Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Jul. 31, 2017 | |
Document and Entity Information | ||
Entity Registrant Name | IDERA PHARMACEUTICALS, INC. | |
Trading Symbol | IDRA | |
Entity Central Index Key | 861,838 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2017 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 149,631,783 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 |
CONDENSED BALANCE SHEETS
CONDENSED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 74,659 | $ 80,667 |
Short-term investments | 2,576 | 28,347 |
Prepaid expenses and other current assets | 4,209 | 2,030 |
Total current assets | 81,444 | 111,044 |
Property and equipment, net | 1,600 | 1,853 |
Restricted cash and other assets | 329 | 334 |
Total assets | 83,373 | 113,231 |
Current liabilities: | ||
Accounts payable | 529 | 556 |
Accrued expenses | 5,950 | 7,394 |
Current portion of note payable | 309 | 292 |
Current portion of deferred revenue | 563 | 1,111 |
Total current liabilities | 7,351 | 9,353 |
Deferred revenue, net of current portion | 235 | 152 |
Note payable, net of current portion | 50 | 209 |
Other liabilities | 865 | 168 |
Total liabilities | 8,501 | 9,882 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Common stock, $0.001 par value, Authorized — 280,000 shares; Issued and outstanding — 149,606 and 149,065 shares at June 30, 2017 and December 31, 2016, respectively | 150 | 149 |
Additional paid-in capital | 649,761 | 641,687 |
Accumulated deficit | (575,038) | (538,470) |
Accumulated other comprehensive loss | (1) | (17) |
Total stockholders' equity | 74,872 | 103,349 |
Total liabilities and stockholders' equity | 83,373 | 113,231 |
Series A Preferred Stock | ||
Stockholders' equity: | ||
Preferred stock, $0.01 par value, Authorized — 5,000 shares: Series A convertible preferred stock; Designated — 1,500 shares, Issued and outstanding — 1 share |
CONDENSED BALANCE SHEETS (Paren
CONDENSED BALANCE SHEETS (Parenthetical) - $ / shares shares in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 5,000 | 5,000 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 280,000 | 280,000 |
Common stock, shares issued | 149,606 | 149,065 |
Common stock, shares outstanding | 149,606 | 149,065 |
Series A Preferred Stock | ||
Preferred stock, shares designated | 1,500 | 1,500 |
Preferred stock, shares issued | 1 | 1 |
Preferred stock, shares outstanding | 1 | 1 |
CONDENSED STATEMENTS OF OPERATI
CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS | ||||
Alliance revenue | $ 187 | $ 301 | $ 565 | $ 595 |
Operating expenses: | ||||
Research and development | 17,891 | 10,128 | 29,376 | 19,424 |
General and administrative | 3,888 | 3,778 | 7,969 | 7,694 |
Total operating expenses | 21,779 | 13,906 | 37,345 | 27,118 |
Loss from operations | (21,592) | (13,605) | (36,780) | (26,523) |
Other income (expense): | ||||
Interest income | 144 | 110 | 297 | 230 |
Interest expense | (13) | (21) | (29) | (44) |
Foreign currency exchange gain (loss) | (10) | 31 | (16) | 29 |
Net loss | $ (21,471) | $ (13,485) | $ (36,528) | $ (26,308) |
Basic and diluted net loss per common share (Note 14) | $ (0.14) | $ (0.11) | $ (0.24) | $ (0.22) |
Shares used in computing basic and diluted net loss per common share | 149,412 | 121,323 | 149,257 | 121,304 |
Net loss | $ (21,471) | $ (13,485) | $ (36,528) | $ (26,308) |
Other comprehensive gain (loss): | ||||
Unrealized gain on available-for-sale securities | 12 | 16 | 146 | |
Comprehensive loss | $ (21,471) | $ (13,473) | $ (36,512) | $ (26,162) |
CONDENSED STATEMENTS OF CASH FL
CONDENSED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Cash Flows from Operating Activities: | ||
Net loss | $ (36,528) | $ (26,308) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Stock-based compensation | 7,542 | 3,497 |
Issuance of common stock for services rendered | 74 | 64 |
Accretion of discounts and premiums on investments | 92 | 360 |
Depreciation and amortization expense | 368 | 317 |
Other | 2 | |
Changes in operating assets and liabilities: | ||
Prepaid expenses and other current assets | (2,179) | (12) |
Accounts payable, accrued expenses, and other liabilities | (779) | 121 |
Deferred revenue | (465) | (555) |
Net cash used in operating activities | (31,875) | (22,514) |
Cash Flows from Investing Activities: | ||
Purchases of available-for-sale securities | (2,946) | |
Proceeds from maturity of available-for-sale securities | 25,695 | 21,296 |
Proceeds from sale of available-for-sale securities | 1,974 | |
Purchases of property and equipment | (100) | (267) |
Net cash provided by investing activities | 25,595 | 20,057 |
Cash Flows from Financing Activities: | ||
Proceeds from exercise of common stock warrants and options and employee stock purchases | 419 | 67 |
Payments on note payable | (142) | (127) |
Payments on capital lease | (5) | (5) |
Net cash provided by (used in) financing activities | 272 | (65) |
Net decrease in cash and cash equivalents | (6,008) | (2,522) |
Cash and cash equivalents, beginning of period | 80,667 | 26,586 |
Cash and cash equivalents, end of period | $ 74,659 | $ 24,064 |
Organization
Organization | 6 Months Ended |
Jun. 30, 2017 | |
Organization | |
Organization | (1) Organization Idera Pharmaceuticals, Inc. (“Idera” or the “Company”) is a clinical-stage biopharmaceutical company focused on the discovery, development and commercialization of novel oligonucleotide therapeutics for oncology and rare diseases. The Company uses two distinct proprietary drug discovery technology platforms to design and develop drug candidates: its Toll-like receptor (“TLR”) targeting technology and its third-generation antisense (“3GA”) technology. The Company developed these platforms based on its scientific expertise and pioneering work with synthetic oligonucleotides as therapeutic agents. Using its TLR targeting technology, the Company designs synthetic oligonucleotide-based drug candidates to modulate the activity of specific TLRs. In addition, using its 3GA technology, the Company is developing drug candidates to turn off the messenger RNA (“mRNA”) associated with disease causing genes. The Company believes its 3GA technology may potentially reduce the immunotoxicity and increase the potency of earlier generation antisense and RNA interference (“RNAi”) technologies. Idera is focused on the clinical development of drug candidates for oncology and rare diseases characterized by small, well-defined patient populations with serious unmet medical needs. The Company believes it can develop and commercialize these targeted therapies on its own. To the extent the Company seeks to develop drug candidates for broader disease indications, it may explore potential collaborative alliances to support development and commercialization. The Company’s pipeline of drug candidates includes IMO-2125, IMO-8400 and IDRA-008. Toll-Like Receptors TLRs are key receptors of the immune system and play a role in innate and adaptive immunity. As a result, the Company believes TLRs are potential therapeutic targets for the treatment of a broad range of diseases. Using its chemistry-based platform, the Company has designed TLR agonists and antagonists to act by modulating the activity of targeted TLRs. A TLR agonist is a compound that stimulates an immune response through the targeted TLR. A TLR antagonist is a compound that inhibits an immune response by blocking the targeted TLR. The Company’s TLR agonist lead drug candidate IMO-2125 is an agonist of TLR9. The Company is evaluating IMO-2125 for the treatment by intra-tumoral injection of multiple oncology indications both in combination with checkpoint inhibitors and as monotherapy. The Company is initially developing IMO-2125 for use in combination with checkpoint inhibitors for the treatment of patients with anti-PD1 refractory metastatic melanoma. The Company’s TLR antagonist lead drug candidate IMO-8400 is an antagonist of TLR7, TLR8 and TLR9. The Company is developing IMO-8400 for the treatment of a rare disease called dermatomyositis. The Company selected this indication for development based on the reported increase in TLR expression in this disease state, expression of cytokines indicative of key TLR-mediated pathways and the presence of auto-antibodies that can induce TLR-mediated immune responses. Third-Generation Antisense The Company is developing its 3GA technology to “turn off” the mRNA associated with disease causing genes. The Company designed 3GA oligonucleotides to specifically address challenges associated with earlier generation antisense and RNAi technologies. Although currently used technologies to silence RNA have demonstrated the ability to inhibit the expression of disease-associated proteins, the Company believes that to reach their full therapeutic potential, gene silencing technologies need to achieve an improved therapeutic index with efficient systemic delivery, reduced immunotoxicity and increased potency. The Company is designing its 3GA oligonucleotides to have these attributes. The Company has selected IDRA-008 as its first 3GA candidate to enter clinical development. The Company is planning to develop IDRA-008 for a well-established liver target with available pre-clinical animal models and well-known clinical endpoints. The Company believes that IDRA-008 has potential for both broad and rare disease applications At June 30, 2017, the Company had an accumulated deficit of $575.0 million. The Company expects to incur substantial operating losses in future periods. The Company does not expect to generate significant product revenue, sales-based milestones or royalties until the Company or its collaborators successfully complete development and obtain marketing approval for drug candidates, which the Company expects will take a number of years. In order to commercialize its drug candidates, the Company needs to complete clinical development and comply with comprehensive regulatory requirements. The Company is subject to a number of risks and uncertainties similar to those of other companies of the same size within the biotechnology industry, such as uncertainty of clinical trial outcomes, uncertainty of additional funding, and history of operating losses. The Company believes, based on its current operating plan, its existing cash, cash equivalents and investments will enable the Company to fund its operations into the fourth quarter of 2018. The Company has and will continue to evaluate available alternatives to extend its operations beyond the fourth quarter of 2018. |
New Accounting Pronouncements
New Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2017 | |
New Accounting Pronouncements | |
New Accounting Pronouncements | (2) New Accounting Pronouncements Recently Adopted Accounting Pronouncements In March 2016, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2016-09, Compensation – Stock Compensation (Topic 718) , which is effective for fiscal years beginning after December 15, 2016 and interim periods within those fiscal years. As of January 1, 2017, the Company adopted this standard, which had the following impacts on its financial statements. (1) ASU 2016-09 requires organizations to recognize all income tax effects of awards in the statement of operations when the awards vest or are settled. The Company’s net operating loss deferred tax assets increased by $1.4 million and were offset by a corresponding increase in the valuation allowance given the Company’s continued loss position. Accordingly, the adoption of this portion of ASU 2016-09 had no impact on the Accumulated deficit. (2) ASU 2016-09 allows organizations to repurchase more shares from employees than they could previously purchase for tax withholding purposes without triggering liability accounting. The adoption of this portion of ASU 2016-09 had no impact on the Company’s financial statements. (3) ASU 2016-09 allows companies to make a policy election to account for forfeitures as they occur. The Company has made the policy election to account for forfeitures as they occurred and has used the modified retrospective transition method, resulting in less than $0.1 million reduction in Additional paid-in capital and an increase in Accumulated deficit as of January 1, 2017, to reflect the cumulative effect of previously estimated forfeitures. Recently Issued Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) , which was amended by ASU No. 2015-14 (as amended, “ASU 2014-09”). ASU No. 2014-09 requires an entity to recognize revenue from the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In particular, this ASU addresses contracts with more than one performance obligation, as well as the accounting for some costs to obtain or fulfill a contract with a customer, and provides for additional disclosures with respect to revenues and cash flows arising from contracts with customers. This ASU is effective for public business entities for fiscal years beginning after December 15, 2017, including interim periods within that fiscal year. Early adoption of this ASU is permitted only for fiscal years beginning after December 15, 2016, including interim periods within that fiscal year. This guidance is applicable to the Company's fiscal year beginning January 1, 2018 and the Company expects to adopt ASU 2014-09 in the first quarter of 2018 using the modified retrospective transition method. The adoption of ASU 2014-09 may have a material effect on the Company’s financial statements, including the footnote disclosures. To date, the Company has derived our revenues from a limited number of license and collaboration agreements. The consideration the Company is eligible to receive under these agreements includes upfront payments, research and development funding, contingent revenues in the form of commercial and development milestones and option payments and royalties. Each of the Company’s license and collaboration agreements has unique terms that will need to be evaluated separately under the new standard. The Company is in process of assessing its two active license and collaboration agreements. ASU 2014-09 differs from the current accounting standard in many respects, such as in the accounting for variable consideration, including the timing of recognition of certain milestone payments. Accordingly, the Company expects its evaluation of the accounting for collaboration agreements under the new revenue standard could identify material changes from the current accounting treatment. In addition, the current accounting standards include a presumption that revenue from certain upfront non-refundable fees are recognized ratably over the performance period, unless another attribution method is determined to more closely approximate the delivery of the goods or services to the customer. ASU 2014-09 will require entities to determine an appropriate attribution method using either output or input methods and does not include a presumption that entities would default to a ratable attribution approach. These factors could materially impact the amount and timing of the Company’s revenue recognition from its license and collaboration agreements under ASU 2014-09. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-02”). ASU 2016-02 requires organizations that lease assets, with lease terms of more than 12 months, to recognize on the balance sheet the assets and liabilities for the rights and obligations created by those leases. Consistent with current U.S. Generally Accepted Accounting Principles (“U.S. GAAP”), the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. However, unlike current U.S. GAAP which requires only capital leases to be recognized on the balance sheet, ASU No. 2016-02 will require both types of leases to be recognized on the balance sheet. ASU 2016-02 is effective for public business entities for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. This guidance is applicable to the Company's fiscal year beginning January 1, 2019. The Company is currently evaluating the effect that the adoption of ASU 2016-02 will have on its financial statements. |
Unaudited Interim Financial Sta
Unaudited Interim Financial Statements | 6 Months Ended |
Jun. 30, 2017 | |
Unaudited Interim Financial Statements | |
Unaudited Interim Financial Statements | (3) Unaudited Interim Financial Statements The accompanying unaudited financial statements included herein have been prepared by the Company in accordance with U.S. GAAP for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, all adjustments, consisting of normal recurring adjustments, and disclosures considered necessary for a fair presentation of interim period results have been included. Interim results for the three and six months ended June 30, 2017 are not necessarily indicative of results that may be expected for the year ending December 31, 2017. For further information, refer to the financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2016, which was filed with the SEC on March 15, 2017. |
Financial Instruments
Financial Instruments | 6 Months Ended |
Jun. 30, 2017 | |
Financial Instruments | |
Financial Instruments | (4) Financial Instruments The fair value of the Company’s financial instruments is determined and disclosed in accordance with the three-tier fair value hierarchy specified in Note 6, “Fair Value of Assets and Liabilities.” The Company is required to disclose the estimated fair values of its financial instruments. The Company’s financial instruments consist of cash, cash equivalents, available-for-sale investments and a note payable. The estimated fair values of these financial instruments approximate their carrying values as of June 30, 2017 and December 31, 2016. As of June 30, 2017 and December 31, 2016, the Company did not have any derivatives, hedging instruments or other similar financial instruments except for the note issued under the Company’s loan and security agreement, which is discussed in Note 5(a) to the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016, including put and call features which the Company determined are clearly and closely associated with the debt host and do not require bifurcation as a derivative liability, or the fair value of the feature is immaterial. |
Cash and Cash Equivalents
Cash and Cash Equivalents | 6 Months Ended |
Jun. 30, 2017 | |
Cash and Cash Equivalents | |
Cash and Cash Equivalents | (5) Cash and Cash Equivalents The Company considers all highly liquid investments with maturities of 90 days or less when purchased to be cash equivalents. Cash and cash equivalents at June 30, 2017 and December 31, 2016 consisted of cash and money market funds. |
Fair Value of Assets and Liabil
Fair Value of Assets and Liabilities | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value of Assets and Liabilities | |
Fair Value of Assets and Liabilities | (6) Fair Value of Assets and Liabilities The Company measures fair value at the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date using assumptions that market participants would use in pricing the asset or liability (the “inputs”) into a three-tier fair value hierarchy. This fair value hierarchy gives the highest priority (Level 1) to quoted prices in active markets for identical assets or liabilities and the lowest priority (Level 3) to unobservable inputs in which little or no market data exists, requiring companies to develop their own assumptions. Observable inputs that do not meet the criteria of Level 1, and include quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets and liabilities in markets that are not active, are categorized as Level 2. Level 3 inputs are those that reflect the Company’s estimates about the assumptions market participants would use in pricing the asset or liability, based on the best information available in the circumstances. Valuation techniques for assets and liabilities measured using Level 3 inputs may include unobservable inputs such as projections, estimates and management’s interpretation of current market data. These unobservable Level 3 inputs are only utilized to the extent that observable inputs are not available or cost-effective to obtain. The Company applies ASU No. 2011-04, Fair Value Measurement (Topic 820) , in its fair value measurements and disclosures. The table below presents the assets and liabilities measured and recorded in the financial statements at fair value on a recurring basis at June 30, 2017 and December 31, 2016 categorized by the level of inputs used in the valuation of each asset and liability. Quoted Prices in Active Markets Significant for Identical Other Significant Assets or Observable Unobservable Liabilities Inputs Inputs (In thousands) Total (Level 1) (Level 2) (Level 3) June 30, 2017 Assets Money market funds $ 73,136 $ 73,136 $ — $ — Short-term investments – municipal bonds 2,576 — 2,576 — Total Assets $ 75,712 $ 73,136 $ 2,576 $ — Total Liabilities $ — $ — $ — $ — December 31, 2016 Assets Money market funds $ 67,580 $ 67,580 $ — $ — Short-term investments – corporate bonds 19,729 — 19,729 — Short-term investments – municipal bonds 8,618 — 8,618 — Total Assets $ 95,927 $ 67,580 $ 28,347 $ — Total Liabilities $ — $ — $ — $ — The Level 1 assets consist of money market funds, which are actively traded daily. The Level 2 assets consist of corporate bond and municipal bond investments, the fair value of which may not represent actual transactions of identical securities. The fair value of corporate and municipal bonds is generally determined from quoted market prices received from pricing services based upon quoted prices from active markets and/or other significant observable market transactions at fair value. Since these fair values may not be based upon actual transactions of identical securities, they are classified as Level 2. Since all investments are classified as available-for-sale securities, any unrealized gains or losses are recorded in accumulated other comprehensive income or loss within stockholders’ equity on the balance sheet. The Company did not elect to measure any other financial assets or liabilities at fair value at June 30, 2017 or December 31, 2016. |
Investments
Investments | 6 Months Ended |
Jun. 30, 2017 | |
Investments | |
Investments | (7) Investments The Company’s available-for-sale investments at fair value consisted of the following at June 30, 2017 and December 31, 2016: June 30, 2017 Gross Gross Estimated Unrealized Unrealized Fair Cost (Losses) Gains Value (In thousands) Short-term investments – municipal bonds $ 2,577 $ (1) $ — $ 2,576 Total short-term investments 2,577 (1) — 2,576 Total investments $ 2,577 $ (1) $ — $ 2,576 December 31, 2016 Gross Gross Estimated Unrealized Unrealized Fair Cost (Losses) Gains Value (In thousands) Short-term investments – corporate bonds $ 19,740 $ (11) $ — $ 19,729 Short-term investments – municipal bonds 8,624 (6) — 8,618 Total short-term investments 28,364 (17) — 28,347 Total investments $ 28,364 $ (17) $ — $ 28,347 The Company had no realized gains or losses from available-for-sale securities during the six months ended June 30, 2017 and 2016. There were no losses or other-than-temporary declines in value included in “Interest income” |
Property and Equipment
Property and Equipment | 6 Months Ended |
Jun. 30, 2017 | |
Property and Equipment | |
Property and Equipment | (8) Property and Equipment At June 30, 2017 and December 31, 2016, net property and equipment at cost consisted of the following: June 30, December 31, (In thousands) 2017 2016 Leasehold improvements $ 671 $ 671 Laboratory equipment and other 5,158 5,127 Total property and equipment, at cost 5,829 5,798 Less: Accumulated depreciation and amortization 4,229 3,945 Property and equipment, net $ 1,600 $ 1,853 Depreciation and amortization expense on property and equipment was approximately $0.2 million for both the three months ended June 30, 2017 and 2016, and $0.4 million and $0.3 million for the six months ended June 30, 2017 and 2016, respectively. There were less than $0.1 million in non-cash property additions during both the three months and six months ended June 30, 2017 and 2016. |
Restricted Cash
Restricted Cash | 6 Months Ended |
Jun. 30, 2017 | |
Restricted Cash | |
Restricted Cash | (9) Restricted Cash As part of the Company’s lease arrangement for its office and laboratory facility in Cambridge, Massachusetts, the Company is required to restrict cash held in a certificate of deposit securing a line of credit for the lessor. As of June 30, 2017 and December 31, 2016, the restricted cash amounted to $0.3 million held in certificates of deposit securing a line of credit for the lessor. The lease expires August 2022. |
Accrued Expenses
Accrued Expenses | 6 Months Ended |
Jun. 30, 2017 | |
Accrued Expenses | |
Accrued Expenses | (10) Accrued Expenses At June 30, 2017 and December 31, 2016, accrued expenses consisted of the following: June 30, December 31, (In thousands) 2017 2016 Payroll and related costs $ 2,056 $ 2,498 Clinical and nonclinical trial expenses 3,392 3,577 Professional and consulting fees 424 840 Equipment purchase — 368 Other 78 111 $ 5,950 $ 7,394 Included in accrued payroll and related costs as of June 30, 2017 is the current portion, or $0.6 million, of the $1.2 million of salary continuation severance benefits to be paid in equal installments through May 31, 2019 to a former executive. The long-term portion of $0.6 million is included within Other liabilities in the Company’s balance sheet as of June 30, 2017. |
Comprehensive Income (Loss)
Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2017 | |
Comprehensive Income (Loss) | |
Comprehensive Income (Loss) | (11) Comprehensive Income (Loss) Comprehensive income (loss) is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources. Comprehensive loss for the six months ended June 30, 2017 and 2016 is comprised of reported net loss and any change in net unrealized gains and losses on investments during each period, which is included in accumulated other comprehensive income (loss) on the accompanying balance sheets. The following table includes the changes in the accumulated balance of the component of other comprehensive income (loss) for the six months ended June 30, 2017 and 2016: Six Months Ended Six Months Ended June 30, June 30, (In thousands) 2017 2016 Accumulated unrealized loss on available-for-sale securities at beginning of period $ (17) $ (134) Change during the period 16 146 Accumulated unrealized loss on available-for-sale securities at end of period $ (1) $ 12 |
Collaboration with GlaxoSmithKl
Collaboration with GlaxoSmithKline Intellectual Property Development Limited | 6 Months Ended |
Jun. 30, 2017 | |
Collaboration with GlaxoSmithKline Intellectual Property Development Limited | |
Collaboration with GlaxoSmithKline Intellectual Property Development Limited | (12) Collaboration with GlaxoSmithKline Intellectual Property Development Limited In November 2015, the Company entered into a collaboration and license agreement with GlaxoSmithKline Intellectual Property Development Limited (“GSK”) to license, research, develop and commercialize pharmaceutical compounds from the Company’s 3GA technology for the treatment of selected targets in renal disease (the “GSK Agreement”). The initial collaboration term is currently anticipated to last between two and four years. In connection with the GSK Agreement, GSK identified an initial target for the Company to attempt to identify a potential population of development candidates to address such target under a mutually agreed upon research plan, currently estimated to take 36 months to complete. From the population of identified development candidates, GSK may designate one development candidate in its sole discretion to move forward into clinical development. Once GSK designates a development candidate, GSK would be solely responsible for the development and commercialization activities for that designated development candidate. At any time during the first two years of the GSK Agreement, GSK has the option to select up to two additional targets, for further research under mutually agreed upon research plans. GSK may then designate one development candidate for each additional target, at which time GSK would have sole responsibility to develop and commercialize each such designated development candidate. In accordance with the GSK Agreement, a Joint Steering Committee (“JSC”) was formed with equal representation from Idera and GSK. The responsibilities of the JSC, include, but are not limited to monitoring the progress of the collaboration, reviewing research plans and dealing with disputes that may arise between the parties. If a dispute cannot be resolved by the JSC, GSK has final decision making authority. Under the terms of the GSK Agreement, the Company received a $2.5 million upfront, non-refundable, non-creditable cash payment upon the execution of the GSK Agreement. The Company is eligible to receive up to approximately $100 million in license, research, clinical development and commercialization milestone payments. Approximately $9 million of these milestone payments are payable by GSK upon the identification of the additional targets, the completion of current and future research plans and the designation of development candidates. Approximately $89 million is payable by GSK upon the achievement of clinical milestones and commercial milestones. In addition, the Company is eligible to receive royalty payments on sales upon commercialization at varying rates of up to five percent on annual net sales, as defined in the GSK Agreement. Accounting Analysis The Company evaluated the GSK Agreement in accordance with the provisions of ASC 605-25. The GSK Agreement contains the following initial deliverables: (i) a collaboration license for Idera’s proprietary technology related to the initial target (the “Collaboration License”), (ii) research services (the “Research Services”), and (iii) participation in the JSC (the “JSC Deliverable”). The Company has determined that GSK’s options to choose up to two additional targets and to purchase additional collaboration licenses for the Company’s proprietary technology related to each additional target are substantive options. GSK is not contractually obligated to exercise the options. Moreover, as a result of the uncertain outcome of the research activities, there is significant uncertainty as to whether GSK will decide to exercise its options for any additional targets. Consequently, the Company is at risk with regard to whether GSK will exercise the options. The Company has determined that GSK’s options to choose up to two additional targets and to purchase additional collaboration licenses for the Company’s proprietary technology related to each additional target are not priced at a significant and incremental discount. The Company has concluded that the Collaboration License does not qualify for separation from the Research Services. As it relates to the assessment of standalone value, the Company has determined that GSK cannot fully exploit the value of the Collaboration License without receipt of the Research Services from the Company. The Research Services involve unique skills and specialized expertise, particularly as it relates to the Company’s proprietary technology, which is not available in the marketplace. Accordingly, GSK must obtain the Research Services from the Company which significantly limits the ability for GSK to utilize the Collaboration License for its intended purpose on a standalone basis. Therefore, the Collaboration License does not have standalone value from the Research Services. As a result, the Collaboration License and the Research Services have been combined as a single unit of accounting (the “R&D Services Unit of Accounting”). The Company has concluded that the JSC Deliverable identified at the inception of the arrangement has standalone value from the other deliverables noted based on its nature. Factors considered in this determination included, among other things, the capabilities of the collaborator, whether any other vendor sells the item separately, whether the value of the deliverable is dependent on the other elements in the arrangement, whether there are other vendors that can provide the items and if the customer could use the item for its intended purpose without the other deliverables in the arrangement. Therefore, the Company has identified two units of accounting in connection with its initial deliverables under the GSK Agreement as follows: (i) the R&D Services Unit of Accounting, and (ii) the JSC Deliverable. Allocable arrangement consideration at inception of the GSK Agreement is comprised of the up-front payment of $2.5 million, which was allocated to the R&D Services Unit of Accounting. No amount was allocated to the JSC Deliverable because the related best estimate of selling price was determined to be de minimis. The $2.5 million was recorded as deferred revenue in the Company’s balance sheet and is being recognized as revenue on a straight-line basis over the Company’s estimate of the period over which the Research Services are delivered. In the second quarter of 2017, the Company revised its estimate of the research period from 27 months to 36 months, which is being accounted for on a prospective basis. Payments to be received in connection with GSK’s identification of additional targets and designation of development candidates are considered substantive options as a result of the uncertainties related to the research, development and commercialization activities, and the uncertainty as to whether GSK will exercise the options. The substantive options are not priced at a significant incremental discount. Accordingly, the substantive options are not considered deliverables at the inception of the arrangement and the associated option exercise payments are not accounted for at inception of the agreement. The clinical and commercial milestones provided for in the GSK Agreement are all performance obligations of GSK occurring after the Company has completed its obligations. As a result, they represent contingent revenue to the Company and will be accounted for at the time the contingencies are resolved. The Company will recognize royalty revenue in the period of sale of the related product(s), based on the underlying contract terms, provided that the reported sales are reliably measurable and the Company has no remaining performance obligations, assuming all other revenue recognition criteria are met. The Company recognized as revenue $0.2 million and $0.3 million of deferred revenue related to the GSK Agreement during the three months ended June 30, 2017 and 2016, respectively, and $0.5 million and $0.6 million of deferred revenue for the six months ended June 30, 2017 and 2016, respectively. This revenue is classified as alliance revenue in the accompanying statements of operations and comprehensive loss. There was $0.8 million of deferred revenue related to the GSK Agreement at June 30, 2017, of which $0.6 million is reflected in current portion of deferred revenue and $0.2 million is reflected as long-term deferred revenue in the accompanying balance sheet. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2017 | |
Stock-Based Compensation | |
Stock-Based Compensation | (13) Stock-Based Compensation The Company recognizes all stock-based payments to employees and directors as expense in the statements of operations and comprehensive loss based on their fair values. The Company records compensation expense over an award’s requisite service period, or vesting period, based on the award’s fair value at the date of grant. The Company’s policy is to charge the fair value of stock options as an expense on a straight-line basis over the vesting period, which is generally four years for employees and three years for directors. The Company accounts for forfeitures when they occur. Ultimately, the actual expense recognized over the vesting period will be for only those shares that vest. Total stock-based compensation expense recognized using the straight-line attribution method and included in operating expenses in the Company’s statements of operations and comprehensive loss was $5.8 million and $1.8 million for the three months ended June 30, 2017 and 2016, respectively, and $7.5 million and $3.5 million for the six months ended June 30, 2017 and 2016, respectively. Included in the $5.8 million and $7.5 million recognized during the three and six months ended June 30, 2017, respectively, is $4.3 million of stock-based compensation resulting from modifications to previously issued stock option awards in connection with the resignation of an executive, which is recorded in Research and development expense. Additionally, as of June 30, 2017, there was approximately $12.5 million of unrecognized compensation expense related to non-vested stock options which is expected to be recognized over a weighted-average period of 2.3 years. The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model. The following weighted average assumptions apply to the options to purchase 3,911,500 and 3,161,000 shares of common stock granted to employees and directors during the six months ended June 30, 2017 and 2016, respectively: Six Months Ended June 30, 2017 2016 Average risk free interest rate Expected dividend yield — — Expected lives (years) 4.0 4.2 Expected volatility Weighted average grant date fair value (per share) $ 1.00 $ 1.79 Weighted average exercise price (per share) $ 1.60 $ 2.68 The expected lives and the expected volatility of the options granted during the six months ended June 30, 2017 and 2016 are based on historical experience. All options granted during the six months ended June 30, 2017 and 2016 were granted at exercise prices equal to the fair market value of the common stock on the dates of grant. |
Net Loss per Common Share
Net Loss per Common Share | 6 Months Ended |
Jun. 30, 2017 | |
Net Loss per Common Share | |
Net Loss per Common Share | (14) Net Loss per Common Share For the three and six months ended June 30, 2017 and 2016, basic and diluted net loss per common share is computed using the weighted average number of shares of common stock outstanding during the period. Diluted net loss per common share is the same as basic net loss per common share as the effects of the Company’s potential common stock equivalents are antidilutive. Total antidilutive securities were 72,809,539 and 73,369,852 for the six months ended June 30, 2017 and 2016, respectively, and consist of stock options, convertible preferred stock and warrants. |
Stockholders_ Equity
Stockholders’ Equity | 6 Months Ended |
Jun. 30, 2017 | |
Stockholders’ Equity | |
Stockholders’ Equity | (15) Stockholders’ Equity Common Stock Warrant Exercises, Stock Option Exercises and Employee Stock Purchases The Company issued common stock Six Months Ended Six Months Ended June 30, 2017 June 30, 2016 (In thousands) Shares Proceeds Shares Proceeds Warrant exercises 409 $ 287 — $ — Stock option exercises 7 17 — — Employee stock purchases 83 115 47 67 Total 499 $ 419 47 $ 67 |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2017 | |
Related Party Transactions | |
Related Party Transactions | (16) Related Party Transactions The Company issued 41,302 and 26,973 shares of common stock during the six months ended June 30, 2017 and 2016, respectively, in lieu of director board and committee fees of less than $0.1 million for each six-month period, pursuant to the Company’s director compensation program. |
Deferred Tax Assets
Deferred Tax Assets | 6 Months Ended |
Jun. 30, 2017 | |
Deferred Tax Assets | |
Deferred Tax Assets | (17) Deferred Tax Assets The Company’s deferred tax assets are determined based on temporary differences between the financial reporting and tax bases of assets and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. A valuation allowance is recorded against deferred tax assets if it is more likely than not that some portion or all of the deferred tax assets will not be realized. For the six months ended June 30, 2017 and 2016, the Company did not record any current or deferred income tax provisions or benefits. Due to the uncertainty surrounding the future realization of the deferred tax assets, the Company has recorded full valuation allowances against its otherwise recognizable deferred tax assets at June 30, 2017 and December 31, 2016. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2017 | |
Subsequent Events. | |
Subsequent Events | (18) Subsequent Events The Company considers events or transactions that occur after the balance sheet date but prior to the issuance of the financial statements to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure. |
Fair Value of Assets and Liab24
Fair Value of Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value of Assets and Liabilities | |
Schedule of assets and liabilities measured and recorded in financial statements at fair value on a recurring basis | Quoted Prices in Active Markets Significant for Identical Other Significant Assets or Observable Unobservable Liabilities Inputs Inputs (In thousands) Total (Level 1) (Level 2) (Level 3) June 30, 2017 Assets Money market funds $ 73,136 $ 73,136 $ — $ — Short-term investments – municipal bonds 2,576 — 2,576 — Total Assets $ 75,712 $ 73,136 $ 2,576 $ — Total Liabilities $ — $ — $ — $ — December 31, 2016 Assets Money market funds $ 67,580 $ 67,580 $ — $ — Short-term investments – corporate bonds 19,729 — 19,729 — Short-term investments – municipal bonds 8,618 — 8,618 — Total Assets $ 95,927 $ 67,580 $ 28,347 $ — Total Liabilities $ — $ — $ — $ — |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Investments | |
Schedule of available-for-sale investments at fair value | June 30, 2017 Gross Gross Estimated Unrealized Unrealized Fair Cost (Losses) Gains Value (In thousands) Short-term investments – municipal bonds $ 2,577 $ (1) $ — $ 2,576 Total short-term investments 2,577 (1) — 2,576 Total investments $ 2,577 $ (1) $ — $ 2,576 December 31, 2016 Gross Gross Estimated Unrealized Unrealized Fair Cost (Losses) Gains Value (In thousands) Short-term investments – corporate bonds $ 19,740 $ (11) $ — $ 19,729 Short-term investments – municipal bonds 8,624 (6) — 8,618 Total short-term investments 28,364 (17) — 28,347 Total investments $ 28,364 $ (17) $ — $ 28,347 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Property and Equipment | |
Schedule of net property and equipment at cost | June 30, December 31, (In thousands) 2017 2016 Leasehold improvements $ 671 $ 671 Laboratory equipment and other 5,158 5,127 Total property and equipment, at cost 5,829 5,798 Less: Accumulated depreciation and amortization 4,229 3,945 Property and equipment, net $ 1,600 $ 1,853 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Accrued Expenses | |
Schedule of Accrued Expenses | June 30, December 31, (In thousands) 2017 2016 Payroll and related costs $ 2,056 $ 2,498 Clinical and nonclinical trial expenses 3,392 3,577 Professional and consulting fees 424 840 Equipment purchase — 368 Other 78 111 $ 5,950 $ 7,394 |
Comprehensive Income (Loss) (Ta
Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Comprehensive Income (Loss) | |
Schedule of changes in accumulated balance of the component of other comprehensive income (loss) | Six Months Ended Six Months Ended June 30, June 30, (In thousands) 2017 2016 Accumulated unrealized loss on available-for-sale securities at beginning of period $ (17) $ (134) Change during the period 16 146 Accumulated unrealized loss on available-for-sale securities at end of period $ (1) $ 12 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Stock-Based Compensation | |
Schedule of weighted average assumptions applied to options | Six Months Ended June 30, 2017 2016 Average risk free interest rate Expected dividend yield — — Expected lives (years) 4.0 4.2 Expected volatility Weighted average grant date fair value (per share) $ 1.00 $ 1.79 Weighted average exercise price (per share) $ 1.60 $ 2.68 |
Stockholders_ Equity (Tables)
Stockholders’ Equity (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Stockholders’ Equity | |
Schedule of common stock a result of warrant exercises, stock option exercises and employee stock purchases | Six Months Ended Six Months Ended June 30, 2017 June 30, 2016 (In thousands) Shares Proceeds Shares Proceeds Warrant exercises 409 $ 287 — $ — Stock option exercises 7 17 — — Employee stock purchases 83 115 47 67 Total 499 $ 419 47 $ 67 |
Organization (Details)
Organization (Details) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017USD ($)item | Dec. 31, 2016USD ($) | |
Organization | ||
Number of technology platforms to develop drug candidates | item | 2 | |
Accumulated deficit | $ | $ 575,038 | $ 538,470 |
New Accounting Pronouncements (
New Accounting Pronouncements (Details) $ in Millions | Jan. 01, 2017USD ($) | Feb. 29, 2016 | May 31, 2014itemagreement |
New Accounting Pronouncements or Change in Accounting Principle | |||
Number Of Agreements | agreement | 2 | ||
Accounting Standards Update 2014-09 | |||
New Accounting Pronouncements or Change in Accounting Principle | |||
Number Of Performance Obligations | item | 1 | ||
Accounting Standards Update 2016-02 | Minimum | |||
New Accounting Pronouncements or Change in Accounting Principle | |||
Lease term | 12 months | ||
Accounting Standards Update 2016-09 | Long-term deferred tax assets, net | |||
New Accounting Pronouncements or Change in Accounting Principle | |||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 1.4 | ||
Accounting Standards Update 2016-09 | Additional Paid-in Capital | |||
New Accounting Pronouncements or Change in Accounting Principle | |||
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 0.1 |
Fair Value of Assets and Liab33
Fair Value of Assets and Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Short-term investments | $ 2,576 | $ 28,347 |
Short-term investments | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Short-term investments | 2,576 | 28,347 |
Short-term investments | Corporate bonds | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Short-term investments | 19,729 | |
Short-term investments | Municipal bonds | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Short-term investments | 2,576 | 8,618 |
Fair value on a recurring basis | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Total Assets | 75,712 | 95,927 |
Fair value on a recurring basis | Money market funds | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Money market funds | 73,136 | 67,580 |
Fair value on a recurring basis | Short-term investments | Corporate bonds | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Short-term investments | 19,729 | |
Fair value on a recurring basis | Short-term investments | Municipal bonds | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Short-term investments | 2,576 | 8,618 |
Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | Fair value on a recurring basis | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Total Assets | 73,136 | 67,580 |
Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1) | Fair value on a recurring basis | Money market funds | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Money market funds | 73,136 | 67,580 |
Significant Other Observable Inputs (Level 2) | Fair value on a recurring basis | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Total Assets | 2,576 | 28,347 |
Significant Other Observable Inputs (Level 2) | Fair value on a recurring basis | Short-term investments | Corporate bonds | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Short-term investments | 19,729 | |
Significant Other Observable Inputs (Level 2) | Fair value on a recurring basis | Short-term investments | Municipal bonds | ||
Fair Value of Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||
Short-term investments | $ 2,576 | $ 8,618 |
Investments - Summary of Availa
Investments - Summary of Available-for-Sale Investments at Fair Value (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities | ||
Cost | $ 2,577 | $ 28,364 |
Gross Unrealized (Losses) | (1) | (17) |
Estimated Fair Value | 2,576 | 28,347 |
Estimated Fair Value - Short-term investments | 2,576 | 28,347 |
Short-term investments | ||
Schedule of Available-for-sale Securities | ||
Cost | 2,577 | 28,364 |
Gross Unrealized (Losses) | (1) | (17) |
Estimated Fair Value - Short-term investments | 2,576 | 28,347 |
Short-term investments | Corporate bonds | ||
Schedule of Available-for-sale Securities | ||
Cost | 19,740 | |
Gross Unrealized (Losses) | (11) | |
Estimated Fair Value - Short-term investments | 19,729 | |
Short-term investments | Municipal bonds | ||
Schedule of Available-for-sale Securities | ||
Cost | 2,577 | 8,624 |
Gross Unrealized (Losses) | (1) | (6) |
Estimated Fair Value - Short-term investments | $ 2,576 | $ 8,618 |
Investments - Additional Inform
Investments - Additional Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Investments | ||
Realized gains or losses from available-for-sale securities | $ 0 | $ 0 |
Losses from investments | $ 0 | $ 0 |
Property and Equipment - Net Pr
Property and Equipment - Net Property and Equipment at Cost (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment | ||
Total property and equipment, at cost | $ 5,829 | $ 5,798 |
Less: accumulated depreciation and amortization | 4,229 | 3,945 |
Property and equipment, net | 1,600 | 1,853 |
Leasehold improvements | ||
Property, Plant and Equipment | ||
Total property and equipment, at cost | 671 | 671 |
Laboratory equipment and other | ||
Property, Plant and Equipment | ||
Total property and equipment, at cost | $ 5,158 | $ 5,127 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Property and Equipment | ||||
Depreciation and amortization expense on property and equipment | $ 0.2 | $ 0.2 | $ 0.4 | $ 0.3 |
Non-cash property additions | $ 0.1 | $ 0.1 | $ 0.1 | $ 0.1 |
Restricted Cash (Details)
Restricted Cash (Details) - USD ($) $ in Millions | Jun. 30, 2017 | Dec. 31, 2016 |
Restricted Cash | ||
Total restricted cash | $ 0.3 | $ 0.3 |
Accrued Expenses - (Details)
Accrued Expenses - (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Accrued Expenses | ||
Payroll and related costs | $ 2,056 | $ 2,498 |
Clinical and nonclinical trial expenses | 3,392 | 3,577 |
Professional and consulting fees | 424 | 840 |
Equipment purchase | 368 | |
Other | 78 | 111 |
Total accrued expenses | 5,950 | $ 7,394 |
Salary continuation severance benefits | 1,200 | |
Long-term portion of other liabilities | $ 600 |
Comprehensive Income (Loss) (De
Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Comprehensive Income (Loss) | |||
Accumulated unrealized loss on available-for-sale securities at beginning of period | $ (17) | $ (134) | |
Change during the period | $ 12 | 16 | 146 |
Accumulated unrealized loss on available-for-sale securities at end of period | $ 12 | $ (1) | $ 12 |
Collaboration with GlaxoSmith41
Collaboration with GlaxoSmithKline Intellectual Property Development Limited (Details) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||||
Nov. 30, 2015person | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2017USD ($)item | Jun. 30, 2017USD ($)agreement | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Dec. 31, 2016USD ($) | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Alliance revenue | $ 187,000 | $ 301,000 | $ 565,000 | $ 595,000 | |||||
Current portion of deferred revenue | 563,000 | $ 563,000 | $ 563,000 | $ 563,000 | 563,000 | $ 1,111,000 | |||
Long-term deferred revenue | 235,000 | 235,000 | $ 235,000 | 235,000 | 235,000 | $ 152,000 | |||
Operating expenses | 21,779,000 | 13,906,000 | 37,345,000 | 27,118,000 | |||||
Operating expense | |||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Operating expenses | 5,800,000 | 1,800,000 | 7,500,000 | 3,500,000 | |||||
GSK Agreement | |||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Deferred revenue recognition period | 36 months | ||||||||
Number of development candidates | 1 | 1 | |||||||
Number of units of accounting in connection of agreements | item | 2 | ||||||||
Alliance revenue | 200,000 | $ 300,000 | 500,000 | $ 600,000 | |||||
Deferred revenue | $ 800,000 | 800,000 | $ 800,000 | 800,000 | 800,000 | ||||
Research period | 27 months | ||||||||
Current portion of deferred revenue | $ 600,000 | 600,000 | 600,000 | 600,000 | 600,000 | ||||
Long-term deferred revenue | $ 200,000 | $ 200,000 | $ 200,000 | $ 200,000 | 200,000 | ||||
Additional extended research period | 36 months | ||||||||
GSK Agreement | Clinical and Commercial Milestones | |||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Milestone payments | 89 | ||||||||
GSK Agreement | Maximum | |||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Anticipated initial collaboration term | 4 years | ||||||||
Number of optional additional targets | 2 | 2 | |||||||
Maximum royalty percentage on net sales | 5.00% | ||||||||
GSK Agreement | Maximum | License, Research, Clinical Development and Commercialization | |||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Milestone payments | 100,000,000 | ||||||||
GSK Agreement | Maximum | Research and Development Plans and Designation of Development Candidates | |||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Milestone payments | 9 | ||||||||
GSK Agreement | Minimum | |||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Anticipated initial collaboration term | 2 years | ||||||||
R&D Services Unit of Accounting | Up-front Payment Arrangement | GSK Agreement | |||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Upfront payment received under collaboration agreement | 2,500,000 | ||||||||
JSC Deliverable | Up-front Payment Arrangement | GSK Agreement | |||||||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions | |||||||||
Upfront payment received under collaboration agreement | $ 0 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award | |||
Stock-based compensation | $ 7,542 | $ 3,497 | |
Options to purchase common stock granted to employees and directors | 3,911,500 | 3,161,000 | |
Unrecognized compensation expense | $ 12,500 | $ 12,500 | |
Weighted average remaining period over which unrecognized compensation expense will be recognized | 2 years 3 months 18 days | ||
Research and Development Expense | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Stock-based compensation | $ 4,300 | $ 4,300 | |
Employees | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Stock options, vesting period | 4 years | ||
Directors | |||
Share-based Compensation Arrangement by Share-based Payment Award | |||
Stock options, vesting period | 3 years |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Assumptions Used to Determine Fair Value of Stock Options Granted During Period (Details) - $ / shares | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Stock-Based Compensation | ||
Average risk free interest rate | 1.70% | 1.40% |
Expected lives (years) | 4 years | 4 years 2 months 12 days |
Expected volatility | 86.90% | 93.00% |
Weighted average grant date fair value of options granted during the period (per share) | $ 1 | $ 1.79 |
Granted, Weighted Average Exercise Price | $ 1.60 | $ 2.68 |
Net Loss per Common Share (Deta
Net Loss per Common Share (Details) - shares | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Net Loss per Common Share | ||
Total antidilutive securities | 72,809,539 | 73,369,852 |
Stockholders_ Equity (Details)
Stockholders’ Equity (Details) - USD ($) shares in Thousands, $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Stockholders’ Equity | ||
Warrant exercises, Shares | 409 | |
Warrant exercises, Proceeds | $ 287 | |
Stock option exercises, Shares | 7 | |
Stock option exercises, Proceeds | $ 17 | |
Employee stock purchases, Shares | 83 | 47 |
Employee stock purchases, Proceeds | $ 115 | $ 67 |
Total, Shares | 499 | 47 |
Total, Proceeds | $ 419 | $ 67 |
Related Party Transactions (Det
Related Party Transactions (Details) - Directors - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Related Party Transactions | ||
Common stock issued in lieu of board fees | 41,302 | 26,973 |
Issuance of common stock for services | $ 0.1 | $ 0.1 |