Fair Value of Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2017

Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis

The following table summarizes the assets and liabilities measured at fair value on a recurring basis at March 31, 2017 (in thousands):



Description	March 31, 2017		Active Markets (Level 1)		Observable Inputs (Level 2)		Unobservable Inputs (Level 3)
Assets:
Cash and cash equivalents	$	20,268	$	20,268	$	—	$	—
Restricted cash	10		10		—		—
Total assets	$	20,278	$	20,278	$	—	$	—
Liabilities:
Warrant liability	$	2	$	—	$	—	$	2
Contingent consideration	46,600		—		—		46,600
Total liabilities	$	46,602	$	—	$	—	$	46,602

The following table summarizes the assets and liabilities measured at fair value on a recurring basis at December 31, 2016 (in thousands):



Description	December 31, 2016		Active Markets (Level 1)		Observable Inputs (Level 2)		Unobservable Inputs (Level 3)
Assets:
Cash and cash equivalents	$	25,342	$	25,342	$	—	$	—
Restricted cash	10		10		—		—
Total assets	$	25,352	$	25,352	$	—	$	—
Liabilities:
Warrant liability	$	5	$	—	$	—	$	5
Contingent consideration	45,100		—		—		45,100
Total liabilities	$	45,105	$	—	$	—	$	45,105

Summary of Assumptions Used in Valuing Warrants

The Company measures the fair value of the warrants classified as a liability at each reporting date using the Black-Scholes option pricing model using the following assumptions:



	March 31, 2017		December 31, 2016
Risk-free interest rate	0.95	%	0.85	%
Expected dividend yield	—	%	—	%
Expected term (in years)	0.67		0.92
Expected volatility	81.42	%	83.39	%

Summary of Changes in the Fair Value of the Company's Preferred Stock Warrant Liability

The following table sets forth a summary of changes in the fair value of the Company’s common stock warrant liability, which represented a recurring measurement classified within Level 3 of the fair value hierarchy, wherein fair value was estimated using significant unobservable inputs (in thousands):



Beginning balance, January 1, 2017	$	5
Change in fair value	(3		)
Ending balance, March 31, 2017	$	2

Summary of Contingent Consideration Obligations

The following table sets forth a summary of changes in the fair value of the Company's contingent consideration liability, which represented a recurring measurement classified within Level 3 of the fair value hierarchy, wherein fair value was estimated using significant unobservable inputs (in thousands):



Beginning balance, January 1, 2017	$	45,100
Loss from change in fair value of contingent consideration	1,500
Ending balance, March 31, 2017	$	46,600