Subsequent events

9 Months Ended

Sep. 30, 2016

Subsequent Events [Abstract]

Subsequent events

Subsequent events

In October 2016, the Company completed an asset purchase agreement to acquire the global rights to a preclinical development program for orphan CNS disorders for $1,500,000. Under the asset purchase agreement, the Company is also obligated to make future milestone payments based on the successful achievement of certain defined development and sales milestones. The accounting for this transaction and estimated financial effect of these development milestones are being evaluated. Due to the preclinical stage of development and the nature of this arrangement, the future potential payments related to the attainment of the specified milestones over a period of several years are inherently uncertain.

In October 2016, the Company amended its manufacturing services agreement with Patheon UK Limited to extend the term of the existing agreement through April 2017. Other terms of the existing agreement remain unchanged. The agreement may be extended further by agreement of both parties for additional terms prior to the expiration of the current term. Future minimum purchase commitments total $4,600,000 at September 30, 2016 through the term of the extended agreement.