Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2019 | Nov. 05, 2019 | |
Document And Entity Information | ||
Entity Registrant Name | VBI Vaccines Inc/BC | |
Entity Central Index Key | 0000764195 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2019 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity's Reporting Status Current | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business Flag | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | true | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 178,257,199 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2019 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
CURRENT ASSETS | ||
Cash | $ 53,016 | $ 59,270 |
Accounts receivable, net | 194 | 56 |
Inventory, net | 1,420 | 911 |
Prepaid expenses | 1,506 | 982 |
Other current assets | 1,015 | 512 |
Total current assets | 57,151 | 61,731 |
NON-CURRENT ASSETS | ||
Other long-term assets | 624 | 835 |
Property and equipment, net | 10,444 | 8,525 |
Right of use assets | 1,631 | |
Intangible assets, net | 59,909 | 58,249 |
Goodwill | 2,177 | 8,265 |
Total non-current assets | 74,785 | 75,874 |
TOTAL ASSETS | 131,936 | 137,605 |
CURRENT LIABILITIES | ||
Accounts payable | 3,188 | 6,055 |
Other current liabilities | 10,712 | 13,847 |
Current portion of deferred revenues | 1,181 | 2,375 |
Current portion of lease liability | 675 | |
Current portion of long-term debt, net of debt discount - related party | 14,601 | 1,100 |
Total current liabilities | 30,357 | 23,377 |
NON-CURRENT LIABILITIES | ||
Lease liability, net of current portion | 957 | |
Long-term debt, net of debt discount - related party | 12,927 | |
Liabilities for severance pay | 452 | 371 |
Deferred revenues, net of current portion | 2,953 | 2,797 |
Total non-current liabilities | 4,362 | 16,095 |
COMMITMENTS AND CONTINGENCIES (NOTE 12) | ||
STOCKHOLDERS' EQUITY | ||
Common shares (unlimited authorized; no par value) (September 30, 2019 - issued and outstanding 178,257,199; December 31, 2018 - issued and outstanding 97,343,777) | 284,892 | 246,417 |
Additional paid-in capital | 65,688 | 63,449 |
Accumulated other comprehensive loss | (1,850) | (4,158) |
Accumulated deficit | (251,513) | (207,575) |
Total stockholders' equity | 97,217 | 98,133 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 131,936 | $ 137,605 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | 9 Months Ended | 12 Months Ended |
Sep. 30, 2019 | Dec. 31, 2018 | |
Statement of Financial Position [Abstract] | ||
Common stock, authorized unlimited | Unlimited | Unlimited |
Common stock, no par value | ||
Common stock, shares issued | 178,257,199 | 97,343,777 |
Common stock, shares outstanding | 178,257,199 | 97,343,777 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Statement [Abstract] | ||||
Revenues | $ 647 | $ 259 | $ 1,647 | $ 671 |
Operating expenses: | ||||
Cost of revenues | 1,977 | 801 | 5,319 | 3,281 |
Research and development | 5,401 | 10,507 | 21,989 | 28,385 |
General and administrative | 9,412 | 3,493 | 16,570 | 10,904 |
Total operating expenses | 16,790 | 14,801 | 43,878 | 42,570 |
Loss from operations | (16,143) | (14,542) | (42,231) | (41,899) |
Interest expense, net of interest income (including related party - see Note 8) | (626) | (716) | (1,672) | (1,891) |
Foreign exchange gain (loss) | 607 | (112) | (35) | (560) |
Loss before income taxes | (16,162) | (15,370) | (43,938) | (44,350) |
Income tax expense | ||||
NET LOSS | $ (16,162) | $ (15,370) | $ (43,938) | $ (44,350) |
Net loss per share of common shares, basic and diluted | $ (0.15) | $ (0.24) | $ (0.44) | $ (0.69) |
Weighted-average number of common shares outstanding, basic and diluted | 105,742,073 | 64,383,391 | 99,627,345 | 64,274,310 |
Other comprehensive (loss) income - currency translation adjustments | $ (1,165) | $ 1,541 | $ 2,308 | $ (1,448) |
COMPREHENSIVE LOSS | $ (17,327) | $ (13,829) | $ (41,630) | $ (45,798) |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) - Currency Translation Adjustments [Member] | Accumulated Deficit [Member] | Total |
Balance at Dec. 31, 2017 | $ 201,806 | $ 60,891 | $ 1,065 | $ (143,975) | $ 119,787 |
Balance, shares at Dec. 31, 2017 | 64,078,781 | ||||
Stock-based compensation | $ 88 | 734 | 822 | ||
Stock-based compensation, shares | 135,000 | ||||
Common shares issued on exercise of stock options | $ 5 | 5 | |||
Common shares issued on exercise of stock options, shares | 1,946 | ||||
Net loss | (12,251) | (12,251) | |||
Currency translation adjustments | (1,902) | (1,902) | |||
Balance at Mar. 31, 2018 | $ 201,899 | 61,625 | (837) | (156,226) | 106,461 |
Balance, Shares at Mar. 31, 2018 | 64,215,727 | ||||
Balance at Dec. 31, 2017 | $ 201,806 | 60,891 | 1,065 | (143,975) | 119,787 |
Balance, shares at Dec. 31, 2017 | 64,078,781 | ||||
Warrant modification in connection with debt amendment | 386 | ||||
Net loss | (44,350) | ||||
Currency translation adjustments | (1,448) | ||||
Balance at Sep. 30, 2018 | $ 202,955 | 62,881 | (383) | (188,325) | 77,128 |
Balance, Shares at Sep. 30, 2018 | 64,383,391 | ||||
Balance at Mar. 31, 2018 | $ 201,899 | 61,625 | (837) | (156,226) | 106,461 |
Balance, shares at Mar. 31, 2018 | 64,215,727 | ||||
Stock-based compensation | $ 607 | 486 | 1,093 | ||
Stock-based compensation, shares | 129,782 | ||||
Common shares issued on exercise of stock options | $ 60 | 60 | |||
Common shares issued on exercise of stock options, shares | 37,882 | ||||
Net loss | (16,731) | (16,731) | |||
Currency translation adjustments | (1,087) | (1,087) | |||
Balance at Jun. 30, 2018 | $ 202,566 | 62,111 | (1,924) | (172,957) | 89,796 |
Balance, Shares at Jun. 30, 2018 | 64,383,391 | ||||
Stock-based compensation | $ 389 | 384 | 773 | ||
Stock-based compensation, shares | |||||
Warrant modification in connection with debt amendment | 386 | 386 | |||
Net loss | (15,368) | (15,370) | |||
Currency translation adjustments | 1,541 | 1,541 | |||
Balance at Sep. 30, 2018 | $ 202,955 | 62,881 | (383) | (188,325) | 77,128 |
Balance, Shares at Sep. 30, 2018 | 64,383,391 | ||||
Balance at Dec. 31, 2018 | $ 246,417 | 63,449 | (4,158) | (207,575) | 98,133 |
Balance, shares at Dec. 31, 2018 | 97,343,777 | ||||
Stock-based compensation | $ 431 | 831 | 1,262 | ||
Stock-based compensation, shares | 318,110 | ||||
Warrant modification in connection with debt amendment | 179 | 179 | |||
Net loss | (14,606) | (14,606) | |||
Currency translation adjustments | 1,727 | 1,727 | |||
Balance at Mar. 31, 2019 | $ 246,848 | 64,459 | (2,431) | (222,181) | 86,695 |
Balance, Shares at Mar. 31, 2019 | 97,661,887 | ||||
Balance at Dec. 31, 2018 | $ 246,417 | 63,449 | (4,158) | (207,575) | 98,133 |
Balance, shares at Dec. 31, 2018 | 97,343,777 | ||||
Warrant modification in connection with debt amendment | 179 | ||||
Net loss | (43,938) | ||||
Currency translation adjustments | 2,308 | ||||
Balance at Sep. 30, 2019 | $ 284,892 | 65,688 | (1,850) | (251,513) | 97,217 |
Balance, Shares at Sep. 30, 2019 | 178,257,199 | ||||
Balance at Mar. 31, 2019 | $ 246,848 | 64,459 | (2,431) | (222,181) | 86,695 |
Balance, shares at Mar. 31, 2019 | 97,661,887 | ||||
Stock-based compensation | $ 428 | 554 | 982 | ||
Stock-based compensation, shares | 95,312 | ||||
Net loss | (13,170) | (13,170) | |||
Currency translation adjustments | 1,746 | 1,746 | |||
Balance at Jun. 30, 2019 | $ 247,276 | 65,013 | (685) | (235,351) | 76,253 |
Balance, Shares at Jun. 30, 2019 | 97,757,199 | ||||
Common shares issued in financing transaction | $ 37,415 | 37,415 | |||
Common shares issued in financing transaction, shares | 80,500,000 | ||||
Stock-based compensation | $ 201 | 675 | 876 | ||
Stock-based compensation, shares | |||||
Net loss | (16,162) | (16,162) | |||
Currency translation adjustments | (1,165) | (1,165) | |||
Balance at Sep. 30, 2019 | $ 284,892 | $ 65,688 | $ (1,850) | $ (251,513) | $ 97,217 |
Balance, Shares at Sep. 30, 2019 | 178,257,199 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net loss | $ (43,938) | $ (44,350) |
Adjustments to reconcile net loss to cash used in operating activities: | ||
Depreciation and amortization | 798 | 417 |
Stock-based compensation | 3,120 | 2,688 |
Amortization of debt discount | 753 | 931 |
Impairment of property and equipment | 278 | |
Impairment of goodwill | 6,292 | |
Net change in operating working capital items: | ||
(Increase) decrease in accounts receivable | (127) | 13 |
Increase in inventory | (427) | (373) |
Increase in prepaid expenses | (175) | (3) |
Increase in other current assets | (510) | (1,735) |
Decrease (increase) in other long-term assets | 6 | (11) |
Decrease in operating right of use assets | 768 | |
(Decrease) increase in accounts payable | (3,129) | 1,292 |
(Decrease) increase in deferred revenues | (1,300) | 34 |
(Decrease) increase in other current liabilities | (1,545) | 2,836 |
Payments made on operating lease liabilities | (768) | |
Net cash flows used in operating activities | (40,182) | (37,983) |
INVESTING ACTIVITIES | ||
Purchase of property and equipment | (3,487) | (3,619) |
Net cash flows used in investing activities | (3,487) | (3,619) |
FINANCING ACTIVITIES | ||
Proceeds from issuance of common shares for cash | 40,250 | |
Share issuance costs | (2,756) | |
Proceeds from issuance of common shares for cash, upon exercise of stock options | 65 | |
Net cash flows provided by financing activities | 37,494 | 65 |
Effect of exchange rates on cash | (79) | (171) |
CHANGE IN CASH FOR THE PERIOD | (6,254) | (41,708) |
CASH, BEGINNING OF PERIOD | 59,270 | 67,694 |
CASH, END OF PERIOD | 53,016 | 25,986 |
Supplementary information: | ||
Interest paid - related party | 1,539 | 1,469 |
Non-cash investing and financing activities: | ||
Warrant modification in connection with debt amendment | 179 | 386 |
Capital expenditures included in accounts payable and other current liabilities | 132 | 2,367 |
Share issuance costs included in other current liabilities | $ (79) |
Nature of Business and Continua
Nature of Business and Continuation of Business | 9 Months Ended |
Sep. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Business and Continuation of Business | 1. NATURE OF BUSINESS AND CONTINUATION OF BUSINESS Corporate Overview VBI Vaccines Inc. (the “Company” or “VBI”) was incorporated under the laws of British Columbia, Canada on April 9, 1965. The Company and its wholly-owned subsidiaries, VBI Vaccines (Delaware) Inc., a Delaware corporation (“VBI DE”); VBI DE’s wholly-owned subsidiary, Variation Biotechnologies (US), Inc., a Delaware corporation (“VBI US”); Variation Biotechnologies Inc. a Canadian company and the wholly-owned subsidiary of VBI US (“VBI Cda”); SciVac Ltd. an Israeli company (“SciVac”) and SciVac Hong Kong Limited (“SciVac HK”) are collectively referred to as the “Company”, “we”, “us”, “our” or “VBI”. The Company’s registered office is located at Suite 1700, Park Place, 666 Burrard Street, Vancouver, BC V6C 2X8 with its principal office located at 222 Third Street, Suite 2241, Cambridge, MA 02142. In addition, the Company has manufacturing facilities located in Rehovot, Israel and research facilities located in Ottawa, Ontario, Canada. Principal Operations VBI is a commercial-stage, biopharmaceutical company developing next generation vaccines to address unmet needs in infectious disease and immuno-oncology. We currently manufacture our product, Sci-B-Vac, a third-generation prophylactic hepatitis B vaccine, which is approved for use in Israel and 10 other countries. Sci-B-Vac has not yet been approved by the United States Food and Drug Administration (the “FDA”), the European Medicines Agency (the “EMA”) or Health Canada. VBI is currently conducting a global Phase III clinical program to obtain FDA, EMA and Health Canada market approvals for commercial sale of Sci-B-Vac in the United States, Europe, and Canada, respectively. Our wholly-owned subsidiary in Rehovot, Israel, currently manufactures and sells Sci-B-Vac. We are also developing a protein-based immunotherapeutic for treatment of hepatitis B in collaboration with Brii Biosciences Limited (“Brii Bio”). We are also developing a pipeline of products using VBI’s proprietary technology, the enveloped Virus Like Particle or “eVLP” vaccine platform, that allows for the design of eVLP vaccines that closely mimic the target viruses. Integrating its cytomegalovirus (“CMV”) expertise with eVLP platform technology, VBI`s lead eVLP program candidates include a prophylactic CMV vaccine candidate and a glioblastoma (“GBM”) vaccine immunotherapeutic candidate. On September 10, 2019, VBI announced that, as part of a collaboration with GlaxoSmithKline Biologicals S.A. (“GSK”) to clinically evaluate the combination of VBI-1901 with GSK’s proprietary AS01 B Liquidity and Going Concern The Company has a limited operating history and faces a number of risks, including but not limited to, uncertainties regarding the success of the development and commercialization of its products, demand and market acceptance of the Company’s products and reliance on major customers. The Company anticipates that it will continue to incur significant operating costs and losses in connection with the development of its products. The Company has an accumulated deficit of $251,513 as of September 30, 2019 and cash outflows from operating activities of $40,182 for the nine months ended September 30, 2019. The Company will require significant additional funds to conduct clinical and non-clinical trials, achieve regulatory approvals, and, subject to such approvals, commercially launch its products. The Company plans to finance its future operations with existing cash reserves. Additional financing may be obtained from the issuance of equity securities, the issuance of additional debt, structured asset financings, and/or revenues from potential business development transactions, if any. There is no assurance the Company will manage to obtain these sources of financing, if required. The above conditions raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result should the Company be unable to continue as a going concern. In September 2019, the Company closed an underwritten public offering of 80,500,000 common shares at a price of $0.50 per share for total gross proceeds of $40,250. The Company incurred $2,835 of share issuance costs related to the offering resulting in net cash proceeds of $37,415. Financial instruments recognized in the condensed consolidated balance sheet consist of cash, accounts receivable, other current assets, accounts payable and other current liabilities. The Company believes that the carrying value of its current financial instruments approximates their fair values due to the short-term nature of these instruments. The Company does not hold any derivative financial instruments. The carrying amounts of the Company’s long-term assets approximate their respective fair values. |
Significant Accounting Policies
Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | 2. SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation and Consolidation The Company’s fiscal year ends on December 31 of each calendar year. The accompanying unaudited condensed consolidated financial statements have been prepared in U.S. dollars (“USD”) and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”), for interim reporting. Accordingly, certain information and footnote disclosures normally included in the financial statements prepared in accordance with United States of America generally accepted accounting principles (“U.S. GAAP”), have been condensed or omitted pursuant to such rules and regulations. The December 31, 2018 consolidated balance sheet in this document was derived from the audited consolidated financial statements. The condensed consolidated financial statements and notes included in this quarterly report on Form 10-Q (this “Form 10-Q”) does not include all of the disclosures required by U.S. GAAP and should be read in conjunction with the financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 (the “2018 10-K”), as filed with the SEC on February 25, 2019. The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries: SciVac, VBI DE, VBI US, VBI Cda and SciVac HK. Intercompany balances and transactions between the Company and its subsidiaries are eliminated in the condensed consolidated financial statements. In the opinion of management, these condensed consolidated financial statements include all adjustments and accruals of a normal and recurring nature necessary to fairly state the results of the periods presented. The results for the periods presented are not necessarily indicative of results to be expected for the full year or for any future periods. Significant Accounting Policies The significant accounting policies used in the preparation of these condensed consolidated financial statements are disclosed in the 2018 10-K, and there have been no changes to the Company’s significant accounting policies during the nine months ended September 30, 2019, other than accounting for leases discussed below. Leases The Company determines if an arrangement is a lease at inception. For the Company’s operating leases, the right-of-use (“ROU”) assets represents the Company’s right to use an underlying asset for the lease term and operating lease liabilities represent an obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. Since the lease agreements do not provide an implicit rate, the Company estimated an incremental borrowing rate in determining the present value of the lease payments. Operating lease expense is recognized on a straight-line basis over the lease term, subject to any changes in the lease or expectations regarding the terms. Variable lease costs such as operating costs and property taxes are expensed as incurred. See also Note 3. |
New Accounting Pronouncements
New Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Changes and Error Corrections [Abstract] | |
New Accounting Pronouncements | 3. NEW ACCOUNTING PRONOUNCEMENTS Recently Adopted Accounting Pronouncements Leases In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (Topic 842) (“ASU 2016-02”), which sets out the principles for the recognition, measurement, presentation and disclosure of leases for both lessees and lessors. On January 1, 2019, the Company adopted the new lease standard using the optional transition method under which comparative financial information will not be restated and continue to apply the provisions of the previous lease standard in its annual disclosures for the comparative periods. In addition, the new lease standard provides a number of optional practical expedients in transition. The Company elected the package of practical expedients. As such, the Company did not have to reassess whether expired or existing contracts are or contain a lease; did not have to reassess the lease classifications or reassess the initial direct costs associated with expired or existing leases. The new lease standard also provides practical expedients for an entity’s ongoing accounting. The Company elected the short-term lease recognition exemption under which the Company will not recognize ROU assets or lease liabilities for short term leases. The Company elected the practical expedient to not separate lease and non-lease components. On January 1, 2019, the Company recognized ROU assets and lease liabilities of $1,653 on its consolidated balance sheet. Compensation – Stock Compensation In June 2018, the FASB issued ASU 2018-07: Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting. This ASU expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from non-employees, and as a result, the accounting for share-based payments to non-employees will be substantially aligned. Our adoption of this ASU, effective January 1, 2019, did not have a material impact on our condensed consolidated financial statements and footnote disclosures. Recently Issued Accounting Standards, not yet Adopted Intangibles – Goodwill and Other, Internal-Use Software In August 2018, the FASB issued ASU 2018-15: Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customers’ accounting for implementation costs incurred in a cloud computing arrangement that is a service contract. This ASU aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. Accordingly, the amendments require an entity (customer) in a hosting arrangement that is a service contract to follow the guidance in Subtopic 350-40 to determine which implementation costs to capitalize as an asset related to the service contract and which costs to expense. ASU 2018-15 is effective for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years. Early adoption is permitted. This ASU can be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company does not anticipate that this new guidance will have a material impact on its condensed consolidated financial statements and related disclosures. |
Inventory, Net
Inventory, Net | 9 Months Ended |
Sep. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Inventory, Net | 4. INVENTORY, NET Inventory is stated at the lower of cost or market and consists of the following: September 30, 2019 December 31, 2018 Finished goods $ 10 $ 81 Work-in-process 655 64 Raw materials 755 766 $ 1,420 $ 911 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Goodwill | 5. INTANGIBLE ASSETS AND GOODWILL The Company’s intangible assets determined to have indefinite useful lives including In-Process Research and Development (“IPR&D”) and goodwill, are tested for impairment annually, or more frequently if events or circumstances indicate that the assets might be impaired. Such circumstances could include but are not limited to: (1) a significant adverse change in legal factors or in business climate, (2) unanticipated competition, or (3) an adverse action or assessment by a regulator. The Company has established August 31st as the date for its annual impairment test of IPR&D and goodwill. The costs of rights to IPR&D projects acquired in an asset acquisition are expensed in the consolidated statements of operations unless the project has an alternative future use. These costs include initial payments incurred prior to regulatory approval in connection with research and development agreements that provide rights to develop, manufacture, market and/or sell pharmaceutical products. The IPR&D assets, which consist of CMV and GBM projects, were acquired in a business combination, capitalized as an intangible asset and tested for impairment at least annually until commercialization, after which time the IPR&D is amortized over its estimated useful life. The impairment test compares the carrying amount of the IPR&D asset to its fair value. If the carrying amount exceeds the fair value of the asset, such excess is recorded as an impairment loss. There was no IPR&D impairment determined as a result of the Company’s annual testing on August 31, 2019. The fair value of the IPR&D assets included in the impairment test was determined using the income approach method and is considered Level 3 in the fair value hierarchy. Some of the more significant estimates and assumptions inherent in the estimate of the fair value of IPR&D assets include the amount and timing of costs to develop the IPR&D into viable products, the amount and timing of future cash inflows, the discount rate and the probability of technical and regulatory success applied to the cash flows. The discount rate used was 12.5% and the cumulative probability of technical and regulatory success to achieve approval to market the products ranged from approximately 6% to 17%. September 30, 2019 Gross Carrying Accumulated Cumulative Impairment Charge Cumulative Currency Translation Net Book Patents $ 669 $ (505 ) $ - $ 28 $ 192 IPR&D assets 61,500 - (300 ) (1,483 ) 59,717 $ 62,169 $ (505 ) $ (300 ) $ (1,455 ) $ 59,909 December 31, 2018 Gross Accumulated Cumulative Impairment Charge Cumulative Currency Translation Net Book Patents $ 669 $ (457 ) $ - $ 11 $ 223 IPR&D assets 61,500 - (300 ) (3,174 ) 58,026 $ 62,169 $ (457 ) $ (300 ) $ (3,163 ) $ 58,249 The Company amortizes intangible assets with finite lives on a straight-line basis over their estimated useful lives. The change in carrying value for IPR&D assets from December 31, 2018 relates to currency translation adjustments which increased by $1,691 for the nine-month period ended September 30, 2019. Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in a business combination. When evaluating goodwill for impairment, we may first perform an assessment qualitatively whether it is more likely than not that a reporting unit’s carrying amount exceeds its fair value, referred to as a “step zero” approach. Subsequently (if necessary after step zero), if the carrying value of a reporting unit exceeded its fair value an impairment would be recorded. We would perform our goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. The Company recorded an impairment of goodwill of $4,549 as a result of its annual impairment test on August 31, 2019. The Company considered the decline in its stock price as of September 30, 2019 to be a triggering event for an interim goodwill impairment test, which resulted in an additional impairment of $1,743. The total impairment of goodwill recorded during the three and nine months ended September 30, 2019 was $6,292 and is included in General and Administrative expenses in the accompanying condensed consolidated statements of operations and comprehensive loss. The Company consists of a single reporting unit and used its market capitalization to determine the fair value of the reporting unit. In order to determine the market capitalization, the Company used the trailing 20-day volume weighted average price of its stock as of each testing date. September 30, 2019 Gross Cumulative Cumulative Net Book Goodwill $ 8,714 $ (6,292 ) $ (245 ) $ 2,177 December 31, 2018 Gross Cumulative Cumulative Net Book Goodwill $ 8,714 $ - $ (449 ) $ 8,265 The goodwill is in VBI Cda and the change in carrying value from December 31, 2018 relates to currency translation adjustments which increased goodwill by $204 for the nine-month period ended September 30, 2019, excluding the effect of the impairment charge of $6,292. |
Other Current Liabilities
Other Current Liabilities | 9 Months Ended |
Sep. 30, 2019 | |
Other Liabilities Disclosure [Abstract] | |
Other Current Liabilities | 6. OTHER CURRENT LIABILITIES Other current liabilities consisted of the following: September 30, 2019 December 31, 2018 Accrued research and development expenses (including clinical trial accrued expenses) $ 8,508 $ 9,763 Payroll and employee-related costs 1,216 2,294 Other current liabilities 988 1,790 $ 10,712 $ 13,847 |
Loss Per Share of Common Shares
Loss Per Share of Common Shares | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Loss Per Share of Common Shares | 7. LOSS PER SHARE OF COMMON SHARES Basic loss per share is computed by dividing net loss applicable to common stockholders by the weighted average number of common shares outstanding during each period. Diluted loss per share includes the effect, if any, from the potential exercise or conversion of securities, such as warrants, and stock options, which would result in the issuance of incremental shares of common shares unless such effect is anti-dilutive. In computing the basic and diluted net loss per share applicable to common stockholders, the weighted average number of shares remains the same for both calculations due to the fact that when a net loss exists, dilutive shares are not included in the calculation as their effect would be anti-dilutive. These potentially dilutive securities are more fully described in Note 9, Stockholders’ Equity and Additional Paid-in Capital. The following potentially dilutive securities outstanding at September 30, 2019 and 2018 have been excluded from the computation of diluted weighted average shares outstanding, as they would be antidilutive: September 30, 2019 September 30, 2018 Warrants 2,618,824 2,618,824 Stock options and equity awards 6,814,104 3,954,548 9,432,928 6,573,372 |
Long-Term Debt - Related Party
Long-Term Debt - Related Party | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Long-Term Debt - Related Party | 8. LONG-TERM DEBT – RELATED PARTY As at September 30, 2019 and December 31, 2018, the long-term debt is as follows: September 30, 2019 December 31, 2018 Long-term debt, net of debt discount of $699 ($1,274 at December 31, 2018) $ 14,601 $ 14,027 Less: current portion, net of debt discount of $699 ($100 at December 31, 2018) (14,601 ) (1,100 ) $ - $ 12,927 On May 6, 2016, the Company through VBI US assumed a term loan facility with Perceptive Credit Holdings, LP, a related party, (the “Lender”) in the amount of $6,000 (the “Facility”). On December 6, 2016, the Company amended the Facility (the “Amended Credit Facility”) and raised the Lender’s commitment amount to $13,200, which was combined with the remaining balance from the Facility of $1,800. On July 17, 2018, the Company amended the Amended Credit Facility (the “Second Amendment”) to extend the period the Company is required to pay only the interest on the loan from May 31, 2018 to December 31, 2018 and to extend the expiration date of certain warrants to purchase 363,771 common shares issued to the Lender with an original expiration date of July 25, 2019 to December 6, 2021. The Company accounted for this as a debt modification, and as a result of the extension of the warrant expiration date in connection with the Second Amendment, the debt discount was increased by $386. This amount represents the incremental fair value of the modified warrants. On January 31, 2019, the Company further amended the Amended Credit Facility (the “Third Amendment”) to i) extend the period the Company is required to pay only the interest on the loan from December 31, 2018 to January 31, 2020, ii) extend the maturity of the term loan to June 30, 2020 and iii) reduce the exercise price on certain warrants to purchase common shares issued to the Lender to $2.75 from $4.13 for 363,771 warrants issued on July 25, 2014 and for 363,771 warrants issued on December 6, 2016 and from $3.355 for 1,341,282 warrants issued on December 6, 2016. The Company has accounted for this as a debt modification, and as a result of the amendment to the exercise price in connection with the Third Amendment, the debt discount was increased by $179. This amount represents the incremental fair value of the modified warrants. The total principal amount of the loan under the Amended Credit Facility, as subsequently amended, outstanding at September 30, 2019, including the $300 exit fee discussed below, is $15,300. The principal amount of the loan made under the Amended Credit Facility accrues interest at an annual rate equal to the greater of (a) one-month LIBOR (subject to a 5.00% cap) or (b) 1.00%, plus the applicable margin. The applicable margin will be 11.00%. The Company was required to only pay interest initially until May 31, 2018, which date was extended to December 31, 2018, pursuant to the Second Amendment and further extended to January 31, 2020, pursuant to the Third Amendment. The interest rate as of September 30, 2019 was 13.125%. Upon the occurrence of an Event of Default (as defined in the Amended Credit Facility), and during the continuance of an Event of Default, the applicable margin, described above, will be increased by 4.00% per annum. This term loan facility maturity date has been extended from December 6, 2019 to June 30, 2020 and includes both financial and non-financial covenants, including a minimum cash balance requirement. The Company was in compliance with these covenants as of September 30, 2019. Pursuant to the Amended Credit Facility, the Company agreed that the Lender shall designate an individual who would be appointed to the Company’s board of directors (the “Board”). The Lender’s designee was also a portfolio manager of the Company’s largest shareholder. Effective January 2018, the Lender’s designee resigned from our Board. The Company’s obligations under the Amended Credit Facility are secured on a senior basis by a lien on substantially all of the assets of the Company and its subsidiaries and are guaranteed by the Company and its subsidiaries. The Amended Credit Facility also contains customary events of default. The total debt discount of $4,018 is being charged to interest expense using the effective interest method over the term of the debt. As of September 30, 2019, and December 31, 2018, the unamortized debt discount is $699 and $1,274, respectively. At September 30, 2019 and December 31, 2018, the fair value of our outstanding debt, which is considered level 3 in the fair value hierarchy, is estimated to be approximately $15,232 and $14,975, respectively. Interest expense, net of interest income recorded in the three and nine months ended September 30, 2019 and 2018 was as follows: Three months ended September 30 Nine months ended September 30 2019 2018 2019 2018 Interest expense – related party $ 509 $ 503 $ 1,539 $ 1,469 Amortization of debt discount – related party 245 342 753 931 Interest income (128 ) (129 ) (620 ) (509 ) Total interest expense, net of interest income $ 626 $ 716 $ 1,672 $ 1,891 The following table summarizes the future principal payments due under long-term debt: Principal Remaining 2019 $ - 2020 15,300 $ 15,300 |
Stockholders' Equity and Additi
Stockholders' Equity and Additional Paid-In Capital | 9 Months Ended |
Sep. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity and Additional Paid-In Capital | 9. STOCKHOLDERS’ EQUITY AND ADDITIONAL PAID-IN CAPITAL Stock option plans The Company’s stock option plans are approved by and administered by the Company’s Board and its Compensation Committee. The Board designates, in connection with recommendations from the Compensation Committee, eligible participants to be included under the plan, and designates the number of options, exercise price and vesting period of the new options. 2006 VBI US Stock Option Plan No further options will be issued under the 2006 VBI US Stock Option Plan (the “2006 Plan”). As at September 30, 2019, there were 1,111,136 options outstanding under the 2006 Plan. 2013 Equity Incentive Plan No further options will be issued under the 2013 Equity Incentive Plan (the “2013 Plan”). As at September 30, 2019, there were no options outstanding under the 2013 Plan. 2014 Equity Incentive Plan No further options will be issued under the 2014 Equity Incentive Plan (the “2014 Plan”). As at September 30, 2019, there were 521,242 options outstanding under the 2014 Plan. 2016 VBI Incentive Plan The 2016 VBI Equity Incentive Plan (the “2016 Plan”) is a rolling incentive plan that sets the number of common shares issuable under the 2016 Plan, together with any other security-based compensation arrangement of the Company, at a maximum of 10% of the aggregate common shares issued and outstanding on a non-diluted basis at the time of any grant under the 2016 Plan. The 10% maximum is inclusive of options granted under all equity incentive plans. The 2016 Plan is an omnibus equity incentive plan pursuant to which the Company may grant equity and equity-linked awards to eligible participants in order to promote the success of the Company by providing a means to offer incentives and to attract, motivate, retain and reward persons eligible to participate in the 2016 Plan. Grants under the 2016 Plan include a grant or right consisting of one or more options, stock appreciation rights (“SARs”), restricted share units (“RSUs”), performance share units (“PSUs”), shares of restricted stock or other such award as may be permitted under the 2016 Plan. As at September 30, 2019, there were 4,999,498 options and 182,228 stock awards outstanding under the 2016 Plan. The aggregate number of common shares remaining available for issuance for awards under the 2016 Plan total 9,841,337 at September 30, 2019. Activity related to stock options is as follows: Number of Weighted Average Balance outstanding at December 31, 2018 3,479,676 $ 4.14 Granted 3,870,000 $ 1.69 Forfeited (717,800 ) $ 3.09 Balance outstanding at September 30, 2019 6,631,876 $ 2.83 Exercisable at September 30, 2019 3,233,191 $ 3.63 Information relating to RSUs is as follow: Number of Weighted Average Fair Value at Grant Date Unvested shares outstanding at December 31, 2018 268,570 $ 4.13 Granted 330,000 $ 1.65 Forfeited (19,029 ) $ 3.43 Vested (397,313 ) $ 2.72 Unvested shares outstanding at September 30, 2019 182,228 $ 2.80 In determining the amount of stock-based compensation the Company used the Black-Scholes option pricing model to establish the fair value of options granted by applying the following weighted average assumptions: 2019 2018 Volatility 118.62 % 114.68 % Risk free interest rate 2.46 % 2.57 % Expected term in years 5.78 5.84 Expected dividend yield 0.00 % 0.00 % Weighted average fair value per option $ 1.45 $ 3.21 The fair value of the options is recognized as an expense on a straight-line basis over the vesting period and forfeitures are accounted for when they occur. The total stock-based compensation expense recorded in the three and nine months ended September 30, 2019 and 2018 was as follows: Three months ended September 30 Nine months ended September 30 2019 2018 2019 2018 Research and development $ 184 $ 168 $ 629 $ 557 General and administrative 675 590 2,439 2,087 Cost of revenues 17 15 52 44 Total stock-based compensation expense $ 876 $ 773 $ 3,120 $ 2,688 |
Revenues and Deferred Revenue
Revenues and Deferred Revenue | 9 Months Ended |
Sep. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenues and Deferred Revenue | 10. REVENUES AND DEFERRED REVENUE Revenue is comprised of the following: Three months ended September 30 Nine months ended September 30 2019 2018 2019 2018 Product revenues $ 168 $ 248 $ 365 $ 558 R&D service revenues 479 11 1,282 113 Total revenue $ 647 $ 259 $ 1,647 $ 671 The following table presents revenues expected to be recognized in the future related to performance obligations, based on current estimates, that are unsatisfied at September 30, 2019: Total Remaining 2019 2020 and thereafter Product revenues $ 469 $ - $ 469 R&D service revenues 3,665 299 3,366 Total $ 4,134 $ 299 $ 3,835 The following table presents changes in the deferred revenue balance for the year ended December 31, 2018: Balance at December 31, 2018 $ 5,172 Recognition of deferred revenue (1,259 ) Currency translation 221 Balance at September 30, 2019 $ 4,134 Short Term $ 1,181 Long Term $ 2,953 Collaboration and License Agreement – Brii Bio On December 4, 2018, we entered into a Collaboration and License Agreement with Brii Bio (the “Collaboration and License Agreement”), whereby: ● The Company and Brii Bio agreed to collaborate on the development of a hepatitis B recombinant protein-based immunotherapeutic in the licensed territory, which consists of China, Hong Kong, Taiwan and Macau (collectively, the “Licensed Territory”), and to conduct a Phase Ib/IIa collaboration clinical trial for the purpose of comparing VBI-2601 (BRII-179), which is a recombinant protein-based immunotherapeutic developed by VBI for use in treating chronic hepatitis B, with a novel composition developed jointly with Brii Bio (either being the “Licensed Product”); and ● The Company granted Brii Bio an exclusive royalty-bearing license to perform studies, and regulatory and other activities, as may be required to obtain and maintain marketing approval of the Licensed Product, for the treatment of hepatitis B in the Licensed Territory and to commercialize the Licensed Product for the diagnosis and treatment of chronic hepatitis B in the Licensed Territory. Pursuant to the Collaboration and License Agreement, the Company is responsible for the R&D services and Brii Bio is responsible for costs relating to the clinical trials for the Licensed Territory. The initial consideration of the Collaboration and License Agreement consisted of a $11 million non-refundable upfront payment. As part of the Collaboration and License Agreement, the Company and Brii Bio entered into a stock purchase agreement. Under the terms of the stock purchase agreement, the Company issued to Brii Bio 2,295,082 shares of its common stock valued at $3.6 million (based on the Company’s common stock price on December 4, 2018). The remaining $7.4 million, deemed to be the initial transaction price, was allocated to two performance obligations: i) the VBI-2601 (BRII-179) license and ii) R&D services. The R&D services were allocated $4.8 million of the transaction price using an estimated selling price based on an expected cost plus a margin approach and the remaining transaction price of $2.6 million was allocated to the VBI-2601 (BRII-179) license using the residual method. In addition, the Company is also eligible to receive an additional $117.5 million in potential regulatory and sales milestone payments, along with royalties on commercial sales in the licensed territory. Milestone payments that are not within the control of the Company or the licensee, such as regulatory approvals, are not considered probable of being achieved until those approvals are received. Therefore, no variable consideration was included in the initial transaction price and no such amounts have been recognized to date. On December 4, 2018, the Company recognized the VBI-2601 (BRII-179) license when it was granted and Brii Bio is able to use and benefit from the license, as it was determined to be distinct. The R&D Services will be satisfied over time as services are rendered using the “cost-to-cost” input method as this method represents the most accurate depiction of the transfer of services based on the types of costs expected to be incurred. As at September 30, 2019 R&D services related to Brii Bio that remain unsatisfied are $3.5 million, out of the $4.1 million total deferred revenue. Upon termination of the Collaboration and License Agreement prior to the end of the term, there is no obligation for refund and any amounts in deferred revenue related to unsatisfied performance obligations will be immediately recognized. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 11. INCOME TAXES The Company operates in U.S., Israel and Canadian tax jurisdictions. Its income is subject to varying rates of tax, and losses incurred in one jurisdiction cannot be used to offset income taxes payable in another. The Company determines its annual effective tax rate at the end of each interim period based on the year to date period results. Since the Company is incorporated in Canada, it is required to use Canada’s statutory tax rate of 26.50% in the determination of the estimated annual effective tax rate. The Company’s effective tax rate on loss before tax for the three and nine months ended September 30, 2019 of 0.0% and 0.0% (0.0% and 0.0%, respectively for the three and nine months ended September 30, 2018) differs from the Canadian statutory rate of 26.50% primarily due to recording a valuation allowance on the Canadian deferred tax assets in excess of the remaining Canadian deferred tax liability and the effect of recording a valuation allowance against deferred tax assets in all other jurisdictions. The Company maintains a valuation allowance on all of its deferred tax assets. A valuation allowance is required when, based upon an assessment of various factors, including recent operating loss history, anticipated future earnings, and prudent and reasonable tax planning strategies, it is more likely than not that some portion of the deferred tax assets will not be realized. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 12. COMMITMENTS AND CONTINGENCIES Legal Proceedings From time to time, the Company may be involved in certain claims and litigation arising out of the ordinary course and conduct of business. Management assesses such claims and, if it considers that it is probable that an asset had been impaired or a liability had been incurred and the amount of loss can be reasonably estimated, provisions for loss are made based on management’s assessment of the most likely outcome. On September 13, 2018, two actions were brought in the District Court of the central district in Israel naming our subsidiary SciVac as a defendant. In one claim, two minors, through their parents, allege among other things, defects in certain batches of Sci-B-Vac discovered in July 2015; that Sci-B-Vac was approved for use in children and infants in Israel without sufficient evidence establishing its safety; that SciVac failed to provide accurate information about Sci-B-Vac to consumers and that each child suffered side effects from the vaccine. The claim was filed together with a motion seeking approval of a class action on behalf of 428,000 children vaccinated with Sci-B-Vac in Israel from April, 2011 and seeking damages in a total amount of NIS 1,879,500,000 (not in thousands) ($539,776). The second claim is a civil action brought by two minors and their parents against SciVac and the Israel Ministry of Health alleging, among other things, that SciVac marketed an experimental, defective, hazardous or harmful vaccine; that Sci-B-Vac was marketed in Israel without sufficient evidence establishing its safety; and that Sci-B-Vac was produced and marketed in Israel without approval of a western regulatory body. The claim seeks damages for past and future losses and expenses as well as punitive damages. SciVac believes these matters to be without merit and intends to defend these claims vigorously. The District Court has accepted SciVac’s motion to suspend reaching a decision on the approval of the class action pending the determination of liability under the civil action. The trial of the civil action has been scheduled to begin on December 19, 2019. Operating leases The Company has entered into various non-cancelable lease agreements for its office, lab and manufacturing facilities, which are classified as operating leases. The office facility lease agreement in the United States expires on April 30, 2020, with no option to extend. Our manufacturing facility lease agreement expires on January 31, 2022, which includes one five-year option to extend until January 31, 2027. The lease agreement for our research facility in Canada, which comprises of office and laboratory space, had an initial term ending on December 31, 2019 with the option to extend the term for two periods of three years. Effective September 5, 2019, the term of the lease was extended until December 31, 2022, with an option to extend the lease for one additional period of three years. Options to extend are not recognized as part of the lease liabilities or recognized as right to use assets. There are no residual value guarantees, no variable lease payments, and no restrictions or covenants imposed by leases. The discount rate used in measuring the lease liabilities and right of use assets was determined by reviewing our incremental borrowing rate at the initial measurement date. Lease cost: Operating lease costs: Three months ended September 30, 2019 $ 285 Nine months ended September 30, 2019 $ 847 Other information: Weighted average remaining lease term 2.59 years Weighted average discount rate 12 % Rent expense for the three months ended September 30, 2018 was $242, and for the nine months ended September 30, 2018 was $721. Operating lease costs are included in general and administrative (“G&A”) expenses in the statement of operation and comprehensive loss. Operating cash flow supplemental information as of September 30, 2019: On January 1, 2019, initial right of use (“ROU”) assets of $1,653 was recognized as a non-cash asset addition with the adoption of the new lease standard. During the nine months ended September 30, 2019, the Company entered into new lease agreements and recognized a ROU asset of $504. The following table summarizes future undiscounted cash payments reconciled to the lease liabilities: Year ending December 31 Remaining 2019 $ 230 2020 768 2021 693 2022 162 Total $ 1,853 Effect of discounting (221 ) Total lease liability $ 1,632 Less: current portion (675 ) Long term lease liability $ 957 |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | 13. SEGMENT INFORMATION The Company’s Chief Executive Officer (“CEO”) has been identified as the chief operating decision maker. The CEO evaluates the performance of the Company and allocates resources based on the information provided by the Company’s internal management system at a consolidated level. The Company has determined that it has only one operating segment. Revenues from external customers are attributed to geographic areas based on location of the contracting customers: Three Months Ended September 30 Nine Months Ended September 30 2019 2018 2019 2018 Israel $ 134 $ 108 $ 287 $ 388 China / Hong Kong 467 - 1,245 31 Europe 46 151 115 252 Total $ 647 $ 259 $ 1,647 $ 671 There was no revenue attributed to our country of domicile, Canada, for the three and nine months ended September 30, 2019 and 2018. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Consolidation | Basis of Presentation and Consolidation The Company’s fiscal year ends on December 31 of each calendar year. The accompanying unaudited condensed consolidated financial statements have been prepared in U.S. dollars (“USD”) and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”), for interim reporting. Accordingly, certain information and footnote disclosures normally included in the financial statements prepared in accordance with United States of America generally accepted accounting principles (“U.S. GAAP”), have been condensed or omitted pursuant to such rules and regulations. The December 31, 2018 consolidated balance sheet in this document was derived from the audited consolidated financial statements. The condensed consolidated financial statements and notes included in this quarterly report on Form 10-Q (this “Form 10-Q”) does not include all of the disclosures required by U.S. GAAP and should be read in conjunction with the financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 (the “2018 10-K”), as filed with the SEC on February 25, 2019. The condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries: SciVac, VBI DE, VBI US, VBI Cda and SciVac HK. Intercompany balances and transactions between the Company and its subsidiaries are eliminated in the condensed consolidated financial statements. In the opinion of management, these condensed consolidated financial statements include all adjustments and accruals of a normal and recurring nature necessary to fairly state the results of the periods presented. The results for the periods presented are not necessarily indicative of results to be expected for the full year or for any future periods. |
Significant Accounting Policies | Significant Accounting Policies The significant accounting policies used in the preparation of these condensed consolidated financial statements are disclosed in the 2018 10-K, and there have been no changes to the Company’s significant accounting policies during the nine months ended September 30, 2019, other than accounting for leases discussed below. |
Leases | Leases The Company determines if an arrangement is a lease at inception. For the Company’s operating leases, the right-of-use (“ROU”) assets represents the Company’s right to use an underlying asset for the lease term and operating lease liabilities represent an obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. Since the lease agreements do not provide an implicit rate, the Company estimated an incremental borrowing rate in determining the present value of the lease payments. Operating lease expense is recognized on a straight-line basis over the lease term, subject to any changes in the lease or expectations regarding the terms. Variable lease costs such as operating costs and property taxes are expensed as incurred. See also Note 3. |
Inventory, Net (Tables)
Inventory, Net (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventory is stated at the lower of cost or market and consists of the following: September 30, 2019 December 31, 2018 Finished goods $ 10 $ 81 Work-in-process 655 64 Raw materials 755 766 $ 1,420 $ 911 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangibles Assets and Goodwill | September 30, 2019 Gross Carrying Accumulated Cumulative Impairment Charge Cumulative Currency Translation Net Book Patents $ 669 $ (505 ) $ - $ 28 $ 192 IPR&D assets 61,500 - (300 ) (1,483 ) 59,717 $ 62,169 $ (505 ) $ (300 ) $ (1,455 ) $ 59,909 December 31, 2018 Gross Accumulated Cumulative Impairment Charge Cumulative Currency Translation Net Book Patents $ 669 $ (457 ) $ - $ 11 $ 223 IPR&D assets 61,500 - (300 ) (3,174 ) 58,026 $ 62,169 $ (457 ) $ (300 ) $ (3,163 ) $ 58,249 |
Schedule of Change in Carrying Value for IPR&D Assets | September 30, 2019 Gross Cumulative Cumulative Net Book Goodwill $ 8,714 $ (6,292 ) $ (245 ) $ 2,177 December 31, 2018 Gross Cumulative Cumulative Net Book Goodwill $ 8,714 $ - $ (449 ) $ 8,265 |
Other Current Liabilities (Tabl
Other Current Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Current Liabilities | Other current liabilities consisted of the following: September 30, 2019 December 31, 2018 Accrued research and development expenses (including clinical trial accrued expenses) $ 8,508 $ 9,763 Payroll and employee-related costs 1,216 2,294 Other current liabilities 988 1,790 $ 10,712 $ 13,847 |
Loss Per Share of Common Shar_2
Loss Per Share of Common Shares (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Antidilutive Weighted Average Shares Outstanding | The following potentially dilutive securities outstanding at September 30, 2019 and 2018 have been excluded from the computation of diluted weighted average shares outstanding, as they would be antidilutive: September 30, 2019 September 30, 2018 Warrants 2,618,824 2,618,824 Stock options and equity awards 6,814,104 3,954,548 9,432,928 6,573,372 |
Long-Term Debt - Related Party
Long-Term Debt - Related Party (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | As at September 30, 2019 and December 31, 2018, the long-term debt is as follows: September 30, 2019 December 31, 2018 Long-term debt, net of debt discount of $699 ($1,274 at December 31, 2018) $ 14,601 $ 14,027 Less: current portion, net of debt discount of $699 ($100 at December 31, 2018) (14,601 ) (1,100 ) $ - $ 12,927 |
Schedule of Interest Expense | Interest expense, net of interest income recorded in the three and nine months ended September 30, 2019 and 2018 was as follows: Three months ended September 30 Nine months ended September 30 2019 2018 2019 2018 Interest expense – related party $ 509 $ 503 $ 1,539 $ 1,469 Amortization of debt discount – related party 245 342 753 931 Interest income (128 ) (129 ) (620 ) (509 ) Total interest expense, net of interest income $ 626 $ 716 $ 1,672 $ 1,891 |
Schedule of Future Principal Payments of Long-Term Debt | The following table summarizes the future principal payments due under long-term debt: Principal Remaining 2019 $ - 2020 15,300 $ 15,300 |
Stockholders' Equity and Addi_2
Stockholders' Equity and Additional Paid-In Capital (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stock Options Activity | Activity related to stock options is as follows: Number of Weighted Average Balance outstanding at December 31, 2018 3,479,676 $ 4.14 Granted 3,870,000 $ 1.69 Forfeited (717,800 ) $ 3.09 Balance outstanding at September 30, 2019 6,631,876 $ 2.83 Exercisable at September 30, 2019 3,233,191 $ 3.63 |
Schedule of Restricted Stock Units | Information relating to RSUs is as follow: Number of Weighted Average Fair Value at Grant Date Unvested shares outstanding at December 31, 2018 268,570 $ 4.13 Granted 330,000 $ 1.65 Forfeited (19,029 ) $ 3.43 Vested (397,313 ) $ 2.72 Unvested shares outstanding at September 30, 2019 182,228 $ 2.80 |
Schedule of Fair Value of Options Granted By Using Black-Scholes Option Pricing Assumptions | In determining the amount of stock-based compensation the Company used the Black-Scholes option pricing model to establish the fair value of options granted by applying the following weighted average assumptions: 2019 2018 Volatility 118.62 % 114.68 % Risk free interest rate 2.46 % 2.57 % Expected term in years 5.78 5.84 Expected dividend yield 0.00 % 0.00 % Weighted average fair value per option $ 1.45 $ 3.21 |
Schedule of Stock-based Compensation Expense | The total stock-based compensation expense recorded in the three and nine months ended September 30, 2019 and 2018 was as follows: Three months ended September 30 Nine months ended September 30 2019 2018 2019 2018 Research and development $ 184 $ 168 $ 629 $ 557 General and administrative 675 590 2,439 2,087 Cost of revenues 17 15 52 44 Total stock-based compensation expense $ 876 $ 773 $ 3,120 $ 2,688 |
Revenues and Deferred Revenue (
Revenues and Deferred Revenue (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Revenue Comprised | Revenue is comprised of the following: Three months ended September 30 Nine months ended September 30 2019 2018 2019 2018 Product revenues $ 168 $ 248 $ 365 $ 558 R&D service revenues 479 11 1,282 113 Total revenue $ 647 $ 259 $ 1,647 $ 671 |
Summary of Revenue Expected to be Recognized in Future Related to Performance Obligations | The following table presents revenues expected to be recognized in the future related to performance obligations, based on current estimates, that are unsatisfied at September 30, 2019: Total Remaining 2019 2020 and thereafter Product revenues $ 469 $ - $ 469 R&D service revenues 3,665 299 3,366 Total $ 4,134 $ 299 $ 3,835 |
Summary of Changes in Deferred Revenue | The following table presents changes in the deferred revenue balance for the year ended December 31, 2018: Balance at December 31, 2018 $ 5,172 Recognition of deferred revenue (1,259 ) Currency translation 221 Balance at September 30, 2019 $ 4,134 Short Term $ 1,181 Long Term $ 2,953 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Lease Cost and Other Information | Lease cost: Operating lease costs: Three months ended September 30, 2019 $ 285 Nine months ended September 30, 2019 $ 847 Other information: Weighted average remaining lease term 2.59 years Weighted average discount rate 12 % |
Summary of Future Undiscounted Cash Payments Reconciled to Lease Liabilities | The following table summarizes future undiscounted cash payments reconciled to the lease liabilities: Year ending December 31 Remaining 2019 $ 230 2020 768 2021 693 2022 162 Total $ 1,853 Effect of discounting (221 ) Total lease liability $ 1,632 Less: current portion (675 ) Long term lease liability $ 957 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Revenue by Geographical Region | Revenues from external customers are attributed to geographic areas based on location of the contracting customers: Three Months Ended September 30 Nine Months Ended September 30 2019 2018 2019 2018 Israel $ 134 $ 108 $ 287 $ 388 China / Hong Kong 467 - 1,245 31 Europe 46 151 115 252 Total $ 647 $ 259 $ 1,647 $ 671 |
Nature of Business and Contin_2
Nature of Business and Continuation of Business (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Accumulated deficit | $ 251,513 | $ 251,513 | $ 207,575 | |
Cash flows from operating activities | 40,182 | $ 37,983 | ||
Proceeds from issuance of stock | $ 40,250 | |||
Underwritten Public Offering [Member] | ||||
Number of stock issued during period | 80,500,000 | |||
Share issued price per share | $ 0.50 | $ 0.50 | ||
Number of stock issued during period, value | $ 40,250 | |||
Share issuance costs | 2,835 | |||
Proceeds from issuance of stock | $ 37,415 |
New Accounting Pronouncements (
New Accounting Pronouncements (Details Narrative) $ in Thousands | Jan. 02, 2019USD ($) |
ASU 2016-02 [Member] | |
ROU assets and lease liabilities | $ 1,653 |
Inventory, Net - Schedule of In
Inventory, Net - Schedule of Inventory (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 10 | $ 81 |
Work-in-process | 655 | 64 |
Raw materials | 755 | 766 |
Inventory net | $ 1,420 | $ 911 |
Intangible Assets and Goodwil_2
Intangible Assets and Goodwill (Details Narrative) - USD ($) $ in Thousands | Aug. 31, 2019 | Sep. 30, 2019 | Sep. 30, 2018 |
Goodwill impairment charges | $ 4,549 | $ 6,292 | |
Additional goodwill impairment charges | 1,743 | ||
Goodwill [Member] | |||
Cumulative translation adjustments | 204 | ||
IPR&D assets [Member] | |||
Cumulative translation adjustments | $ 1,691 | ||
CMV and GBM Projects [Member] | |||
Amortization of asset discount rate | 12.50% | ||
Minimum cumulative probability to achieve market products, percentage | 6.00% | ||
Maximum cumulative probability to achieve market products, percentage | 17.00% |
Intangible Assets and Goodwil_3
Intangible Assets and Goodwill - Schedule of Intangibles Assets and Goodwill (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2019 | Dec. 31, 2018 | |
Intangible assets, Gross | $ 62,169 | $ 62,169 |
Accumulated Amortization | (505) | (457) |
Cumulative Impairment Charge | (300) | (300) |
Cumulative Currency Translation | (1,455) | (3,163) |
Intangible assets, Net | 59,909 | 58,249 |
Patents [Member] | ||
Intangible assets, Gross | 669 | 669 |
Accumulated Amortization | (505) | (457) |
Cumulative Impairment Charge | ||
Cumulative Currency Translation | 28 | 11 |
Intangible assets, Net | 192 | 223 |
IPR&D Assets [Member] | ||
Intangible assets, Gross | 61,500 | 61,500 |
Accumulated Amortization | ||
Cumulative Impairment Charge | (300) | (300) |
Cumulative Currency Translation | (1,483) | (3,174) |
Intangible assets, Net | $ 59,717 | $ 58,026 |
Intangible Assets and Goodwil_4
Intangible Assets and Goodwill - Schedule of Change in Carrying Value for IPR&D Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Goodwill, gross carrying amount | $ 8,714 | $ 8,714 |
Goodwill, cumulative impairment charge | (6,292) | |
Goodwill, cumulative currency translation | (245) | (449) |
Goodwill, net book value | $ 2,177 | $ 8,265 |
Other Current Liabilities - Sch
Other Current Liabilities - Schedule of Other Current Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Other Liabilities Disclosure [Abstract] | ||
Accrued research and development expenses (including clinical trial accrued expenses) | $ 8,508 | $ 9,763 |
Payroll and employee-related costs | 1,216 | 2,294 |
Other current liabilities | 988 | 1,790 |
Total Other current liabilities | $ 10,712 | $ 13,847 |
Loss Per Share of Common Shar_3
Loss Per Share of Common Shares - Schedule of Antidilutive Weighted Average Shares Outstanding (Details) - shares | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Antidilutive weighted average shares outstanding | 9,432,928 | 6,573,372 |
Warrants [Member] | ||
Antidilutive weighted average shares outstanding | 2,618,824 | 2,618,824 |
Stock Options and Equity Awards [Member] | ||
Antidilutive weighted average shares outstanding | 6,814,104 | 3,954,548 |
Long-Term Debt - Related Part_2
Long-Term Debt - Related Party (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | Jan. 31, 2019 | Jul. 17, 2018 | Dec. 06, 2016 | Sep. 30, 2019 | Dec. 31, 2018 | May 06, 2016 | Jul. 25, 2014 |
Debt interest expense | $ 4,018 | ||||||
Unamortized debt discount | 699 | $ 1,274 | |||||
Fair value of outstanding debt | $ 15,232 | $ 14,975 | |||||
Second Amended Credit Facility [Member] | |||||||
Number of warrants issued to purchase common stock shares | 363,771 | ||||||
Warrants to purchase common shares original expiration date description | Original expiration date of July 25, 2019 to December 6, 2021. | ||||||
Increase in debt discount | $ 386 | ||||||
Second Amended Credit Facility [Member] | Extended Maturity For Interest [Member] | |||||||
Debt instrument, extension date, description | May 31, 2018 to December 31, 2018 | ||||||
Third Amended Credit Facility [Member] | |||||||
Increase in debt discount | $ 179 | ||||||
Term loan maturity date | Jun. 30, 2020 | ||||||
Exercise price of warrants | $ 2.75 | ||||||
Third Amended Credit Facility [Member] | Warrants Exercise Price 4.13 [Member] | |||||||
Number of warrants issued to purchase common stock shares | 363,771 | 363,771 | |||||
Exercise price of warrants | $ 4.13 | $ 4.13 | |||||
Third Amended Credit Facility [Member] | Warrants Exercise Price 3.355 [Member] | |||||||
Number of warrants issued to purchase common stock shares | 1,341,282 | ||||||
Exercise price of warrants | $ 3.355 | ||||||
Third Amended Credit Facility [Member] | Extended Maturity For Interest [Member] | |||||||
Debt instrument, extension date, description | The Amended Credit Facility (the "Third Amendment") to i) extend the period the Company is required to pay only the interest on the loan from December 31, 2018 to January 31, 2020, ii) extend the maturity of the term loan to June 30, 2020 | ||||||
Perceptive Credit Holdings, LP [Member] | Amended Credit Facility [Member] | |||||||
Line of credit maximum borrowing capacity | $ 6,000 | ||||||
Proceeds from line of credit | $ 13,200 | ||||||
Line of credit remaining balance | $ 1,800 | ||||||
Debt instrument, extension date, description | This term loan facility maturity date has been extended from December 6, 2019 to June 30, 2020 | ||||||
Term loan maturity date | Jun. 30, 2020 | ||||||
Exit fee | $ 300 | ||||||
Long term debt, gross | $ 15,300 | ||||||
Term loan annual interest rate description | The principal amount of the loan made under the Amended Credit Facility accrues interest at an annual rate equal to the greater of (a) one-month LIBOR (subject to a 5.00% cap) or (b) 1.00%, plus the Applicable Margin. The Applicable Margin will be 11.00%. | ||||||
Term loan interest rate | 13.125% | ||||||
Perceptive Credit Holdings, LP [Member] | Amended Credit Facility [Member] | Interest Cap [Member] | |||||||
Debt instrument, variable rate | 5.00% | ||||||
Perceptive Credit Holdings, LP [Member] | Amended Credit Facility [Member] | LIBOR [Member] | |||||||
Debt instrument, variable rate | 1.00% | ||||||
Variable rate, description | one-month LIBOR | ||||||
Perceptive Credit Holdings, LP [Member] | Amended Credit Facility [Member] | Applicable Margin [Member] | |||||||
Debt instrument, variable rate | 11.00% | ||||||
Increase in interest rate, percentage | 4.00% |
Long-Term Debt - Related Part_3
Long-Term Debt - Related Party - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Debt Disclosure [Abstract] | ||
Long-term debt, net of debt discount | $ 14,601 | $ 14,027 |
Less: current portion, net of debt discount | (14,601) | (1,100) |
Long-term debt | $ 12,927 |
Long-Term Debt - Related Part_4
Long-Term Debt - Related Party - Schedule of Long-Term Debt (Details) (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Debt discount | $ 699 | $ 1,274 |
Long-term Debt [Member] | ||
Debt discount | 699 | 1,274 |
Debt discount, current | $ 699 | $ 100 |
Long-Term Debt - Related Part_5
Long-Term Debt - Related Party - Schedule of Interest Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Jun. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Debt Disclosure [Abstract] | |||||
Interest expense - related party | $ 509 | $ 503 | $ 1,539 | $ 1,469 | |
Amortization of debt discount - related party | 245 | 342 | 753 | 931 | |
Interest income | (128) | (129) | (620) | (509) | |
Total interest expense, net of interest income | $ 626 | $ 716 | $ 716 | $ 1,672 | $ 1,891 |
Long-Term Debt - Related Part_6
Long-Term Debt - Related Party - Schedule of Future Principal Payments of Long-Term Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Total | $ 14,601 | $ 14,027 |
Long-term Debt [Member] | ||
Remaining 2019 | ||
2020 | 15,300 | |
Total | $ 15,300 |
Stockholders' Equity and Addi_3
Stockholders' Equity and Additional Paid-In Capital (Details Narrative) | 9 Months Ended |
Sep. 30, 2019shares | |
2006 VBI US Stock Option Plan [Member] | |
Number of options outstanding | 1,111,136 |
2013 Equity Incentive Plan [Member] | |
Number of options outstanding | |
2014 Equity Incentive Plan [Member] | |
Number of options outstanding | 521,242 |
2016 VBI Equity Incentive Plan [Member] | |
Maximum percentage of common shares issued and outstanding | 10.00% |
Maximum percentage of options granted | 10.00% |
Number of common shares available for issuance | 9,841,337 |
Stock Options [Member] | 2016 VBI Equity Incentive Plan [Member] | |
Number of options outstanding | 4,999,498 |
Stock Awards [Member] | 2016 VBI Equity Incentive Plan [Member] | |
Number of options outstanding | 182,228 |
Stockholders' Equity and Addi_4
Stockholders' Equity and Additional Paid-In Capital - Schedule of Stock Options Activity (Details) - Stock Options [Member] | 9 Months Ended |
Sep. 30, 2019$ / sharesshares | |
Number of Stock Options Outstanding, Beginning Balance | shares | 3,479,676 |
Number of Stock Options, Granted | shares | 3,870,000 |
Number of Stock Options, Forfeited | shares | (717,800) |
Number of Stock Options Outstanding, Ending Balance | shares | 6,631,876 |
Number of Stock Options, Exercisable, Ending Balance | shares | 3,233,191 |
Weighted Average Exercise Price, Beginning Balance | $ / shares | $ 4.14 |
Weighted Average Exercise Price, Granted | $ / shares | 1.69 |
Weighted Average Exercise Price, Forfeited | $ / shares | 3.09 |
Weighted Average Exercise Price, Ending Balance | $ / shares | 2.83 |
Weighted Average Exercise Price, Exercisable, Ending Balance | $ / shares | $ 3.63 |
Stockholders' Equity and Addi_5
Stockholders' Equity and Additional Paid-In Capital - Schedule of Restricted Stock Units (Details) - $ / shares | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Weighted Average Fair Value at Grant Date, Granted | $ 1.45 | $ 3.21 |
Restricted Stock Units (RSUs) [Member] | ||
Number of Stock Awards, Unvested shares outstanding beginning balance | 268,570 | |
Number of Stock Awards, Granted | 330,000 | |
Number of Stock Awards, Forfeited | (19,029) | |
Number of Stock Awards, Vested | (397,313) | |
Number of Stock Awards, Unvested shares outstanding ending balance | 182,228 | |
Weighted Average Fair Value at Grant Date, Unvested shares outstanding beginning balance | $ 4.13 | |
Weighted Average Fair Value at Grant Date, Granted | 1.65 | |
Weighted Average Fair Value at Grant Date, Forfeited | 3.43 | |
Weighted Average Fair Value at Grant Date, Vested | 2.72 | |
Weighted Average Fair Value at Grant Date, Unvested shares outstanding | $ 2.80 |
Stockholders' Equity and Addi_6
Stockholders' Equity and Additional Paid-In Capital - Schedule of Fair Value of Options Granted By Using Black-Scholes Option Pricing Assumptions (Details) - $ / shares | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Stockholders' Equity Note [Abstract] | ||
Volatility | 118.62% | 114.68% |
Risk free interest rate | 2.46% | 2.57% |
Expected term in years | 5 years 9 months 11 days | 5 years 10 months 3 days |
Expected dividend yield | 0.00% | 0.00% |
Weighted average fair value per option | $ 1.45 | $ 3.21 |
Stockholders' Equity and Addi_7
Stockholders' Equity and Additional Paid-In Capital - Schedule of Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Total stock-based compensation expense | $ 876 | $ 773 | $ 3,120 | $ 2,688 |
Research and Development [Member] | ||||
Total stock-based compensation expense | 184 | 168 | 629 | 557 |
General and Administrative [Member] | ||||
Total stock-based compensation expense | 675 | 590 | 2,439 | 2,087 |
Cost of Revenues [Member] | ||||
Total stock-based compensation expense | $ 17 | $ 15 | $ 52 | $ 44 |
Revenues and Deferred Revenue_2
Revenues and Deferred Revenue (Details Narrative) $ in Thousands | Dec. 04, 2018USD ($)PerformanceObligationshares | Sep. 30, 2019USD ($) | Dec. 31, 2018USD ($) |
Remaining performance obligation, deemed to be initial transaction price | $ 4,134 | ||
Total deferred revenue | 4,134 | $ 5,172 | |
Collaboration and License Agreement [Member] | |||
Unsatisfied amount of research and development services | 3,500 | ||
Total deferred revenue | $ 4,100 | ||
Collaboration and License Agreement [Member] | Brii Bio [Member] | |||
Non-refundable upfront payment | $ 11,000 | ||
Stock issued for the agreement, shares | shares | 2,295,082 | ||
Stock issued for the agreement | $ 3,600 | ||
Remaining performance obligation, deemed to be initial transaction price | $ 7,400 | ||
Number of performance obligations | PerformanceObligation | 2 | ||
Additional potential regulatory and sales milestone payments | $ 117,500 | ||
Collaboration and License Agreement [Member] | Brii Bio [Member] | R&D Services [Member] | |||
Remaining performance obligation, deemed to be initial transaction price | 4,800 | ||
Collaboration and License Agreement [Member] | Brii Bio [Member] | VBI-2601 [Member] | |||
Remaining performance obligation, deemed to be initial transaction price | $ 2,600 |
Revenues and Deferred Revenue -
Revenues and Deferred Revenue - Summary of Revenue Comprised (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenues | $ 647 | $ 259 | $ 1,647 | $ 671 |
Product Revenues [Member] | ||||
Revenues | 168 | 248 | 365 | 558 |
R&D Service Revenues [Member] | ||||
Revenues | $ 479 | $ 11 | $ 1,282 | $ 113 |
Revenues and Deferred Revenue_3
Revenues and Deferred Revenue - Summary of Revenue Expected to be Recognized in Future Related to Performance Obligations (Details) $ in Thousands | Sep. 30, 2019USD ($) |
Revenue remaining performance obligations | $ 4,134 |
2019 [Member] | |
Revenue remaining performance obligations | 299 |
2020 and Thereafter [Member] | |
Revenue remaining performance obligations | 3,835 |
Product Revenues [Member] | |
Revenue remaining performance obligations | 469 |
Product Revenues [Member] | 2019 [Member] | |
Revenue remaining performance obligations | |
Product Revenues [Member] | 2020 and Thereafter [Member] | |
Revenue remaining performance obligations | 469 |
R&D Service Revenues [Member] | |
Revenue remaining performance obligations | 3,665 |
R&D Service Revenues [Member] | 2019 [Member] | |
Revenue remaining performance obligations | 299 |
R&D Service Revenues [Member] | 2020 and Thereafter [Member] | |
Revenue remaining performance obligations | $ 3,366 |
Revenues and Deferred Revenue_4
Revenues and Deferred Revenue - Summary of Changes in Deferred Revenue (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Revenue from Contract with Customer [Abstract] | |
Balance at December 31, 2018 | $ 5,172 |
Recognition of deferred revenue | (1,259) |
Currency translation | 221 |
Balance at September 30, 2019 | 4,134 |
Short Term | 1,181 |
Long Term | $ 2,953 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) - Canada [Member] | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Statutory income tax rate | 26.50% | |||
Federal income tax rate | 0.00% | 0.00% | 0.00% | 0.00% |
Commitments and Contingencies_2
Commitments and Contingencies (Details Narrative) $ in Thousands | Sep. 05, 2019 | Sep. 13, 2018USD ($)VaccinatedChildren | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Jan. 02, 2019USD ($) | Dec. 31, 2018USD ($) |
Lease expires date | Dec. 31, 2022 | ||||||
Operating lease option to extend | The term of the lease was extended until December 31, 2022, with an option to extend the lease for one additional period of three years. | ||||||
Operating leases, rent expense | $ 242 | $ 721 | |||||
Initial right of use ("ROU") assets | $ 1,631 | $ 1,653 | |||||
New Lease Agreement [Member] | |||||||
Initial right of use ("ROU") assets | $ 504 | ||||||
Office Facility Lease Agreement [Member] | |||||||
Lease expires date | Apr. 30, 2020 | ||||||
Manufacturing Facility Lease Agreement [Member] | |||||||
Lease expires date | Jan. 31, 2022 | ||||||
Operating lease option to extend | Our manufacturing facility lease agreement expires on January 31, 2022, which includes one five-year option to extend until January 31, 2027. | ||||||
Lease Agreement [Member] | |||||||
Lease expires date | Dec. 31, 2019 | ||||||
Operating lease option to extend | The lease agreement for our research facility in Canada, which comprises of office and laboratory space, had an initial term ending on December 31, 2019 with the option to extend the term for two periods of three years. | ||||||
Sci-B-Vac [Member] | |||||||
Number of children vaccinated | VaccinatedChildren | 428,000 | ||||||
Seeking damages | $ 539,776 | ||||||
Sci-B-Vac [Member] | NIS Currency [Member] | |||||||
Seeking damages | $ 1,879,500 |
Commitments and Contingencies -
Commitments and Contingencies - Schedule of Lease Cost and Other Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019USD ($) | Sep. 30, 2019USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | ||
Operating lease costs | $ 285 | $ 847 |
Weighted average remaining lease term | 2 years 7 months 2 days | 2 years 7 months 2 days |
Weighted average discount rate | 12.00% | 12.00% |
Commitments and Contingencies_3
Commitments and Contingencies - Summary of Future Undiscounted Cash Payments Reconciled to Lease Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Commitments and Contingencies Disclosure [Abstract] | ||
Remaining 2019 | $ 230 | |
2020 | 768 | |
2021 | 693 | |
2022 | 162 | |
Total | 1,853 | |
Effect of discounting | (221) | |
Total lease liability | 1,632 | |
Less: current portion | (675) | |
Long term lease liability | $ 957 |
Segment Information (Details Na
Segment Information (Details Narrative) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)Segment | Sep. 30, 2018USD ($) | |
Number of operating segment | Segment | 1 | |||
Revenue | $ 647 | $ 259 | $ 1,647 | $ 671 |
Canada [Member] | ||||
Revenue |
Segment Information - Schedule
Segment Information - Schedule of Revenue by Geographical Region (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenue | $ 647 | $ 259 | $ 1,647 | $ 671 |
Israel [Member] | ||||
Revenue | 134 | 108 | 287 | 388 |
China/Hong Kong [Member] | ||||
Revenue | 467 | 1,245 | 31 | |
Europe [Member] | ||||
Revenue | $ 46 | $ 151 | $ 115 | $ 252 |