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Fair Value (Tables)
12 Months Ended
Dec. 31, 2018
Fair Value Measurements Disclosure [Line Items]  
Summary of Assets Measured at Fair Value on Recurring Basis

The following are the major categories of assets measured at fair value on a recurring basis as of December 31, 2018 and 2017, using quoted prices in active markets for identical assets (Level 1); significant other observable inputs (Level 2); and significant unobservable inputs (Level 3):

 

 

 

December 31, 2018

 

 

 

(In thousands)

 

 

 

(unaudited)

 

Description

 

Quoted Prices in

Active Markets for

Identical Assets

(Level 1)

 

 

Significant Other

Observable Inputs

(Level 2)

 

 

Significant

Unobservable Inputs

(Level 3)

 

 

Total

 

Assets measured at fair value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

21,061

 

 

$

 

 

$

 

 

$

21,061

 

Restricted cash

 

 

590

 

 

 

 

 

 

 

 

 

590

 

Total Assets measured at fair value

 

$

21,651

 

 

$

 

 

$

 

 

$

21,651

 

Liabilities measured at fair value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contingent consideration

 

$

 

 

$

 

 

$

10,637

 

 

$

10,637

 

Warrant liabilities

 

 

 

 

 

 

 

$

4,636

 

 

$

4,636

 

Total liabilities measured at fair value

 

$

 

 

$

 

 

$

15,273

 

 

$

15,273

 

 

 

 

December 31, 2017

 

 

 

(In thousands)

 

Description

 

Quoted Prices in

Active Markets for

Identical Assets

(Level 1)

 

 

Significant Other

Observable Inputs

(Level 2)

 

 

Significant

Unobservable Inputs

(Level 3)

 

 

Total

 

Assets measured at fair value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

91,217

 

 

$

 

 

$

 

 

$

91,217

 

Restricted cash

 

 

6,389

 

 

 

 

 

 

 

 

 

6,389

 

Total Assets measured at fair value

 

$

97,606

 

 

$

 

 

$

 

 

$

97,606

 

Liabilities measured at fair value

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contingent consideration

 

$

 

 

$

 

 

$

12,418

 

 

$

12,418

 

Warrant liabilities

 

 

 

 

 

 

 

 

14,090

 

 

 

14,090

 

Total liabilities measured at fair value

 

$

 

 

$

 

 

$

26,508

 

 

$

26,508

 

Change in Fair Value for All Assets and Liabilities Using Unobservable Level 3 Inputs As Determined By Level 3 Inputs

The following table summarizes the change in fair value, as determined by Level 3 inputs, for all assets and liabilities using unobservable Level 3 inputs for the years ended December 31, 2018, 2017 and 2016:

 

 

 

Fair Value

Measurement at

Reporting Date

(Level 3)

 

 

 

(In thousands)

 

 

 

Common stock

 

 

Contingent

 

 

 

warrants

 

 

consideration

 

Balance at December 31, 2015

 

 

 

 

 

23,500

 

Payment for contingent consideration

 

 

 

 

 

(1,182

)

Change in fair value

 

 

 

 

 

482

 

Balance at December 31, 2016

 

 

 

 

 

22,800

 

Issuance of common stock in exchange for contingent

   consideration

 

 

 

 

 

(5,227

)

Issuance of warrants

 

 

8,715

 

 

 

 

Payment for contingent consideration

 

 

 

 

 

(7,181

)

Exercise of warrants

 

 

(78,359

)

 

 

 

Change in fair value

 

 

83,734

 

 

 

2,026

 

Balance at December 31, 2017

 

 

14,090

 

 

 

12,418

 

Payment for contingent consideration

 

 

 

 

 

(770

)

Exercise of warrants

 

 

(23,774

)

 

 

 

Change in fair value

 

 

14,320

 

 

 

(1,011

)

Balance at December 31, 2018

 

 

4,636

 

 

$

10,637

 

Current portion

 

 

 

 

 

72

 

Long-term portion

 

 

4,636

 

 

 

10,565

 

Balance at December 31, 2018

 

$

4,636

 

 

$

10,637

 

Level 3 [Member]  
Fair Value Measurements Disclosure [Line Items]  
Quantitative Information about Inputs and Valuation Methodologies Used for Fair Value Measurements Classification

The following table presents quantitative information about the inputs and valuation methodologies used for the Company’s fair value measurements classified in Level 3 with the exception of the warrant liability, which is explained above as of December 31, 2018 and 2017:

 

 

 

Valuation

Methodology

 

Significant

Unobservable Input

 

Weighted Average

(range, if

applicable)

Contingent  consideration

 

Probability weighted

income approach

 

Milestone dates

 

2019 to 2022

 

 

 

 

Discount rate

 

11.5% to 12%

Series B Warrant [Member]  
Fair Value Measurements Disclosure [Line Items]  
Quantitative Information about Inputs and Valuation Methodologies Used for Fair Value Measurements Classification The following table presents the inputs and valuation methodologies used for the Company’s fair value of the Series B warrants

 

 

 

 

 

 

 

 

 

 

April 28, 2017

 

Series B

 

December 31, 2018

 

 

December 31, 2017

 

 

(date of issuance)

 

Fair value

 

$4.6 million

 

 

$14.1 million

 

 

$6.2 million

 

Valuation methodology

 

Monte Carlo

 

 

Monte Carlo

 

 

Black-Scholes

Merton

 

Term

 

3.32 years

 

 

4.33 years

 

 

5 years

 

Risk free rate

 

2.47%

 

 

2.13%

 

 

1.81%

 

Dividends

 

 

 

 

 

 

 

 

 

Volatility

 

87.60%

 

 

80.60%

 

 

73.14%

 

Share price

 

$

2.26

 

 

$

1.93

 

 

$

0.65

 

Probability of additional financing

 

100% in 2019

 

 

25% in 2018

and 75% in 2019

 

 

Not Applicable