Sorrento Therapeutics (SRNE) 10-Q 9 Aug 19 2019 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2019	Jul. 28, 2019
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2019
Document Transition Report	false
Entity File Number	001-36150
Entity Registrant Name	SORRENTO THERAPEUTICS, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	33-0344842
Entity Address, Address Line One	4955 Directors Place
Entity Address, City or Town	San Diego
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	92121
City Area Code	(858)
Local Phone Number	203-4100
Title of 12(b) Security	Common Stock, $0.0001 par value
Trading Symbol	SRNE
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		130,978,668
Entity Central Index Key	0000850261
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Amendment Flag	false

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 61,385	$ 158,738
Restricted cash	9,592	9,592
Marketable securities	316	297
Grants and accounts receivables, net	9,786	3,833
Inventory	6,631	2,898
Income tax receivable	303	526
Prepaid expenses and other	5,493	3,680
Total current assets	93,506	179,564
Property and equipment, net	30,829	24,384
Operating lease right-of-use assets	46,686
Intangibles, net	64,825	66,283
Goodwill	38,298	38,298
Cost method investments	237,008	237,008
Equity method investments	25,509	27,980
Restricted cash	45,150	45,000
Other, net	5,232	5,570
Total assets	587,043	624,087
Current liabilities:
Accounts payable	24,886	13,817
Accrued payroll and related benefits	12,500	10,236
Accrued expenses	17,383	13,403
Current portion of deferred revenue	3,350	2,703
Acquisition consideration payable	11,312	11,312
Current portion of derivative liabilities	7,900	0
Current portion of debt	32,257	10,150
Current portion of operating lease liabilities	2,401
Total current liabilities	111,989	61,621
Long-term debt, net of discount	223,589	223,136
Deferred tax liabilities, net	8,923	9,416
Deferred revenue	115,192	116,274
Derivative liabilities	19,900	0
Operating lease liabilities	52,043
Deferred rent and other	791	6,140
Total liabilities	532,427	416,587
Commitments and contingencies (See Note 13)
Equity:
Preferred stock, $0.0001 par value; 100,000,000 shares authorized and no shares issued or outstanding	0	0
Common stock, $0.0001 par value 750,000,000 shares authorized and 122,645,334 and 122,280,092 shares issued and outstanding at June 30, 2019 and December 31, 2018, respectively	13	13
Additional paid-in capital	665,515	626,658
Accumulated other comprehensive income	48	15
Accumulated deficit	(532,583)	(367,750)
Treasury stock, 7,568,182 shares at cost at June 30, 2019, and December 31, 2018	(49,464)	(49,464)
Total Sorrento Therapeutics, Inc. stockholders’ equity	83,529	209,472
Noncontrolling interests	(28,913)	(1,972)
Total equity	54,616	207,500
Total liabilities and stockholders’ equity	$ 587,043	$ 624,087

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized (in shares)	100,000,000	100,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	750,000,000	750,000,000
Common stock, shares issued (in shares)	122,645,334	122,280,092
Common stock, shares outstanding (in shares)	122,645,334	122,280,092
Treasury stock, shares (in shares)	7,568,182	7,568,182

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Revenues:
Total revenues	$ 6,477	$ 3,913	$ 12,620	$ 10,159
Operating costs and expenses:
Costs of revenues	3,281	1,226	5,589	2,538
Research and development	24,759	17,925	50,343	32,554
Acquired in-process research and development	0	0	75,301	0
Selling, General and administrative	27,772	11,039	52,894	21,000
Intangible amortization	992	657	1,958	1,319
Loss on contingent liabilities and acquisition consideration payable	34	1,437	66	13,663
Total operating costs and expenses	56,838	32,284	186,151	71,074
Loss from operations	(50,361)	(28,371)	(173,531)	(60,915)
Gain (loss) on trading securities	(76)	(121)	18	(118)
Loss on derivative liabilities	(10,591)	0	(25,092)	0
Loss on foreign currency exchange	(411)	(586)	(98)	(569)
Interest expense	(9,520)	(45,009)	(18,600)	(46,061)
Interest income	305	6	839	10
Loss before income tax	(70,654)	(74,081)	(216,464)	(107,653)
Income tax benefit	(383)	(1,377)	(561)	(2,325)
Loss on equity method investments	(1,574)	(2,105)	(2,471)	(3,027)
Net loss	(71,845)	(74,809)	(218,374)	(108,355)
Net loss attributable to noncontrolling interests	(15,083)	(945)	(53,541)	(1,919)
Net loss attributable to Sorrento	$ (56,762)	$ (73,864)	$ (164,833)	$ (106,436)
Net loss per share - basic per share attributable to Sorrento (in dollars per share)	$ (0.46)	$ (0.73)	$ (1.35)	$ (1.15)
Net loss per share - diluted per share attributable to Sorrento (in dollars per share)	$ (0.47)	$ (0.73)	$ (1.51)	$ (1.15)
Weighted-average shares used during period - basic per share attributable to Sorrento (in shares)	122,549	100,563	122,415	92,795
Weighted-average shares used during period - diluted per share attributable to Sorrento (in shares)	132,459	100,563	128,132	92,795
Royalty and license
Revenues:
Total revenues	$ 120	$ 120	$ 240	$ 240
Sales and services
Revenues:
Total revenues	$ 6,357	$ 3,793	$ 12,380	$ 9,919

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Statement of Comprehensive Income [Abstract]
Net loss	$ (71,845)	$ (74,809)	$ (218,374)	$ (108,355)
Other comprehensive gain (loss):
Foreign currency translation adjustments	(52)	(199)	33	(89)
Total other comprehensive gain (loss)	(52)	(199)	33	(89)
Comprehensive loss	(71,897)	(75,008)	(218,341)	(108,444)
Comprehensive loss attributable to noncontrolling interests	(15,083)	(945)	(53,541)	(1,919)
Comprehensive loss attributable to Sorrento	$ (56,814)	$ (74,063)	$ (164,800)	$ (106,525)

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Treasury Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit	Noncontrolling Interest	B D L Products Inc	B D L Products IncCommon Stock	B D L Products IncAdditional Paid-in Capital	Scilex Pharmaceuticals, Inc	Scilex Pharmaceuticals, IncCommon Stock	Scilex Pharmaceuticals, IncAdditional Paid-in Capital	Virttu Biologics Limited	Virttu Biologics LimitedCommon Stock	Virttu Biologics LimitedAdditional Paid-in Capital
Balance, shares (in shares) at Dec. 31, 2017		82,903,567	7,568,182
Balance at Dec. 31, 2017	$ 206,610	$ 9	$ (49,464)	$ 413,901	$ 242	$ (165,120)	$ 7,042
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock with exercise of stock options (in shares)		25,815
Issuance of common stock upon exercise of stock options	162			162
Issuance of common stock related to acquisitions settlement (in shares)									309,916			1,381,346			1,795,011
Issuance of common stock related to acquisitions settlement								$ 2,340		$ 2,340	$ 13,744		$ 13,744	$ 11,308		$ 11,308
Issuance of common stock for private placement and investments, net (in shares)		7,786,743
Issuance of common stock for public placement, net	58,273	$ 1		58,272
Issuance of common stock for conversion of notes payable (in shares)		22,038,565
Equity contribution related to Semnur acquisition	50,000	$ 2		49,998
Beneficial conversion feature recorded on convertible notes	12,006			12,006
Stock-based compensation	2,910			2,939			(29)
Warrants issued in connection with convertible notes	9,646			9,646
Foreign currency translation adjustments	(89)				(89)
Net loss	(108,355)					(106,436)	(1,919)
Balance, shares (in shares) at Jun. 30, 2018		116,240,963	7,568,182
Balance at Jun. 30, 2018	259,465	$ 12	$ (49,464)	574,316	153	(270,646)	5,094
Balance, shares (in shares) at Mar. 31, 2018		91,028,089	7,568,182
Balance at Mar. 31, 2018	240,875	$ 10	$ (49,464)	480,691	352	(196,782)	6,068
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock with exercise of stock options (in shares)		1,725
Issuance of common stock upon exercise of stock options	7			7
Issuance of common stock related to acquisitions settlement (in shares)															1,795,011
Issuance of common stock related to acquisitions settlement														$ 11,308		$ 11,308
Issuance of common stock for private placement and investments, net (in shares)		1,377,573
Issuance of common stock for public placement, net	9,315			9,315
Issuance of common stock for conversion of notes payable (in shares)		22,038,565
Equity contribution related to Semnur acquisition	50,000	$ 2		49,998
Beneficial conversion feature recorded on convertible notes	12,006			12,006
Stock-based compensation	1,316			1,345			(29)
Warrants issued in connection with convertible notes	9,646			9,646
Foreign currency translation adjustments	(199)				(199)
Net loss	(74,809)					(73,864)	(945)
Balance, shares (in shares) at Jun. 30, 2018		116,240,963	7,568,182
Balance at Jun. 30, 2018	$ 259,465	$ 12	$ (49,464)	574,316	153	(270,646)	5,094
Balance, shares (in shares) at Dec. 31, 2018	122,280,092	122,280,092	7,568,182
Balance at Dec. 31, 2018	$ 207,500	$ 13	$ (49,464)	626,658	15	(367,750)	(1,972)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock with exercise of stock options (in shares)		365,242
Issuance of common stock upon exercise of stock options	1,206			1,206
Equity contribution related to Semnur acquisition	55,000			28,400			26,600
Stock-based compensation	4,963			4,963
Warrants issued in connection with convertible notes	4,288			4,288
Foreign currency translation adjustments	33				33
Net loss	$ (218,374)					(164,833)	(53,541)
Balance, shares (in shares) at Jun. 30, 2019	122,645,334	122,645,334	7,568,182
Balance at Jun. 30, 2019	$ 54,616	$ 13	$ (49,464)	665,515	48	(532,583)	(28,913)
Balance, shares (in shares) at Mar. 31, 2019		122,311,917	7,568,182
Balance at Mar. 31, 2019	118,113	$ 13	$ (49,464)	657,115	100	(475,821)	(13,830)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock with exercise of stock options (in shares)		333,417
Issuance of common stock upon exercise of stock options	1,125			1,125
Stock-based compensation	2,987			2,987
Warrants issued in connection with convertible notes	4,288			4,288
Foreign currency translation adjustments	(52)				(52)
Net loss	$ (71,845)					(56,762)	(15,083)
Balance, shares (in shares) at Jun. 30, 2019	122,645,334	122,645,334	7,568,182
Balance at Jun. 30, 2019	$ 54,616	$ 13	$ (49,464)	$ 665,515	$ 48	$ (532,583)	$ (28,913)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018	Jun. 30, 2019	Dec. 31, 2018	Jun. 30, 2018
Operating activities
Net loss	$ (71,845)	$ (74,809)	$ (218,374)	$ (108,355)
Adjustments to reconcile net loss to net cash used for operating activities:
Depreciation and amortization			5,934	3,931
Non-cash operating lease cost			2,217
Non-cash interest expense			11,268	44,272
Semnur-related IPR&D			75,301	0
Amortization of debt issuance costs			1,073	515
Gain on trading securities			(18)	118
Stock-based compensation			4,963	2,910
Loss on derivative liabilities			25,092	0
Loss on equity method investments			2,471	3,027
Loss on contingent liabilities and acquisition consideration payable	34	1,437	66	13,663
Deferred tax provision			(493)	(2,253)
Changes in operating assets and liabilities, excluding effect of acquisitions:
Grants and other receivables			(5,952)	7
Accrued payroll			2,264	2,187
Prepaid expenses and other			(4,528)	1,403
Accounts payable			5,655	(326)
Deferred revenue			(435)	(2,115)
Other			98	0
Acquisition consideration payable for Scilex			0	(2,020)
Accrued expenses and other liabilities			2,451	(3,049)
Net cash used in operating activities			(91,143)	(46,085)
Investing activities
Purchases of property and equipment			(7,488)	(2,812)
Purchase of assets related to Semnur, net of cash acquired			(17,040)	0
Net cash used in investing activities			(24,528)	(2,812)
Financing activities
Proceeds from Early Conditional Loan, net of issuance costs			18,858	0
Proceeds from bridge loan for Scilex regulatory milestone			0	20,000
Repayment of bridge loan for Scilex regulatory milestone			(740)	0
Proceeds from loan agreement			0	1,586
Scilex consideration for regulatory milestone			0	(22,466)
Payment on Scilex Notes			(918)	0
Proceeds from issuance of common stock, net			0	58,273
Proceeds from issuance of convertible notes			0	37,849
Proceeds from exercise of stock options			1,206	162
Net cash provided by financing activities			18,406	75,404
Net change in cash, cash equivalents and restricted cash			(97,265)	26,507
Net effect of exchange rate changes on cash			62	(152)
Cash, cash equivalents and restricted cash at beginning of period			213,330	20,429	$ 20,429
Cash, cash equivalents and restricted cash at end of period	116,127	46,784	116,127	46,784	213,330
Cash paid during the period for:
Income taxes			13	15
Interest paid			6,178	1,128
Supplemental disclosures of non-cash investing and financing activities:
Semnur acquisition consideration paid in equity			55,000	0
Semnur acquisition costs incurred but not paid			601	0
BDL non-cash consideration			0	2,340
Property and equipment costs incurred but not paid			2,671	391
Scilex non-cash consideration for regulatory milestone			0	13,744
Conversion of convertible notes			0	50,000
Reconciliation of cash, cash equivalents and restricted cash within the Company’s consolidated balance sheets:
Cash and cash equivalents						$ 61,385	$ 158,738	$ 46,784
Restricted cash						54,742		0
Cash, cash equivalents, and restricted cash	$ 116,127	$ 46,784	213,330	20,429	$ 213,330	$ 116,127	$ 213,330	$ 46,784
Senior Secured Notes, Due 2026
Financing activities
Repayment of bridge loan for Scilex regulatory milestone			$ 0	$ (20,000)

Nature of Operations and Busine

Nature of Operations and Business Activities	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Operations and Business Activities	Nature of Operations and Business Activities Na t ure of Operations and Basis of Presentation Sorrento Therapeutics, Inc. (Nasdaq: SRNE), together with its subsidiaries (collectively, the “Company”) is a clinical stage and commercial biopharma company focused on delivering innovative and clinically meaningful therapies to patients and their families, globally, to address unmet medical needs. The Company primarily focuses on therapeutic areas in Immuno-Oncology and Non-Opioid Pain Management. The Company also has programs assessing the use of its technologies and products in auto-immune, inflammatory and neurodegenerative diseases. At its core, the Company is an antibody-centric company and leverages its proprietary G-MAB™ library and targeted delivery modalities to generate the next generation of cancer therapeutics. The Company’s fully human antibodies include PD-1, PD-L1, CD38, CD123, CD47, c-MET, VEGFR2, CCR2 and CD137 among others. The Company’s vision is to leverage these antibodies in conjunction with proprietary targeted delivery modalities to generate the next generation of cancer therapeutics. These modalities include proprietary chimeric antigen receptor T-cell therapy (“CAR-T”), dimeric antigen receptor T-cell therapy (“DAR-T”), antibody drug conjugates (“ADCs”) as well as bispecific antibody approaches. The Company acquired Sofusa ® , a revolutionary drug delivery system, in July 2018, which delivers biologics directly into the lymphatic system to potentially achieve improved efficacy and fewer adverse effects than standard parenteral immunotherapy. Additionally, the Company’s majority owned subsidiary, Scilex Holding Company (“Scilex Holding”), acquired the assets of Semnur Pharmaceuticals, Inc. (“Semnur”). Semnur’s SEMDEXA TM (SP-102) compound is expected to be the first FDA-approved non-opioid corticosteroid formulated as a viscous gel injection in development for the treatment of lumbosacral radicular pain/sciatica, containing no neurotoxic preservatives, surfactants, solvents or particulates. With each of the Company’s clinical and pre-clinical programs, it aims to tailor its therapies to treat specific stages in the evolution of cancer, from elimination, to equilibrium and escape. In addition, the Company’s objective is to focus on tumors that are resistant to current treatments and where it can design focused trials based on a genetic signature or biomarker to ensure patients have the best chance of a durable and significant response. The Company has several immuno-oncology programs that are in or close to entering the clinic. These include cellular therapies, an oncolytic virus and a palliative care program targeted to treat intractable cancer pain. Through June 30, 2019 , the Company had devoted substantially all of its efforts to developing products, raising capital and building infrastructure. The accompanying consolidated financial statements include the accounts of the Company’s subsidiaries. For consolidated entities where the Company owns or is exposed to less than 100% of the economics, the Company records net income (loss) attributable to noncontrolling interests in its consolidated statements of operations equal to the percentage of the economic or ownership interest retained in such entities by the respective noncontrolling parties. All intercompany balances and transactions have been eliminated in consolidation. In the opinion of management, the unaudited financial information for the interim periods presented reflects all adjustments, which are only normal, recurring and necessary for a fair statement of financial position, results of operations and cash flows. These consolidated financial statements should be read in conjunction with the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018 . Operating results for interim periods are not expected to be indicative of operating results for the Company’s 2019 fiscal year, or any subsequent period.

Liquidity and Going Concern

Liquidity and Going Concern	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Liquidity and Going Concern	Liquidity and Going Concern The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. The Company has recurring losses from operations, recurring negative cash flows from operations and substantial cumulative net losses to date and anticipates that it will continue to do so for the foreseeable future as it continues to identify and invest in advancing product candidates, as well as expanding corporate infrastructure. The Company has plans in place to obtain sufficient additional funds to fulfill its operating and capital requirements for the next 12 months. The Company’s plans include continuing to fund its operating losses and capital funding needs through public or private equity or debt financings, strategic collaborations, licensing arrangements, asset sales, government grants or other arrangements. Although management believes such plans, if executed, should provide the Company sufficient financing to meet its needs, successful completion of such plans is dependent on factors outside of the Company’s control. As such, management cannot conclude that such plans will be effectively implemented within one year after the date that the financial statements are issued. As a result, management has concluded that the aforementioned conditions, among others, raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date the financial statements are issued. As of June 30, 2019 , the Company had $350.9 million of long term debt outstanding, comprised of convertible notes issued pursuant to the 2018 Securities Purchase Agreement (as defined below), the 2018 Purchase Agreements (as defined below) and the Indenture (as defined below) for Scilex Pharmaceuticals Inc. (“Scilex”) and the Loan Agreement (as defined below) (collectively, the “Debt Arrangements”) (See Note 10). Each of the Debt Arrangements provides that, upon the occurrence of an event of default, the Purchasers or Lenders thereof (as applicable) may, by written notice to the Company, declare all of the outstanding principal and interest under such Debt Arrangement immediately due and payable. For purposes of the Debt Arrangements, an event of default includes, among other things, (i) the failure to pay outstanding indebtedness when due, (ii) the Company’s breach of certain representations, warranties, covenants or obligations under the documents relating to the Debt Arrangements, or (iii) the occurrence of certain insolvency events involving the Company. The Company believes that it is not probable that the material adverse event clause under the Debt Arrangements will be exercised. If the Company is unable to raise additional capital in sufficient amounts or on terms acceptable, the Company may have to significantly delay, scale back or discontinue the development or commercialization of one or more of its product candidates. The Company may also seek collaborators for one or more of its current or future product candidates at an earlier stage than otherwise would be desirable or on terms that are less favorable than might otherwise be available. The consolidated financial statements do not reflect any adjustments that might be necessary if the Company is unable to continue as a going concern.

Significant Accounting Policies

Significant Accounting Policies	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Significant Accounting Policies	Significant Accounting Policies Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of expenses during the reporting period. Management believes that these estimates are reasonable; however, actual results may differ from these estimates. Fair Value of Financial Instruments The Company follows accounting guidance on fair value measurements for financial instruments measured on a recurring basis, as well as for certain assets and liabilities that are initially recorded at their estimated fair values. Fair value is defined as the exit price, or the amount that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company uses the following three-level hierarchy that maximizes the use of observable inputs and minimizes the use of unobservable inputs to value its financial instruments: • Level 1: Observable inputs such as unadjusted quoted prices in active markets for identical instruments. • Level 2: Quoted prices for similar instruments that are directly or indirectly observable in the marketplace. • Level 3: Significant unobservable inputs which are supported by little or no market activity and that are financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant judgment or estimation. Financial instruments measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires it to make judgments and consider factors specific to the asset or liability. The use of different assumptions and/or estimation methodologies may have a material effect on estimated fair values. Accordingly, the fair value estimates disclosed or initial amounts recorded may not be indicative of the amount that the Company or holders of the instruments could realize in a current market exchange. The carrying amounts of cash equivalents and marketable securities approximate their fair value based upon quoted market prices. Certain of the Company’s financial instruments are not measured at fair value on a recurring basis, but are recorded at amounts that approximate their fair value due to their liquid or short-term nature, such as cash, accounts receivable and payable, and other financial instruments in current assets or current liabilities. Inventory The Company determines inventory cost on a first-in, first-out basis. The Company reduces the carrying value of inventories to a lower of cost or net realizable value for those items that are potentially excess, obsolete or slow-moving. The Company reserves for excess and obsolete inventory based upon historical experience, sales trends, and specific categories of inventory and age of on-hand inventory. As of June 30, 2019 , the Company’s inventory is primarily comprised of finished goods. Research and Development Costs All research and development costs are charged to expense as incurred. Such costs primarily consist of lab supplies, contract services, stock-based compensation expense, salaries and related benefits. Acquired In-Process Research and Development Expense The Company has acquired and may continue to acquire the rights to develop and commercialize new drug candidates. The up-front payments to acquire a new drug compound or drug delivery devices, as well as future milestone payments associated with asset acquisitions that do not meet the definition of a derivative and are deemed probable to achieve the milestones, are immediately expensed as acquired in-process research and development provided that the drug has not obtained regulatory approval for marketing and, absent obtaining such approval, have no alternative future use. The acquired in-process research and development related to the business combination of Virttu Biologics Limited (“Virttu”), for which certain products are under development and expected to be commercialized in the future, was capitalized and recorded within “Intangibles, net” on the accompanying consolidated balance sheet. The Company commenced amortization of acquired in-process research and development related to the business combination of Scilex upon commercialization of ZTlido ® (lidocaine topical system) 1.8% in October 2018. Capitalized in-process research and development will be reviewed annually for impairment or more frequently as changes in circumstance or the occurrence of events suggest that the remaining value may not be recoverable. (See Note 4 for further discussion of acquired in-process research and development expense related to the acquisition of Semnur Pharmaceuticals, Inc.). Revenue Recognition As of June 30, 2019, the future performance obligations for royalty and license revenues relate to the license agreements with ImmuneOncia Therapeutics, LLC (“ImmuneOncia”) and NantCell, Inc. (“NantCell”). The total consideration for the ImmuneOncia license performance obligation, effective September 1, 2016, represented $9.6 million . The estimated revenue expected to be recognized for future performance obligations, as of June 30, 2019 , was approximately $8.2 million . The Company expects to recognize license revenue of approximately $0.5 million of the remaining performance obligation annually through the remaining term. The Company applied judgment in estimating the 20 -year contract term, analogous to the expected life of the patent, over which revenue is recognized over time given the ongoing performance obligation related to the Company’s participation on a steering committee for the technologies under the agreement. As of June 30, 2019 , the NantCell license agreement, effective April 21, 2015, represented $110.0 million of contract liabilities reflected in long-term deferred revenue. See Note 9 for additional information regarding the remaining performance obligation for the agreement. Sales and Services Revenues Sales and services revenues are comprised of Scilex product sales of ZTlido ® (lidocaine topical system) 1.8%, contract manufacturing associated with sales of customized reagents at Concortis Biosystems Corp. (“Concortis”), materials and supply agreements, contract manufacturing services at BioServ Corporation, and the Company’s joint development agreement with Celularity Inc. (“Celularity”). The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which it recognizes revenue at the amount to which it has the right to invoice for services performed. The Company applied the practical expedient in Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers to the revenue contracts for Concortis sales and services and materials and supply agreements due to the general short-term length of such contracts. The following table shows sales and service revenues disaggregated by product and services type for the three and six months ended June 30, 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Scilex product sales $ 4,660 $ — $ 7,519 $ — Concortis sales and services 1,205 895 3,015 2,358 Materials and supply agreements 39 — 539 861 Bioserv sales and services 453 1,231 1,307 3,367 Joint development agreement — 1,667 — 3,333 $ 6,357 $ 3,793 $ 12,380 $ 9,919 The Company is obligated to accept from customers the return of products sold that are damaged or do not meet certain specifications. The Company may authorize the return of products sold in accordance with the terms of its sales contracts, and estimates allowances for such amounts at the time of sale. The Company has not experienced any sales returns. Bioserv Corporation ( “ Bioserv ” ) Contract manufacturing services associated with the Company’s Bioserv operations related to finish and fill activities for drug products and reagents are recognized ratably over the contract term based on a time-based measure which reflects the transfer of services to the customer because the manufactured products are highly customized and do not have an alternative use to the Company. As of December 31, 2018 and June 30, 2019 , the estimated revenue expected to be recognized for future performance obligations associated with contract manufacturing services was approximately $1.6 million and $0.9 million , respectively. The following table includes Bioserv sales and services revenue expected to be recognized in the future related to performance obligations that are undelivered or partially delivered at the end of the reporting period and do not include contracts with original durations of one year or less (in thousands): Remainder of 2019 2020 2021 and thereafter Contract manufacturing services $413 $407 $109 Joint Development Agreement On September 26, 2017, the Company entered into a joint development agreement with Celularity whereby the Company agreed to provide research services to Celularity through June 30, 2018 in exchange for an upfront payment of $5.0 million . The revenue related to the joint development agreement of $5.0 million was recognized over the length of the service agreement as services were performed. The Company recorded sales and services revenues under the joint development agreement of $3.3 million during the six months ended June 30, 2018. The Company recorded no sales and services revenues under the joint development agreement during the six months ended June 30, 2019 as such arrangement is complete. Reorganization of Segments Starting on January 1, 2019, the Company re-segmented its business into two new operating segments: the Sorrento Therapeutics segment and the Scilex segment. Recent Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, Leases . ASU No. 2016-02 is aimed at making leasing activities more transparent and comparable, and requires substantially all leases be recognized by lessees on their balance sheet as a right-of-use asset and corresponding lease liability, including leases currently accounted for as operating leases. ASU No. 2016-2 is effective for financial statements issued for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. In July 2018, the FASB issued ASU No. 2018-11, which allows for an optional transition method to adopt the lease standard by recognizing a cumulative-effect adjustment to the opening balance sheet of retained earnings in the period of adoption, with no adjustment to prior comparative periods. In March 2019, the FASB issued ASU No. 2019-01, which clarifies that entities are not subject to the transition disclosure requirements in Accounting Standards Codification (“ASC”) Topic 250-10-50-3 related to the effect of an accounting change on certain interim period financial information. ASU No. 2016-02 and all subsequent amendments (collectively, “ASC 842”) were effective for public entities for annual reporting periods beginning after December 15, 2018, including interim periods therein. The Company adopted ASC 842 during the first quarter of 2019 and elected to apply the cumulative-effect adjustment to the opening balance sheet and optional transition method to not present comparable prior periods as allowed under ASU No. 2018-11. The Company made the following practical expedients elections: (1) elected the short-term lease exception, (2) did not elect hindsight, and (3) elected to not separate its non-lease components from lease components. The Company adopted the transitional practical expedients, which allowed the Company to carry forward its historical assessment of whether existing agreements contained a lease and the classification of the Company’s existing operating leases, and also allowed the Company to not reassess initial direct costs. The adoption of ASC 842 resulted in the recording of $44.9 million in operating ROU assets and $2.6 million and $47.8 million in current portion of operating lease liabilities and non-current operating lease liabilities, respectively. Deferred rent, recorded in other current liabilities and other non-current liabilities, was derecognized. There were no adjustments to retained earnings. The Company will continue to report financial information for fiscal years ending on or before December 31, 2018 under the previous lease accounting standard. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,

Acquisitions

Acquisitions	6 Months Ended
	Jun. 30, 2019
Business Combinations [Abstract]
Acquisitions	Acquisitions Acquisition of Semnur Pharmaceuticals, Inc. On March 18, 2019, the Company, for limited purposes, entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Semnur, Scilex Holding, Sigma Merger Sub, Inc., a Delaware corporation and wholly owned subsidiary of Scilex Holding (“Merger Sub”), and Fortis Advisors LLC, solely as representative of the holders of Semnur equity (the “Equityholders’ Representative”). Pursuant to the Merger Agreement, Merger Sub merged with and into Semnur (the “Merger”), with Semnur surviving as a wholly owned subsidiary of Scilex Holding. Concurrently with the execution of the Merger Agreement, the Company and each of the other holders of outstanding shares of capital stock of Scilex, the Company’s majority-owned subsidiary, contributed each share of Scilex capital stock that the Company or it owned to Scilex Holding in exchange for one share of Scilex Holding common stock (the “Contribution”). As a result of the Contribution, and prior to the consummation of the Merger, Scilex became a wholly-owned subsidiary of Scilex Holding and the Company became the owner of approximately 77% of Scilex Holding’s issued and outstanding capital stock. At the closing of the Semnur acquisition, Scilex Holding issued to the holders of Semnur’s capital stock and options to purchase Semnur’s common stock (collectively, the “Semnur Equityholders”) upfront consideration with a value of approximately $70.0 million plus the aggregate exercise price of outstanding options to purchase Semnur’s common stock (which amount was subsequently deducted from the amounts otherwise payable to the holders of such options), consisting of the following: (a) a cash payment of approximately $15.0 million , and (b) 47,392,287 shares of Scilex Holding common stock (the “Stock Consideration”). A portion of the cash consideration otherwise payable to the Semnur Equityholders was set aside for expenses incurred by the Equityholders’ Representative, and 4,749,095 shares of Scilex Holding common stock otherwise issuable to Semnur Equityholders were placed in escrow with a third party as security for the indemnification obligations of the Semnur Equityholders under the Merger Agreement, including in respect of breaches of representations and warranties of Semnur included in the Merger Agreement. The Semnur Equityholders that receive the Stock Consideration were required to sign an exchange and registration rights agreement with the Company (the “Exchange Agreement”), which is further described below. Following the issuance of the Stock Consideration, the Company is the owner of approximately 58% of Scilex Holding’s issued and outstanding capital stock. Pursuant to the Merger Agreement, and upon the terms and subject to the conditions contained therein, Scilex Holding also agreed to pay the Semnur Equityholders up to $280.0 million in aggregate contingent cash consideration based on the achievement of certain milestones, including obtaining the first approval of a New Drug Application of a Semnur product by the U.S. Food and Drug Administration (“FDA”) and the achievement of certain amounts of net sales of Semnur products. Pursuant to the Exchange Agreement, and upon the terms and subject to the conditions contained therein, if within 18 months following the closing of the Merger (the “Closing”), 100% of the outstanding equity of Scilex Holding has not been acquired by a third party and Scilex Holding has not entered into a definitive agreement with respect to, or otherwise consummated, a firmly underwritten offering of Scilex Holding capital stock on a major stock exchange that meets certain requirements and includes the Stock Consideration, then holders of the Stock Consideration may collectively elect to exchange, during the 60-day period commencing the date that is the 18 month anniversary of the Closing (the “Share Exchange”), the Stock Consideration for shares of the Company’s common stock with a value of $55.0 million based on a price per share of the Company’s common stock equal to the greater of (a) the 30-day trailing volume weighted average price of one share of the Company’s common stock as reported on The Nasdaq Stock Market LLC as of the consummation of the Share Exchange and (b) $5.55 (subject to adjustment for any stock dividend, stock split, stock combination, reclassification or similar transaction). Pursuant to the terms of the Exchange Agreement, and subject to the limitations contained therein, within 30 days following consummation of the Share Exchange (if it occurs at all), the Company agreed to prepare and file with the SEC a registration statement to enable the public resale on a delayed or continuous basis of the shares of the Company’s common stock issued in the Share Exchange (the “Registration Statement”) and use its commercially reasonable efforts to maintain the effectiveness of such Registration Statement for up to three years thereafter. In the Exchange Agreement, the Company has also agreed to indemnify the applicable Semnur Equityholders and their affiliates for certain liabilities related to such Registration Statement, including certain liabilities arising under the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. Jaisim Shah, a member of the Company’s Board of Directors, was Semnur’s Chief Executive Officer, a member of its Board of Directors and a stockholder of Semnur prior to the acquisition transaction. The transaction was accounted for as an asset acquisition since substantially all the value of the gross assets was concentrated in a single asset. Under the Merger Agreement, Scilex Holding acquired the Semnur SEMDEXA TM (SP-102) technology for consideration valued at approximately $70.0 million , excluding contingent consideration, transaction costs of $3.1 million , and liabilities assumed of $4.2 million , which was allocated based on the relative fair value of the assets acquired. The $70.0 million of consideration consisted of $15.0 million in cash and shares of Scilex Holding valued at $55.0 million . No contingent consideration was recorded as of June 30, 2019 since the related regulatory approval milestones are not deemed probable until they actually occur. As a result, approximately $75.3 million

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2019
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements The following table presents the Company’s financial assets and liabilities that are measured at fair value on a recurring basis (in thousands): Fair Value Measurements at June 30, 2019 Balance Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Cash and cash equivalents $ 61,385 $ 61,385 $ — $ — Restricted cash 54,742 54,742 — — Marketable securities 316 257 — 59 Total assets $ 116,443 $ 116,384 $ — $ 59 Liabilities: Derivative liabilities $ 7,900 $ — $ — $ 7,900 Derivative liabilities - Non-current 19,900 — — 19,900 Acquisition consideration payable 11,312 — — 11,312 Acquisition consideration payable - Non-current 791 — — 791 Total liabilities $ 39,903 $ — $ — $ 39,903 Fair Value Measurements at December 31, 2018 Balance Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Cash and cash equivalents $ 158,738 $ 158,738 $ — $ — Restricted cash 54,592 54,592 — — Marketable securities 297 247 — 50 Total assets $ 213,627 $ 213,577 $ — $ 50 Liabilities: Acquisition consideration payable $ 11,312 $ — $ — $ 11,312 Acquisition consideration payable - Non-current 725 — — 725 Total liabilities $ 12,037 $ — $ — $ 12,037 The Company’s financial assets and liabilities carried at fair value are comprised of cash, cash equivalents, restricted cash, marketable securities and acquisition consideration payable. Cash and cash equivalents consist of money market accounts and bank deposits which are highly liquid and readily tradable. These investments are valued using inputs observable in active markets for identical securities. Marketable securities are valued using inputs observable in active markets for identical securities. The fair value of the contingent consideration is measured on a recurring basis using significant unobservable inputs (Level 3). Contingent consideration is measured using the income approach and discounting to present value the contingent payments expected to be made based on assessment of the probability that the Company would be required to make such future payment. The following table includes a summary of the Company’s contingent consideration liabilities and acquisition consideration payables associated with acquisitions. (in thousands) Fair Value Beginning balance at December 31, 2018 $ 12,037 Re-measurement of Fair Value 66 Ending balance at June 30, 2019 $ 12,103 As of June 30, 2019 , $9.9 million of the Virttu contingent liability remains to be paid in cash. The principal significant unobservable inputs used in the valuations of the contingent considerations are the discount rates, and probabilities assigned to scenario outcomes. The Company recorded a loss on derivative liabilities of $2.4 million and $16.9 million , respectively, for the three and six months ended June 30, 2019 , which was attributed to revised probabilities related to the timing of marketing approval for ZTlido ® (lidocaine topical system) 5.4% or SP-103 (“SP-103”), and revised sales forecasts. The fair value of the derivative liabilities is estimated using the discounted cash flow method under the income approach combined with a Monte Carlo simulation model, which involves significant Level 3 inputs and assumptions including a discount rate of approximately 22.1% , net sales forecasts and an estimated probability of 90% of not meeting marketing approval before a predetermined date. Due to changes in timing of marketing approval probabilities for SP-103 and a revised forecast of cumulative net sales of ZTlido ® (lidocaine topical system) 1.8% and SP-103, the fair value of the derivative liabilities changed, resulting in a loss in the Company’s consolidated statement of operations during the six months ended June 30, 2019 and a corresponding derivative liability in the Company’s consolidated balance sheets at June 30, 2019. Further, due to the revised forecast of cumulative net sales of ZTlido ® (lidocaine topical system) 1.8% and SP-103, the Company recorded a derivative liability of $3.0 million for the three and six months ended June 30, 2019, relating to tax indemnification obligations with respect to foreign note holders. The fair value of the derivative liability was estimated using a discounted cash flow probability model, which involves significant Level 3 inputs and assumptions including a risk-adjusted discount rate and estimated foreign tax withholdings. The Company determined that the contingent acceleration feature of the Early Conditional Loan as further discussed in Note 10 represents an embedded derivative liability that met the criteria for bifurcation under ASU No. 2017-12, Derivatives and hedging . The fair value of the derivative liability involved significant Level 3 inputs and assumptions including estimated probabilities of satisfying certain commercial and financial milestones between August 7, 2019 and November 7, 2019 and is estimated using a with and without discounted cash flow approach. The Company recorded a debt discount for the fair value of the derivative liability of $7.0 million on the issuance date. The debt discount attributed to the derivative liability is being amortized over the remaining term of the Term Loans and is recorded as interest expense in the consolidated statement of operations. The Company performs a mark-to-market assessment for the derivative liability each reporting period. The Company recorded a loss on derivative liabilities associated with the 2019 Warrants (as defined in Note 10) of $4.3 million during the three months ended June 30, 2019 as the Conditional Warrants were issued with the Amendment (See Note 10). The following table includes a summary of the derivative liabilities measured at fair value using significant unobservable inputs (Level 3) during the six months ended June 30, 2019: (in thousands) Fair Value Beginning Balance at December 31, 2018 $ — Additions 6,996 Re-measurement of Fair Value 20,804 Ending Balance at June 30, 2019 $ 27,800 Non-financial assets and liabilities measured on a nonrecurring basis

Property and Equipment

Property and Equipment	6 Months Ended
	Jun. 30, 2019
Property, Plant and Equipment [Abstract]
Property and Equipment	Property and Equipment Property and equipment consisted of the following as of June 30, 2019 and December 31, 2018 (in thousands): June 30, 2019 December 31, 2018 Furniture and fixtures $ 1,237 $ 1,127 Office equipment 678 632 Machinery and lab equipment 30,013 27,690 Leasehold improvements 9,798 9,001 Construction in progress 8,365 1,221 50,091 39,671 Less accumulated depreciation (19,262 ) (15,287 ) $ 30,829 $ 24,384 Depreciation expense for the three months ended June 30, 2019 and 2018 was $1.9 million and $1.3 million , respectively. Depreciation expense for the six months ended June 30, 2019 and 2018 was $4.0 million and $2.6 million , respectively.

Investments

Investments	6 Months Ended
	Jun. 30, 2019
Equity Method Investments and Joint Ventures [Abstract]
Investments	Investments As of June 30, 2019 and December 31, 2018 , the aggregate carrying amount of the Company’s cost-method investments in non-publicly traded companies was $237.0 million and included an ownership interest in NantCell, Inc. (“NantCell”), NantBioScience, Inc. (“NantBioScience”), Globavir Biosciences, Inc., Brink Biologics, Inc., Coneksis, Inc., and Celularity. No impairment losses were recorded during the six months ended June 30, 2019 . NANTibody In 2013, the Company acquired IgDraSol Inc. (“IgDraSol”), a private company focused on the development of oncologic agents for the treatment of cancer, from a third party unrelated to the NantWorks, LLC (“NantWorks”) affiliated entities for 3.0 million shares of the Company’s common stock and $380,000 of cash for a total purchase price of $29.1 million . This transaction included the acquisition of IgDraSol’s lead compound, CynviloqTM, a micellar diblock copolymeric paclitaxel formulation drug product. In May 2015, the Company entered into an agreement with NantPharma, LLC (“NantPharma”), a NantWorks company, pursuant to which the Company sold to NantPharma all of its equity interests in IgDraSol, which continued to hold the rights to CynviloqTM. Pursuant to the agreement, NantPharma paid the Company an upfront fee of $90.1 million , of which $60.0 million was required to be used by the Company to fund two joint ventures, as described below. In April 2015, the Company and NantCell, a subsidiary of NantWorks, LLC (“NantWorks”), a private company owned by Dr. Patrick Soon-Shiong, established a new entity called Immunotherapy NANTibody, LLC (“NANTibody”) as a stand-alone biotechnology company with $100.0 million initial joint funding. NantCell owns 60% of the equity interest of NANTibody and agreed to contribute $60.0 million to NANTibody. The Company owns 40% of NANTibody and in July 2015, the Company had NantPharma, LLC (“NantPharma”) contribute its portion of the initial joint funding of $40.0 million to NANTibody from the proceeds of the sale of IgDraSol. Additionally, the Company and NantCell were allowed to appoint two and three representatives, respectively, to NANTibody’s five -member Board of Directors. NANTibody will focus on accelerating the development of multiple immuno-oncology mAbs for the treatment of cancer, including but not limited to anti-PD-1, anti-PD-L1, anti-CTLA4mAbs, and other immune-check point antibodies as well as ADCs and bispecific antibodies. NANTibody had been formed to advance pre-clinical and clinical immunology assets contributed by the Company and NantCell. The Company continues to hold 40% of the outstanding equity of NANTibody and NantCell holds the remaining 60% . Until July 2, 2017, NANTibody held approximately $100.0 million of cash and cash equivalents, and the Company recorded its investment in NANTibody at approximately $40.0 million . As an equity method investment, the Company’s ratable portion of 40% of money expended for the development of intellectual property assets held by NANTibody would be reflected within income (loss) on equity method investments in its statement of operations. As a result of limited spending at NANTibody, the cash on hand at NANTibody remained at approximately $100.0 million since the inception of the NANTibody joint venture until July 2, 2017. Further, the Company’s equity method investment in NANTibody remained at approximately $40.0 million until July 2, 2017. The financial statements of NANTibody are not received sufficiently timely for the Company to record its portion of earnings or loss in the current financial statements and therefore the Company reports its portion of earnings or loss on a quarter lag. In February 2018, NANTibody notified the Company that on July 2, 2017, NANTibody acquired all of the outstanding equity of IgDraSol in exchange for $90.1 million in cash. NANTibody purchased IgDraSol from NantPharma, which is controlled by NantWorks, an entity with a controlling interest in NantCell and NantPharma. Although the Company has had a designee serving on the Board of Directors of NANTibody since the formation of NANTibody in April 2015, and although the Company has held 40% of the outstanding equity of NANTibody since NANTibody’s formation, neither the Company nor its director designee was given any advance notice of NANTibody’s purchase of IgDraSol or of any board meeting or action to approve such purchase. As such, the Company’s designee on NANTibody’s Board of Directors was not given an opportunity to consider or vote on the transaction as a director and the Company was not given an opportunity to consider or vote on the transaction in its position as a significant ( 40% ) equity holder of NANTibody. As a result of the July 2, 2017 purchase of IgDraSol, NANTibody’s cash and cash equivalents were reduced from $99.6 million as of June 30, 2017 to $9.5 million as of September 30, 2017, and NANTibody’s contributed capital was reduced from $100.0 million as of June 30, 2017 to $10.0 million as of September 30, 2017, to effect the transfer of IgDraSol from NantPharma to NANTibody. No additional information was provided to the Company to explain why NANTibody’s total assets as of September 30, 2017 were reduced by approximately $90.1 million . The Company requested, but did not receive, additional information from NANTibody for purposes of supporting the value of IgDraSol, including any information regarding clinical advancements in the entity since the sale of IgDraSol by the Company in May 2015. Prior to the communication of the transfer of IgDraSol from NantPharma to NANTibody, the Company relied on the cash and cash equivalents of NANTibody for purposes of determining the value of its investment in NANTibody, which capital was expended by NANTibody to acquire IgDraSol on July 2, 2017. As a result of the transfer of IgDraSol, the Company reassessed the recoverability of its equity method investment in NANTibody as of July 2, 2017. In doing so, the Company considered the expected outcomes for the intellectual property assets held by NANTibody as of July 2, 2017. As a result of the lack of evidence of any development activity associated with any of the assets held in NANTibody, given the passage of time since the formation of the joint venture, many competitive products from other drug developers worldwide have advanced and/or commercialized for the targeted disease indications of the assets held in NANTibody, and given the Company’s minority interest in NANTibody (the investee), the Company concluded that it does not have the ability to recover the carrying amount of the investment and an other-than-temporary decline in the value of the investment had occurred. Accordingly, an impairment was recorded to the Company’s equity method investment in NANTibody for the three and nine months ended September 30, 2017. The fair value of the Company’s investment in NANTibody was measured at fair value on July 2, 2017 using significant unobservable inputs (Level 3) due to the determination of fair value requiring significant judgment, including the potential outcomes of the intellectual property assets held by NANTibody. For these reasons, fair value was determined by applying the Company’s 40% equity interest in NANTibody to the remaining cash and cash equivalents, which resulted in an impairment of $36.0 million . The impairment resulted in a revised carrying value of the Company’s investment in NANTibody of $3.7 million which approximated its ratable 40% ownership of the cash maintained by NANTibody expected to be used for future research and development. As of June 30, 2019 and 2018, the carrying value of the Company’s investment in NANTibody was approximately $3.2 million and $3.5 million , respectively. NANTibody recorded a net loss of $257 thousand and $484 thousand for the three months ended March 31, 2019 and 2018, respectively. The Company recorded its portion of loss from NANTibody in loss on equity method investments on its consolidated statements of operations for the six months ended June 30, 2019 and 2018 . As of March 31, 2019, NANTibody had $9.5 million in current assets and $1.2 million in current liabilities and no noncurrent assets or noncurrent liabilities. As of March 31, 2018, NANTibody had $9.8 million in current assets and $1.8 million in current liabilities and no noncurrent assets or noncurrent liabilities. NantStem In July 2015, the Company and NantBioScience established a new entity called NantCancerStemCell, LLC (“NantStem”) as a stand-alone biotechnology company with $100.0 million initial joint funding. As initially organized, NantBioScience was obligated to make a $60.0 million cash contribution to NantStem for a 60% equity interest in NantStem, and the Company was obligated to make a $40.0 million cash contribution to NantStem for a 40% equity interest in NantStem. Fifty percent of these contributions were funded in July 2015 and the remaining amounts were to be made by no later than September 30, 2015. The Company had NantPharma contribute its portion of the initial joint funding of $20.0 million to NantStem from the proceeds of the sale of IgDraSol. Pursuant to a Side Letter dated October 13, 2015, the NantStem joint venture agreement was amended to relieve the Company of the obligation to contribute the second $20.0 million payment, and its ownership interest in NantStem was reduced to 20% . NantBioScience’s funding obligations were unchanged. The Side Letter was negotiated at the same time the Company issued a call option on shares of NantKwest that it owned to Cambridge Equities, L.P. (“Cambridge”), a related party to NantBioScience. A loss related to other-than-temporary impairment of $0.5 million was recognized for the equity investment in NantStem for the year ended December 31, 2018. There was no loss related to other-than-temporary impairment recognized for the equity investment for the three months ended March 31, 2019 and 2018. The Company is accounting for its interest in NantStem as an equity method investment, due to the significant influence the Company has over the operations of NantStem through its board representation and 20% voting interest. The Company’s investment in NantStem is reported in equity method investments on its consolidated balance sheets and its share of NantStem’s loss is recorded in loss on equity method investments on its consolidated statement of operations. As of June 30, 2019 and 2018, the carrying value of the Company’s investment in NantStem was approximately $17.8 million and $18.2 million , respectively. The financial statements of NantStem are not received sufficiently timely for the Company to record its portion of earnings or loss in the current financial statements and therefore the Company reports its portion of earnings or loss on a quarter lag. NantStem recorded a net loss of $61 thousand and $331 thousand for the three months ended March 31, 2019 and 2018, respectively. The Company recorded its portion of loss from NantStem in income (loss) on equity method investments on its consolidated statements of operations for the six months ended June 30, 2019 and 2018 . As of March 31, 2019, NantStem had $75.2 million in current assets and $83 thousand in current liabilities and $5.1 million in noncurrent assets and no noncurrent liabilities. As of March 31, 2018, NantStem had $82.3 million in current assets and $27 thousand in current liabilities and no noncurrent assets or noncurrent liabilities. The Company records its portion of losses from other equity method investments in loss on equity method investments on its consolidated statements of operations for the six months ended June 30, 2019 and 2018

Goodwill and Intangible Assets

Goodwill and Intangible Assets	6 Months Ended
	Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	Goodwill and Intangible Assets At each of June 30, 2019 and December 31, 2018 , the Company had recorded goodwill of $38.3 million . Starting on January 1, 2019, the Company re-segmented its business into two new operating segments: the Sorrento Therapeutics segment and the Scilex segment. These segments are the Company’s reporting units, and are the level at which the Company conducts its goodwill impairment evaluations. Goodwill was allocated to the Sorrento Therapeutics and the Scilex operating segments on a relative fair value basis. Goodwill for the Sorrento Therapeutics segment and Scilex segment was $31.6 million and $6.7 million , respectively, as of June 30, 2019 . Amortization for the intangible assets that have finite useful lives is generally recorded on a straight-line basis over their useful lives. Intangible assets with indefinite useful lives totaling $13.9 million are included in acquired in-process research and development in the table below. A summary of the Company’s identifiable intangible assets as of June 30, 2019 and December 31, 2018 is as follows (in thousands): June 30, 2019 Weighted average amortization period (Years) Gross Carrying Amount Accumulated Amortization Intangibles, net Customer relationships 6 $ 1,585 $ 1,387 $ 198 Acquired technology 19 3,410 973 2,437 Acquired in-process research and development 15 35,834 1,097 34,737 Patent rights 15 32,720 5,831 26,889 Assembled workforce 5 $ 605 $ 41 $ 564 Total intangible assets $ 74,154 $ 9,329 $ 64,825 December 31, 2018 Weighted average amortization period (Years) Gross Carrying Amount Accumulated Amortization Intangibles, net Customer relationships 6 $ 1,585 $ 1,373 $ 212 Acquired technology 19 3,410 885 2,525 Acquired in-process research and development 15 35,834 366 35,468 Patent rights 15 32,720 4,742 27,978 Assembled workforce 5 105 5 100 Total intangible assets $ 73,654 $ 7,371 $ 66,283 As of June 30, 2019 , the weighted average amortization period for identifiable intangible assets is 14.9 years . Aggregate amortization expense was $1.0 million and $0.7 million for the three months ended June 30, 2019 and 2018 , respectively. Aggregate amortization expense was $2.0 million and $1.3 million for the six months ended June 30, 2019 and 2018 , respectively. Estimated future amortization expense related to intangible assets at June 30, 2019 is as follows (in thousands): Years Ending December 31, Amount 2019 (Remaining nine months) $ 1,435 2020 2,869 2021 3,923 2022 3,923 2023 3,918 2024 3,827 Thereafter 44,930 Total expected future amortization $ 64,825

Significant Agreements and Cont

Significant Agreements and Contracts	6 Months Ended
	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Significant Agreements and Contracts	Significant Agreements and Contracts License Agreement with NantCell In April 2015, the Company and NantCell entered into a license agreement. Under the terms of the agreement, the Company granted an exclusive license to NantCell covering patent rights, know-how, and materials related to certain antibodies, ADCs and two CAR-TNK products. NantCell agreed to pay a royalty not to exceed five percent ( 5% ) to the Company on any net sales of products (as defined) from the assets licensed by the Company to NantCell. In addition to the future royalties payable under this agreement, NantCell paid an upfront payment of $10.0 million to the Company and issued 10 million shares of NantCell common stock to the Company valued at $100.0 million based on a recent equity sale of NantCell common stock to a third party. As of June 30, 2019 , the Company had not yet provided all of the items noted in the agreement, including research services for and on behalf of NantCell, and therefore has recorded the entire upfront payment and value of the equity interest received as deferred revenue. Specifically, only a portion of the materials associated with the licensed assets have been delivered while the majority of the licensed assets remain undelivered and the related research activities are still to be performed. The Company will recognize the upfront payment and the value of the equity interest received over the period beginning with the commencement of the last item delivered. The Company’s ownership interest in NantCell does not provide the Company with control or the ability to exercise significant influence; therefore the $100.0 million investment is carried at cost in the consolidated balance sheets and evaluated for other-than-temporary impairment on a quarterly basis.

Debt

Debt	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Debt	Debt 2018 Securities Purchase Agreement in Private Placement and Amendment to Warrants On March 26, 2018, the Company entered into a Securities Purchase Agreement (the “March 2018 Securities Purchase Agreement”) with certain accredited investors (the “March 2018 Purchasers”). Pursuant to the March 2018 Securities Purchase Agreement, the Company agreed to issue and sell to the March 2018 Purchasers, in a Private Placement (the “March 2018 Private Placement”), (1) convertible promissory notes in an aggregate principal amount of $120,500,000 (the “Notes”), and (2) warrants to purchase 8,591,794 shares of the common stock of the Company (the “Warrants”). On June 13, 2018, the Company entered into an amendment (the “June 2018 Amendment”) to the March 2018 Securities Purchase Agreement. Under the terms of the June 2018 Amendment, the Company and the March 2018 Purchasers agreed that the aggregate principal amount of the Notes was reduced to $37,848,750 and that the aggregate number of shares of Common Stock issuable upon exercise of the Warrants was reduced to 2,698,662 , and also agreed to certain other adjustments to the threshold principal amount of the Notes required to remain outstanding in order for certain rights and obligations to apply to the Notes. On June 13, 2018, the Company issued and sold to the March 2018 Purchasers, in the March 2018 Private Placement (1) Notes in an aggregate principal amount of $37,848,750 , and (2) Warrants to purchase an aggregate of 2,698,662 shares of Common Stock. The Notes accrue interest at a rate equal to 5.0% per annum and mature upon the earlier to occur of June 13, 2023 and the date of the closing of a change of control (the “Maturity Date”). In connection with the issuance of the Notes and the Warrants, the Company recorded a debt discount of approximately $21.6 million based on an allocation of proceeds to the Warrants of approximately $9.6 million and a beneficial conversion feature of approximately $12.0 million , before issuance costs. On November 7, 2018, the Company entered into an Agreement and Consent (the “Agreement and Consent”) with the March 2018 Purchasers and agreed to amend the Warrants to reduce the exercise price per share of its common stock thereunder from $8.77 to $3.28 . The amendment of the Warrants resulted in a loss on debt extinguishment of $1.9 million representing the incremental fair value of the modified Warrants along with the difference between the fair value and carrying value of the Notes at the modification date of November 7, 2018. The Company determined that the amendment of the Warrants resulted in an extinguishment at the modification date. As a result, the Company recorded a loss on debt extinguishment for the difference between the fair value of $23.1 million and the carrying value of $17.0 million , or $6.1 million . The Company recorded the loss as of the date of modification, or November 7, 2018. As of June 30, 2019 , the estimated Level 3 fair value of the Notes was approximately $16.9 million , compared to the carrying value of $24.7 million . The fair value of the Notes was estimated using a lattice model with Level 3 inputs including the historical stock price volatility, risk-free interest rate and debt yield. Borrowings under the Notes consisted of the following (in thousands): June 30, 2019 December 31, 2018 Face value of loan $ 37,849 $ 37,849 Unamortized debt discount (14,288 ) (14,804 ) Accretion of debt discount 1,099 515 Ending balance $ 24,660 $ 23,560 Interest expense recognized for stated interest on the Notes for the three and six months ended June 30, 2019 totaled $0.5 million and $0.9 million , respectively. The amount of debt discount and debt issuance costs included in interest expense for the three and six months ended June 30, 2019 was approximately $0.6 million and $1.1 million , respectively. The Company identified a number of embedded derivatives that require bifurcation from the Notes and separate accounting as a single compound derivative. The current fair value attributed to the bifurcated compound derivative is immaterial. The Company will re-evaluate this assessment each reporting period. 2018 Purchase Agreements and Indenture for Scilex On September 7, 2018, Scilex entered into Purchase Agreements (the “2018 Purchase Agreements”) with certain investors (collectively, the “Scilex Note Purchasers”) and the Company. Pursuant to the 2018 Purchase Agreements, on September 7, 2018, Scilex, among other things, issued and sold to the Scilex Note Purchasers senior secured notes due 2026 in an aggregate principal amount of $224,000,000 (the “Scilex Notes”) for an aggregate purchase price of $140,000,000 (the “Scilex Notes Offering”). In connection with the Scilex Notes Offering, Scilex also entered into the Indenture governing the Scilex Notes with U.S. Bank National Association, a national banking association, as trustee (the “Trustee”) and collateral agent (the “Collateral Agent”), and the Company. Pursuant to the Indenture, the Company agreed to irrevocably and unconditionally guarantee, on a senior unsecured basis, the punctual performance and payment when due of all obligations of Scilex under the Indenture (the “Guarantee”). The net proceeds of the Scilex Notes Offering were approximately $89.3 million , after deducting the Scilex Notes Offering expenses payable by Scilex and funding a segregated reserve account with $20.0 million (the “Reserve Account”) and a segregated collateral account with $25.0 million (the “Collateral Account”) pursuant to the terms of the Indenture. As of June 30, 2019, the estimated fair value of the Scilex Notes was approximately $136.2 million compared to the carrying value of $149.0 million . The Company uses the discounted cash flow method under the income approach, which involves significant Level 3 inputs and assumptions, combined with a Monte Carlo simulation, as appropriate. The value of the debt instrument is based on the present value of future interest and principal payments, discounted at a rate of return reflective the Company’s credit risk. Borrowings of the 2018 Purchase Agreements and Indenture for Scilex consisted of the following (in thousands): June 30, 2019 December 31, 2018 Face value of loan $ 224,000 $ 224,000 Unamortized debt discount (77,624 ) (84,000 ) Capitalized debt issuance costs (5,313 ) (5,748 ) Accretion of debt discount 8,288 6,376 Amortization of debt issuance cost 570 435 Payments (918 ) — Ending balance $ 149,003 $ 141,063 Future minimum payments under the Scilex Notes, based on a percentage of projected net sales of ZTlido ® (lidocaine topical system) 1.8% are estimated as follows (in thousands): Year Ending December 31, 2019 (Remaining six months) $ 3,237 2020 17,960 2021 25,035 2022 41,705 2023 72,299 2024 62,846 Total future minimum payments 223,082 Unamortized debt discount (69,336 ) Unamortized capitalized debt issuance costs (4,743 ) Total minimum payment 149,003 Current portion (11,532 ) Long-term portion of Scilex Notes $ 137,471 The amount of debt discount and debt issuance costs included in interest expense for the three and six months ended June 30, 2019 was approximately $4.2 million and $8.9 million , respectively. The Company identified a number of embedded derivatives that require bifurcation from the Scilex Notes and separate accounting as a single compound derivative. The Company recorded this derivative within its consolidated financial statements (See Note 5). The Company re-evaluates this assessment each reporting period. 2018 Oaktree Term Loan Agreement On November 7, 2018, the Company and certain of its domestic subsidiaries (the “Guarantors”) entered into a Term Loan Agreement (the “Loan Agreement”) with certain funds and accounts managed by Oaktree Capital Management, L.P. (collectively, the “Lenders”) and Oaktree Fund Administration, LLC, as administrative and collateral agent (the “Agent”), for an initial term loan of $100.0 million (the “Initial Loan”) and a second tranche of $50.0 million , subject to the achievement of certain commercial and financial milestones between August 7, 2019 and November 7, 2019 and the satisfaction of certain customary conditions (the “Conditional Loan”). The Initial Loan matures on November 7, 2023 (the “Maturity Date”) and bears interest at a rate equal to the London Interbank Offered Rate (“LIBOR”) plus the applicable margin, or 7% . The net proceeds of the Initial Loan were approximately $91.3 million , after deducting estimated loan costs, commissions, fees and expenses and funding a debt service reserve account with approximately $9.6 million (the “Debt Service Reserve Account”), and will be used for general corporate purposes. In connection with the Loan Agreement, the Company and the Guarantors entered into a Collateral Agreement with the Agent (the “Collateral Agreement”). The Collateral Agreement provides that the Term Loans are secured by substantially all of the Company’s and the Guarantors’ assets, and a pledge of 100% of the equity interests in other entities each of the Company and the Guarantors holds (subject to certain exceptions and other than equity interests held by the Company or a Guarantor in certain foreign subsidiaries, which is limited to 65% of such voting equity interests). In connection with the Loan Agreement, on November 7, 2018, the Company issued to the Lenders warrants to purchase 6,288,985 shares of the Company’s common stock (the “Initial Warrants”). The Initial Warrants have an exercise price per share of $3.28 , subject to adjustment for stock splits, reverse stock splits, stock dividends and similar transactions, will be exercisable from May 7, 2019 through May 7, 2029 and will be exercisable on a cash basis, unless there is not an effective registration statement covering the resale of the shares issuable upon exercise of the Initial Warrants (the “Initial Warrant Shares”), in which case the Initial Warrants shall also be exercisable on a cashless exercise basis. In connection with the Loan Agreement, on November 7, 2018, the Company and the Lenders entered into a Registration Rights Agreement (the “Registration Rights Agreement”) pursuant to which, among other things, the Company agreed to file one or more registration statements with the SEC for the purpose of registering for resale the Initial Warrant Shares and the shares of common stock issuable upon exercise of warrants that may be issued in connection with the Conditional Loan (the “Conditional Warrants”). Under the Registration Rights Agreement, the Company agreed to file a registration statement with the SEC registering all of the Initial Warrant Shares and the shares of common stock issuable upon exercise of the Conditional Warrants for resale by no later than the 45th day following the issuance of the Initial Warrants and the Conditional Warrants, respectively. On May 3, 2019, the Company, the Guarantors and the Lenders and the Agent entered into an amendment (the “Amendment”) to the Loan Agreement. Under the terms of the Amendment, among other things, the Lenders agreed to make available to the Company $20.0 million of the Conditional Loan, notwithstanding that the commercial and financial milestones had not occurred (the “Early Conditional Loan”). The Lenders also agreed to loan the Company the remaining $30.0 million of the Conditional Loan upon the satisfaction of the commercial and financial milestones between August 7, 2019 and November 7, 2019 (the “Remaining Conditional Loan” and, together with the Initial Loan and the Early Conditional Loan, the “Term Loans”). The Term Loans, other than the Early Conditional Loan, will mature on November 7, 2023. The Early Conditional Loan will mature on May 3, 2020; however, if the commercial and financial milestones have occurred on or prior to such date, the Early Conditional Loan will mature on November 7, 2023. The Term Loans may be prepaid by the Company, in whole or in part at any time, subject to a prepayment fee. Upon any prepayment or repayment of all or a portion of the Term Loans (including the Early Conditional Loan and the Remaining Conditional Loan), the Company has agreed to pay the Lenders an exit fee equal to 1.25% of the principal amount paid or prepaid amounting to approximately $1.5 million . The Early Conditional Loan was funded on May 3, 2019. The Company accounted for the Amendment as a debt modification and not a debt extinguishment under ASC Topic 470-50, as the terms of the Early Conditional Loan were not substantially different from those of the Initial Loan. The Company incurred approximately $0.8 million in fees directly related to the Amendment which were expensed as incurred during the three months ended June 30, 2019. In connection with the Amendment, on May 3, 2019, the Company issued to the Lenders warrants to purchase an aggregate of 1,333,304 shares of the Company’s common stock (the “2019 Warrants”). The 2019 Warrants have an exercise price per share of $3.94 , subject to adjustment for stock splits, reverse stock splits, stock dividends and similar transactions, will be exercisable from November 3, 2019 through November 3, 2029 and will be exercisable on a cash basis, unless there is not an effective registration statement covering the resale of the shares issuable upon exercise of the 2019 Warrants (the “2019 Warrant Shares”), in which case the 2019 Warrants shall also be exercisable on a cashless exercise basis. The Company recorded a loss on derivative liabilities associated with the 2019 Warrants of $4.3 million during the three months ended June 30, 2019 as the Conditional Warrants were issued with the Amendment. The fair value of the Term Loans was estimated using a discounted cash flow model with Level 3 inputs with key inputs that include debt yield, coupon rate and maturity dates. As of June 30, 2019 , the estimated fair value of the Term Loans was approximately $57.0 million . Borrowings under the Initial Loan and the Early Conditional Loan consisted of the following (in thousands): June 30, 2019 December 31, 2018 Face value of loan $ 120,000 $ 100,000 Debt discount - warrants (26,248 ) (26,659 ) Debt discount - derivative (6,996 ) — Capitalized debt issuance costs (7,685 ) (6,658 ) Accretion of debt discount 1,882 411 Amortization of debt issuance costs 503 115 Ending balance $ 81,456 $ 67,209 Interest expense recognized for stated interest on the Term Loans totaled $2.7 million and $5.0 million for the three and six months ended June 30, 2019 , respectively. The amount of debt discount and debt issuance costs included in interest expense on the Term Loans for the three and six months ended June 30, 2019 was approximately $1.3 million and $2.4 million , respectively. The Company identified a number of embedded derivatives that require bifurcation from the Initial Loan and separate accounting as a single compound derivative. As the current fair value attributed to the bifurcated compound derivative is immaterial, the Company has not recorded this derivative within its consolidated financial statements. The Company re-evaluates this assessment each reporting period. The Company identified certain embedded derivatives that require bifurcation from the Early Conditional Loan and separate accounting as a single compound derivative. Certain of these embedded features include a contingent accelerated repayment feature. The Company deems the contingent accelerated repayment feature derivative to be material and recorded it within its consolidated financial statements (See Note 5). The Company re-evaluates this assessment each reporting period.

Shareholder Equity

Shareholder Equity	6 Months Ended
	Jun. 30, 2019
Equity [Abstract]
Shareholder Equity	Shareholder Equity 2019 Public Offering of Common Stock and Warrants On June 28, 2019, the Company entered into an underwriting agreement (the “Underwriting Agreement”) with JMP Securities LLC (the “Representative”), as representative of the several underwriters named therein (the “Underwriters”), relating to a firm commitment underwritten public offering (the “Offering”) of 8,333,334 shares of the Company’s common stock (“Common Stock”), Series A warrants to purchase up to an aggregate of 8,333,334 shares of Common Stock (the “Series A Warrants”), Series B warrants to purchase up to an aggregate of 8,333,334 shares of Common Stock (the “Series B Warrants”) and Series C warrants to purchase up to an aggregate of 8,333,334 shares of Common Stock (the “Series C Warrants” and, together with the Series A Warrants and the Series B Warrants, the “Warrants”). The public offering price is $3.00 per share of Common Stock and accompanying Warrants and the Underwriters have agreed to purchase the Common Stock and accompanying Warrants pursuant to the Underwriting Agreement at a price of $2.82 per share and accompanying Warrants. The Series A Warrants will be exercisable six months from the date of issuance, will expire on the 10-year anniversary of the date of issuance and will have an exercise price of $3.75 . The Series B warrants will be exercisable commencing on the date of issuance, will expire on the date that is nine months from the date of issuance and will have an exercise price of $3.00 per share. The Series C Warrants will be exercisable six months from the date of issuance and only to the extent and in proportion to a holder of the Series C warrants exercising its Series B Warrants, will expire on the 10-year anniversary of the date of issuance and will have an exercise price of $3.75 per share. Under the terms of the Underwriting Agreement, the Company also granted to the Underwriters an option, exercisable in whole or in part at any time for a period of 30 days from the date of the Underwriting Agreement, to purchase up to an additional 1,250,000 shares of Common Stock (“Additional Shares”) and/or 1,250,000 combinations of Warrants (comprised of an aggregate of 1,250,000 Series A Warrants, 1,250,000 Series B Warrants and 1,250,000 Series C Warrants) (“Warrant Combinations”), at the public offering price of $2.99 per Additional Share and the public offering price per Warrant Combination of $0.01 , less underwriting discounts and commissions. The net proceeds from this offering were approximately $23.1 million , after deducting underwriting discounts and commissions and other estimated offering expenses, and were received in July 2019.

Stock Incentive Plans

Stock Incentive Plans	6 Months Ended
	Jun. 30, 2019
Equity [Abstract]
Stock Incentive Plans	Stock Incentive Plans 2009 Stock Incentive Plan The following table summarizes stock option activity as of June 30, 2019 and the changes for the period then ended (dollar values in thousands, other than weighted-average exercise price): Options Outstanding Weighted- Average Exercise Price Aggregate Intrinsic Value Outstanding at December 31, 2018 10,523,075 $ 4.91 $ 1,723 Options Granted 2,666,800 $ 3.84 Options Canceled (661,525 ) $ 1.86 Options Exercised (136,074 ) $ 5.21 Outstanding at June 30, 2019 12,392,276 $ 4.70 $ 2,350 The aggregate intrinsic value of options exercised during the three months ended June 30, 2019 and 2018 was $175 thousand and $4 thousand , respectively. The aggregate intrinsic value of options exercised during the six months ended June 30, 2019 and 2018 was $306 thousand and $52 thousand , respectively. The Company uses the Black-Scholes valuation model to calculate the fair value of stock options. The fair value of employee stock options was estimated at the grant date using the following assumptions: Six Months Ended June 30, 2019 2018 Weighted-average grant date fair value $ 3.05 $ 7.39 Dividend yield — % — % Volatility 100 % 81 % Risk-free interest rate 1.87 % 2.52 % Expected life of options 6.1 years 6.1 years The total employee and director stock-based compensation recorded as operating expenses was $2.0 million and $1.0 million for the three months ended June 30, 2019 and 2018 , respectively, and $3.5 million and $2.2 million for the six months ended June 30, 2019 and 2018 , respectively. The total unrecognized compensation cost related to unvested employee and director stock option grants as of June 30, 2019 was $19.6 million and the weighted average period over which these grants are expected to vest is 2.1 years . Stock-based compensation expense related to non-employee consultants recorded as operating expenses was $0.1 million and $0.2 million for the three months ended June 30, 2019 and 2018 , respectively, and $0.2 million and $0.3 million for the six months ended June 30, 2019 and 2018 , respectively. Common Stock Reserved for Future Issuance Common stock reserved for future issuance consists of the following at June 30, 2019 : Common stock warrants outstanding under the loan and security agreements 7,688,181 Common stock warrants outstanding under the Hercules securities agreement 306,748 Common stock warrants outstanding under the convertible notes 14,819,872 Common stock options outstanding under the Non-Employee Director Plan 3,200 Authorized for future grant or issuance under the 2009 Stock Incentive Plan 18,188,332 Shares issuable upon the conversion of the 2018 Notes 5,397,325 Issuable under assignment agreement based upon achievement of certain milestones 80,000 46,483,658 Scilex Pharmaceuticals Inc. 2017 Equity Incentive Plan In June 2017, the Company’s subsidiary Scilex Pharmaceuticals Inc. adopted the Scilex Pharmaceuticals Inc. 2017 Equity Incentive Plan, (the “Scilex Pharma 2017 Plan”). The Scilex Pharma 2017 Plan reserved 24.0 million shares of Scilex common stock. Stock options granted under this plan typically vest 1/4th of the shares on the first anniversary of the vesting commencement date and 1/48th of the remaining options vest each month thereafter. The Scilex Pharma 2017 Plan was amended and restated on July 5, 2018. Upon closing of the Company’s acquisition of Semnur, the Scilex Pharma 2017 Equity Incentive Plan was terminated, and each option to purchase Scilex Pharmaceuticals common stock outstanding and unexercised immediately prior to the Closing were cancelled and substituted for that number of options to acquire common stock of Scilex Holding, as further described in Note 4. The total employee and director stock-based compensation recorded as operating expenses was $0.2 million and $0.1 million for the three months ended June 30, 2019 and 2018, respectively, and $0.3 million and $0.1 million for the six months ended June 30, 2019 and 2018, respectively. Stock-based compensation expense related to non-employee consultants recorded as operating expenses was $0.6 million for each of the three and six months ended June 30, 2019. Stock-based compensation expense related to non-employee consultants was immaterial for the three and six months ended June 30, 2018. Scilex Holding Company 2019 Stock Option Plan The board of directors of Scilex Holding adopted the Scilex Holding Company 2019 Stock Option Plan (the “2019 Stock Option Plan”) on May 28, 2019. The Scilex Holding 2019 Stock Option Plan was approved by the stockholders of Scilex Holding on June 7, 2019. As of June 30, 2019, options to purchase 25,412,608 shares of the common stock of Scilex Holding were outstanding and 8,035,276 shares were reserved for awards available for future issuance.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Litigation In the normal course of business, the Company may be named as a defendant in one or more lawsuits. Other than as set forth below, the Company is not a party to any outstanding material litigation and management is currently not aware of any legal proceedings that, individually or in the aggregate, are deemed to be material to the Company’s financial condition or results of operations. On April 3, 2019, the Company filed two legal actions against, among others, Patrick Soon-Shiong and entities controlled by him, asserting claims for, among other things, fraud and breach of contract, arising out of Soon-Shiong’s purchase of the drug Cynviloq™ from the Company in May 2015. The actions allege that Soon-Shiong and the other defendants, among other things, acquired the drug Cynviloq™ for the purpose of halting its progression to the market. Specifically, the Company has filed: • An arbitration demand with the American Arbitration Association in Los Angeles, California against NantPharma, LLC and Chief Executive Officer Patrick Soon-Shiong, seeking damages in excess of $1 billion , as well as additional punitive damages, related to alleged fraud and breaches of the Stock Sale and Purchase Agreement, dated May 14, 2015, entered into between NantPharma LLC and the Company, included as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q filed with the SEC on August 7, 2015. On May 24, 2019, NantCell, Inc., Mr. Soon-Shiong and NANTibody General Counsel Charles Kim filed a motion in the Los Angeles Superior Court to stay or dismiss the Company’s arbitration demand. The Company makes no representations as to the likely success or outcome of such arbitration; and • An action in the Los Angeles Superior Court derivatively on behalf of Immunotherapy NANTibody LLC (“NANTibody”) against NantCell, Inc., NANTibody Board Member and NantCell, Inc. Chief Executive Officer Patrick Soon-Shiong, and NANTibody officer Charles Kim, related to several breaches of the June 11, 2015 Limited Liability Company Agreement for NANTibody entered into between the Company and NantCell, Inc. The suit also alleges breaches of fiduciary duties and seeks, inter alia, a declaration that the Assignment Agreement entered into on July 2, 2017, between NantPharma, LLC and NANTibody is void and an equitable unwinding of the Assignment Agreement. The suit calls for the restoration of $90.05 million to the NANTibody capital account, thereby restoring the Company’s equity method investment in NANTibody to its invested amount as of June 30, 2017 amount of $40 million . On May 24, 2019, NantCell, Inc. and Mr. Soon-Shiong filed a cross-complaint against the Company and Dr. Ji, seeking unspecified damages, as well as additional punitive damages and specific performance, related to alleged fraud, alleged breaches of the Exclusive License Agreement for certain antibodies (dated April 21, 2015 and entered into between NantCell, Inc. and the Company), and tortious interference with contract. On May 24, 2019, NANTibody and NantPharma, LLC filed a new complaint in the action against the Company and Dr. Ji, seeking unspecified damages, as well as additional punitive damages and specific performance, related to alleged fraud, alleged breaches of the Stock Sale and Purchase Agreement, alleged breaches of the Exclusive License Agreement for certain antibodies (dated April 21, 2015 and entered into between NantCell, Inc. and the Company), and tortious interference with contract. On July 8, 2019, the Company and Dr. Ji filed a motion to compel this action to arbitration. The parties are currently engaged in discovery in the suit. The Company makes no representations as to the likely success or outcome of such lawsuit. Operating Leases The Company leases administrative, research and development, sales and marketing and manufacturing facilities under various non-cancelable lease agreements. Facility leases generally provide for periodic rent increases, and many contain escalation clauses and renewal options. As of June 30, 2019 , the Company’s leases have remaining lease terms of approximately 0.9 to 10.3 years, some of which include options to extend the lease terms for up to five years , and some of which allow for early termination. In calculating the lease liability, lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise such options. Many of the Company’s leases are subject to variable lease payments. Variable lease payments are recognized in the period in which the obligation for those payments are incurred, are not included in the measurement of the right-of-use assets or lease liabilities and are immaterial. Additionally, certain leases may be subject to annual changes in the consumer price index (“CPI”). Changes in the CPI are treated as variable lease payments and do not result in a remeasurement of the right-of-use assets or lease liabilities. As the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. The Company calculates the associated lease liability and corresponding right-of-use asset upon lease commencement using a discount rate based on a credit-adjusted secured borrowing rate commensurate with the term of the lease. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. As of June 30, 2019, the Company has no finance leases. Operating lease costs were $2.7 million and $5.0 million for the three and six months ended June 30, 2019 , respectively, and were primarily comprised of long-term operating lease costs. Short-term operating lease costs were immaterial. Supplemental quantitative information related to leases includes the following (in thousands): Three months ended June 30, 2019 Six months ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,867 $ 3,399 Right-of-use assets obtained in exchange for new and amended operating lease liabilities $ 4,447 $ 4,747 Weighted average remaining lease term in years - operating leases 9.9 years 9.9 years Weighted average discount rate - operating leases 12.2 % 12.2 % During the second quarter of 2019, Scilex amended its Mission Viejo, CA lease resulting in an extended term through 2024 and approximately 4,000 square feet of additional office space. During the second quarter of 2019, the Company amended its cGMP fill and finish and storage lease resulting in an extended term through 2029 and approximately 21,300 square feet of additional space expected to be added in the first quarter of 2020. Maturities of lease liabilities were as follows (in thousands): Years ending December 31, Operating leases 2019 (Remaining six months) $ 3,602 2020 9,581 2021 9,041 2022 9,154 2023 9,404 2024 9,477 Thereafter 47,027 Total lease payments 97,286 Less imputed interest (42,842 ) Total lease liabilities as of June 30, 2019 $ 54,444

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company maintains deferred tax assets that reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. These deferred tax assets include net operating loss carryforwards, research credits and temporary differences. In assessing the Company’s ability to realize deferred tax assets, management considers, on a periodic basis, whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. As such, management has determined that it is appropriate to maintain a valuation allowance against the Company’s U.S. federal and state deferred tax assets, with the exception of an amount equal to its deferred tax liabilities. The Company’s income tax benefit of $0.6 million and $2.3 million reflect effective tax rates of 0.26% and 2.1% for the six months ended June 30, 2019 and 2018 , respectively. The Company’s income tax benefit of $0.4 million and $1.4 million reflect effective tax rates of 0.54% and 1.86% for the three months ended June 30, 2019 and 2018 , respectively. The difference between the expected statutory federal tax expense of 21% and the 0.26% effective tax expense for the six months ended June 30, 2019 was primarily attributable to the valuation allowance against most of the Company’s deferred tax assets. For the six months ended June 30, 2019 , when compared to the same period in 2018, the decrease in the tax benefit and change in effective income tax rate was primarily attributable to the increased valuation allowance in 2019. The Company is subject to taxation in the U.S. and various state and foreign jurisdictions. The Company’s tax years for 2007 and later are subject to examination by the U.S. and state tax authorities due to the existence of the NOL carryforwards.

Related Party Agreements

Related Party Agreements	6 Months Ended
	Jun. 30, 2019
Related Party Transactions [Abstract]
Related Party Agreements	Related Party Agreements As further discussed in Note 4, on March 18, 2019, the Company entered into a Merger Agreement with Semnur, Scilex Holding, Merger Sub, and Fortis Advisors LLC, solely as representative of the Equityholders’ Representative. Pursuant to the Merger Agreement, Merger Sub merged with and into Semnur, with Semnur surviving as a wholly owned subsidiary of Scilex Holding. Jaisim Shah, a member of the Company’s Board of Directors, was Semnur’s Chief Executive Officer, a member of its Board of Directors and a stockholder of Semnur prior to the acquisition transaction. Following the issuance of the Stock Consideration as discussed in Note 4, the Company is the owner of approximately 58% of Scilex Holding’s issued and outstanding capital stock. As of June 30, 2019 , approximately 15% of the outstanding capital stock of Scilex Holding represents a noncontrolling interest and continues to be held by ITOCHU CHEMICAL FRONTIER Corporation. Scilex has entered into a product development agreement with ITOCHU CHEMICAL FRONTIER Corporation, which serves as the sole manufacturer and supplier to Scilex for the ZTlido ® product. During the three and six months ended June 30, 2019 , Scilex purchased approximately $2.5 million and $5.7 million , respectively, of inventory from ITOCHU CHEMICAL FRONTIER Corporation.

Loss Per Share

Loss Per Share	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
Loss Per Share	Loss Per Share For the three and six months ended June 30, 2019 and 2018 , basic loss per common share is computed by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted loss per common share is calculated to give effect to all dilutive securities, using the treasury stock method. The following table sets forth the reconciliation of basic and diluted loss per share for the three and six months ended June 30, 2019 and 2018 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Numerator Net loss attributable to Sorrento $ (56,762 ) $ (73,864 ) $ (164,833 ) $ (106,436 ) Net loss attributable to Semnur holders of Scilex Holding (6,093 ) — (28,824 ) — Net loss used for diluted earnings per share $ (62,855 ) $ (73,864 ) $ (193,657 ) $ (106,436 ) Denominator for Basic Loss Per Share 122,549 100,563 122,415 92,795 Potentially dilutive shares of Sorrento common stock issuable upon Share Exchange 9,910 — 5,717 — Denominator for Diluted Loss Per Share 132,459 100,563 128,132 92,795 Basic Loss Per Share $ (0.46 ) $ (0.73 ) $ (1.35 ) $ (1.15 ) Diluted Loss Per Share $ (0.47 ) $ (0.73 ) $ (1.51 ) $ (1.15 ) The potentially dilutive stock options that would have been excluded because the effect would have been anti-dilutive for the six months ended June 30, 2019 and 2018 were 9.7 million and 2.5 million , respectively. The potentially dilutive warrants that would have been excluded because the effect would have been anti-dilutive for the six months ended June 30, 2019 and 2018 were 10.7 million and 2.2 million , respectively.

Segment Information

Segment Information	6 Months Ended
	Jun. 30, 2019
Segment Reporting [Abstract]
Segment Information	Segment Information During the quarter ended March 31, 2019, the Company realigned its businesses into two operating and reportable segments, Sorrento Therapeutics and Scilex. The Company reports segment information based on the management approach. The management approach designates the internal reporting used by the Chief Operating Decision Maker (“CODM”), which is the Company’s Chief Executive Officer, for making decisions and assessing performance as the source of the Company’s reportable segments. The CODM allocates resources and assesses the performance of each operating segment based on licensing, sales and services revenue, operating expenses, and operating income (loss) before interest and taxes. The Company has determined its reportable segments to be Sorrento Therapeutics and Scilex based on the information used by the CODM. Sorrento Therapeutics . The Sorrento Therapeutics segment is organized around the Company’s Immuno-Oncology therapeutic area, leveraging its proprietary G-MAB™ antibody library and targeted delivery modalities to generate the next generation of cancer therapeutics. These modalities include proprietary chimeric antigen receptor T-cell therapy (“CAR-T”), dimeric antigen receptor T-cell therapy (“DAR-T”), antibody drug conjugates (“ADCs”) as well as bispecific antibody approaches. Additionally, this segment also includes Sofusa ® , a revolutionary drug delivery system that delivers biologics directly into the lymphatic system to potentially achieve improved efficacy and fewer adverse effects than standard parenteral immunotherapy, and resiniferatoxin (“RTX”), which is a non-opioid-based neurotoxin and is currently in clinical trials for late stage cancer pain and osteoarthritis. Scilex . The Scilex segment is largely organized around the Company’s non-opioid pain management operations. As of June 30, 2019, revenues from the Scilex segment are exclusively derived from the sale of ZTlido ® (lidocaine topical system) 1.8%. • In October 2018, Scilex commercially launched its ZTlido ® (lidocaine topical system) 1.8% product and began recognizing revenue in the fourth quarter of 2018. • Semnur’s SEMDEXA TM (SP-102) compound is the first non-opioid corticosteroid formulated as a viscous gel injection in development for the treatment of lumbosacral radicular pain/sciatica, containing no neurotoxic preservatives, surfactants, solvents or particulates. SEMDEXA TM has been awarded fast track status by the FDA. See Note 4 for further detail on the Semnur acquisition. The Company manages its assets on a company basis, not by segments, as many of its assets are shared or commingled. The Company’s CODM does not regularly review asset information by reportable segment and, therefore, it does not report asset information by reportable segment. The majority of long-lived assets for both segments are located in the United States. The following table presents information about the Company’s reportable segments for the three and six months ended June 30, 2019 and 2018 (in thousands): Three months ended June 30, 2019 2018 (in thousands) Sorrento Therapeutics Scilex Total Sorrento Therapeutics Scilex Total External revenues $ 1,817 $ 4,660 $ 6,477 $ 3,913 $ — $ 3,913 Operating expenses 36,299 20,539 56,838 28,076 4,208 32,284 Operating loss before interest and taxes (34,482 ) (15,879 ) (50,361 ) (24,163 ) (4,208 ) (28,371 ) Six months ended June 30, 2019 2018 (in thousands) Sorrento Therapeutics Scilex Total Sorrento Therapeutics Scilex Total External revenues $ 5,101 $ 7,519 $ 12,620 $ 10,159 $ — $ 10,159 Operating expenses 71,431 114,720 186,151 63,776 7,298 71,074 Operating loss before interest and taxes (66,330 ) (107,201 ) (173,531 ) (53,617 ) (7,298 ) (60,915 )

Significant Accounting Polici_2

Significant Accounting Policies - (Policies)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Nature of Operations and Basis Of Presentation	Na t ure of Operations and Basis of Presentation Sorrento Therapeutics, Inc. (Nasdaq: SRNE), together with its subsidiaries (collectively, the “Company”) is a clinical stage and commercial biopharma company focused on delivering innovative and clinically meaningful therapies to patients and their families, globally, to address unmet medical needs. The Company primarily focuses on therapeutic areas in Immuno-Oncology and Non-Opioid Pain Management. The Company also has programs assessing the use of its technologies and products in auto-immune, inflammatory and neurodegenerative diseases. At its core, the Company is an antibody-centric company and leverages its proprietary G-MAB™ library and targeted delivery modalities to generate the next generation of cancer therapeutics. The Company’s fully human antibodies include PD-1, PD-L1, CD38, CD123, CD47, c-MET, VEGFR2, CCR2 and CD137 among others. The Company’s vision is to leverage these antibodies in conjunction with proprietary targeted delivery modalities to generate the next generation of cancer therapeutics. These modalities include proprietary chimeric antigen receptor T-cell therapy (“CAR-T”), dimeric antigen receptor T-cell therapy (“DAR-T”), antibody drug conjugates (“ADCs”) as well as bispecific antibody approaches. The Company acquired Sofusa ® , a revolutionary drug delivery system, in July 2018, which delivers biologics directly into the lymphatic system to potentially achieve improved efficacy and fewer adverse effects than standard parenteral immunotherapy. Additionally, the Company’s majority owned subsidiary, Scilex Holding Company (“Scilex Holding”), acquired the assets of Semnur Pharmaceuticals, Inc. (“Semnur”). Semnur’s SEMDEXA TM (SP-102) compound is expected to be the first FDA-approved non-opioid corticosteroid formulated as a viscous gel injection in development for the treatment of lumbosacral radicular pain/sciatica, containing no neurotoxic preservatives, surfactants, solvents or particulates. With each of the Company’s clinical and pre-clinical programs, it aims to tailor its therapies to treat specific stages in the evolution of cancer, from elimination, to equilibrium and escape. In addition, the Company’s objective is to focus on tumors that are resistant to current treatments and where it can design focused trials based on a genetic signature or biomarker to ensure patients have the best chance of a durable and significant response. The Company has several immuno-oncology programs that are in or close to entering the clinic. These include cellular therapies, an oncolytic virus and a palliative care program targeted to treat intractable cancer pain. Through June 30, 2019 , the Company had devoted substantially all of its efforts to developing products, raising capital and building infrastructure. The accompanying consolidated financial statements include the accounts of the Company’s subsidiaries. For consolidated entities where the Company owns or is exposed to less than 100% of the economics, the Company records net income (loss) attributable to noncontrolling interests in its consolidated statements of operations equal to the percentage of the economic or ownership interest retained in such entities by the respective noncontrolling parties. All intercompany balances and transactions have been eliminated in consolidation. In the opinion of management, the unaudited financial information for the interim periods presented reflects all adjustments, which are only normal, recurring and necessary for a fair statement of financial position, results of operations and cash flows. These consolidated financial statements should be read in conjunction with the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018 . Operating results for interim periods are not expected to be indicative of operating results for the Company’s 2019 fiscal year, or any subsequent period.
Liquidity and Going Concern	Liquidity and Going Concern The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. The Company has recurring losses from operations, recurring negative cash flows from operations and substantial cumulative net losses to date and anticipates that it will continue to do so for the foreseeable future as it continues to identify and invest in advancing product candidates, as well as expanding corporate infrastructure. The Company has plans in place to obtain sufficient additional funds to fulfill its operating and capital requirements for the next 12 months. The Company’s plans include continuing to fund its operating losses and capital funding needs through public or private equity or debt financings, strategic collaborations, licensing arrangements, asset sales, government grants or other arrangements. Although management believes such plans, if executed, should provide the Company sufficient financing to meet its needs, successful completion of such plans is dependent on factors outside of the Company’s control. As such, management cannot conclude that such plans will be effectively implemented within one year after the date that the financial statements are issued. As a result, management has concluded that the aforementioned conditions, among others, raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date the financial statements are issued. As of June 30, 2019 , the Company had $350.9 million of long term debt outstanding, comprised of convertible notes issued pursuant to the 2018 Securities Purchase Agreement (as defined below), the 2018 Purchase Agreements (as defined below) and the Indenture (as defined below) for Scilex Pharmaceuticals Inc. (“Scilex”) and the Loan Agreement (as defined below) (collectively, the “Debt Arrangements”) (See Note 10). Each of the Debt Arrangements provides that, upon the occurrence of an event of default, the Purchasers or Lenders thereof (as applicable) may, by written notice to the Company, declare all of the outstanding principal and interest under such Debt Arrangement immediately due and payable. For purposes of the Debt Arrangements, an event of default includes, among other things, (i) the failure to pay outstanding indebtedness when due, (ii) the Company’s breach of certain representations, warranties, covenants or obligations under the documents relating to the Debt Arrangements, or (iii) the occurrence of certain insolvency events involving the Company. The Company believes that it is not probable that the material adverse event clause under the Debt Arrangements will be exercised. If the Company is unable to raise additional capital in sufficient amounts or on terms acceptable, the Company may have to significantly delay, scale back or discontinue the development or commercialization of one or more of its product candidates. The Company may also seek collaborators for one or more of its current or future product candidates at an earlier stage than otherwise would be desirable or on terms that are less favorable than might otherwise be available. The consolidated financial statements do not reflect any adjustments that might be necessary if the Company is unable to continue as a going concern.
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of expenses during the reporting period. Management believes that these estimates are reasonable; however, actual results may differ from these estimates.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company follows accounting guidance on fair value measurements for financial instruments measured on a recurring basis, as well as for certain assets and liabilities that are initially recorded at their estimated fair values. Fair value is defined as the exit price, or the amount that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company uses the following three-level hierarchy that maximizes the use of observable inputs and minimizes the use of unobservable inputs to value its financial instruments: • Level 1: Observable inputs such as unadjusted quoted prices in active markets for identical instruments. • Level 2: Quoted prices for similar instruments that are directly or indirectly observable in the marketplace. • Level 3: Significant unobservable inputs which are supported by little or no market activity and that are financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant judgment or estimation. Financial instruments measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires it to make judgments and consider factors specific to the asset or liability. The use of different assumptions and/or estimation methodologies may have a material effect on estimated fair values. Accordingly, the fair value estimates disclosed or initial amounts recorded may not be indicative of the amount that the Company or holders of the instruments could realize in a current market exchange. The carrying amounts of cash equivalents and marketable securities approximate their fair value based upon quoted market prices. Certain of the Company’s financial instruments are not measured at fair value on a recurring basis, but are recorded at amounts that approximate their fair value due to their liquid or short-term nature, such as cash, accounts receivable and payable, and other financial instruments in current assets or current liabilities.
Inventory	Inventory The Company determines inventory cost on a first-in, first-out basis. The Company reduces the carrying value of inventories to a lower of cost or net realizable value for those items that are potentially excess, obsolete or slow-moving. The Company reserves for excess and obsolete inventory based upon historical experience, sales trends, and specific categories of inventory and age of on-hand inventory. As of June 30, 2019 , the Company’s inventory is primarily comprised of finished goods.
Research and Development Costs	Research and Development Costs All research and development costs are charged to expense as incurred. Such costs primarily consist of lab supplies, contract services, stock-based compensation expense, salaries and related benefits.
Acquired In-Process Research and Development Expense	Acquired In-Process Research and Development Expense The Company has acquired and may continue to acquire the rights to develop and commercialize new drug candidates. The up-front payments to acquire a new drug compound or drug delivery devices, as well as future milestone payments associated with asset acquisitions that do not meet the definition of a derivative and are deemed probable to achieve the milestones, are immediately expensed as acquired in-process research and development provided that the drug has not obtained regulatory approval for marketing and, absent obtaining such approval, have no alternative future use. The acquired in-process research and development related to the business combination of Virttu Biologics Limited (“Virttu”), for which certain products are under development and expected to be commercialized in the future, was capitalized and recorded within “Intangibles, net” on the accompanying consolidated balance sheet. The Company commenced amortization of acquired in-process research and development related to the business combination of Scilex upon commercialization of ZTlido ® (lidocaine topical system) 1.8% in October 2018. Capitalized in-process research and development will be reviewed annually for impairment or more frequently as changes in circumstance or the occurrence of events suggest that the remaining value may not be recoverable. (See Note 4 for further discussion of acquired in-process research and development expense related to the acquisition of Semnur Pharmaceuticals, Inc.).
Revenue Recognition	Revenue Recognition As of June 30, 2019, the future performance obligations for royalty and license revenues relate to the license agreements with ImmuneOncia Therapeutics, LLC (“ImmuneOncia”) and NantCell, Inc. (“NantCell”). The total consideration for the ImmuneOncia license performance obligation, effective September 1, 2016, represented $9.6 million . The estimated revenue expected to be recognized for future performance obligations, as of June 30, 2019 , was approximately $8.2 million . The Company expects to recognize license revenue of approximately $0.5 million of the remaining performance obligation annually through the remaining term. The Company applied judgment in estimating the 20 -year contract term, analogous to the expected life of the patent, over which revenue is recognized over time given the ongoing performance obligation related to the Company’s participation on a steering committee for the technologies under the agreement. As of June 30, 2019 , the NantCell license agreement, effective April 21, 2015, represented $110.0 million of contract liabilities reflected in long-term deferred revenue. See Note 9 for additional information regarding the remaining performance obligation for the agreement. Sales and Services Revenues Sales and services revenues are comprised of Scilex product sales of ZTlido ® (lidocaine topical system) 1.8%, contract manufacturing associated with sales of customized reagents at Concortis Biosystems Corp. (“Concortis”), materials and supply agreements, contract manufacturing services at BioServ Corporation, and the Company’s joint development agreement with Celularity Inc. (“Celularity”). The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which it recognizes revenue at the amount to which it has the right to invoice for services performed. The Company applied the practical expedient in Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers to the revenue contracts for Concortis sales and services and materials and supply agreements due to the general short-term length of such contracts. The following table shows sales and service revenues disaggregated by product and services type for the three and six months ended June 30, 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Scilex product sales $ 4,660 $ — $ 7,519 $ — Concortis sales and services 1,205 895 3,015 2,358 Materials and supply agreements 39 — 539 861 Bioserv sales and services 453 1,231 1,307 3,367 Joint development agreement — 1,667 — 3,333 $ 6,357 $ 3,793 $ 12,380 $ 9,919 The Company is obligated to accept from customers the return of products sold that are damaged or do not meet certain specifications. The Company may authorize the return of products sold in accordance with the terms of its sales contracts, and estimates allowances for such amounts at the time of sale. The Company has not experienced any sales returns. Bioserv Corporation ( “ Bioserv ” ) Contract manufacturing services associated with the Company’s Bioserv operations related to finish and fill activities for drug products and reagents are recognized ratably over the contract term based on a time-based measure which reflects the transfer of services to the customer because the manufactured products are highly customized and do not have an alternative use to the Company. As of December 31, 2018 and June 30, 2019 , the estimated revenue expected to be recognized for future performance obligations associated with contract manufacturing services was approximately $1.6 million and $0.9 million , respectively. The following table includes Bioserv sales and services revenue expected to be recognized in the future related to performance obligations that are undelivered or partially delivered at the end of the reporting period and do not include contracts with original durations of one year or less (in thousands): Remainder of 2019 2020 2021 and thereafter Contract manufacturing services $413 $407 $109 Joint Development Agreement On September 26, 2017, the Company entered into a joint development agreement with Celularity whereby the Company agreed to provide research services to Celularity through June 30, 2018 in exchange for an upfront payment of $5.0 million . The revenue related to the joint development agreement of $5.0 million was recognized over the length of the service agreement as services were performed. The Company recorded sales and services revenues under the joint development agreement of $3.3 million during the six months ended June 30, 2018. The Company recorded no sales and services revenues under the joint development agreement during the six months ended June 30, 2019 as such arrangement is complete.
Reorganization of Segments	Reorganization of Segments Starting on January 1, 2019, the Company re-segmented its business into two new operating segments: the Sorrento Therapeutics segment and the Scilex segment.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, Leases . ASU No. 2016-02 is aimed at making leasing activities more transparent and comparable, and requires substantially all leases be recognized by lessees on their balance sheet as a right-of-use asset and corresponding lease liability, including leases currently accounted for as operating leases. ASU No. 2016-2 is effective for financial statements issued for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. In July 2018, the FASB issued ASU No. 2018-11, which allows for an optional transition method to adopt the lease standard by recognizing a cumulative-effect adjustment to the opening balance sheet of retained earnings in the period of adoption, with no adjustment to prior comparative periods. In March 2019, the FASB issued ASU No. 2019-01, which clarifies that entities are not subject to the transition disclosure requirements in Accounting Standards Codification (“ASC”) Topic 250-10-50-3 related to the effect of an accounting change on certain interim period financial information. ASU No. 2016-02 and all subsequent amendments (collectively, “ASC 842”) were effective for public entities for annual reporting periods beginning after December 15, 2018, including interim periods therein. The Company adopted ASC 842 during the first quarter of 2019 and elected to apply the cumulative-effect adjustment to the opening balance sheet and optional transition method to not present comparable prior periods as allowed under ASU No. 2018-11. The Company made the following practical expedients elections: (1) elected the short-term lease exception, (2) did not elect hindsight, and (3) elected to not separate its non-lease components from lease components. The Company adopted the transitional practical expedients, which allowed the Company to carry forward its historical assessment of whether existing agreements contained a lease and the classification of the Company’s existing operating leases, and also allowed the Company to not reassess initial direct costs. The adoption of ASC 842 resulted in the recording of $44.9 million in operating ROU assets and $2.6 million and $47.8 million in current portion of operating lease liabilities and non-current operating lease liabilities, respectively. Deferred rent, recorded in other current liabilities and other non-current liabilities, was derecognized. There were no adjustments to retained earnings. The Company will continue to report financial information for fiscal years ending on or before December 31, 2018 under the previous lease accounting standard. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,

Significant Accounting Polici_3

Significant Accounting Policies - (Tables)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Schedule of Revenues by Category	The following table shows sales and service revenues disaggregated by product and services type for the three and six months ended June 30, 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Scilex product sales $ 4,660 $ — $ 7,519 $ — Concortis sales and services 1,205 895 3,015 2,358 Materials and supply agreements 39 — 539 861 Bioserv sales and services 453 1,231 1,307 3,367 Joint development agreement — 1,667 — 3,333 $ 6,357 $ 3,793 $ 12,380 $ 9,919
Schedule of Remaining Performance Obligation	The following table includes Bioserv sales and services revenue expected to be recognized in the future related to performance obligations that are undelivered or partially delivered at the end of the reporting period and do not include contracts with original durations of one year or less (in thousands): Remainder of 2019 2020 2021 and thereafter Contract manufacturing services $413 $407 $109

Fair Value Measurements - (Tabl

Fair Value Measurements - (Tables)	6 Months Ended
	Jun. 30, 2019
Fair Value Disclosures [Abstract]
Schedule of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table presents the Company’s financial assets and liabilities that are measured at fair value on a recurring basis (in thousands): Fair Value Measurements at June 30, 2019 Balance Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Cash and cash equivalents $ 61,385 $ 61,385 $ — $ — Restricted cash 54,742 54,742 — — Marketable securities 316 257 — 59 Total assets $ 116,443 $ 116,384 $ — $ 59 Liabilities: Derivative liabilities $ 7,900 $ — $ — $ 7,900 Derivative liabilities - Non-current 19,900 — — 19,900 Acquisition consideration payable 11,312 — — 11,312 Acquisition consideration payable - Non-current 791 — — 791 Total liabilities $ 39,903 $ — $ — $ 39,903 Fair Value Measurements at December 31, 2018 Balance Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Cash and cash equivalents $ 158,738 $ 158,738 $ — $ — Restricted cash 54,592 54,592 — — Marketable securities 297 247 — 50 Total assets $ 213,627 $ 213,577 $ — $ 50 Liabilities: Acquisition consideration payable $ 11,312 $ — $ — $ 11,312 Acquisition consideration payable - Non-current 725 — — 725 Total liabilities $ 12,037 $ — $ — $ 12,037
Liabilities Measured at Fair Value Using Significant Unobservable Inputs	The following table includes a summary of the derivative liabilities measured at fair value using significant unobservable inputs (Level 3) during the six months ended June 30, 2019: (in thousands) Fair Value Beginning Balance at December 31, 2018 $ — Additions 6,996 Re-measurement of Fair Value 20,804 Ending Balance at June 30, 2019 $ 27,800 The following table includes a summary of the Company’s contingent consideration liabilities and acquisition consideration payables associated with acquisitions. (in thousands) Fair Value Beginning balance at December 31, 2018 $ 12,037 Re-measurement of Fair Value 66 Ending balance at June 30, 2019 $ 12,103

Property and Equipment - (Table

Property and Equipment - (Tables)	6 Months Ended
	Jun. 30, 2019
Property, Plant and Equipment [Abstract]
Summary of Property and Equipment	Property and equipment consisted of the following as of June 30, 2019 and December 31, 2018 (in thousands): June 30, 2019 December 31, 2018 Furniture and fixtures $ 1,237 $ 1,127 Office equipment 678 632 Machinery and lab equipment 30,013 27,690 Leasehold improvements 9,798 9,001 Construction in progress 8,365 1,221 50,091 39,671 Less accumulated depreciation (19,262 ) (15,287 ) $ 30,829 $ 24,384

Goodwill and Intangible Assets

Goodwill and Intangible Assets - (Tables)	6 Months Ended
	Jun. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill
Summary of Company's Identifiable Intangible Assets	A summary of the Company’s identifiable intangible assets as of June 30, 2019 and December 31, 2018 is as follows (in thousands): June 30, 2019 Weighted average amortization period (Years) Gross Carrying Amount Accumulated Amortization Intangibles, net Customer relationships 6 $ 1,585 $ 1,387 $ 198 Acquired technology 19 3,410 973 2,437 Acquired in-process research and development 15 35,834 1,097 34,737 Patent rights 15 32,720 5,831 26,889 Assembled workforce 5 $ 605 $ 41 $ 564 Total intangible assets $ 74,154 $ 9,329 $ 64,825 December 31, 2018 Weighted average amortization period (Years) Gross Carrying Amount Accumulated Amortization Intangibles, net Customer relationships 6 $ 1,585 $ 1,373 $ 212 Acquired technology 19 3,410 885 2,525 Acquired in-process research and development 15 35,834 366 35,468 Patent rights 15 32,720 4,742 27,978 Assembled workforce 5 105 5 100 Total intangible assets $ 73,654 $ 7,371 $ 66,283
Schedule of Estimated Future Amortization Expense Related to Intangible Assets	Estimated future amortization expense related to intangible assets at June 30, 2019 is as follows (in thousands): Years Ending December 31, Amount 2019 (Remaining nine months) $ 1,435 2020 2,869 2021 3,923 2022 3,923 2023 3,918 2024 3,827 Thereafter 44,930 Total expected future amortization $ 64,825

Debt - (Tables)

Debt - (Tables)	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Schedule of Long-Term Debt and Unamortized Discount Balances	Borrowings of the 2018 Purchase Agreements and Indenture for Scilex consisted of the following (in thousands): June 30, 2019 December 31, 2018 Face value of loan $ 224,000 $ 224,000 Unamortized debt discount (77,624 ) (84,000 ) Capitalized debt issuance costs (5,313 ) (5,748 ) Accretion of debt discount 8,288 6,376 Amortization of debt issuance cost 570 435 Payments (918 ) — Ending balance $ 149,003 $ 141,063 June 30, 2019 December 31, 2018 Face value of loan $ 120,000 $ 100,000 Debt discount - warrants (26,248 ) (26,659 ) Debt discount - derivative (6,996 ) — Capitalized debt issuance costs (7,685 ) (6,658 ) Accretion of debt discount 1,882 411 Amortization of debt issuance costs 503 115 Ending balance $ 81,456 $ 67,209 Borrowings under the Notes consisted of the following (in thousands): June 30, 2019 December 31, 2018 Face value of loan $ 37,849 $ 37,849 Unamortized debt discount (14,288 ) (14,804 ) Accretion of debt discount 1,099 515 Ending balance $ 24,660 $ 23,560
Future Minimum Payments under Amended and Restated Loan and Security Agreement	Future minimum payments under the Scilex Notes, based on a percentage of projected net sales of ZTlido ® (lidocaine topical system) 1.8% are estimated as follows (in thousands): Year Ending December 31, 2019 (Remaining six months) $ 3,237 2020 17,960 2021 25,035 2022 41,705 2023 72,299 2024 62,846 Total future minimum payments 223,082 Unamortized debt discount (69,336 ) Unamortized capitalized debt issuance costs (4,743 ) Total minimum payment 149,003 Current portion (11,532 ) Long-term portion of Scilex Notes $ 137,471

Stock Incentive Plans - (Tables

Stock Incentive Plans - (Tables)	6 Months Ended
	Jun. 30, 2019
Equity [Abstract]
Summary of Stock Option Activity	The following table summarizes stock option activity as of June 30, 2019 and the changes for the period then ended (dollar values in thousands, other than weighted-average exercise price): Options Outstanding Weighted- Average Exercise Price Aggregate Intrinsic Value Outstanding at December 31, 2018 10,523,075 $ 4.91 $ 1,723 Options Granted 2,666,800 $ 3.84 Options Canceled (661,525 ) $ 1.86 Options Exercised (136,074 ) $ 5.21 Outstanding at June 30, 2019 12,392,276 $ 4.70 $ 2,350
Fair Value of Employee Stock Options	The fair value of employee stock options was estimated at the grant date using the following assumptions: Six Months Ended June 30, 2019 2018 Weighted-average grant date fair value $ 3.05 $ 7.39 Dividend yield — % — % Volatility 100 % 81 % Risk-free interest rate 1.87 % 2.52 % Expected life of options 6.1 years 6.1 years
Summary of Common Stock Reserved for Future Issuance	Common stock reserved for future issuance consists of the following at June 30, 2019 : Common stock warrants outstanding under the loan and security agreements 7,688,181 Common stock warrants outstanding under the Hercules securities agreement 306,748 Common stock warrants outstanding under the convertible notes 14,819,872 Common stock options outstanding under the Non-Employee Director Plan 3,200 Authorized for future grant or issuance under the 2009 Stock Incentive Plan 18,188,332 Shares issuable upon the conversion of the 2018 Notes 5,397,325 Issuable under assignment agreement based upon achievement of certain milestones 80,000 46,483,658

Commitments and Contingencies -

Commitments and Contingencies - (Tables)	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Schedule of Lease Cost	Supplemental quantitative information related to leases includes the following (in thousands): Three months ended June 30, 2019 Six months ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,867 $ 3,399 Right-of-use assets obtained in exchange for new and amended operating lease liabilities $ 4,447 $ 4,747 Weighted average remaining lease term in years - operating leases 9.9 years 9.9 years Weighted average discount rate - operating leases 12.2 % 12.2 %
Schedule of Operating Lease Liability Maturities	Maturities of lease liabilities were as follows (in thousands): Years ending December 31, Operating leases 2019 (Remaining six months) $ 3,602 2020 9,581 2021 9,041 2022 9,154 2023 9,404 2024 9,477 Thereafter 47,027 Total lease payments 97,286 Less imputed interest (42,842 ) Total lease liabilities as of June 30, 2019 $ 54,444
Schedule of Future Minimum Rental Payments for Operating Leases

Loss Per Share - (Tables)

Loss Per Share - (Tables)	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
Schedule of Basic and Diluted Earnings per Share	The following table sets forth the reconciliation of basic and diluted loss per share for the three and six months ended June 30, 2019 and 2018 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Numerator Net loss attributable to Sorrento $ (56,762 ) $ (73,864 ) $ (164,833 ) $ (106,436 ) Net loss attributable to Semnur holders of Scilex Holding (6,093 ) — (28,824 ) — Net loss used for diluted earnings per share $ (62,855 ) $ (73,864 ) $ (193,657 ) $ (106,436 ) Denominator for Basic Loss Per Share 122,549 100,563 122,415 92,795 Potentially dilutive shares of Sorrento common stock issuable upon Share Exchange 9,910 — 5,717 — Denominator for Diluted Loss Per Share 132,459 100,563 128,132 92,795 Basic Loss Per Share $ (0.46 ) $ (0.73 ) $ (1.35 ) $ (1.15 ) Diluted Loss Per Share $ (0.47 ) $ (0.73 ) $ (1.51 ) $ (1.15 )

Segment Information - (Tables)

Segment Information - (Tables)	6 Months Ended
	Jun. 30, 2019
Segment Reporting [Abstract]
Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block]	The following table presents information about the Company’s reportable segments for the three and six months ended June 30, 2019 and 2018 (in thousands): Three months ended June 30, 2019 2018 (in thousands) Sorrento Therapeutics Scilex Total Sorrento Therapeutics Scilex Total External revenues $ 1,817 $ 4,660 $ 6,477 $ 3,913 $ — $ 3,913 Operating expenses 36,299 20,539 56,838 28,076 4,208 32,284 Operating loss before interest and taxes (34,482 ) (15,879 ) (50,361 ) (24,163 ) (4,208 ) (28,371 ) Six months ended June 30, 2019 2018 (in thousands) Sorrento Therapeutics Scilex Total Sorrento Therapeutics Scilex Total External revenues $ 5,101 $ 7,519 $ 12,620 $ 10,159 $ — $ 10,159 Operating expenses 71,431 114,720 186,151 63,776 7,298 71,074 Operating loss before interest and taxes (66,330 ) (107,201 ) (173,531 ) (53,617 ) (7,298 ) (60,915 )

Liquidity and Going Concern - N

Liquidity and Going Concern - Narrative (Details) $ in Millions	Jun. 30, 2019USD ($)
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Long-term debt	$ 350.9

Significant Accounting Polici_4

Significant Accounting Policies - Narrative (Details)	Sep. 26, 2017USD ($)	Sep. 01, 2016USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)segment	Jun. 30, 2018USD ($)	Jan. 01, 2019USD ($)
Significant Accounting Policies [Line Items]
Total revenues			$ 6,477,000	$ 3,913,000	$ 12,620,000	$ 10,159,000
Number of operating segments | segment					2
Operating lease right-of-use assets			46,686,000		$ 46,686,000		$ 44,900,000
Current portion of operating lease liabilities			2,401,000		2,401,000		2,600,000
Operating lease liabilities, noncurrent			52,043,000		52,043,000		$ 47,800,000
Royalty and license
Significant Accounting Policies [Line Items]
Total revenues			120,000	120,000	240,000	240,000
Bioserv sales and services
Significant Accounting Policies [Line Items]
Total revenues			453,000	1,231,000	1,307,000	3,367,000
Joint development agreement
Significant Accounting Policies [Line Items]
Upfront payment received from customers	$ 5,000,000
Total revenues			$ 0	$ 1,667,000	$ 0	$ 3,333,000
ImmuneOncia Therapeutics, LLC | Royalty and license
Significant Accounting Policies [Line Items]
Upfront payment received from customers		$ 9,600,000
Performance obligation satisfied over time, period					20 years

Significant Accounting Polici_5

Significant Accounting Policies - Schedule of Revenues by Category (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Disaggregation of Revenue [Line Items]
Total revenues	$ 6,477,000	$ 3,913,000	$ 12,620,000	$ 10,159,000
Scilex product sales
Disaggregation of Revenue [Line Items]
Total revenues	4,660,000	0	7,519,000	0
Concortis sales and services
Disaggregation of Revenue [Line Items]
Total revenues	1,205,000	895,000	3,015,000	2,358,000
Materials and supply agreements
Disaggregation of Revenue [Line Items]
Total revenues	39,000	0	539,000	861,000
Bioserv sales and services
Disaggregation of Revenue [Line Items]
Total revenues	453,000	1,231,000	1,307,000	3,367,000
Joint development agreement
Disaggregation of Revenue [Line Items]
Total revenues	0	1,667,000	0	3,333,000
Product And Service
Disaggregation of Revenue [Line Items]
Total revenues	$ 6,357,000	$ 3,793,000	$ 12,380,000	$ 9,919,000

Significant Accounting Polici_6

Significant Accounting Policies - Schedule of Remaining Performance Obligations (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018	Sep. 26, 2017
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-07-01 | Bioserv sales and services
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction	6 months
Remaining performance obligation	$ 413
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-07-01 | ImmuneOncia Therapeutics, LLC | Royalty and license
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 500
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | Bioserv sales and services
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction	1 year
Remaining performance obligation	$ 407
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01 | Bioserv sales and services
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Expected timing of satisfaction	0 years
Remaining performance obligation	$ 109
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: (nil) | Bioserv sales and services
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	900	$ 1,600
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: (nil) | Joint development agreement
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation			$ 5,000
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: (nil) | ImmuneOncia Therapeutics, LLC | Royalty and license
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	8,200
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: (nil) | Nant Cell | Royalty and license
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 110,000

Acquisitions - Acquisition of S

Acquisitions - Acquisition of Semnur Pharmaceuticals Inc (Details) - USD ($) $ / shares in Units, $ in Thousands	Mar. 19, 2019	Mar. 18, 2019	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Business Acquisition [Line Items]
Acquired in-process research and development			$ 0	$ 0	$ 75,301	$ 0
Semnur Pharmaceuticals Inc
Business Acquisition [Line Items]
Percentage of shares acquired	58.00%	77.00%
Consideration transferred		$ 70,000
Cash consideration		$ 15,000
Stock consideration (in shares)		47,392,287
Number of shares placed in escrow (in shares)		4,749,095
Stock consideration value		$ 55,000
Stock consideration value per share (usd per share)		$ 5.55
Asset acquisition, transaction costs		$ 3,100
Asset acquisition, liabilities assumed		4,200
Cash consideration transferred		15,000
Acquired in-process research and development					$ 75,300
Milestones achievement | Semnur Pharmaceuticals Inc
Business Acquisition [Line Items]
Additional cash consideration upon certain milestones		$ 280,000

Fair Value Measurements - Sched

Fair Value Measurements - Schedule of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Quoted Prices in Active Markets (Level 1) | Acquisition consideration payable - Non-current
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	$ 0	$ 0
Significant Other Observable Inputs (Level 2) | Acquisition consideration payable - Non-current
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	0	0
Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	116,443	213,627
Fair value liabilities disclosure	39,903	12,037
Fair Value, Measurements, Recurring | Derivative liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	7,900
Fair Value, Measurements, Recurring | Derivative liabilities - Non-current
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	19,900
Fair Value, Measurements, Recurring | Acquisition consideration payable
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	11,312	11,312
Fair Value, Measurements, Recurring | Acquisition consideration payable - Non-current
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	791	725
Fair Value, Measurements, Recurring | Cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	61,385	158,738
Fair Value, Measurements, Recurring | Restricted cash
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	54,742	54,592
Fair Value, Measurements, Recurring | Marketable securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	316	297
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	116,384	213,577
Fair value liabilities disclosure	0	0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets (Level 1) | Derivative liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets (Level 1) | Derivative liabilities - Non-current
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets (Level 1) | Acquisition consideration payable
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	0	0
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets (Level 1) | Cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	61,385	158,738
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets (Level 1) | Restricted cash
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	54,742	54,592
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets (Level 1) | Marketable securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	257	247
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	0	0
Fair value liabilities disclosure	0	0
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Derivative liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	0
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Derivative liabilities - Non-current
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	0
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Acquisition consideration payable
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	0	0
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	0	0
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Restricted cash
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	0	0
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Marketable securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	0	0
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	59	50
Fair value liabilities disclosure	39,903	12,037
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Derivative liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	7,900
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Derivative liabilities - Non-current
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	19,900
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Acquisition consideration payable
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	11,312	11,312
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Acquisition consideration payable - Non-current
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value liabilities disclosure	791	725
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	0	0
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Restricted cash
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	0	0
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Marketable securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value assets disclosure	$ 59	$ 50

Fair Value Measurements - Summa

Fair Value Measurements - Summary of Liabilities Measured at Fair Value Using Significant Unobservable Inputs (Level 3) (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2019USD ($)
Contingent Consideration Liabilities
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance at December 31, 2018	$ 12,037
Re-measurement of Fair Value	66
Ending balance at June 30, 2019	12,103
Derivative liabilities - Non-current
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance at December 31, 2018	0
Additions	6,996
Re-measurement of Fair Value	20,804
Ending balance at June 30, 2019	$ 27,800

Fair Value Measurements - Narra

Fair Value Measurements - Narrative (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	May 03, 2019USD ($)
Business Acquisition [Line Items]
Loss on derivative liabilities	$ (10,591)	$ 0	$ (25,092)	$ 0
Debt discount recorded at issuance					$ 7,000
Loss on derivative liabilities			25,092	$ 0
Milestones achievement | Virttu Biologics Limited
Business Acquisition [Line Items]
Contingent liability in a business combination	$ 9,900		$ 9,900
Discount Rate
Business Acquisition [Line Items]
Derivative liability, measurement input	0.221		0.221
Revenue
Business Acquisition [Line Items]
Derivative liability, measurement input	0.90		0.90
Warrant
Business Acquisition [Line Items]
Loss on derivative liabilities	$ 4,300
Senior Secured Notes, Due 2026
Business Acquisition [Line Items]
Loss on derivative liabilities	2,400		$ 16,900
Derivative liability	$ 3,000		$ 3,000

Property and Equipment - Summar

Property and Equipment - Summary of Property and Equipment (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Property, Plant and Equipment [Line Items]
Property and equipment, total	$ 50,091	$ 39,671
Less accumulated depreciation	(19,262)	(15,287)
Property, Plant and Equipment, Net	30,829	24,384
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment, total	1,237	1,127
Office equipment
Property, Plant and Equipment [Line Items]
Property and equipment, total	678	632
Machinery and lab equipment
Property, Plant and Equipment [Line Items]
Property and equipment, total	30,013	27,690
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment, total	9,798	9,001
Construction in progress
Property, Plant and Equipment [Line Items]
Property and equipment, total	$ 8,365	$ 1,221

Property and Equipment - Narrat

Property and Equipment - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 1.9	$ 1.3	$ 4	$ 2.6

Investments - Narrative (Detail

Investments - Narrative (Details) - USD ($)	6 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Equity Method Investments and Joint Ventures [Abstract]
Cost method investments in non-publicy traded companies	$ 237,000,000	$ 230,700,000
Cost method investments, impairment losses	$ 0

Investments - NANTibody (Detail

Investments - NANTibody (Details) shares in Millions	Jul. 02, 2017USD ($)	May 31, 2015USD ($)joint_venture	Jun. 30, 2019USD ($)	Mar. 31, 2019USD ($)	Jun. 30, 2018USD ($)	Mar. 31, 2018USD ($)	Sep. 30, 2017USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Dec. 31, 2013USD ($)shares	Dec. 31, 2018USD ($)	Jun. 30, 2017USD ($)	Jul. 31, 2015USD ($)board_member	Apr. 30, 2015USD ($)
Schedule of Equity Method Investments [Line Items]
Number of joint ventures to be funded | joint_venture		2
Equity method investments			$ 25,509,000		$ 18,200,000			$ 25,509,000	$ 18,200,000		$ 27,980,000
Income (loss) on equity method investments			1,574,000		$ 2,105,000			2,471,000	$ 3,027,000
NANTibody
Schedule of Equity Method Investments [Line Items]
Initial joint funding														$ 100,000,000
Equity method investment ownership percentage														40.00%
Initial joint funding contributed													$ 40,000,000
Number of board members | board_member													2
Cash and cash equivalents held by equity method investment	$ 100,000,000						$ 9,500,000					$ 99,600,000
Equity method investments	40,000,000		$ 3,200,000			$ 3,500,000	3,700,000	$ 3,200,000
Equity of equity method investment							10,000,000					$ 100,000,000
Decrease in cash and cash equivalent of equity method investment							$ 90,100,000
Loss on equity investments	36,000,000
Income (loss) on equity method investments				$ 257,000		484,000
Equity method investment current assets				9,500,000		9,800,000
Equity method investment current liabilities				1,200,000		1,800,000
Equity method investment noncurrent assets				0		0
Equity method investment noncurrent liabilities				$ 0		$ 0
NANTibody
Schedule of Equity Method Investments [Line Items]
Number of board members | board_member													5
Nant Cell | NANTibody
Schedule of Equity Method Investments [Line Items]
Equity method investment ownership percentage														60.00%
Initial joint funding contributed														$ 60,000,000
Number of board members | board_member													3
Equity Method Investments | NANTibody
Schedule of Equity Method Investments [Line Items]
Cash consideration in a purchase	$ 90,100,000
IgDraSol Inc
Schedule of Equity Method Investments [Line Items]
Issuance of common stock upon acquisition, shares | shares										3
Cash consideration in a purchase										$ 380,000
Purchase consideration										$ 29,100,000
IgDraSol Inc
Schedule of Equity Method Investments [Line Items]
Proceeds from divestiture of business		$ 90,100,000
Amount of proceeds restricted to funding joint ventures		$ 60,000,000

Investments - NantStem (Details

Investments - NantStem (Details) - USD ($)	Oct. 13, 2015	Jul. 31, 2015	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Schedule of Equity Method Investments [Line Items]
Equity method investments					$ 27,980,000	$ 25,509,000	$ 18,200,000
Nant Cancer Stem LLC
Schedule of Equity Method Investments [Line Items]
Initial joint funding		$ 100,000,000
Initial joint funding contributed		$ 40,000,000
Equity method investment ownership percentage	20.00%	40.00%				20.00%
Percentage of contribution made		50.00%
Joint venture agreement second payment contribution	$ 20,000,000
Loss on equity investments			$ 0	$ 0	$ 500,000
Equity method investments						$ 17,800,000
Net income (loss) in equity method investments			61,000	331,000
Equity method investment current assets			75,200,000	82,300,000
Equity method investment current liabilities			83,000	27,000
Equity method investment noncurrent assets			5,100,000	0
Equity method investment noncurrent liabilities			$ 0	$ 0
NantBioScience, Inc. | Nant Cancer Stem LLC
Schedule of Equity Method Investments [Line Items]
Initial joint funding contributed		$ 60,000,000
Nant Cell | Nant Cancer Stem LLC
Schedule of Equity Method Investments [Line Items]
Equity method investment ownership percentage		60.00%

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets - Narrative (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)segment	Jun. 30, 2018USD ($)	Dec. 31, 2018USD ($)
Disclosure - Goodwill and Intangible Assets - Additional Information (Detail) [Line Items]
Goodwill	$ 38,298		$ 38,298		$ 38,298
Number of operating segments | segment			2
Amortization expense	1,000	$ 700	$ 2,000	$ 1,300
Weighted Average
Disclosure - Goodwill and Intangible Assets - Additional Information (Detail) [Line Items]
Identifiable intangible assets, weighted average life			14 years 10 months 24 days
Sorrento Therapeutics
Disclosure - Goodwill and Intangible Assets - Additional Information (Detail) [Line Items]
Goodwill	31,600		$ 31,600
Scilex Pharmaceuticals, Inc
Disclosure - Goodwill and Intangible Assets - Additional Information (Detail) [Line Items]
Goodwill	6,700		6,700
Acquired in-process research and development
Disclosure - Goodwill and Intangible Assets - Additional Information (Detail) [Line Items]
Indefinite-lived intangible assets	$ 13,900		$ 13,900

Goodwill and Intangible Asset_3

Goodwill and Intangible Assets - Summary of Company's Identifiable Intangible Assets (Detail) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 74,154	$ 73,654
Accumulated Amortization	9,329	7,371
Intangibles, net	$ 64,825	$ 66,283
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (Years)	6 years	6 years
Gross Carrying Amount	$ 1,585	$ 1,585
Accumulated Amortization	1,387	1,373
Intangibles, net	$ 198	$ 212
Acquired technology
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (Years)	19 years	19 years
Gross Carrying Amount	$ 3,410	$ 3,410
Accumulated Amortization	973	885
Intangibles, net	$ 2,437	$ 2,525
Acquired in-process research and development
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (Years)	15 years	15 years
Gross Carrying Amount	$ 35,834	$ 35,834
Accumulated Amortization	1,097	366
Intangibles, net	$ 34,737	$ 35,468
Patent rights
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (Years)	15 years	15 years
Gross Carrying Amount	$ 32,720	$ 32,720
Accumulated Amortization	5,831	4,742
Intangibles, net	$ 26,889	$ 27,978
Assembled workforce
Finite-Lived Intangible Assets [Line Items]
Weighted average amortization period (Years)	5 years	5 years
Gross Carrying Amount	$ 605	$ 105
Accumulated Amortization	41	5
Intangibles, net	$ 564	$ 100

Goodwill and Intangible Asset_4

Goodwill and Intangible Assets - Schedule of Estimated Future Amortization Expense Related to Intangible Assets (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
2019 (Remaining nine months)	$ 1,435
2020	2,869
2021	3,923
2022	3,923
2023	3,918
2024	3,827
Thereafter	44,930
Intangibles, net	$ 64,825	$ 66,283

Significant Agreements and Co_2

Significant Agreements and Contracts - License Agreement with NantCell (Details) $ in Thousands	1 Months Ended
	Apr. 30, 2015USD ($)CARshares	Jun. 30, 2019USD ($)	Dec. 31, 2018USD ($)
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Cost method investments		$ 237,008	$ 237,008
Nant Cell
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Number of CARs for cellular therapy | CAR	2
Deferred revenue	$ 10,000
Common stock received (in shares) | shares	10,000,000
Vested equity received	$ 100,000
Cost method investments		$ 100,000
Maximum | Nant Cell
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Royalty rate percent of net sales	5.00%

Debt - 2018 Securities Purchase

Debt - 2018 Securities Purchase Agreement in Private Placement and Amendment to Warrants (Details) - USD ($)	Nov. 07, 2018	Jun. 13, 2018	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	May 03, 2019	Dec. 31, 2018	Mar. 26, 2018
Debt Instrument [Line Items]
Debt discount allocated to warrant							$ 7,000,000
Warrants issued in connection with convertible notes			$ 4,288,000	$ 9,646,000	$ 4,288,000	$ 9,646,000
Convertible Debt
Debt Instrument [Line Items]
Face value of loan			37,849,000		37,849,000			$ 37,849,000
Debt discount allocated to warrant			14,288,000		14,288,000			$ 14,804,000
Loss on extinguishment of debt	$ 6,100,000
Interest expense			500,000		900,000
Accretion of debt discount			600,000		1,100,000
Convertible Debt | March 2018 Notes
Debt Instrument [Line Items]
Face value of loan									$ 120,500,000
Convertible Debt | March 2018 Notes, Amendment
Debt Instrument [Line Items]
Face value of loan		$ 37,848,750
Interest rate		5.00%
Debt discount allocated to warrant		$ 21,600,000
Debt beneficial conversion feature		12,000,000
March 2018 Warrant | Private Placement
Debt Instrument [Line Items]
Number of securities called by warrants (in shares)									8,591,794
Warrant exercise price per share (usd per share)	$ 8.77
June 2018 Warrants | Convertible Debt | March 2018 Notes, Amendment
Debt Instrument [Line Items]
Debt discount allocated to warrant		$ 9,600,000
June 2018 Warrants | Private Placement
Debt Instrument [Line Items]
Number of securities called by warrants (in shares)		2,698,662
June 2018 Warrants, Amendment | Private Placement
Debt Instrument [Line Items]
Warrant exercise price per share (usd per share)	$ 3.28
Warrants issued in connection with convertible notes	$ 1,900,000
Significant Other Observable Inputs (Level 2) | Estimate of Fair Value Measurement | Convertible Debt
Debt Instrument [Line Items]
Long-term debt, fair value disclosure	23,100,000		16,900,000		16,900,000
Significant Other Observable Inputs (Level 2) | Reported Value Measurement | Convertible Debt
Debt Instrument [Line Items]
Long-term debt, fair value disclosure	$ 17,000,000		$ 24,700,000		$ 24,700,000

Debt - Schedule of Long-Term De

Debt - Schedule of Long-Term Debt and Unamortized Discount Balances (Details) - USD ($)	3 Months Ended	6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018	May 03, 2019	Nov. 07, 2018	Sep. 07, 2018
Debt Instrument [Line Items]
Unamortized debt discount					$ (7,000,000)
Amortization of debt issuance cost		$ 1,073,000	$ 515,000
Convertible Debt
Debt Instrument [Line Items]
Face value of loan	$ 37,849,000	37,849,000		$ 37,849,000
Unamortized debt discount	(14,288,000)	(14,288,000)		(14,804,000)
Accretion of debt discount	600,000	1,100,000
Accretion of debt discount		1,099,000		515,000
Long-term Debt	24,660,000	24,660,000		23,560,000
Senior Notes
Debt Instrument [Line Items]
Face value of loan							$ 224,000,000,000
Senior Secured Notes, Due 2026 | Scilex Pharmaceuticals, Inc | Senior Notes
Debt Instrument [Line Items]
Face value of loan	224,000,000	224,000,000		224,000,000
Unamortized debt discount	(77,624,000)	(77,624,000)		(84,000,000)
Capitalized debt issuance costs	(5,313,000)	(5,313,000)		(5,748,000)
Accretion of debt discount		8,288,000		6,376,000
Amortization of debt issuance cost		570,000		435,000
Payments		(918,000)		0
Long-term Debt	149,003,000	149,003,000		141,063,000
Oaktree Capital Management, L.P. | Term Loan Tranche One
Debt Instrument [Line Items]
Face value of loan	120,000,000	120,000,000		100,000,000		$ 100,000,000
Capitalized debt issuance costs	(7,685,000)	(7,685,000)		(6,658,000)
Accretion of debt discount		1,882,000		411,000
Amortization of debt issuance cost		503,000		115,000
Long-term Debt	81,456,000	81,456,000		67,209,000
Oaktree Capital Management, L.P. | Warrant
Debt Instrument [Line Items]
Unamortized debt discount	(26,248,000)	(26,248,000)		(26,659,000)
Oaktree Capital Management, L.P. | Derivative
Debt Instrument [Line Items]
Unamortized debt discount	$ (6,996,000)	$ (6,996,000)		$ 0

Debt - 2018 Purchase Agreement

Debt - 2018 Purchase Agreement and Indenture for Scilex (Details) - Senior Notes - USD ($)	Sep. 07, 2018	Jun. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Face value of loan amount	$ 224,000,000,000
Scilex Pharmaceuticals, Inc | Senior Secured Notes, Due 2026
Debt Instrument [Line Items]
Face value of loan amount		$ 224,000,000	$ 224,000,000	$ 224,000,000
Proceeds from issuance of senior long-term debt	140,000,000,000
Senior Notes	89,300,000
Segregated reserve account funding	20,000,000
Segregated collateral account funding	$ 25,000,000
Amount of debt discount and debt issuance included in interest expense		4,200,000	8,900,000
Estimate of Fair Value Measurement | Scilex Pharmaceuticals, Inc | Senior Secured Notes, Due 2026
Debt Instrument [Line Items]
Ending balance		136,200,000	136,200,000
Reported Value Measurement | Scilex Pharmaceuticals, Inc | Senior Secured Notes, Due 2026
Debt Instrument [Line Items]
Ending balance		$ 149,000,000	$ 149,000,000

Debt - Future Minimum Payments

Debt - Future Minimum Payments under Amended and Restated Loan and Security Agreement (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Current portion	$ (32,257)	$ (10,150)
Long-term portion of Scilex Notes	223,589	223,136
Senior Secured Notes, Due 2026 | Scilex Pharmaceuticals, Inc | Senior Notes
Debt Instrument [Line Items]
2019 (Remaining six months)	3,237
2020	17,960
2021	25,035
2022	41,705
2023	72,299
2024	62,846
Total future minimum payments	223,082
Unamortized debt discount	(69,336)
Unamortized capitalized debt issuance costs	(4,743)
Total minimum payment	149,003	$ 141,063
Current portion	(11,532)
Long-term portion of Scilex Notes	$ 137,471

Debt - 2018 Oaktree Term Loan A

Debt - 2018 Oaktree Term Loan Agreement (Details) - USD ($)	May 03, 2019	Nov. 07, 2018	Jun. 30, 2019	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Debt Instrument [Line Items]
Proceeds from debt, net of issuance costs				$ 18,858,000	$ 0
Fees incurred due to debt modification			$ 800,000	800,000
Loss on derivative liabilities				25,092,000	$ 0
Oaktree Capital Management, L.P.
Debt Instrument [Line Items]
Exit fee percentage	1.25%
Exit fee amount	$ 1,500,000
Oaktree Capital Management, L.P. | Term Loan Tranche One
Debt Instrument [Line Items]
Face value of loan		$ 100,000,000	120,000,000	120,000,000		$ 100,000,000
Basis spread on variable rate		7.00%
Proceeds from debt, net of issuance costs		$ 91,300,000
Segregated reserve account funding		$ 9,600,000
Equity interest pledged as collateral, percentage		100.00%
Voting equity interest, collateral limitation, percentage		65.00%
Interest expense			2,700,000	5,000,000
Accretion of debt discount			1,300,000	2,400,000
Oaktree Capital Management, L.P. | Term Loan Tranche Two
Debt Instrument [Line Items]
Face value of loan		$ 50,000,000
Oaktree Capital Management, L.P. | Term Loan Tranche Two Part One
Debt Instrument [Line Items]
Face value of loan	20,000,000
Oaktree Capital Management, L.P. | Term Loan Tranche Two Part Two
Debt Instrument [Line Items]
Face value of loan	$ 30,000,000
Initial Warrants | Oaktree Capital Management, L.P.
Debt Instrument [Line Items]
Number of securities called by warrants (in shares)		6,288,985,000
Warrant exercise price per share (usd per share)		$ 3.28
2019 Warrants | Oaktree Capital Management, L.P.
Debt Instrument [Line Items]
Number of securities called by warrants (in shares)	1,333,304,000
Warrant exercise price per share (usd per share)	$ 3.94
Estimate of Fair Value Measurement | Oaktree Capital Management, L.P. | Term Loan Tranche One
Debt Instrument [Line Items]
Debt amount			57,000,000	$ 57,000,000
Warrant
Debt Instrument [Line Items]
Loss on derivative liabilities			$ 4,300,000

Shareholder Equity - Narrative

Shareholder Equity - Narrative (Details) $ / shares in Units, $ in Millions	Jun. 28, 2019USD ($)$ / sharesshares
Public Stock Offering
Class of Stock [Line Items]
Price per share sold, initial public offering (in usd per share) | $ / shares	$ 3
Sale of stock proceeds, net | $	$ 23.1
Public Stock Offering | Common Class A
Class of Stock [Line Items]
Shares sold, initial public offering (in shares)	8,333,334
Over-Allotment Option
Class of Stock [Line Items]
Shares sold, initial public offering (in shares)	1,250,000
Price per share sold, initial public offering (in usd per share) | $ / shares	$ 2.99
Series A Warrants
Class of Stock [Line Items]
Expiration period of warrants	10 years
Series A Warrants | Public Stock Offering
Class of Stock [Line Items]
Shares sold, initial public offering (in shares)	8,333,334
Warrant exercise price per share (usd per share) | $ / shares	$ 3.75
Series A Warrants | Over-Allotment Option
Class of Stock [Line Items]
Shares sold, initial public offering (in shares)	1,250,000
Series B Warrants
Class of Stock [Line Items]
Expiration period of warrants	9 months
Series B Warrants | Public Stock Offering
Class of Stock [Line Items]
Shares sold, initial public offering (in shares)	8,333,334
Warrant exercise price per share (usd per share) | $ / shares	$ 3
Series B Warrants | Over-Allotment Option
Class of Stock [Line Items]
Shares sold, initial public offering (in shares)	1,250,000
Series C Warrants
Class of Stock [Line Items]
Expiration period of warrants	10 years
Series C Warrants | Public Stock Offering
Class of Stock [Line Items]
Shares sold, initial public offering (in shares)	8,333,334
Warrant exercise price per share (usd per share) | $ / shares	$ 3.75
Series C Warrants | Over-Allotment Option
Class of Stock [Line Items]
Shares sold, initial public offering (in shares)	1,250,000
Warrant Combinations | Over-Allotment Option
Class of Stock [Line Items]
Shares sold, initial public offering (in shares)	1,250,000
Price per share sold, initial public offering (in usd per share) | $ / shares	$ 0.01
Underwriters
Class of Stock [Line Items]
Price per share sold, initial public offering (in usd per share) | $ / shares	$ 2.82

Stock Incentive Plans - Summary

Stock Incentive Plans - Summary of Stock Option Activity (Details) - 2009 Stock Incentive Plan $ / shares in Units, $ in Thousands	6 Months Ended
	Jun. 30, 2019USD ($)$ / sharesshares	Dec. 31, 2018USD ($)
Options Outstanding
Option Outstanding beginning balance (in shares) | shares	10,523,075
Options Granted (in shares) | shares	2,666,800
Options Canceled (in shares) | shares	(661,525)
Options Exercised (in shares) | shares	(136,074)
Option Outstanding ending balance (in shares) | shares	12,392,276
Weighted- Average Exercise Price
Weighted Average Exercise Price, Beginning Balance (in dollars per share) | $ / shares	$ 4.91
Options Granted, Weighted Average Exercise Price (in dollars per share) | $ / shares	3.84
Options Canceled, Weighted Average Exercise Price (in dollars per share) | $ / shares	1.86
Options Exercised, Weighted Average Exercise Price (in dollars per share) | $ / shares	5.21
Weighted Average Exercise Price, Ending Balance (in dollars per share) | $ / shares	$ 4.70
Aggregate Intrinsic Value, Beginning Balance (in dollars per share) | $	$ 2,350	$ 1,723

Stock Incentive Plans - Narrati

Stock Incentive Plans - Narrative: 2009 Stock Incentive Plan (Details) - 2009 Stock Incentive Plan - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate intrinsic value of options exercised	$ 175	$ 4	$ 306	$ 52
Unrecognized compensation cost related to unvested stock option grants	19,600		$ 19,600
Period for recognized compensation cost			2 years 1 month 6 days
Employee and Director
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation	2,000	1,000	$ 3,500	2,200
Non Employee Consultants
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation	$ 100	$ 200	$ 200	$ 300

Stock Incentive Plans - Fair Va

Stock Incentive Plans - Fair Value of Employee Stock Options (Details) - Employee Stock Option - $ / shares	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted-average grant date fair value (in dollars per share)	$ 3.05	$ 7.39
Dividend yield	0.00%	0.00%
Volatility	100.00%	81.00%
Risk-free interest rate	1.87%	2.52%
Expected life of options	6 years 1 month 6 days	6 years 1 month 6 days

Stock Incentive Plans - Summa_2

Stock Incentive Plans - Summary of Common Stock Reserved for Future Issuance (Details)	Jun. 30, 2019shares
Class of Stock [Line Items]
Common stock reserved for future issuance	46,483,658
Loan and Security Agreement | Warrant
Class of Stock [Line Items]
Common stock reserved for future issuance	7,688,181
Hercules Securities Agreement | Warrant
Class of Stock [Line Items]
Common stock reserved for future issuance	306,748
Convertible Notes | Warrant
Class of Stock [Line Items]
Common stock reserved for future issuance	14,819,872
Non-Employee Director Plan | Employee Stock Option
Class of Stock [Line Items]
Common stock reserved for future issuance	3,200
2009 Stock Incentive Plan
Class of Stock [Line Items]
Common stock reserved for future issuance	18,188,332
Virttu Acquisition Agreement
Class of Stock [Line Items]
Common stock reserved for future issuance	5,397,325
Assignment Agreement
Class of Stock [Line Items]
Common stock reserved for future issuance	80,000

Stock Incentive Plans - Narra_2

Stock Incentive Plans - Narrative: Scilex Pharmaceuticals Inc. 2017 Equity Incentive Plan (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock, shares authorized (in shares)		750,000,000		750,000,000		750,000,000
Scilex Pharmaceuticals, Inc | 2017 Stock Options Plans | Common Class A
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock, shares authorized (in shares)	24,000,000
First year | Scilex Pharmaceuticals, Inc | 2017 Stock Options Plans
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	25.00%
Quarterly | Scilex Pharmaceuticals, Inc | 2017 Stock Options Plans
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	2.08%
Employee and Director | 2017 Stock Options Plans
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation		$ 0.2	$ 0.1	$ 0.3	$ 0.1
Non Employee Consultants | 2017 Stock Options Plans
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation		$ 0.6	$ 0	$ 0.6	$ 0

Stock Incentive Plans - Narra_3

Stock Incentive Plans - Narrative: Scilex Holding Company 2019 Stock Option Plan (Details) - shares	Jun. 30, 2019	Dec. 31, 2018	Jun. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock, shares authorized (in shares)	750,000,000	750,000,000
Common stock reserved for future issuance	46,483,658
Scilex Holding Company | 2019 Stock Option Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock, shares authorized (in shares)			25,412,608
Common stock reserved for future issuance			8,035,276

Commitments and Contingencies_2

Commitments and Contingencies - Narrative (Details) - USD ($) $ in Thousands	Apr. 03, 2019	Jun. 30, 2019	Jun. 30, 2019
Other Commitments [Line Items]
Operating lease expense		$ 2,700	$ 5,000
Nant Pharma
Other Commitments [Line Items]
Damages sought	$ 1,000,000
NANTibody
Other Commitments [Line Items]
Damages sought	90,050
Damages sought to restore equity method investment	$ 40,000
Minimum
Other Commitments [Line Items]
Operating lease remaining lease terms			10 months 24 days
Maximum
Other Commitments [Line Items]
Operating lease remaining lease terms			10 years 3 months 18 days
Operating lease option to extend, period			P5Y

Commitments and Contingencies_3

Commitments and Contingencies - Supplemental Lease Information (Details) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2019USD ($)	Jun. 30, 2019USD ($)
Commitments and Contingencies Disclosure [Abstract]
Operating cash flows from operating leases	$ 1,867	$ 3,399
Right-of-use assets obtained in exchange for new and amended operating lease liabilities	$ 4,447	$ 4,747
Weighted average remaining lease term in years - operating leases	9 years 10 months 24 days	9 years 10 months 24 days
Weighted average discount rate - operating leases	12.20%	12.20%

Commitments and Contingencies_4

Commitments and Contingencies - Summary of Leases (Details)	3 Months Ended
	Jun. 30, 2019ft²
Mission Viejo, 2024 , Administrative
Lessee, Lease, Description [Line Items]
Additional square footage of lease facilities added during period	4,000
San Diego CA, 2029, cGMP Fill And Finish And Storage
Lessee, Lease, Description [Line Items]
Additional square footage of lease facilities added during period	21,300

Commitments and Contingencies_5

Commitments and Contingencies - Schedule of Operating Lease Liability Maturities (Details) $ in Thousands	Jun. 30, 2019USD ($)
Commitments and Contingencies Disclosure [Abstract]
2019 (Remaining six months)	$ 3,602
2020	9,581
2021	9,041
2022	9,154
2023	9,404
2024	9,477
Thereafter	47,027
Total lease payments	97,286
Less imputed interest	(42,842)
Total lease liabilities as of June 30, 2019	$ 54,444

Income Taxes - Narrative (Detai

Income Taxes - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Tax Disclosure [Abstract]
Income tax benefit	$ 383	$ 1,377	$ 561	$ 2,325
Effective income tax rate	0.54%	1.86%	0.26%	2.10%

Related Party Agreements - Narr

Related Party Agreements - Narrative (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2019	Mar. 18, 2019
HoldCo
Related Party Transaction [Line Items]
Business acquisition, percentage of voting interests acquired			58.00%
Scilex Pharmaceuticals, Inc
Related Party Transaction [Line Items]
Noncontrolling interest ownership percentage	15.00%	15.00%
ITOCHU CHEMICAL FRONTIER Corporation | Affiliated Entity [Member]
Related Party Transaction [Line Items]
Related Party Transaction, Purchases from Related Party	$ 2.5	$ 5.7

Loss Per Share - Schedule of Ba

Loss Per Share - Schedule of Basic and Diluted Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Numerator [Abstract]
Net loss attributable to Sorrento	$ (56,762)	$ (73,864)	$ (164,833)	$ (106,436)
Net loss attributable to Semnur holders of Scilex Holding	(6,093)	0	(28,824)	0
Net loss used for diluted earnings per share	$ (62,855)	$ (73,864)	$ (193,657)	$ (106,436)
Denominator for Basic Loss Per Share (in shares)	122,549	100,563	122,415	92,795
Potentially dilutive shares of Sorrento common stock issuable upon Share Exchange (in shares)	9,910	0	5,717	0
Denominator for Diluted Loss Per Share (in shares)	132,459	100,563	128,132	92,795
Basic Loss Per Share (in dollars per share)	$ (0.46)	$ (0.73)	$ (1.35)	$ (1.15)
Diluted Loss Per Share (in dollars per shares)	$ (0.47)	$ (0.73)	$ (1.51)	$ (1.15)

Loss Per Share - Narrative (Det

Loss Per Share - Narrative (Details) - shares shares in Millions	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Employee Stock Option
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of EPS (in shares)	9.7	2.5
Warrant
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of EPS (in shares)	10.7	2.2

Segment Information - Narrative

Segment Information - Narrative (Details)	6 Months Ended
	Jun. 30, 2019segment
Segment Reporting [Abstract]
Number of operating segments	2
Number of reportable segments	2

Segment Information - Summary o

Segment Information - Summary of Reportable Segments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Segment Reporting Information [Line Items]
Total revenues	$ 6,477	$ 3,913	$ 12,620	$ 10,159
Operating expenses	56,838	32,284	186,151	71,074
Operating loss before interest and taxes	(50,361)	(28,371)	(173,531)	(60,915)
Sorrento Therapeutics
Segment Reporting Information [Line Items]
Total revenues	1,817	3,913	5,101	10,159
Operating expenses	36,299	28,076	71,431	63,776
Operating loss before interest and taxes	(34,482)	(24,163)	(66,330)	(53,617)
Scilex
Segment Reporting Information [Line Items]
Total revenues	4,660	0	7,519	0
Operating expenses	20,539	4,208	114,720	7,298
Operating loss before interest and taxes	$ (15,879)	$ (4,208)	$ (107,201)	$ (7,298)

Uncategorized Items - srne06301

Label	Element	Value
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	$ 910,000
Retained Earnings [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	$ 910,000