’s post-IPO market capitalization and future financing events. The fair value of each RSL option on the date of grant is estimated using the Black-Scholes option-pricing model. Compensation expense will be allocated to the Company over the required service period over which these RSL common share awards and RSL options would vest and is based upon the relative percentage of time utilized by RSL, RSI and RSG employees on Company matters. RSL RSUs: In connection with his employment agreement, the Company’s Principal Executive Officer was granted 66,845 RSUs of the Company’s parent company, RSL, during the year ended March 31, 2018. The RSUs have a requisite service period of eight years and have no dividend rights. The RSUs will vest upon the achievement of both a performance and market condition, if both are achieved within the requisite service period. As of September 30, 2019, the performance condition had not been met and was deemed not probable of being met. For the three and six months ended September 30, 2019 and 2018, the Company recorded no share-based compensation expense related to the RSUs that were issued. At September 30, 2019, there was $0.9 million of unrecognized compensation expense related to non-vested RSUs. The Company will recognize the expense upon the probable achievement of the performance condition through the requisite service period.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Sep. 30, 2019
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 9—Commitments and contingencies The Company entered into certain commitments under the Merck license agreement, the ICI license agreement, the Codexis enzyme supply agreement, the Kyorin information sharing collaboration agreement and the Services Agreements with RSI and RSG (see Note 5[A]) . In addition, the Company has entered into services agreements with third parties for pharmaceutical research and development and manufacturing activities. Expenditures to contract research organizations, or CROs, and contract manufacturing organizations, or CMOs, represent significant costs in the Company’s clinical development of its product candidates. Subject to required notice periods, a nominal early termination fee, in certain cases, and the Company’s remaining obligations under binding purchase orders, the Company can elect to discontinue the work under these agreements at any time. The Company expects to enter into additional commitments as the business further develops. The Company may be, from time to time, a party to various disputes and claims arising from normal business activities. The Company accrues for loss contingencies when available information indicates that it is probable that a liability has been incurred and the amount of such liability can be reasonably estimated. In the cases where the Company believes that a reasonably possible loss exists, the Company discloses the facts and circumstances of the loss contingency, including an estimable range, if possible. During the three and six months ended September 30, 2019, there were no material changes outside the ordinary course of business to the specified contractual obligations set forth in the commitments and contingencies footnote disclosure in the Company’s audited consolidated financial statements for the year ended March 31, 2019 included in the Company’s Annual Report on Form 10-K filed with the SEC on June 14, 2019 other than the lease agreement entered into in June 2019 with RSI (see Note 10).

Leases

Leases	6 Months Ended
	Sep. 30, 2019
Leases [Abstract]
Leases	Note 10—Leases In December 2017, the Company entered into an operating lease agreement for office space which consisted of approximately 8,038 square feet located in Irvine, California. The lease term was 26 months beginning January 2018 through February 2020, with no option to extend the term. In connection with this lease, the Company recognized an operating lease right-of-use asset of $0.2 million and an aggregate operating lease liability of $0.2 million in the accompanying condensed consolidated balance sheet on April 1, 2019. The estimated incremental borrowing rate was 13.4%. This lease and all future obligations under this lease were terminated in June 2019 upon the commencement of the Company’s new office lease agreement and, as result, the remaining operating lease liability and right-of-use asset on the lease termination date were written off. The net impact to the condensed consolidated statement of operations was not material. In November 2018, the Company entered into an operating lease for office space in Irvine, California for approximately 21,489 square feet. The lease term for the operating lease is seven years with options to terminate after five years and to extend the lease term for an additional five years which are both not reasonably certain of exercise. Subject to rent abatement for the first through five months of the lease, the Company will be required to pay $54,367 per month for rent for the first twelve months of the lease term which will increase at a fixed rate of approximately 3% per year. The lease further provides that we are obligated to pay certain variable costs, including common area maintenance expenses. The lease commenced in June 2019 and the Company recognized an operating lease right-of-use asset of $3.0 million and an operating lease liability of $3.0 million. In connection with the lease, the Company maintains a standby letter of credit for the benefit of the landlord in the amount of $0.6 million. The Company secured the letter of credit for the full amount of the letter with cash on deposit, which is reported as restricted cash as of September 30, 2019 and March 31, 2019. The remaining lease term is 6.7 years at September 30, 2019 and the estimated incremental borrowing rate applied is 12.4%. In June 2019, the Company entered into a sublease agreement with our affiliate, RSI, for office space in Durham, North Carolina for approximately 2,784 square feet. The lease term for the operating lease is six years and two months with no option to extend the lease term. The Company will be required to pay $7,192 per month through July 2020 which will increase at a fixed rate of 3% per year. The lease commenced in June 2019 and the Company recognized an operating lease right-of-use asset of $0.4 million and an operating lease liability of $0.4 million. In connection with the lease, the Company maintains a standby letter of credit for the benefit of RSI in the amount of $0.02 million. The Company secured the letter of credit for the full amount of the letter with cash on deposit, which is reported as restricted cash as of September 30, 2019. The remaining lease term is 5.8 years at September 30, 2019 and the estimated incremental borrowing rate applied is 12.4%. Supplemental balance sheet information related to operating leases was as follows (in thousands, except lease term and discount rate): September 30, 2019 Operating lease right-of-use assets $ 3,301 Operating lease liabilities, current portion $ 265 Operating lease liabilities, long-term portion 3,269 Total lease liabilities $ 3,534 Weighted average remaining lease term (years) 6.6 years Weighted average discount rate 12.4% Supplemental cash flow information for the six months ended September 30, 2019 related to operating leases as follows (in thousands): September 30, 2019 Cash paid within cash flows used in operations $ 23 Operating lease right-of-use asset obtained in exchange for operating lease liabilities $ 3,414 Amortization of operating lease right-of-use assets $ 113 The undiscounted future lease payments under the lease liabilities as of September 30, 2019 were as follows: Years Ending March 31, Lease Payments Remainder of 2020 $ 315 2021 758 2022 781 2023 804 2024 828 Thereafter 1,794 Total lease payments 5,280 Less: imputed interest (1,746 ) Total lease liabilities $ 3,534 Operating lease costs for the three and six months ended September 30, 2019 were $0.2 million and $0.3 million, respectively. Short-term and variable lease costs were not material for the three and six months ended September 30, 2019. Disclosures related to periods prior to adopting the new lease guidance Rent expense for the three and six months ended September 30, 2018 was $0.06 million and $0.1 million, respectively. Approximate future operating lease obligations (excluding the optional lease renewal term) as of March 31, 2019 were as follows (in thousands): Years Ending March 31, Operating Leases 2020 $ 455 2021 675 2022 692 2023 711 2024 731 Thereafter 1,662 Total minimum operating lease payments $ 4,926

Subsequent Events

Subsequent Events	6 Months Ended
	Sep. 30, 2019
Subsequent Events [Abstract]
Subsequent Events	Note 11—Subsequent events Sale of RSL’s interest in the Company On October 31, 2019, RSL and certain of its affiliates entered into a definitive agreement (the “DSP Transaction Agreement”) with DSP pursuant to which, among other things, DSP agreed to acquire all of RSL’s ownership interest in the Company. The transaction contemplated by the DSP Transaction Agreement (the “DSP Transaction”) is expected to close late in calendar year 2019 or early in calendar year 2020. Upon consummation of the DSP Transaction, all of the Company’s common shares held by RSL would be transferred to an affiliate of DSP (such acquiring entity, the “DSP Acquirer”). DSP letter of agreement In conjunction with the DSP Transaction Agreement, the Company entered into a letter agreement with DSP (the “DSP Letter Agreement”), pursuant to which, among other things, DSP committed to provide the Company with a $200 million low-interest, interest-only, five-year term loan facility with no payments until the end of the term (the “DSP Financing”) upon the closing of the DSP Transaction. In addition, under the DSP Letter Agreement, DSP committed to enter into a shareholder rights agreement with the Company upon the closing of the DSP Transaction that will provide certain protections for minority shareholders for so long as DSP or its affiliates hold beneficial ownership of 50% or more of the Company’s then outstanding voting power. These protections include: • a requirement for a minimum of three independent directors on the Company’s board of directors (each of whom cannot be removed by the DSP Acquirer unless it obtains approval of a majority of the minority shareholders); • the appointment of a lead independent director; • any transaction proposed by DSP that would increase DSP’s beneficial ownership to over 76% of the outstanding voting power would require approval by a majority of the Company’s three independent directors (if occurring prior to the second anniversary of the DSP Transaction) and (if such transaction would increase DSP’s beneficial ownership to over 80% of our outstanding voting power) a majority of the Company’s minority shareholders voting on such matter; and • any related-party transactions between DSP and the Company would require the approval of a majority of the Company’s three independent directors. Moreover, pursuant to the DSP Letter Agreement, the Company agreed to abide by certain customary pre-closing covenants set forth in the DSP Transaction Agreement as if the Company were party to it, including, among other things, obligations to: (i) carry on its business in the ordinary course in all material respects; (ii) continue its ongoing clinical trials, to the extent commercially reasonable; (iii) preserve its relationships with suppliers, licensors, and other counterparties in all material respects; (iv) use commercially reasonable efforts to retain its officers, certain key employees, and consultants; (v) refrain from declaring or paying any dividends or making other equity distributions, subject to certain exceptions; (vi) refrain from repurchasing or issuing shares or other equity securities or granting liens with respect to such equity securities, subject to certain exceptions; (vii) refrain from acquiring any entities, divisions or assets, subject to certain exceptions; (viii) refrain from incurring any debt, subject to certain exceptions; and (ix) refrain from entering into or amending certain categories of material agreements.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	[A] Basis of presentation: The Company’s fiscal year ends on March 31. The accompanying interim condensed consolidated balance sheet as of September 30, 2019, the condensed consolidated statements of operations and comprehensive loss for the three and six months ended September 30, 2019 and 2018, the condensed consolidated statements of cash flows for the six months ended September 30, 2019 and 2018 and the condensed consolidated statements of shareholders’ equity (deficit) for the three and six months ended September 30, 2019 and 2018 are unaudited. The accompanying interim unaudited consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they as certain footnotes or other financial information that are normally required by U.S. GAAP can be condensed or omitted . The condensed consolidated balance sheet at March 31, 2019 has been derived from the audited consolidated financial statements at that date. In the opinion of management, the interim consolidated financial statements include all adjustments, consisting of normal recurring adjustments, necessary for the fair presentation of the Company’s consolidated financial position and its results of operations and cash flows for the interim periods presented. The results for the three and six months ended September 30, 2019 are not necessarily indicative of the results to be expected for the year ending March 31, 2020 or for any future period. 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 Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). The consolidated financial statements include the accounts of USL and UHL, USG, USI, UTH and UST, USL’s wholly owned subsidiaries. USL has no unconsolidated subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. T here have been no significant changes in the Company's accounting policies from those disclosed in its Annual Report on Form 10-K for the fiscal year ended March 31, 2019 filed with the SEC on June 14, 2019 other than the adoption of ASU No. 2016-02, Leases (Topic 842) (“ASU No. 2016-02”).
Use of Estimates	[B] Use of estimates: The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. The Company regularly evaluates estimates and assumptions related to assets, liabilities, costs, expenses and compensation expense allocated to the Company under its services agreements with RSI and RSG, as well as share-based compensation, research and development costs and income taxes. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could materially differ from those estimates.
Financial Instruments	[C] Financial instruments: The Company applies a fair value framework in order to measure and disclose its financial assets and liabilities. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The fair value hierarchy requires an entity to maximize the use of observable inputs, where available, and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs that may be used to measure fair value: • Level 1 - Quoted prices in active markets for identical assets or liabilities. • Level 2 - Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Fair values are determined by utilizing quoted prices for similar assets and liabilities in active markets or other market observable inputs such as interest rates and yield curves. • Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. To the extent the valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. A financial instrument's level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The Company’s financial instruments consist of cash, cash equivalents consisting of money market accounts, restricted cash, accounts payable, accrued expenses, amounts due to and from RSL and long-term debt. The carrying value of the Company’s long-term debt approximates fair value based on current interest rates for similar types of borrowings and is included in Level 2 of the fair value hierarchy. The remaining financial instruments are stated at their respective historical carrying amounts, which approximates fair value due to their short-term nature.
Cash, Cash Equivalents and Restricted Cash	[D] : Cash and cash equivalents include cash deposits in banks and all highly liquid investments that are readily convertible to cash without penalty. The Company considers all highly liquid investments purchased with original maturities of three months or less to be cash equivalents. The Company maintains cash deposits and cash equivalents in highly-rated, federally-insured financial institutions in excess of federally insured limits. The Company has established guidelines relative to diversification and maturities to maintain liquidity and preservation of capital. The Company has not experienced any credit losses related to these financial instruments and does not believe that it is exposed to any significant credit risk related to these instruments. Restricted cash consists of legally restricted non-interest-bearing deposit accounts held as compensating balances against the Company’s corporate credit card program and irrevocable standby letters of credit connected to its office leases (see Note 10) Restricted cash classified as a current asset consists of the restricted deposit account relating to the Company’s corporate credit card agreement. Restricted cash classified as a long-term asset consists of the restricted deposit account related to the irrevocable standby letters of credit. Cash as reported in the condensed consolidated statements of cash flows includes the aggregate amounts of cash, cash equivalents, and restricted cash as presented on the condensed consolidated balance sheets. Cash as reported in the condensed consolidated statements of cash flows consists of (in thousands): September 30, 2019 March 31, 2019 Cash and cash equivalents $ 67,796 $ 85,353 Restricted cash 866 843 Cash, cash equivalents and restricted cash $ 68,662 $ 86,196
Leases	[E] : In accordance with ASC 842, as adopted by the Company on April 1, 2019, the Company determines if an arrangement is a lease at inception. Operating lease right-of-use (“ROU”) assets represent the Company’s right to use an underlying asset during the lease term, and operating lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Operating leases are included in ROU assets, current operating lease liabilities, and long-term operating lease liabilities on our condensed consolidated balance sheets. Operating lease ROU assets and lease liabilities are initially recognized based on the present value of the future minimum lease payments over the lease term at commencement date calculated using the Company’s incremental borrowing rate applicable to the lease asset, unless the implicit rate is readily determinable. Operating lease ROU assets also include any lease payments made at or before lease commencement and exclude any lease incentives received. The Company determines the lease term as the noncancellable period of the lease, and may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Leases with a term of 12 months or less are not recognized on the condensed consolidated balance sheet. The Company’s leases do not contain any residual value guarantees. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The Company accounts for lease and non-lease components as a single lease component for all its facilities leases. Prior to April 1, 2019, at the inception of a lease, the Company evaluated the lease agreement to determine whether the lease was an operating or capital lease. For operating leases, the Company recognized rent expense on a straight-line basis over the lease term and recorded the difference between cash rent payments and the recognition of rent expense as a deferred liability. Where lease agreements contained rent escalation clauses, rent abatements and/or concessions, such as rent holidays and tenant improvement allowances, the Company applied them in the determination of straight-line rent expense over the lease term.
Net Loss per Common Share	[F] : Basic net loss per common share is computed by dividing net loss applicable to common shareholder by the weighted-average number of common shares outstanding during the period. Diluted net loss per common share is computed by dividing the net loss applicable to common shareholders by the diluted weighted-average number of common shares outstanding during the period calculated in accordance with the treasury stock method. In periods in which the Company reports a net loss, all common share equivalents are deemed anti-dilutive such that basic net loss per common share and diluted net loss per common share are equivalent. Potentially dilutive common shares have been excluded from the diluted net loss per common share computations in all periods presented because such securities have an anti-dilutive effect on net loss per common share due to the Company’s net loss. There are no reconciling items used to calculate the weighted-average number of total common shares outstanding for basic and diluted net loss per common share data. At September 30, 2019 and 2018, potentially dilutive securities were as follows: September 30, 2019 2018 Options 4,169,654 2,554,875 Restricted stock units (unvested) 15,000 — Warrants 99,777 — Total 4,284,431 2,554,875
Recently Adopted Accounting Pronouncements	[G] Recently adopted accounting pronouncements : In February 2016, the FASB issued ASU No. 2016-02, a comprehensive new lease standard that amended various aspects of existing accounting guidance for leases. The core principle of ASU No. 2016-02 required lessees to present the assets and liabilities that arise from leases on their consolidated balance sheets. ASU No. 2016-02 was effective for annual periods beginning after December 15, 2018, and interim periods within fiscal years beginning after December 15, 2018. The Company adopted this standard, codified as ASC 842, on April 1, 2019 using the optional modified retrospective transition method and applied the transition package of practical expedients allowed by the standard. Comparative periods were not restated. Upon adoption, on April 1, 2019, the Company recorded a $0.2 million increase in operating lease right-of-use assets and a $0.2 million increase in operating lease liabilities. The adoption of the new standard did not materially impact the Company’s consolidated results of operations and cash flows and did not have an impact on the Company’s beginning accumulated deficit balance. ASU No. 2016-02 provided a number of optional practical expedients in transition. For leases that commenced prior to April 1, 2019, the Company elected the following package of practical expedients when assessing the transition impact: (1) not to reassess whether any expired or existing contracts are or contain leases; (2) not to reassess the lease classification for any expired or existing leases; and (3) not to reassess initial direct costs for any existing leases. The Company also elected to: (1) use the total lease term in its initial incremental borrowing rate calculation; (2) combine its lease and non-lease components and account for them as a single lease component for its facilities leases; and (3) not apply the use of hindsight in determining the lease term when considering lessee options to extend or terminate the lease and to purchase the underlying asset. For additional information regarding the Company’s leases, see Note 10. Other recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force), the American Institute of Certified Public Accountants, and the SEC did not, or are not believed by management to, have a material impact on the Company’s present or future consolidated financial position, results of operations or cash flows.
Recently Issued Accounting Pronouncements	[H] Recently issued accounting pronouncements : In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework Changes to the Disclosure Requirements for Fair Value Measurement

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Schedule of Cash, Cash Equivalents and Restricted Cash	Cash as reported in the condensed consolidated statements of cash flows includes the aggregate amounts of cash, cash equivalents, and restricted cash as presented on the condensed consolidated balance sheets. Cash as reported in the condensed consolidated statements of cash flows consists of (in thousands): September 30, 2019 March 31, 2019 Cash and cash equivalents $ 67,796 $ 85,353 Restricted cash 866 843 Cash, cash equivalents and restricted cash $ 68,662 $ 86,196
Schedule of Potentially Dilutive Securities	At September 30, 2019 and 2018, potentially dilutive securities were as follows: September 30, 2019 2018 Options 4,169,654 2,554,875 Restricted stock units (unvested) 15,000 — Warrants 99,777 — Total 4,284,431 2,554,875

Accrued Expenses (Tables)

Accrued Expenses (Tables)	6 Months Ended
	Sep. 30, 2019
Payables And Accruals [Abstract]
Schedule of Accrued Expenses	Accrued expenses at September 30, 2019 and March 31, 2019 consist of the following (in thousands): September 30, 2019 March 31, 2019 Research and development expenses $ 7,722 $ 4,993 Compensation-related expenses 1,494 3,398 Professional services expenses 242 821 Other general and administrative expenses 132 665 Total accrued expenses $ 9,590 $ 9,877

Long-term Debt (Tables)

Long-term Debt (Tables)	6 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
Schedule of Estimated Fair Value of Warrants Using Black-Scholes Option-Pricing Model	The Company estimated the fair value of the Warrants using the Black-Scholes option-pricing model based on the following key assumptions: Tranche 1 Tranche 2 Exercise price $ 9.02 $ 9.02 Common share price on date of issuance $ 10.50 $ 10.12 Expected volatility 69.6 % 65.9 % Contractual term, in years 7.00 7.00 Risk-free interest rate 2.55 % 1.68 % Expected dividend yield — % — %
Schedule of Debt Obligations	Outstanding debt obligations to Hercules Capital, Inc. are as follows (in thousands): September 30, 2019 Principal amount $ 45,000 End of term charge 1,913 Less: unamortized debt discount and issuance costs (3,465 ) Loan payable less unamortized debt discount and issuance costs 43,448 Less: current maturities (10 ) Long-term debt, net of unamortized debt discount and issuance costs $ 43,438

Share-based Compensation (Table

Share-based Compensation (Tables)	6 Months Ended
	Sep. 30, 2019
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Schedule of Estimated Fair Value of Each Stock Option on Date of Grant Using Black-Scholes Option Pricing Model	The Company estimated the fair value of each stock option on the date of grant using the Black-Scholes option pricing model applying the range of assumptions in the following table: Three Months Ended September 30, 2019 Three Months Ended September 30, 2018 Six Months Ended September 30, 2019 Six Months Ended September 30, 2018 Risk-free interest rate 1.39% - 1.92% 2.77% - 2.99% 1.39% - 2.33% 2.73% - 2.99% Expected term, in years 5.50 - 6.11 6.11 5.50 - 6.11 6.00 - 6.25 Expected volatility 62.7% - 63.7% 67.2% - 67.9% 62.7% - 65.1% 67.2% - 68.4% Expected dividend yield —% —% —% —%
Summary of Option Activity	The following table presents a summary of stock option activity and data under the Company’s 2017 Plan through September 30, 2019 (in thousands, except share and per share data): Number of Options Weighted Average Exercise Price Weighted Average Grant Date Fair Value Weighted Average Remaining Contractual Life Aggregate Intrinsic Value Options outstanding at March 31, 2019 4,058,866 $ 6.10 $ 3.90 9.13 Granted 302,100 $ 8.43 $ 4.91 Exercised (58,522 ) $ 3.76 $ 2.53 Forfeited (132,790 ) $ 6.55 $ 4.37 Options outstanding at September 30, 2019 4,169,654 $ 6.29 $ 3.98 8.71 $ 14,249 Options exercisable at September 30, 2019 1,023,036 $ 4.68 $ 3.06 8.19 $ 4,944
Summary of Restricted Stock Unit Activity	A summary of restricted stock unit activity under the Company’s 2017 Plan through September 30, 2019 is as follows: Number of Shares Unvested balance at March 31, 2019 5,000 Granted 10,000 Unvested balance at September 30, 2019 15,000
Schedule of Share-based Compensation Expense	Share-based compensation expense was as follows (in thousands): Three Months Ended September 30, 2019 Three Months Ended September 30, 2018 Six Months Ended September 30, 2019 Six Months Ended September 30, 2018 Share-based compensation recognized as: Research and development $ 257 $ 293 $ 522 $ 565 General and administrative 964 696 1,746 1,230 $ 1,221 $ 989 $ 2,268 $ 1,795

Leases (Tables)

Leases (Tables)	6 Months Ended
	Sep. 30, 2019
Leases [Abstract]
Summary of Supplemental Balance Sheet Information Related to Operating Leases	Supplemental balance sheet information related to operating leases was as follows (in thousands, except lease term and discount rate): September 30, 2019 Operating lease right-of-use assets $ 3,301 Operating lease liabilities, current portion $ 265 Operating lease liabilities, long-term portion 3,269 Total lease liabilities $ 3,534 Weighted average remaining lease term (years) 6.6 years Weighted average discount rate 12.4%
Summary of Supplemental Cash Flow Information Related to Operating Leases	Supplemental cash flow information for the six months ended September 30, 2019 related to operating leases as follows (in thousands): September 30, 2019 Cash paid within cash flows used in operations $ 23 Operating lease right-of-use asset obtained in exchange for operating lease liabilities $ 3,414 Amortization of operating lease right-of-use assets $ 113
Summary of Undiscounted Future Lease Payments Under Lease Liabilities	The undiscounted future lease payments under the lease liabilities as of September 30, 2019 were as follows: Years Ending March 31, Lease Payments Remainder of 2020 $ 315 2021 758 2022 781 2023 804 2024 828 Thereafter 1,794 Total lease payments 5,280 Less: imputed interest (1,746 ) Total lease liabilities $ 3,534
Schedule of Future Operating Lease Obligation	Approximate future operating lease obligations (excluding the optional lease renewal term) as of March 31, 2019 were as follows (in thousands): Years Ending March 31, Operating Leases 2020 $ 455 2021 675 2022 692 2023 711 2024 731 Thereafter 1,662 Total minimum operating lease payments $ 4,926

Description of Business and L_2

Description of Business and Liquidity - Additional Information (Details) $ in Millions	6 Months Ended
	Sep. 30, 2019Segment	Oct. 31, 2019USD ($)
Description Of Business And Liquidity [Line Items]
Number of operating segments	1
Number of reportable segments	1
DSP Letter Agreement | Term Loans | Subsequent Event
Description Of Business And Liquidity [Line Items]
Term loan facility amount | $		$ 200

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Schedule of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Mar. 31, 2019
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Cash and cash equivalents	$ 67,796	$ 85,353
Restricted cash	866	843
Cash, cash equivalents and restricted cash	$ 68,662	$ 86,196

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Schedule of Potentially Dilutive Securities (Details) - shares	6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Total	4,284,431	2,554,875
Options
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Total	4,169,654	2,554,875
Restricted Stock Units (unvested)
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Total	15,000
Warrants
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Total	99,777

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Apr. 01, 2019
Significant Accounting Policies [Line Items]
Operating lease right-of-use assets	$ 3,301
Operating lease liabilities	$ 3,534
ASU 2016-02
Significant Accounting Policies [Line Items]
Operating lease right-of-use assets		$ 200
Operating lease liabilities		$ 200

Accrued Expenses - Schedule of

Accrued Expenses - Schedule of Accrued Expenses (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Mar. 31, 2019
Payables And Accruals [Abstract]
Research and development expenses	$ 7,722	$ 4,993
Compensation-related expenses	1,494	3,398
Professional services expenses	242	821
Other general and administrative expenses	132	665
Total accrued expenses	$ 9,590	$ 9,877

Long-term Debt - Additional Inf

Long-term Debt - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended		3 Months Ended	6 Months Ended
	Sep. 30, 2019	Feb. 28, 2019	Sep. 30, 2019	Sep. 30, 2019
Debt Instrument [Line Items]
Amortized debt discount and issuance costs				$ 352
Term Loans
Debt Instrument [Line Items]
Interest rate	10.15%		10.15%	10.15%
Interest-only Period		12 months
Maximum extended interest-only period		6 months
Debt instrument maturity period		36 months
Debt instrument maximum extend maturity period		18 months
Percentage of prepayment charge in first twelve months		2.00%
Percentage of prepayment charge in second twelve months		1.00%
Percentage of prepayment charge, thereafter		0.00%
Percentage of repayment charge obligated to pay an end of term		4.25%
Term Loans | Hercules Loan Agreement | Interest Expense
Debt Instrument [Line Items]
Amortized debt discount and issuance costs			$ 200	$ 400
Term Loans | Maximum
Debt Instrument [Line Items]
Variable interest rate		12.15%
Term Loans | Maximum | Prime Rate
Debt Instrument [Line Items]
Variable interest rate		4.65%
Term Loans | Minimum
Debt Instrument [Line Items]
Variable interest rate		10.15%
Hercules Capital, Inc. | Term Loans
Debt Instrument [Line Items]
Percentage of warrants to purchase number of common shares		2.00%
Common shares exercise price		$ 9.02
Hercules Loan Agreement
Debt Instrument [Line Items]
Proceeds from Long-term debt		$ 14,100
Remaining borrowing capacity		$ 55,000
Additional default interest rate		5.00%
Hercules Loan Agreement | First Tranche
Debt Instrument [Line Items]
Debt instrument face amount		$ 15,000
Hercules Loan Agreement | Second Tranche
Debt Instrument [Line Items]
Proceeds from Long-term debt	$ 30,000
Hercules Loan Agreement | Hercules Capital, Inc. | Term Loans
Debt Instrument [Line Items]
Debt instrument face amount		100,000
Tranche 1 | Term Loans | Hercules Loan Agreement
Debt Instrument [Line Items]
Debt discount		1,800
Debt financing costs		$ 400
Tranche 1 | Hercules Capital, Inc. | Term Loans
Debt Instrument [Line Items]
Common shares exercise price		$ 9.02
Warrants to purchase number of common shares		33,259
Fair value of warrants issued		$ 200
Tranche 2 | Term Loans | Hercules Loan Agreement
Debt Instrument [Line Items]
Debt discount		$ 1,700
Tranche 2 | Hercules Capital, Inc. | Term Loans
Debt Instrument [Line Items]
Common shares exercise price		$ 9.02
Warrants to purchase number of common shares		66,518
Fair value of warrants issued		$ 400

Long-term Debt - Schedule of Es

Long-term Debt - Schedule of Estimated Fair Value of Warrants Using Black-Scholes Option-Pricing Model (Details)	Sep. 30, 2019$ / shares
Tranche 1
Debt Instrument [Line Items]
Contractual term, in years	7 years
Tranche 2
Debt Instrument [Line Items]
Contractual term, in years	7 years
Exercise Price | Tranche 1
Debt Instrument [Line Items]
Estimated fair value of warrant assumptions	9.02
Exercise Price | Tranche 2
Debt Instrument [Line Items]
Estimated fair value of warrant assumptions	9.02
Common Share Price on Date of Issuance | Tranche 1
Debt Instrument [Line Items]
Estimated fair value of warrant assumptions	10.50
Common Share Price on Date of Issuance | Tranche 2
Debt Instrument [Line Items]
Estimated fair value of warrant assumptions	10.12
Expected Volatility | Tranche 1
Debt Instrument [Line Items]
Estimated fair value of warrant assumptions	69.6
Expected Volatility | Tranche 2
Debt Instrument [Line Items]
Estimated fair value of warrant assumptions	65.9
Risk-free Interest Rate | Tranche 1
Debt Instrument [Line Items]
Estimated fair value of warrant assumptions	2.55
Risk-free Interest Rate | Tranche 2
Debt Instrument [Line Items]
Estimated fair value of warrant assumptions	1.68

Long-term Debt - Schedule of De

Long-term Debt - Schedule of Debt Obligations (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Mar. 31, 2019
Debt Instrument [Line Items]
Less: current maturities	$ (10)
Long-term debt, net of unamortized debt discount and issuance costs	43,438	$ 13,534
Hercules Loan Agreement | Term Loans
Debt Instrument [Line Items]
Principal amount	45,000
End of term charge	1,913
Less: unamortized debt discount and issuance costs	(3,465)
Loan payable less unamortized debt discount and issuance costs	43,448
Less: current maturities	(10)
Long-term debt, net of unamortized debt discount and issuance costs	$ 43,438

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Details)	Jul. 09, 2018USD ($)	May 22, 2018USD ($)	Jun. 30, 2019USD ($)ft²	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)
Related Party Transaction [Line Items]
Lease payment obligations				$ 5,280,000		$ 5,280,000
Durham, North Carolina | RSI
Related Party Transaction [Line Items]
Area of office space | ft²			2,784
Lease payment obligations			$ 600,000
Lease agreement, expiration date			2025-07
Services Agreement | RSI and RSG
Related Party Transaction [Line Items]
Costs allocated from related party				70,000	$ 500,000	100,000	$ 3,300,000
Related party transaction expenses, amount included in research and development expenses				0	200,000	0	2,100,000
Related party transaction expenses, amount included in general and administrative Expense				$ 70,000	$ 300,000	$ 100,000	$ 1,200,000
Cooperation Agreement | RSL
Related Party Transaction [Line Items]
Amounts of transactions with related party	$ 0
Data Sharing Agreement | USG
Related Party Transaction [Line Items]
Amounts of transactions with related party		$ 0
Agreement term		2 years
Agreement written notice of termination period		30 days
Data Sharing Agreement | USG | Upon Change Of Control Of Either Party
Related Party Transaction [Line Items]
Agreement written notice of termination period		60 days
Data Sharing Agreement | USG | For Uncured Material Breach By Other Party
Related Party Transaction [Line Items]
Agreement written notice of termination period		90 days

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details)	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Income Tax Disclosure [Abstract]
Effective tax rate, percent	(0.03%)	(0.02%)	(0.14%)	(0.11%)

Shareholder's Equity - Addition

Shareholder's Equity - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Sep. 30, 2019	Jun. 30, 2019	Sep. 30, 2018	Jun. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Subsidiary Sale Of Stock [Line Items]
Capital contributions	$ 60	$ 130	$ 21,744	$ 18,500
RSL
Subsidiary Sale Of Stock [Line Items]
Capital contributions	$ 100		$ 21,700		$ 200	$ 40,200

Share-based Compensation - Addi

Share-based Compensation - Additional Information (Details) - USD ($)	Nov. 01, 2019	Nov. 01, 2018	Jun. 15, 2018	Sep. 30, 2019	Sep. 30, 2019	Jun. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Mar. 31, 2018	Jun. 01, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares vested								1,023,036
Number of shares exercisable				1,023,036	1,023,036			1,023,036
Number of options exercised					41,001			58,522
Aggregate intrinsic value of options exercised					$ 200,000			$ 300,000
Share-based compensation expense					1,221,000		$ 989,000	2,268,000	$ 1,795,000
Unrecognized compensation expense related to non-vested options				$ 11,800,000	11,800,000			11,800,000
RSL to RSL, RSI and RSG Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense					$ 0		100,000	$ 0	600,000
Common Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options exercised					41,001	17,521
2017 Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Additional shares for grant, approved		1,212,916		3,000,000
Increase in common shares reserved for future issuance, percentage of common shares outstanding		4.00%
Increase in number of common shares reserved for issuance period, description								total number of the Company’s common shares outstanding on the last day of the preceding month, or by a lesser number of common shares as may be determined by the Company’s Board of Directors prior to any such increase date.
Number of shares exercisable				1,023,036	1,023,036			1,023,036
Number of options granted								302,100
Weighted-average exercise price								$ 8.43
Number of options exercised								58,522
2017 Equity Incentive Plan | Employees and Directors [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of options granted					216,300			302,100
Weighted-average exercise price					$ 8.58			$ 8.43
2017 Equity Incentive Plan | Subsequent Event
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Additional shares for grant, approved	1,215,257
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense related to non-vested options, weighted-average service period								2 years 8 months 19 days
Stock Options | 2017 Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common shares reserved for grant											2,002,509
Common shares available for future issuance				3,040,255	3,040,255			3,040,255
Stock Options | 2017 Equity Incentive Plan | Common Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Additional shares for grant, approved			1,068,006
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average grant-date fair value					$ 7.99			$ 7.99
Shares granted								10,000
Restricted Stock Units | Principal Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense					$ 0		0	$ 0	0
Shares granted										66,845
Awards requisite service period										8 years
Unrecognized compensation expense				$ 900,000	900,000			900,000
Stock Option and Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense					$ 1,200,000		$ 900,000	$ 2,300,000	$ 1,200,000

Share-based Compensation - Sche

Share-based Compensation - Schedule of Estimated Fair Value of Each Stock Option on Date of Grant Using Black-Scholes Option Pricing Model (Details) - Stock Options	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-free interest rate, Minimum	1.39%	2.77%	1.39%	2.73%
Risk-free interest rate, Maximum	1.92%	2.99%	2.33%	2.99%
Expected term, in years		6 years 1 month 9 days
Expected volatility, Minimum	62.70%	67.20%	62.70%	67.20%
Expected volatility, Maximum	63.70%	67.90%	65.10%	68.40%
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term, in years	5 years 6 months		5 years 6 months	6 years
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected term, in years	6 years 1 month 9 days		6 years 1 month 9 days	6 years 3 months

Share-based Compensation - Summ

Share-based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	6 Months Ended	12 Months Ended
	Sep. 30, 2019	Sep. 30, 2019	Mar. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of Options, Exercised	(41,001)	(58,522)
Number of Options, Options exercisable at September 30, 2019	1,023,036	1,023,036
2017 Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of Options, Options outstanding at March 31, 2019		4,058,866
Number of Options, Granted		302,100
Number of Options, Exercised		(58,522)
Number of Options, Forfeited		(132,790)
Number of Options, Options outstanding at September 30, 2019	4,169,654	4,169,654	4,058,866
Number of Options, Options exercisable at September 30, 2019	1,023,036	1,023,036
Weighted Average Exercise Price, Options outstanding at March 31,2019		$ 6.10
Weighted Average Exercise Price, Granted		8.43
Weighted Average Exercise Price, Exercised		3.76
Weighted Average Exercise Price, Forfeited		6.55
Weighted Average Exercise Price, Options outstanding at September 30, 2019	$ 6.29	6.29	$ 6.10
Weighted Average Exercise Price, Options exercisable at September 30, 2019	4.68	4.68
Weighted Average Grant Date Fair Value, Options outstanding at March 31, 2019		3.90
Weighted Average Grant Date Fair Value, Granted		4.91
Weighted Average Grant Date Fair Value, Exercised		2.53
Weighted Average Grant Date Fair Value, Forfeited		4.37
Weighted Average Grant Date Fair Value, Options outstanding at September 30, 2019	3.98	3.98	$ 3.90
Weighted Average Grant Date Fair Value, Options exercisable at September 30, 2019	$ 3.06	$ 3.06
Weighted Average Remaining Contractual Life, Options outstanding		8 years 8 months 15 days	9 years 1 month 17 days
Weighted Average Remaining Contractual Life, Options exercisable at September 30,2019		8 years 2 months 8 days
Aggregate Intrinsic Value, Options outstanding	$ 14,249	$ 14,249
Aggregate Intrinsic Value, Options exercisable at September 30, 2019	$ 4,944	$ 4,944

Share-based Compensation - Su_2

Share-based Compensation - Summary of Restricted Stock Unit Activity (Details) - Restricted Stock Units	6 Months Ended
	Sep. 30, 2019shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unvested balance at March 31, 2019	5,000
Granted	10,000
Unvested balance at September 30, 2019	15,000

Share-based Compensation - Sc_2

Share-based Compensation - Schedule of Share-based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation recognized	$ 1,221	$ 989	$ 2,268	$ 1,795
Research and Development
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation recognized	257	293	522	565
General and Administrative
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation recognized	$ 964	$ 696	$ 1,746	$ 1,230

Leases - Additional Information

Leases - Additional Information (Details)	1 Months Ended			3 Months Ended		6 Months Ended
	Jun. 30, 2019USD ($)ft²	Nov. 30, 2018USD ($)ft²	Dec. 31, 2017ft²	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2018USD ($)	Apr. 01, 2019USD ($)	Mar. 31, 2019USD ($)
Lessee Lease Description [Line Items]
Operating lease right-of-use assets				$ 3,301,000		$ 3,301,000
Operating lease liabilities				3,534,000		3,534,000
Operating lease costs				200,000		$ 300,000
Rent expense					$ 60,000		$ 100,000
Irvine, California
Lessee Lease Description [Line Items]
Area of office space | ft²		21,489	8,038
Term of contract		7 years	26 months
Option to extend		extend the lease term for an additional five years	with no option to extend the term
Description of lessee leasing arrangements, operating leases		The lease term for the operating lease is seven years with options to terminate after five years and to extend the lease term for an additional five years which are both not reasonably certain of exercise. Subject to rent abatement for the first through five months of the lease, the Company will be required to pay $54,367 per month for rent for the first twelve months of the lease term which will increase at a fixed rate of approximately 3% per year. The lease further provides that we are obligated to pay certain variable costs, including common area maintenance expenses. The lease commenced in June 2019 and	The lease term was 26 months beginning January 2018 through February 2020, with no option to extend the term.
Lease agreement, expiration date			2020-02
Operating lease, option to extend						false
Operating lease right-of-use assets	$ 3,000,000							$ 200,000
Operating lease liabilities	$ 3,000,000							$ 200,000
Estimated incremental borrowing rate		12.40%	13.40%
Operating lease obligations terminated period						2019-06
Option to terminate lease		with options to terminate after five years
Option to terminate, years		5 years
Additional term of contract		5 years
Rent payment per month for first twelve months		$ 54,367
Percentage of annual rent payment increase at fixed rate		3.00%
Remaining lease term						6 years 8 months 12 days
Irvine, California | Letter of Credit
Lessee Lease Description [Line Items]
Stand by letter of credit				600,000		$ 600,000			$ 600,000
Durham, North Carolina | RSI
Lessee Lease Description [Line Items]
Area of office space | ft²	2,784
Term of contract	6 years 2 months
Description of lessee leasing arrangements, operating leases	The lease term for the operating lease is six years and two months with no option to extend the lease term. The Company will be required to pay $7,192 per month through July 2020 which will increase at a fixed rate of 3% per year. The lease commenced in June 2019
Lease agreement, expiration date	2025-07
Operating lease right-of-use assets	$ 400,000
Operating lease liabilities	$ 400,000
Estimated incremental borrowing rate						12.40%
Percentage of annual rent payment increase at fixed rate	3.00%
Remaining lease term						5 years 9 months 18 days
Option to extend	with no option to extend the lease term
Rent payment per month	$ 7,192
Operating sublease, option to extend	false
Durham, North Carolina | Letter of Credit | RSI
Lessee Lease Description [Line Items]
Stand by letter of credit				$ 20,000		$ 20,000

Leases - Summary of Supplementa

Leases - Summary of Supplemental Balance Sheet Information Related to Operating Leases (Details) $ in Thousands	Sep. 30, 2019USD ($)
Leases [Abstract]
Operating lease right-of-use assets	$ 3,301
Operating lease liabilities, current portion	265
Operating lease liabilities, long-term portion	3,269
Total lease liabilities	$ 3,534
Weighted average remaining lease term (years)	6 years 7 months 6 days
Weighted average discount rate	12.40%

Leases - Summary of Supplemen_2

Leases - Summary of Supplemental Cash Flow Information Related to Operating Leases (Details) $ in Thousands	6 Months Ended
	Sep. 30, 2019USD ($)
Leases [Abstract]
Cash paid within cash flows used in operations	$ 23
Operating lease right-of-use asset obtained in exchange for operating lease liabilities	3,414
Amortization of operating lease right-of-use assets	$ 113

Leases - Summary of Undiscounte

Leases - Summary of Undiscounted Future Lease Payments Under Lease Liabilities (Details) $ in Thousands	Sep. 30, 2019USD ($)
Leases [Abstract]
Remainder of 2020	$ 315
2021	758
2022	781
2023	804
2024	828
Thereafter	1,794
Total lease payments	5,280
Less: imputed interest	(1,746)
Operating lease liabilities	$ 3,534

Leases - Schedule of Future Ope

Leases - Schedule of Future Operating Lease Obligation (Details) $ in Thousands	Mar. 31, 2019USD ($)
Leases [Abstract]
2020	$ 455
2021	675
2022	692
2023	711
2024	731
Thereafter	1,662
Total minimum operating lease payments	$ 4,926

Subsequent Events - Additional

Subsequent Events - Additional Information (Details) - USD ($)	Oct. 31, 2019	Sep. 30, 2019
DSP Letter Agreement | Term Loans | Subsequent Event
Subsequent Event [Line Items]
Term loan facility amount	$ 200,000,000
Debt instrument, term	5 years
Payments of term loan	$ 0
DSP
Subsequent Event [Line Items]
Shareholder rights agreements description		In addition, under the DSP Letter Agreement, DSP committed to enter into a shareholder rights agreement with the Company upon the closing of the DSP Transaction that will provide certain protections for minority shareholders for so long as DSP or its affiliates hold beneficial ownership of 50% or more of the Company’s then outstanding voting power. These protections include:  a requirement for a minimum of three independent directors on the Company’s board of directors (each of whom cannot be removed by the DSP Acquirer unless it obtains approval of a majority of the minority shareholders);  the appointment of a lead independent director;  any transaction proposed by DSP that would increase DSP’s beneficial ownership to over 76% of the outstanding voting power would require approval by a majority of the Company’s three independent directors (if occurring prior to the second anniversary of the DSP Transaction) and (if such transaction would increase DSP’s beneficial ownership to over 80% of our outstanding voting power) a majority of the Company’s minority shareholders voting on such matter; and  any related-party transactions between DSP and the Company would require the approval of a majority of the Company’s three independent directors.
DSP | Condition One | Subsequent Event
Subsequent Event [Line Items]
Beneficial ownership percentage	76.00%
DSP | Condition Two | Subsequent Event
Subsequent Event [Line Items]
Beneficial ownership percentage	80.00%
DSP | Minimum | Subsequent Event
Subsequent Event [Line Items]
Beneficial ownership percentage	50.00%