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Document and Entity Information - USD ($) $ in Millions	12 Months Ended
Document and Entity Information - USD ($) $ in Millions	Dec. 31, 2017	Feb. 21, 2018	Jun. 30, 2017
Document and Entity Information
Entity Registrant Name	LEAP THERAPEUTICS, INC.
Entity Central Index Key	0001509745
Document Type	10-K
Document Period End Date	Dec. 31, 2017
Amendment Flag	false
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Public Float			$ 21.5
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		12,354,014
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	FY

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 25,737	$ 793
Research and development incentive receivable	1,744	3,053
Prepaid expenses and other current assets	177	183
Total current assets	27,658	4,029
Property and equipment, net	135	119
Deferred offering costs		1,402
Deferred tax asset	158
Other assets	1,111	907
Total assets	29,062	6,457
Current liabilities:
Accounts payable	2,622	3,225
Accrued expenses	3,461	2,658
Notes payable and accrued interest - related party		30,274
Total current liabilities	6,083	36,157
Non current liabilities:
Warrant liability	11,862
Total liabilities	17,945	36,157
Commitments and contingencies (Note 13)
Stockholders' equity (deficiency):
Common stock, $0.001 par value; 100,000,000 and 58,500,000 shares authorized as of December 31, 2017 and 2016, respectively; 12,354,014 and 0 shares outstanding as of December 31, 2017 and 2016, respectively	12
Additional paid-in capital	141,770	145
Accumulated other comprehensive income (loss)	(268)	294
Accumulated deficit	(130,397)	(100,670)
Total stockholders' equity (deficiency)	11,117	(100,231)
Total liabilities, convertible preferred stock and stockholders' equity	$ 29,062	6,457
Series A Redeemable Convertible Preferred Stock
Non current liabilities:
Convertible preferred stock		11,800
Series B Convertible Preferred Stock
Non current liabilities:
Convertible preferred stock		28,189
Series C Convertible Preferred Stock
Non current liabilities:
Convertible preferred stock		$ 30,542

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Stockholders' deficiency:
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized shares	100,000,000	58,500,000
Common stock, outstanding shares	12,354,014	0
Convertible preferred stock
Convertible Preferred Stock
Convertible preferred stock, authorized shares	0	42,500,000
Series A Redeemable Convertible Preferred Stock
Convertible Preferred Stock
Convertible preferred stock, authorized shares	0	9,000,000
Convertible preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Convertible preferred stock, issued shares	0	9,000,000
Convertible preferred stock, outstanding shares	0	9,000,000
Convertible preferred stock, liquidation preference	$ 0	$ 11,800
Series B Convertible Preferred Stock
Convertible Preferred Stock
Convertible preferred stock, authorized shares	0	21,500,000
Convertible preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Convertible preferred stock, issued shares	0	21,500,000
Convertible preferred stock, outstanding shares	0	21,500,000
Convertible preferred stock, liquidation preference	$ 0	$ 28,189
Series C Convertible Preferred Stock
Convertible Preferred Stock
Convertible preferred stock, authorized shares	0	12,000,000
Convertible preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Convertible preferred stock, issued shares	0	11,781,984
Convertible preferred stock, outstanding shares	0	11,781,984
Convertible preferred stock, liquidation preference	$ 0	$ 30,542

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Operating expenses:
Research and development	$ 22,503	$ 23,292
General and administrative	9,849	4,012
Total operating expenses	32,352	27,304
Loss from operations	(32,352)	(27,304)
Interest income	170	2
Interest expense - related party	(121)	(1,233)
Australian research and development incentives	1,715	3,129
Foreign currency gains (loss)	759	(217)
Other expense, net	(55)	(9)
Loss before income taxes	(29,884)	(25,632)
Benefit from income taxes	157
Net loss	(29,727)	$ (25,632)
Accretion of preferred stock to redemption value	(244)
Net loss attributable to common stockholders	$ (29,971)
Net loss per share
Basic (in dollars per share)	$ (3.27)
Diluted (in dollars per share)	$ (3.31)
Weighted average common shares outstanding
Basic (in shares)	9,161,844
Diluted (in shares)	9,188,587

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
Net loss	$ (29,727)	$ (25,632)
Other comprehensive loss:
Foreign currency translation adjustments	(562)	295
Comprehensive loss	$ (30,289)	$ (25,337)

CONSOLIDATED STATEMENTS OF REDEEMABLE CONVERTIBLE AND CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY (DEFICIENCY) - USD ($) $ in Thousands	Common Stock Subscription Agreement	Common Stock Private placement	Common Stock	Additional Paid-in Capital Subscription Agreement	Additional Paid-in Capital Private placement	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit	Subscription Agreement	Private placement	Series A Redeemable Convertible Preferred Stock	Series B Convertible Preferred Stock	Series C Convertible Preferred Stock	Total
Balance at the beginning of the period (in shares) at Dec. 31, 2015											9,000,000	21,500,000	11,781,984
Balance at the end of the period (in shares) at Dec. 31, 2016											9,000,000	21,500,000	11,781,984
Balance at the beginning of the period at Dec. 31, 2015											$ 11,080	$ 26,512	$ 28,289
Increase (Decrease) in Redeemable Convertible Preferred Stock
Accretion to redemption value											720	1,677	2,253
Balance at the end of the period at Dec. 31, 2016											$ 11,800	$ 28,189	$ 30,542
Balance at the beginning of the period at Dec. 31, 2015						$ 100	$ (1)	$ (70,388)						$ (70,289)
Increase (Decrease) in Stockholders' Deficit
Accretion to redemption value								(4,650)						(4,650)
Foreign currency translation adjustment							295							295
Stock-based compensation						45								45
Net loss								(25,632)						(25,632)
Balance at the end of the period at Dec. 31, 2016						145	294	(100,670)						$ (100,231)
Increase (Decrease) in Shares Outstanding
Conversion of notes payable - related party and accrued interest into stock (in shares)			1,950,768
Conversion of convertible preferred stock to common stock (in shares)			3,174,523								(9,000,000)	(21,500,000)	(11,781,984)
Issuance of stock (in shares)	1,010,225	2,958,094
Issuance of common stock in connection with merger with Macrocure (in shares)			3,256,898
Issuance of common stock upon exercise of stock options (in shares)			3,506											3,506
Balance at the end of the period (in shares) at Dec. 31, 2017			12,354,014
Increase (Decrease) in Redeemable Convertible Preferred Stock
Accretion to redemption value											$ 37	$ 90	$ 117
Conversion of convertible preferred stock to common stock											$ (11,837)	$ (28,279)	$ (30,659)
Increase (Decrease) in Stockholders' Deficit
Accretion to redemption value						(244)								$ (244)
Conversion of notes payable - related party and accrued interest into common stock			$ 2			31,143								31,145
Conversion of convertible preferred stock to common stock			3			70,772								70,775
Issuance of common stock, net of issuance costs	$ 1	$ 3		$ 8,981	$ 5,426				$ 8,982	$ 5,429
Issuance of common stock in connection with merger with Macrocure, net of offering costs of $1,331			3			19,927								19,930
Issuance of common stock upon exercise of stock options						20								20
Foreign currency translation adjustment							(562)							(562)
Stock-based compensation						5,600								5,600
Net loss								(29,727)						(29,727)
Balance at the end of the period at Dec. 31, 2017			$ 12			$ 141,770	$ (268)	$ (130,397)						$ 11,117

CONSOLIDATED STATEMENTS OF REDEEMABLE CONVERTIBLE AND CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY (DEFICIENCY) (Parenthetical) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($)
CONSOLIDATED STATEMENTS OF REDEEMABLE CONVERTIBLE AND CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY (DEFICIT) (Parenthetical)
Reclassification of deferred offering costs to additional paid-in capital	$ 1,331
Subscription Agreement
CONSOLIDATED STATEMENTS OF REDEEMABLE CONVERTIBLE AND CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY (DEFICIT) (Parenthetical)
Issuance of common stock, issuance costs	1,018
Private placement
CONSOLIDATED STATEMENTS OF REDEEMABLE CONVERTIBLE AND CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY (DEFICIT) (Parenthetical)
Issuance of common stock, issuance costs	$ 236

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Cash flows from operating activities:
Net loss	$ (29,727)	$ (25,632)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation expense	48	25
Stock-based compensation expense	5,600	45
Non-cash interest expense - related party	121	1,233
Change in fair value of warrant liability	(473)
Changes in operating assets and liabilities, net of impact of assumed net assets of Macrocure:
Prepaid expenses and other assets	(99)	(222)
Deferred tax assets	(158)
Research and development incentive receivable	1,458	(3,053)
Accounts payable and accrued expenses	1,093	2,267
Net cash used in operating activities	(22,137)	(25,337)
Cash flows from investing activities:
Purchases of property and equipment	(64)	(144)
Net cash used in investing activities	(64)	(144)
Cash flows from financing activities:
Proceeds from issuance of common stock in connection with merger with Macrocure	21,165
Proceeds from issuance of common stock in connection with Subscription Agreement	10,000
Proceeds from issuance of common stock in connection with Private Placement	18,000
Proceeds from notes payable - related party	750	25,900
Proceeds from the exercise of stock options	20
Payment of offering costs	(2,172)	(282)
Net cash provided by financing activities	47,763	25,618
Effect of exchange rate changes on cash and cash equivalents	(618)	251
Net increase in cash and cash equivalents	24,944	388
Cash and cash equivalents at beginning of period	793	405
Cash and cash equivalents at end of period	25,737	793
Supplemental disclosure of non-cash financing activities:
Accretion of preferred stock to redemption value	(244)	(4,650)
Deferred offering costs included in accounts payable and accrued expenses	131	$ 1,120
Conversion of notes payable - related party and accrued interest into common stock	31,145
Conversion of convertible preferred stock to common stock	70,775
Value of net assets acquired in connection with merger with Macrocure, excluding cash	$ 96

Nature of Business, Basis of Presentation and Liquidity	12 Months Ended
Nature of Business, Basis of Presentation and Liquidity	Dec. 31, 2017
Nature of Business, Basis of Presentation and Liquidity
Nature of Business, Basis of Presentation and Liquidity	1. Nature of Business, Basis of Presentation and Liquidity Nature of Business Leap Therapeutics, Inc. was incorporated in the state of Delaware as Dekkun Corporation on January 3, 2011 and changed its name to HealthCare Pharmaceuticals, Inc. effective May 29, 2014, and then to Leap Therapeutics, Inc. effective November 16, 2015 (the "Company"). During 2015, HealthCare Pharmaceuticals Pty Ltd ("HCP Australia") was formed and is a wholly owned subsidiary of the Company. During 2017, the Company merged with Macrocure Ltd. (now "Leap Therapeutics Ltd.") and its wholly owned subsidiary Macrocure, Inc. The Company is a biopharmaceutical company acquiring and developing novel therapeutics at the leading edge of cancer biology. The Company's approach is designed to target compelling tumor-promoting and immuno-oncology pathways to generate durable clinical benefit and enhanced outcomes for patients. The Company's programs are monoclonal antibodies that target key cellular pathways that enable cancer to grow and spread and specific mechanisms that activate the body's immune system to identify and attack cancer. Basis of Presentation The accompanying consolidated financial statements of the Company include the accounts of its wholly owned subsidiaries and have been prepared in conformity with accounting principles generally accepted in the United States of America. All inter-company accounts and transactions are eliminated upon consolidation. Merger with Macrocure Ltd. The Company entered into a definitive merger agreement (the "Merger Agreement"), dated as of August 29, 2016, with Macrocure Ltd. ("Macrocure"), a publicly held, clinical-stage biotechnology company based in Petach Tikva, Israel, and M-Co Merger Sub Ltd. ("Merger Sub"), a wholly owned subsidiary of the Company which provided for the merger of Macrocure with and into Merger Sub, with Macrocure continuing after the merger as a wholly owned subsidiary of the Company. Following the merger, the Company changed Macrocure's name to Leap Therapeutics Ltd. Pursuant to the Merger Agreement, the existing equity holders of the Company invested an additional $10,000 at the closing of the transaction. On January 23, 2017, the Company issued 3,256,898 shares of its common stock in exchange for 100% of the outstanding ordinary shares of Macrocure Ltd. upon consummation of the merger (see Note 3). Reverse Stock Split On January 20, 2017, the Company effected a 1-for-19.86754 reverse stock split of its issued and outstanding shares of common stock and a proportional adjustment to the existing conversion ratios for each series of the Company's Preferred Stock. Accordingly, all share and per share amounts for all periods presented in the accompanying financial statements and notes thereto have been adjusted retroactively, where applicable, to reflect this reverse stock split and adjustment of the preferred stock conversion ratios. Private Placement of Common Stock On November 14, 2017, the Company entered into the Private Placement to issue an aggregate of 2,958,094 shares of unregistered common stock, at a price per share of $6.085, each share issued with a warrant to purchase one share of common stock at an exercise price of $6.085 with an exercise period expiring seven years after closing, for gross proceeds of approximately $18,000 (see Notes 7 and 9). Liquidity Since inception, the Company has been engaged in organizational activities, including raising capital, and research and development activities. The Company does not yet have a product that has been approved by the Food and Drug Administration (the "FDA"), has not generated any revenues and has not yet achieved profitable operations, nor has it ever generated positive cash flows from operations. There is no assurance that profitable operations, if achieved, could be sustained on a continuing basis. Further, the Company's future operations are dependent on the success of the Company's efforts to raise additional capital, its research and commercialization efforts, regulatory approval, and, ultimately, the market acceptance of the Company's products. In accordance with ASC 205-40, Going Concern, the Company has evaluated whether there are conditions and events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern within one year after the date that the consolidated financial statements are issued. As of December 31, 2017 the Company had an accumulated deficit of $130,397. During the year ended December 31, 2017, the Company incurred a loss of $29,727 and used $22,137 of cash in operations. The Company expects to continue to generate operating losses in the foreseeable future. The Company expects that its cash and cash equivalents of $25,737 at December 31, 2017, together with the receipt of $1,744 of research and development tax incentive payments from the Commonwealth of Australia as a result of the 2017 research and development activities of the Company's Australian subsidiary, HealthCare Pharmaceuticals Pty Ltd, net of the current Australia tax liability, will be sufficient to fund its operating expenses for at least the next 12 months from issuance of the financial statements. In addition, the Company will seek additional funding through public or private equity financings or government programs and will seek funding or development program cost-sharing through collaboration agreements or licenses with larger pharmaceutical or biotechnology companies. If the Company does not obtain additional funding or development program cost-sharing, the Company would be forced to delay, reduce or eliminate certain clinical trials or research and development programs, reduce or eliminate discretionary operating expenses, and delay company and pipeline expansion, which would adversely affect its business prospects. The inability to obtain funding, as and when needed, would have a negative impact on the Company's financial condition and ability to pursue its business strategies.

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2017

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

2. Summary of Significant Accounting Policies

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany accounts and transactions are eliminated upon consolidation.

Use of Estimates

The presentation 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 revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

The Company considers all highly liquid investments with maturities of three months or less when purchased to be cash equivalents.

Research and Development Expense

Research and development costs are expensed as incurred. Research and development expenses include personnel costs associated with research and development activities, including noncash share-based compensation and costs for third-party contractors to perform research, conduct clinical trials and manufacture drug supplies and materials. The Company accrues for costs incurred by external service providers, including contract research organizations and clinical investigators, based on its estimates of service performed and costs incurred. These estimates include the level of services performed by the third parties, patient enrollment in clinical trials, administrative costs incurred by the third parties, and other indicators of the services completed. Based on the timing of amounts invoiced by service providers, the Company may also record payments made to those providers as prepaid expenses that will be recognized as expense in future periods as the related services are rendered.

Research and development incentive income and receivable

The Company recognizes other income from Australian research and development incentives when there is reasonable assurance that the income will be received, the relevant expenditure has been incurred, and the consideration can be reliably measured. The research and development incentive is one of the key elements of the Australian Government's support for Australia's innovation system and is supported by legislative law primarily in the form of the Australian Income Tax Assessment Act 1997 as long as eligibility criteria are met.

Management has assessed the Company's research and development activities and expenditures to determine which activities and expenditures are likely to be eligible under the research and development incentive regime described above. At each period end management estimates the refundable tax offset available to the Company based on available information at the time. This estimate is also reviewed by external tax advisors on an annual basis.

Under the program, a percentage of eligible research and development expenses incurred by the Company through its subsidiary in Australia are reimbursed. The percentage was 43.5% and 45.0% for the years ended December 31, 2017 and 2016, respectively.

The research and development incentive receivable represents an amount due in connection with the above program. The Company has recorded a research and development incentive receivable of $1,744 and $3,053 as of December 31, 2107 and 2016, respectively, in the consolidated balance sheets and other income from Australian research and development incentives of $1,715 and $3,129, in the consolidated statements of operations for the years ended December 31, 2017 and 2016, respectively, related to refundable research and development incentive program payments in Australia.

The following table shows the change in the research and development incentive receivable from January 1, 2016 to December 31, 2017:

Balance at January 1, 2016	$	—
Australian research and development incentive income		3,129
Foreign currency translation		(76	)

Balance at December 31, 2016		3,053
Australian research and development incentive income		1,715	(1)
Refund for 2016 eligible expenses		(3,245	)
Foreign currency translation		221

Balance at December 31, 2017	$	1,744

(1)

Certain supporting research and development activity is performed outside of Australia when there are no Australian facilities that support the activity ("Overseas research and development activities"). In October 2017, the Commonwealth of Australia issued the Company a favorable ruling on its Overseas research and development activities, considering such activities to be eligible research and development activities under the Australian Incentive Program. As such, the Company recorded Australian research and development incentives during the year ended December 31, 2017 for its Overseas research and development activities performed during the year ended December 31, 2016 of $717.

Concentration of Credit Risk

Financial instruments which potentially subject the Company to credit risk consist principally of cash and cash equivalents. All cash and cash equivalents are held in United States financial institutions and money market funds. At times, the Company may maintain cash balances in excess of the federally insured amount.

Income Taxes

The company accounts for income taxes using the asset and liability method. Under the asset and liability method, deferred income taxes are recognized for differences between the financial reporting and tax bases of assets and liabilities at enacted statutory tax rates in effect for the years in which the differences are expected to reverse. The effect on deferred taxes of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized.

The company follows accounting guidance concerning provisions for uncertainty in income tax positions. This guidance clarifies the accounting for income taxes by prescribing a minimum probability threshold that in uncertain tax position must meet before a financial statement benefit is recognized. The minimum threshold is defined as a tax position that is more likely than not to be sustained upon examination by the applicable taxing authority, of any related appeals or litigation processes, based on the technical merits of the position. The tax benefit to be recognized is measured as the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement.

The Company recognizes accrued interest and penalties associated with uncertain tax position as part of the income tax provision. There were no uncertain tax positions or income tax related interest and penalties recorded for the years ended December 31, 2017 and 2016. The income tax returns of the Company for the year ended December 31, 2014 and subsequent years are subject to examination by the Internal Revenue Service and other taxing authorities, generally for three years after the work filed.

Foreign Currency Translation

The financial statements of the Company's foreign subsidiary are measured using the local currency as the functional currency. Assets and liabilities of this subsidiary are translated into U.S. dollars at exchange rates as of the consolidated balance sheet date. Equity is translated at historical exchange rates. Revenues and expenses are translated into U.S. dollars at average rates of exchange in effect during the year. The resulting cumulative translation adjustments have been recorded as a separate component of stockholders' deficiency. Foreign currency transaction gains and losses are included in the results of operations.

Property and Equipment

Property and equipment are stated at cost less accumulated depreciation. Depreciation expense is recognized using the straight-line method over the estimated useful life of each asset. Computer equipment is depreciated over three years. Laboratory equipment, office equipment and furniture and fixtures are depreciated over five years. Leasehold improvements are amortized over the shorter of the lease term or the estimated useful life of the asset. Upon retirement or sale, the cost of assets disposed of and the related accumulated depreciation are removed from the accounts and any resulting gain or loss is included in loss from operations. Expenditures for repairs and maintenance are charged to expense as incurred.

Impairment of Long-Lived Assets

Long-lived assets consist of property and equipment. Long-lived assets to be held and used are tested for recoverability whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable. Factors that the Company considers in deciding when to perform an impairment review include significant underperformance of the business in relation to expectations, significant negative industry or economic trends and significant changes or planned changes in the use of the assets. If an impairment review is performed to evaluate a long-lived asset group for recoverability, the Company compares forecasts of undiscounted cash flows expected to result from the use and eventual disposition of the long-lived asset group to its carrying value. An impairment loss would be recognized when estimated undiscounted future cash flows expected to result from the use of an asset group are less than its carrying amount. The impairment loss would be based on the excess of the carrying value of the impaired asset group over its fair value, determined based on discounted cash flows. To date, the Company has not recorded any impairment losses on long-lived assets.

Deferred Offering Costs

The Company capitalizes certain legal, professional accounting and other third-party fees that are directly associated with in-process equity financings as deferred offering costs until such financings are consummated. After consummation of the equity financing, these costs are recorded in stockholders' equity (deficiency) as a reduction of additional paid-in capital generated as a result of the offering.

Other Assets

Other assets as of December 31, 2017 and 2016, consist of $1,111 and $907, respectively, of deposits made by the Company with certain service providers that are to be applied to future payments due under the service agreements or returned to the Company if not utilized.

Fair Value of Financial Instruments

Certain assets and liabilities are carried at fair value under GAAP. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. Financial assets and liabilities carried at fair value are to be classified and disclosed in one of the following three levels of the fair value hierarchy, of which the first two are considered observable and the last is considered unobservable:


	•	Level 1—Quoted prices in active markets for identical assets or liabilities.
	•	Level 2—Observable inputs (other than Level 1 quoted prices), such as quoted prices in active markets for similar assets or liabilities, quoted prices in markets that are not active for identical or similar assets or liabilities, or other inputs that are observable or can be corroborated by observable market data.
	•	Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to determining the fair value of the assets or liabilities, including pricing models, discounted cash flow methodologies and similar techniques.

During the years presented, the Company has not changed the manner in which it values assets and liabilities that are measured at fair value using Level 3 inputs. The Company recognizes transfers between levels of the fair value hierarchy as of the end of the reporting period. There were no transfers within the hierarchy during the years ended December 31, 2017 and 2016.

A summary of the assets and liabilities carried at fair value in accordance with the hierarchy defined above is as follows (in thousands):

	Total		Level 1		Level 2		Level 3
December 31, 2017
Assets:
Cash equivalents	$	25,737	$	25,737	$	—	$	—

Total assets	$	25,737	$	25,737	$	—	$	—


Liabilities:
Warrant liability	$	11,862	$	—	$	—	$	11,862

Total liabilities	$	11,862	$	—	$	—	$	11,862


December 31, 2016
Assets:
Cash equivalents	$	793	$	793	$	—	$	—

Total assets	$	793	$	793	$	—	$	—

Cash equivalents of $25,737 and $793 as of December 31, 2017 and 2016, respectively, consisted of overnight investments and money market funds and are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices in active markets.

The carrying value of the research and development incentive receivable, accounts payable and accrued liabilities approximate their fair value due to the short-term nature of these assets and liabilities. Management believes that the Company's debt as of December 31, 2016 (see Note 6) bears interest at the prevailing market rate for instruments with similar characteristics and, accordingly, the carrying value approximates its fair value.

A roll-forward of the recurring fair value measurements of the warrant liability categorized with Level 3 inputs are as follows (in thousands):

	Warrant Liability
Balance—December 31, 2016	$	—
Initial fair value		12,335
Change in fair value		(473	)

Balance—December 31, 2017	$	11,862

The warrant liability in the table above is composed of the fair value of warrants to purchase common shares that the Company issued in connection with the Private Placement (see Notes 7 and 9). The fair value of the warrant liability was determined based on significant inputs not observable in the market, which represents a Level 3 measurement within the fair value hierarchy. The Company utilized a Monte Carlo simulation, which is a statistical method used to generate a defined number of share price paths to develop a reasonable estimate of the range of the future expected share prices, to value the warrant liability. The Monte Carlo simulation incorporated assumptions and estimates to value the warrant liability. Estimates and assumptions impacting the fair value measurement included the estimated probability of adjusting the exercise price of the warrants, the number of shares for which the warrants will be exercisable, the remaining contractual term of the warrants, the risk-free interest rate, the expected dividend yield, and the expected volatility of the price of the underlying common shares.

The Company historically has been a private company and lacks company-specific historical and implied volatility information of its shares. Therefore, it estimated its expected share volatility based on the historical volatility of publicly traded peer companies for a term equal to the remaining contractual term of the warrants. The risk-free interest rate was determined by reference to the U.S. Treasury yield curve for time periods approximately equal to the remaining contractual term of the warrants. The Company estimated a 0% expected dividend yield based on the fact that the Company has never paid or declared dividends and does not intend to do so in the foreseeable future.

Segment Information

The Company manages its operations as a single segment for the purposes of assessing performance and making operating decisions. The Company's singular focus is developing novel, targeted drugs for the treatment of cancer. Substantially all of the Company's tangible assets are held in the United States.

Patent Costs

All patent related costs incurred in connection with filing and prosecuting patent applications are expensed as incurred due to the uncertainty about the recovery of the expenditure. Amounts incurred are classified as general and administrative expenses.

Stock-Based Compensation

The Company measures all stock options and other stock-based awards granted to employees based on the fair value on the date of the grant and recognizes compensation expense of those awards, net of estimated forfeitures, over the requisite service period, which is generally the vesting period of the respective award. Generally, the Company issues stock options to employees with only service-based vesting conditions and records the expense for these awards using the straight-line method.

The Company measures stock-based awards granted to consultants and nonemployees based on the fair value of the award on the date on which the related service is complete. Compensation expense is recognized over the period during which services are rendered by such consultants and nonemployees until completed. At the end of each financial reporting period prior to completion of the service, the fair value of these awards is remeasured using the then current fair value of the Company's common stock and updated assumption inputs in the Black-Scholes option-pricing model.

Stock-based compensation is classified in the accompanying consolidated statements of operations based on the function to which the related services are provided. The Company recognizes compensation expense for only the portion of awards that are expected to vest. In developing a forfeiture rate estimate, the Company has considered its historical experience to estimate pre-vesting forfeitures for service-based awards. The impact of a forfeiture rate adjustment will be recognized in full in the period of adjustment, and if the actual forfeiture rate is materially different from the Company's estimate, the Company may be required to record adjustments to stock-based compensation expense in future periods.

The fair value of each stock option grant is estimated on the date of grant using the Black-Scholes option-pricing model. The Company historically has been a private company and lacks company-specific historical and implied volatility information. Therefore, it estimates its expected stock volatility based on the historical volatility of a publicly traded set of peer companies and expects to continue to do so until such time as it has adequate historical data regarding the volatility of its own traded stock price. The expected term of the Company's stock options has been determined utilizing the "simplified" method for awards that qualify as "plain-vanilla" options. The expected term of stock options granted to nonemployees is equal to the contractual term of the option award. The risk-free interest rate is determined by reference to the U.S. Treasury yield curve in effect at the time of grant of the award for time periods approximately equal to the expected term of the award. Expected dividend yield is based on the fact that the Company has never paid cash dividends on common stock and does not expect to pay any cash dividends in the foreseeable future.

Net Loss per Share

Basic net loss per share is computed using the weighted average number of common shares outstanding during the period. Diluted net loss per share is computed using the weighted average number of common shares outstanding during the period and, if dilutive, the weighted average number of potential shares of common stock, including the assumed exercise of stock options. There were no common shares outstanding during the year ended December 31, 2016 and, and accordingly, basic and diluted net loss per share is not presented for that period.

Reclassification

Certain prior period amounts have been reclassified for consistency with the current period presentation. These reclassifications had no effect on previously reported results of operations.

During the three months ended March 31, 2017, the Company made a policy election to classify foreign exchange gains and losses as other income (expense), rather than general and administrative expenses, in its consolidated statement of operations on a prospective basis. The reclassification had no impact on the Company's previously reported financial position or cash flows.

Redeemable Convertible Preferred Stock

On January 20, 2017, in connection with and prior to the completion of the merger with Macrocure, (a) all of the Company's outstanding shares of convertible preferred stock were converted into 3,174,523 shares of common stock.

Warrant Liability

In connection with entering into the Private Placement (Note 9), the Company issued a warrant to purchase common stock with each share of common stock sold in the Private Placement. The Company classified the warrants as a liability on its consolidated balance sheet because each warrant represents a freestanding financial instrument that is not indexed to the Company's own shares. The warrant liability was initially recorded at fair value upon entering into the Private Placement agreement and is subsequently remeasured to fair value at each reporting date. Changes in the fair value of the warrant liability are recognized as a component of other income (expense), net in the consolidated statement of operations. Changes in the fair value of the warrant liability will continue to be recognized until the warrants are exercised, expire or qualify for equity classification.

If the Company issues shares to discharge the liability, the derivative financial liability is derecognized and common stock and additional paid-in capital are recognized on the issuance of those shares. Warrants are valued using the Monte Carlo simulation model. If the terms of warrants that initially require the warrant to be classified as a liability lapse, the liability is reclassified out of financial liabilities into equity at its fair value on that date. The cash proceeds received from exercises of warrants are recorded in common stock and additional paid-in capital.

New Accounting Pronouncements

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) ("ASU 2014-09"), which supersedes existing revenue recognition guidance under GAAP. The standard's core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. The standard defines a five-step process to achieve this principle, and will require companies to use more judgment and make more estimates than under the current guidance. The Company expects that these judgments and estimates will include identifying performance obligations in the customer contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. ASU 2014-09 also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. Topic 606, as amended, is effective for the Company for its annual periods beginning after December 15, 2018 and for interim periods within those fiscal years. Early adoption of the standard is permitted for annual periods beginning after December 15, 2016. The Company is currently evaluating the impact that the adoption that this standard will have on its consolidated financial statements, if and when it generates revenue.

In February 2016, FASB issued ASU 2016-02, Leases (Topic 842). FASB issued this update to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The updated guidance is effective for the Company for annual periods beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption of the update is permitted. The Company is evaluating the impact of the adoption of this update on its consolidated financial statements and disclosures.

In March 2016, the FASB issued ASU 2016-09, Compensation—Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The new standard involves several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. The new standard will be effective for the Company on January 1, 2018. The Company is evaluating the impact of the adoption of this update on its consolidated financial statements and disclosures.

In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments ("ASU 2016-15"), to address diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The standard is effective for the Company for annual periods beginning after December 15, 2018, including interim periods within those fiscal years. The Company is currently evaluating the impact that the adoption of ASU 2016-15 will have on its consolidated financial statements.

In May 2017, the FASB issued ASU No. 2017-09, Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting ("ASU 2017-09"), which clarifies when to account for a change to the terms or conditions of a share-based payment award as a modification. Under the new guidance, modification accounting is required only if the fair value, the vesting conditions, or the classification of the award (as equity or liability) changes as a result of the change in terms or conditions. The standard is effective for annual periods beginning after December 15, 2017, including interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact that the adoption of ASU 2017-09 will have on its consolidated financial statements.

In July 2017, the FASB issued ASU No. 2017-11, Earnings Per Share (Topic 260), Distinguishing Liabilities from Equity (Topic 480), and Derivatives and Hedging (Topic 815) ("ASU 2017-11"), which changes the classification analysis of certain equity-linked financial instruments (or embedded features) with down round features. The amendments require entities that present earnings per share ("EPS") in accordance with Topic 260 to recognize the effect of the down round feature when triggered with the effect treated as a dividend and as a reduction of income available to common shareholders in basic EPS. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company does not expect that the adoption of ASU 2017-11 will have a material impact on its consolidated financial statements.

Merger with Macrocure and Related Transactions	12 Months Ended
Merger with Macrocure and Related Transactions	Dec. 31, 2017
Merger with Macrocure and Related Transactions
Merger with Macrocure and Related Transactions	3. Merger with Macrocure and Related Transactions Merger with Macrocure Ltd. The Company entered into a definitive merger agreement (the "Merger Agreement"), dated as of August 29, 2016, with Macrocure Ltd. ("Macrocure"), a publicly held, clinical-stage biotechnology company based in Petach Tikva, Israel, and M-Co Merger Sub Ltd. ("Merger Sub"), a wholly owned subsidiary of the Company which provided for the merger of Macrocure with and into Merger Sub, with Macrocure continuing after the merger as a wholly owned subsidiary of the Company. On January 23, 2017, the Company issued 3,256,898 shares of its common stock, net of fractional shares paid in cash, in exchange for 100% of the outstanding ordinary shares of Macrocure Ltd. upon consummation of the merger. Pursuant to the terms of the merger agreement, each holder of Macrocure's ordinary shares received approximately 0.1815 shares of the Company's common stock, plus cash in lieu of fractional shares based on a value of the Company's common stock of $9.90 per share. The exchange ratio was based on a final net cash calculation, as of the closing, of $21,875. The merger was accounted for as an in-substance recapitalization of the Company, as the transaction was, in essence, an exchange of shares of the Company's common stock (and options and warrants exercisable therefor) for cash. Apart from cash, the net assets acquired were $96, and all Macrocure employees were terminated as of the effective time of the merger. Macrocure's cash and nominal assets and liabilities were measured and recognized at their fair values as of the date of the merger, and combined with the assets, liabilities and results of operations of the Company. All Macrocure stock options granted under the Macrocure stock option plans (whether or not then exercisable) and all warrants to purchase Macrocure ordinary shares that were outstanding prior to the effective time of the merger became options and warrants, respectively, to purchase the Company's common stock equal to the number of ordinary shares of Macrocure issuable upon exercise of such stock options and warrants multiplied by the exchange ratio, with a corresponding exercise price equal to the exercise price of such stock options or warrants divided by the exchange ratio. All outstanding and unexercised Macrocure stock options and warrants assumed by the Company may be exercised solely for shares of the Company's common stock. Vesting of all unvested Macrocure equity awards issued and outstanding was accelerated at the effective time of the merger, and all such equity awards issued and outstanding at the time of the merger remained issued and outstanding. For accounting purposes, since the acceleration of vesting was negotiated in contemplation of the merger, the remaining unrecognized compensation expense associated with the original grant date fair value of the awards of $280 was recognized as a charge in the Company's consolidated statement of operations for the year ended December 31, 2017. In addition, the exercise period for all Macrocure options outstanding at the effective time of the merger was extended beyond the respective periods provided in the original awards. The Company recorded a charge of $504 in connection with the extension of the exercise periods in the consolidated statement of operations for the year ended December 31, 2017 equal to the difference in the fair value of the options immediately prior to and immediately following the modification of the exercise period. In connection with the merger, the Company applied to be listed on the NASDAQ Global Market. NASDAQ approved the listing, and trading in the Company's common stock commenced on January 24, 2017, under the trading symbol "LPTX". Recapitalization and Amendments to Certificate of Incorporation On January 20, 2017, in connection with and prior to the completion of the merger with Macrocure, (a) all of the Company's outstanding shares of convertible preferred stock were converted into 3,174,523 shares of common stock, (b) the outstanding note payable and accrued interest was converted into 1,950,768 shares of common stock, and (c) the Company amended and restated its certificate of incorporation and bylaws to, among other things: (i) authorize 100,000,000 shares of common stock; (ii) eliminate all references to the previously existing series of the Company's preferred stock; (iii) authorize 10,000,000 shares of undesignated preferred stock that may be issued from time to time by the Company's board of directors and (iv) effect a one for 19.86754 reverse stock split of the Company's common stock outstanding immediately prior to the filing of the amended and restated certificate of incorporation. Subscription Agreement On January 20, 2017, prior and subject to the consummation of the merger, the Company and HealthCare Ventures IX, L.P. ("HCV IX") entered into a subscription agreement pursuant to which HCV IX purchased 1,010,225 shares of the Company's common stock for $10,000, at a purchase price per share of $9.90. Stock Option Grants On January 20, 2017, in connection with the consummation of the merger with Macrocure, the Company made an option grant to each of three executives to purchase 330,303 of shares of common stock, for a total of 990,909 shares of common stock, pursuant to its Amended and Restated 2012 Equity Incentive Plan. The options were granted at an exercise price $9.90 per share. The options will vest 33% on the first anniversary of the date of grant, and thereafter in equal monthly installments over a period of two years, generally subject to the executive's continued employment. Royalty Agreement and Letter Agreement On January 23, 2017, immediately prior to the merger, the Company entered into a royalty agreement with Leap Shareholder Royalty Vehicle, LLC, a Delaware limited liability company (the "Royalty Vehicle"), a special purpose vehicle formed for the specific purpose of entering into the royalty agreement. In connection with the transactions contemplated by the merger agreement, the Company declared a special distribution of certain royalty rights to each of its holders of common stock outstanding immediately prior to the effective time of the merger. These holders collectively beneficially owned or controlled 100% of the Company's outstanding common stock at the time of the merger. Pursuant to the royalty agreement, the Company will pay to the special purpose vehicle (i) 5% of the Company's net sales of products incorporating its TRX518 compound and (ii) 2% of the Company's net sales of products incorporating its DKN-01 compound. The royalty agreement has an indefinite term, and neither the Company nor the special purpose vehicle has the right to terminate. The Company accounted for the royalty rights as a contingent liability.

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

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+ Details

Property and Equipment, Net

12 Months Ended

Dec. 31, 2017

Property and Equipment, Net

Property and Equipment, Net

4. Property and Equipment, Net

Property and equipment, net consisted of the following:

	December 31,
	2017			2016
Computer office equipment	$	51		$	—
Leasehold improvements		69			69
Lab equipment		58			45
Furnitures and fixtures		30			30

		208			144
Less: accumulated depreciation		(73	)		(25	)

Property and equipment, net	$	135		$	119

Depreciation expense was $48 and $25 for the years ended December 31, 2017 and 2016, respectively.

Accrued Expenses

12 Months Ended

Dec. 31, 2017

Accrued Expenses

Accrued Expenses

5. Accrued Expenses

Accrued expenses consist of the following:

	December 31,
	2017		2016
Clinical trials	$	2,116	$	2,545
Professional fees		390		88
Payroll and related expenses		955		25

Accrued expenses	$	3,461	$	2,658

Notes Payable-Related Party	12 Months Ended
Notes Payable-Related Party	Dec. 31, 2017
Notes Payable-Related Party
Notes Payable-Related Party	6. Notes Payable—Related Party During 2014, the Company entered into a convertible promissory note with a stockholder, and made multiple drawdowns under the note throughout 2014 and 2015. The note accrued interest at a rate of 8% per year until the principal of the note was either repaid or otherwise converted. During 2016, the Company made additional drawdowns under the convertible promissory note totaling $25,900, and as of December 31, 2016, the Company owed $29,000 aggregate principal and $1,274 of accrued interest in connection with the promissory note. Interest expense from the related-party note was $121 and $1,233 for the years ended December 31, 2017 and 2016, respectively. The accrued interest as of December 31, 2016 of $1,274 is included in note payable and accrued interest-related party in the accompanying consolidated balance sheet as of December 31, 2016. On January 13, 2017, the Company received aggregate proceeds of $750 from an amendment and restatement of the promissory note. On January 20, 2017, in accordance with its terms and in connection with and prior and subject to the consummation of the merger with Macrocure, the outstanding note payable, including principal and accrued interest totaling $31,145, was converted into 1,950,768 shares of common stock.

Warrants

12 Months Ended

Dec. 31, 2017

Warrants

Warrants

7. Warrants

As of December 31, 2017, outstanding warrants to purchase common stock consisted of the following:

December 31, 2017
Date Exercisable	Number of Shares Issuable		Exercise Price		Exercisable for	Classification
1/23/2017		54,516	$	0.01	Common Stock	Equity
11/14/2017		2,958,094		6.085	Common Stock	Liability

		3,012,610

2017 Warrants

On November 14, 2017, in connection with the Private Placement (see Note 9), the Company issued immediately exercisable warrants to purchase 2,958,094 shares of common stock to investors. The warrants have an exercise price of $6.085 per share, and expire on November 14, 2024.

The warrants contain full ratchet anti-dilution protection provisions. Company classifies the warrants as a liability on its consolidated balance sheet because each warrant represents a freestanding financial instrument that, due to the potential variable nature of the exercise price, is not considered to be indexed to the Company's own shares. The warrant liability was initially recorded at fair value upon entering into the Private Placement and is subsequently remeasured to fair value at each reporting date. Changes in the fair value of the warrant liability are recognized as a component of other income (expense), net in the Company's consolidated statement of operations. Changes in the fair value of the warrant liability will continue to be recognized until the warrants are exercised, expire or qualify for equity classification.

The fair value of the warrant liability was determined to be $12,335 on the date of issuance. The Company remeasured the liability as of December 31, 2017 and determined that the fair value of the warrant liability was $11,862, resulting in income of $473 recorded within other income (expense), net in the consolidated statements of operations for the year ended December 31, 2017.

Preferred Stock	12 Months Ended
Preferred Stock	Dec. 31, 2017
Preferred Stock
Preferred Stock	8. Preferred Stock On January 3, 2011, the Company entered into an agreement to issue up to 9,000,000 shares of Series A Convertible Preferred Stock ("Series A Stock") in consideration for the grant of a license to certain intellectual property (see Note 13). The issuance of shares was subject to the satisfaction of certain conditions set forth in the Series A Convertible Preferred Stock Purchase Agreement. From 2011 through 2016, the Company issued the 9,000,000 shares of Series A Stock in four tranches, upon the consummation of the corresponding Series B Convertible Redeemable Preferred Stock ("Series B Stock") tranche closings. During the period from January 3, 2011 through December 31, 2013, the Company sold 15,000,000 shares of Series B Stock for gross proceeds of $15,000. In accordance with the terms of the Series A Convertible Preferred Stock Purchase Agreement, the Company issued 6,279,300 shares of Series A Stock to the licensor in connection with these closings valued at approximately $6,279 on the dates of grant, which was recognized as research and development expense. On April 17, 2015, the Company completed an additional tranche closing of the sale of its Series B Stock and issued the remaining 6,500,000 authorized shares of Series B Stock. Of the shares issued, 4,532,098 were issued in consideration for the conversion of notes payable and accrued interest totaling approximately $4,532 (see Note 6), and the remaining 1,967,902 shares were sold for gross proceeds of approximately $1,968. In accordance with the terms of the Series A Convertible Preferred Stock Purchase Agreement, the Company issued 2,720,700 shares of Series A Stock to the licensor contemporaneously with the Series B Stock tranche closing. These shares were valued at approximately $2,721 on the date of grant and included in research and development expense. On April 24, August 25, and December 19, 2014, GITR completed three tranche closings resulting in the issuance of 2,687,765 shares of Series C Stock for net proceeds of $1,807. On February 5 and April 24, 2015, GITR completed two tranche closings resulting in the issuance of 2,835,040 shares of Series C Stock for net proceeds of approximately $1,922. The powers, terms, conditions, preferences, rights and privileges of the Series A Stock, Series B Stock and Series C Stock when outstanding were as set forth below. In connection with the consummation of the Macrocure merger, all outstanding shares of the Company's convertible preferred stock were converted into shares of common stock. Voting The holders of Series A Stock, Series B Stock and the Series C Stock are entitled to vote, together with the holders of common stock as one class, on all matters as to which common stockholders are entitled to vote. In any such vote, each share of such preferred stock shall entitle the holder thereof to the number of votes per share that equals the number of shares of common stock into which each such share of such preferred stock is then convertible. In addition, the holders of a majority in voting power of the Series C Stock and Series B Stock, voting together as a separate class, have the exclusive right to elect three members of the Board of Directors of the Company. Preferences The Company's Series C Stock and Series B Stock ranks, as to dividends and upon liquidation, equally with each other and senior and prior to the Company's Series A Stock and common stock and to all other classes or series of stock issued by the Company, and the Series A Stock ranks, as to dividends and upon liquidation, junior to the Series C Stock, Series B Stock and senior and prior to the Company's common stock, in each instance, except as otherwise approved by the affirmative vote or consent of the holders of a majority of the voting power of the shares of Series C Stock and Series B Stock then outstanding, voting together as a separate class. Dividends Whenever any dividend is declared or paid on the Series B Stock or Series C Stock, the Board of Directors shall also declare and pay a dividend on the same terms, at the same rate and in like kind upon each share of the Series A Stock then outstanding, so that all outstanding shares of Series A Stock, Series B Stock and Series C Stock will participate equally with each other ratably per share. The holders of shares of Series B Stock are entitled to receive, if, when and as declared or paid by the Board of Directors on any shares of Series B Stock, dividends at the rate of 8% of the applicable Original Purchase Price per share per year, which will accrue on a quarterly basis commencing on the original issuance date applicable to each share of Series B Stock equal in right to the payment of dividends and other distributions on the Series C Stock and prior in right to the payment of dividends and other such distributions on any other class of securities of the Company. Dividends are payable, as accrued, whether or not declared, (i) on any liquidation, (ii) upon any event of sale, (iii) upon any redemption date, or (iv) upon the conversion of the Series B Stock into common stock, on such shares so converted. Whenever any dividend is declared or paid on: (i) any shares of the common stock, the Board of Directors shall also declare and pay a dividend on the same terms, at the same rate and in like kind upon each share of the Series B Stock then outstanding so that all outstanding shares of Series B Stock will participate in such dividend ratably with such shares of common stock; or (ii) any shares of Series A Stock or Series C Stock, the Board of Directors shall also declare and pay a dividend on the Series B Stock on the same terms, at the same or equivalent rate, based on the number of shares of common stock into which the Series A Stock or Series C Stock, as applicable, is then convertible, if applicable, or, otherwise, the relative liquidation preference per share, as compared with the Series B Stock then outstanding. The holders of shares of Series C Stock shall be entitled to receive, if, when and as declared or paid by the Board of Directors on any shares of Series C Stock, dividends at the rate of 8% of the applicable Original Purchase Price per share per annum, which will accrue on a quarterly basis commencing on the original issuance date applicable to each share of Series C Stock equal in right to the payment of dividends and other distributions on the Series B Stock and prior in right to the payment of dividends and other such distributions on any other class of securities of the Company. Dividends are payable, as accrued, whether or not declared, (i) on any liquidation, (ii) upon any event of sale, (iii) upon any redemption date, or (iv) upon the conversion of the Series C Stock into common stock, on such shares so converted. Whenever any dividend is declared or paid on: (i) any shares of the common stock, the Board of Directors shall also declare and pay a dividend on the same terms, at the same rate and in like kind upon each share of the Series C Stock then outstanding so that all outstanding shares of Series C Stock will participate in such dividend ratably with such shares of common stock; or (ii) any shares of Series A Stock or Series B Stock, the Board of Directors shall also declare and pay a dividend on the Series C Stock on the same terms, at the same or equivalent rate, based on the number of shares of common stock into which the Series A Stock or Series B Stock, as applicable, is then convertible, if applicable, or, otherwise, the relative liquidation preference per share, as compared with the Series C Stock then outstanding. Cumulative unpaid dividends on the Series A, Series B and Series C Stock totaled approximately $2,800, $6,689 and $2,383, respectively, as of December 31, 2016 and have been accreted in the carrying amounts of the Series A, Series B and Series C Stock, respectively, in the accompanying consolidated balance sheet as of that date. Liquidation Rights In the event of any liquidation, dissolution or winding-up of the affairs of the Company (collectively, a "Liquidation"), (i) the holders of shares of Series C Stock and Series B Stock shall be entitled to receive out of the assets of the Company, before any payment shall be made to the holders of Series A Stock then outstanding, the holders of common stock or any other class or series of stock ranking on Liquidation junior to such Series C Stock and Series B Stock, an amount per share equal to the Original Purchase Price applicable thereto, plus an amount equal to any accrued but unpaid dividends thereon; and (ii) after the distribution to the holders of Series C and Series B Stock of the full amount which they are entitled to receive, the holders of Series A Stock shall be entitled to receive out of the assets of the Company, before any payment shall be made to the holders of common stock or any other class or series of stock ranking on Liquidation junior to such Series A Stock, an amount per share equal to the applicable Original Purchase Price plus an amount equal to any declared but unpaid dividends thereon. In the event of any Liquidation, after payments shall have been made first to the holders of Series C and Series B Stock and the holders of Series A Stock of the full amount to which they shall be entitled, the holders of common stock as a class, shall be entitled to share ratably with the holders of Series A, B and C Stock in all remaining assets of the Company legally available for distribution to its stockholders. For purposes of calculating the amount of any payment to be paid upon any such Liquidation, each share of Series A Stock, Series B Stock and Series C Stock shall be deemed to be that number of shares of common stock into which it is then convertible. Redemption At the request of the holder or holders of not less than 662/3% of the voting power of shares of Series C Stock and Series B Stock then outstanding, voting together as a separate class, made at any time after December 10, 2020, the Company shall redeem, at a redemption price per share equal to the Original Purchase Price of the Series C Stock or Series B Stock, as applicable, plus an amount equal to any accrued but unpaid dividends thereon, up to 25% of the Series C Stock or Series B Stock, as applicable, owned of record by the requesting holders at the time that such request is made, and in each subsequent year thereafter, upon the anniversary of the redemption date, up to 25% of the shares of Series C Stock or Series B Stock, as applicable, that were owned of record by the requesting holders on the redemption date plus up to that number of shares of Series C Stock or Series B Stock, as applicable, that the requesting holders could have required the Company to have redeemed in the year or years following the redemption date, but elected not to have redeemed. In the event of and simultaneously with the closing of an event of sale, as defined, the Company shall redeem all of the shares of Series A Stock, Series B Stock and Series C Stock then outstanding for a cash amount per share defined as the Special Liquidation Price. In the event the event of sale involves consideration that does not consist of cash, then the Special Liquidation Price may be paid with such consideration having a value equal to the Special Liquidation Price. To the extent there is any cash consideration in connection with an event of sale, the cash consideration will first be applied to satisfy the Special Liquidation Price prior to the payment thereof to any stockholders of the Company. The Special Liquidation Price would be equal to that amount per share which would be received by each Series A, Series B and Series C stockholder if, in connection with an event of sale, all the consideration paid in exchange for the assets or the shares of capital stock of the Company were actually paid to and received by the Company and the Company was immediately thereafter liquidated and its assets distributed. Conversion Any holder of Series A Stock, Series B Stock or Series C Stock has the right to convert any or all of its shares into fully paid and nonassessable shares of common stock. For each share of preferred stock so converted, the rate of conversion would equal the quotient of the applicable Original Purchase Price for such preferred stock divided by the Conversion Price for such preferred stock, subject to adjustment. The Original Purchase Price and Conversion Price of the Series A Stock, Series B Stock and Series C Stock was $1.00, $1.00 and $2.39 per share, respectively, during all periods presented. If the Company issues or sells any shares of common stock, preferred stock or options for a consideration per share less than the applicable Conversion Price in effect immediately prior to the issuance (a "Dilutive Issuance"), the Conversion Price for the preferred stock in effect immediately prior to each such Dilutive Issuance shall automatically be lowered to a price determined by a formula defined in the Company's articles of incorporation. If the number of shares of common stock outstanding is increased or decreased by a stock dividend payable in shares of common stock, by a combination of the outstanding shares of common stock or by a subdivision or split-up of shares of common stock, then the Conversion Price applicable to each series of preferred stock shall be appropriately increased or decreased so that the number of shares of common stock issuable on conversion of each share of preferred stock shall be increased in proportion to such increase or decrease in outstanding shares of common stock. Approval Rights The Company may not, without the affirmative approval of the holders of shares representing at least a majority of voting power of the Series B Stock and Series C Stock then outstanding, complete certain transactions, including among others, selling the Company, acquiring another entity, declaring or paying dividends, or incurring any indebtedness in excess of $500. Merger with Macrocure Ltd. On January 20, 2017, prior and subject to the consummation of the merger with Macrocure, all outstanding shares of the Company's convertible preferred stock were converted into 3,174,523 shares of common stock.

Common Stock	12 Months Ended
Common Stock	Dec. 31, 2017
Common Stock
Common Stock	9. Common Stock There were no shares of common stock issued or outstanding as of December 31, 2016. Each share of common stock entitles the holder to one vote on all matters submitted to a vote of the Company's stockholders. Common stockholders are entitled to receive dividends, as may be declared by the board of directors, if any, subject to the preferential dividend rights of the preferred stockholders. Through December 31, 2017, no dividends have been declared. As of December 31, 2017, the Company had reserved shares of common stock for the exercise of outstanding stock options and warrants, and the number of shares remaining for grant under the Company's 2012 Equity Incentive Plan (see Note 10). Merger with Macrocure Ltd. On January 20, 2017, in connection with and prior to the completion of the merger with Macrocure, (a) all of the Company's outstanding shares of convertible preferred stock were converted into 3,174,523 shares of common stock, (b) the outstanding note payable and accrued interest was converted into 1,950,768 shares of common stock, and (c) the Company amended and restated its certificate of incorporation and bylaws to, among other things: (i) authorize 100,000,000 shares of common stock; (ii) eliminate all references to the previously existing series of the Company's preferred stock; (iii) authorize 10,000,000 shares of undesignated preferred stock that may be issued from time to time by the Company's board of directors and (iv) effect a one for 19.86754 reverse stock split of the Company's common stock outstanding immediately prior to the filing of the amended and restated certificate of incorporation. Private Placement of Common Stock On November 14, 2017, the Company entered into purchase agreements (collectively, the "Purchase Agreements") with certain accredited institutional investors (collectively, the "Purchasers"), each with substantially similar terms and conditions. Pursuant to the Purchase Agreements, the Company agreed to issue and sell to the Purchasers an aggregate of 2,958,094 shares of unregistered common stock at a price per share of $6.085, for gross proceeds of $18,000 (the "Private Placement"). Each common share was issued with a detachable warrant to purchase one share of common stock at an exercise price of $6.085 per share, expiring seven years after the closing of the Purchase Agreements. The common shares issued in the Private Placement have the same rights and privileges as all other issued and outstanding common shares. The gross proceeds of $18,000 were first allocated to the fair value of the warrants of $12,335 with the remaining proceeds of $5,665 being allocated to the common stock. After giving effect to issuance costs related to the Private Placement, net proceeds were $17,250. If all of the Warrants are exercised in cash at the stated exercise price during the term, the Company will receive additional proceeds of approximately $18,000 and will issue an aggregate of 2,958,094 shares of common stock (the "Warrant Shares"). The Company incurred $750 of issuance costs associated with the Private Placement which consisted of legal, consulting and regulatory fees. The costs were allocated between the issuance of the common stock and warrants on a pro rata basis with the allocation of the proceeds, with approximately 68% of the costs allocated to the warrants and approximately 32% allocated to the common stock. The issuance costs associated with the common stock totaled $236 and were recorded as a reduction to additional paid-in capital on the consolidated balance sheet. The issuance costs associated with the warrants totaled $514 and were recorded within other expense on the consolidated statement of operations. HealthCare Ventures IX, L.P. and Eli Lilly and Company, each a holder of more than 5% of the Company's outstanding common stock, also purchased common stock and warrants in the Private Placement. Each of HealthCare Ventures IX, L.P. and Eli Lilly and Company agreed to purchase the common stock and warrants on the same terms and conditions as the other Purchasers in the Private Placement. Three of the Company's directors and executive officers are affiliated with HealthCare Ventures IX, L.P. and its affiliates. Pursuant to the terms of the Purchase Agreements, the Company was obligated to prepare and file with the SEC a registration statement on Form S-3 (the "Registration Statement") to register for resale the shares and the Warrant Shares on or prior to the date 30 days following the closing of the Private Placement, and use its best commercially reasonable efforts, subject to receipt of necessary information from the Purchasers, to cause the SEC to declare the Registration Statement effective within 60 days following the closing of the Private Placement or, if the Registration Statement is selected for review by the SEC, within 90 days following the closing of the Private Placement. In order to comply with such obligation, the Company initially filed a registration statement for the resale of up to 3,734,914 shares of the shares and Warrant Shares issued in the Private Placement on December 8, 2017. Two of the Purchasers opted not to register their shares or Warrant Shares and therefore, such shares and Warrant Shares were excluded from the Registration Statement. The SEC declared this Registration Statement, as amended, effective on December 15, 2017.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
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-Section S99
-Paragraph 4
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
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Reference 14: http://www.xbrl.org/2003/role/presentationRef
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+ Details

Stock-Based Compensation

12 Months Ended

Dec. 31, 2017

Stock-Based Compensation

Stock-Based Compensation

10. Stock-Based Compensation

Equity Incentive Plans

In September 2012, the Company adopted the 2012 Equity Incentive Plan, as amended (the "Plan"), which provides designated employees of the Company and its affiliates, certain consultants and advisors who perform services for the Company and its affiliates, and nonemployee members of the Board of Directors of the Company and its affiliates with the opportunity to receive grants of incentive stock options, nonqualified stock options and stock awards. As of December 31, 2017, the aggregate number of shares of common stock of the Company that may be issued under the Plan was 61,483. As of December 31, 2017, no shares were available for future grant under the Plan.

On January 20, 2017, the Company's stockholders approved the amended and restated 2012 Equity Incentive Plan (the "2012 Plan"), which amended and restated the Plan and was effective in connection with the completion of the Company's merger with Macrocure. A total of 1,387,204 shares of common stock were reserved for issuance under the 2012 Plan. As of December 31, 2017, no shares remained available for future grant under the 2012 Plan.

On January 20, 2017, the Company's stockholders approved the 2016 Equity Incentive Plan (the "2016 Plan"), which was effective in connection with the completion of the Company's merger with Macrocure. The number of shares of common stock issuable pursuant to outstanding awards granted under the 2016 Plan may not exceed the number that is equal to the sum of (i) 854,321 shares of common stock plus (ii) the number of shares of common stock (not to exceed 103,023 shares) subject to out-of-the-money options issued by Macrocure prior to the closing of the merger and assumed by the Company pursuant to the merger agreement upon consummation of the merger that expire unexercised. Beginning on January 1, 2018, the number of shares of common stock authorized for issuance pursuant to the 2016 Plan will be increased each January 1 by an amount equal to four percent (4%) of the Company's outstanding common stock as of the end of the immediately preceding calendar year or such other amount as determined by the compensation committee of the Company's Board of Directors.

In connection with the merger with Macrocure in January 2017, the Company assumed the Macrocure 2013 Share Incentive Plan (the "2013 Plan"), the Macrocure 2008 Stock Option Plan (the "2008 Plan") and all stock options outstanding under each of the 2013 Plan and the 2008 Plan immediately prior to the consummation of the merger. By virtue of the terms of the Merger Agreement and the 2013 Plan or the 2008 Plan, as applicable, each stock option outstanding immediately prior to the consummation of the merger was automatically converted into a stock option exercisable for a number of shares of the Company's common stock calculated based on the exchange ratio and the exercise price per share of such outstanding stock option.

The Company could also make awards of restricted stock under the 2016 Plan. Restricted stock may be issued under the Equity Plan for such consideration, in cash, other property or services, or any combination thereof, as is determined by the Board of Directors. During the restriction period applicable to the shares of restricted stock, such shares shall be subject to limitations on transferability, subject to forfeiture or repurchase by the Company and/or subject to other terms and conditions. Upon lapse of such restrictions, the stock certificates representing shares of common stock shall be delivered to the grantee.

A summary of activity under the Plan is as follows:

	Options			Weighted Average Exercise Price Per Share		Weighted Average Remaining Life in Years		Aggregate Intrinsic Value
Outstanding at December 31, 2015		59,274		$	4.95		7.90
Forfeited		(6,046	)	$	5.14

Outstanding at December 31, 2016		53,228		$	4.93		7.00	$	213

Granted		2,220,858		$	12.51
Exercised		(3,506	)	$	5.55
Forfeited		(12,959	)	$	5.78

Outstanding at December 31, 2017		2,257,621		$	12.38		8.66	$	68

Options exercisable at December 31, 2017		716,316		$	19.62		7.35	$	65
Options vested and expected to vest at December 31, 2017		2,257,621		$	12.38		8.66	$	68

During the years ended December 31, 2017 and 2016 the Company recognized $5,600 and $45 respectively, of stock-based compensation expense.

The assumptions that the Company used to determine the grant-date fair value of stock options granted to employees and directors were as follows, presented on a weighted average basis:

	Year Ended December 31,
	2017
Expected volatility		68.7	%
Weighted average risk-free interest rate		2.1	%
Expected dividend yield		0.0	%
Expected term (in years)		6.6

The Company did not grant any stock options during 2016.

Stock options generally vest 25% on the one-year anniversary of the date of grant and quarterly thereafter during the subsequent three years. The options expire ten years from the grant date. As of December 31, 2017, there was approximately $6,834 of unrecognized compensation cost related to non-vested stock options, which is expected to be recognized over a remaining weighted-average period of approximately 2.57 years.

Stock-based compensation expense was classified in the consolidated statements of operations as follows:

	Year Ended December 31,
	2017		2016
Research and development	$	1,834	$	35
General and administrative		3,766		10

Total	$	5,600	$	45

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References + Details

Income Taxes

12 Months Ended

Dec. 31, 2017

Income Taxes

Income Taxes

11. Income Taxes

The Company had federal, state and foreign net operating loss carryforwards of approximately $81,614, $63,520 and $69,970, respectively, as of December 31, 2017. The U.S. tax losses expire at various times through 2036. The foreign losses are primarily from Israel and have an indefinite carryforward.

The Company may be able to utilize its net operating loss carryforwards to reduce future federal and State income tax liabilities. However, these net operating losses are subject to various limitations under Internal Revenue Code section 382, which limit the use of net operating loss carryforwards to the extent there has been in ownership change of more than 50 percentage points. In addition, the net operating loss carryforwards are subject to examination by the taxing authorities and could be adjusted or disallowed due to such exams. Although the Company has not undergone an IRC section 382 analysis, it is possible that the utilization of the Company's net operating loss carryforwards may be limited.

In addition, the Company has federal and state research and development tax credits of approximately $1,799 and $293, respectively, that begin expiring in 2031 for federal tax purposes and 2030 for state tax purposes.

There is no provision for income taxes in the United States or Israel, because the Company has historically incurred operating losses and maintains a full valuation allowance against its deferred tax assets in these jurisdictions. The deferred tax asset recorded in the consolidated balance sheets relates to the Company's Australian operations.

A summary of the Company's current and deferred expense for income tax is as follows:

	Year Ended December 31,
	2017			2016
Current expense (benefit):
Federal	$	—		$	—
State		—			—
Foreign		—			—

Total current expense (benefit):	$	—		$	—
Deferred expense (benefit):
Federal	$	—		$	—
State		—			—
Foreign		(157	)		—

Total deferred expense (benefit):	$	(157	)	$	—

Total income tax expense (benefit):	$	(157	)	$	—

A reconciliation of the Company's statutory income tax rate to the Company's effective income tax rate is as follows:

	Year Ended December 31,
	2017			2016
Federal statutory income tax rate		34.00	%		34.00	%
State taxes, net of federal benefit		4.42	%		—
Permanent differences		(2.27	)%		(6.50	)%
Tax credits		3.45	%		—
Tax law change		(37.65	)%		—
Foreign rate differential		(0.02	)%		—
Valuation allowance		(3.11	)%		(31.90	)%
Other		1.68	%		4.40	%

		0.50	%		0.00	%

The significant components of the company's deferred tax assets as of December 31, 2017 and 2016 were as follows:

	Year Ended September 30,
	2017			2016
Federal net operating loss carryforwards	$	33,232		$	18,258
State net operating loss carryforwards		4,014			1,858
Stock Options		1,348			43
Federal research tax credits		1,799			1,308
State research tax credits		231			119
License fees		1,659			2,616
Accrued expenses		29			599
Other		182			31

Total deferred tax assets	$	42,494		$	24,832
Valuation allowance		(42,336	)		(24,832	)

Net deferred tax asset (liability)	$	158		$	—

As of December 31, 2017 and 2016, the Company had provided a full valuation allowance against its net deferred tax assets, except for its Australian deferred tax assets, because realization of any future tax benefit cannot be reasonably assured. The valuation allowance increased during the years ended December 31, 2017 and 2016, by $17,504 and $9,060, respectively.

On December 22, 2017, President Trump signed into law H.R. 1, "An Act to provide for reconciliation pursuant to titles II and V of the concurrent resolution on the budget for fiscal year 2018" (this legislation was formerly called the "Tax Cuts and Jobs Act" and is referred to herein as the "The Act"). The Act provides for significant changes in the U.S. Internal Revenue Code of 1986, as amended. The Act contains provisions with separate effective dates but is generally effective for taxable years beginning after December 31, 2017.

The Act has the following effects on our income tax expense for the year ending December 31. 2017:

• The Act imposes a tax on post-1986 earnings of non-U.S. affiliates that have not been repatriated for purposes of US federal income tax ("toll charge"), with those earnings taxed at rates of 15.5% for earnings reflected by cash and cash equivalent items and 8% for other assets. We estimate that we will not owe any cash taxes as a result of this change in law due to being able to use our current year tax loss in the U.S. to offset the income from the toll charge.

• Under Financial Accounting Standards Board Accounting Standards Codification (ASC) Topic 740, Income Taxes ("ASC 740"), we are required to revalue any deferred tax assets or liabilities in the period of enactment of change in tax rates. The Act lowers our US corporate income tax rate from 34% to 21%. The revaluation of our U.S. deferred tax assets and liabilities will reduce our net U.S. deferred tax assets by approximately $11.3 million and is reflected in our tax provision for the year ended December 31, 2017.

The Act will fully affect us in 2018 as certain other of its provisions related to the taxation of non-U.S. activity on a current basis will impact our results, particularly the "global intangible low-taxed income" tax that imposes a tax on earnings that are not subject to tax by non-U.S. jurisdictions above a certain minimum rate. Similar to the toll charge noted above, we do not expect the other provisions to result in cash taxes payable due to application of our tax losses in the US.

The Securities and Exchange Commission issued Staff Accounting Bulletin No. 118 ("SAB 118") on December 23, 2017. SAB 118 provides a one-year measurement period from a registrant's reporting period that includes The Act's enactment date to allow the registrant sufficient time to obtain, prepare and analyze information to complete the accounting required under ASC 740.

The ultimate impact of The Act on our reported results and beyond, particularly the impact of the toll charge, may differ from the estimates provided herein, possibly materially, due to, among other things, changes in interpretations and assumptions we have made, guidance that may be issued, and other actions we may take as a result of the U.S. Tax Act different from that presently contemplated.

The Company follows the authoritative guidance on accounting for and disclosure of uncertainty in tax positions, which requires the Company to determine whether a tax position of the Company is more likely than not to be sustained upon examination, including resolution of any related appeals of litigation processes, based on the technical merits of the position. For tax positions meeting the more likely than not threshold, the tax amount recognized in the financial statements is reduced by the largest benefit that has a greater than 50% likelihood of being realized upon the ultimate settlement with the relevant taxing authority.

The Company files tax returns as prescribed by the tax laws of the jurisdictions in which it operates. In the normal course of business the Company is subject to examination by federal and state jurisdictions, where applicable. There are currently no pending tax examinations. The earliest tax years that may be subject to examination by jurisdiction are 2013 for both federal and state purposes. The Company's policy is to record interest and penalties related to income taxes as part of the tax provision. There were no interest and penalties pertaining to uncertain tax positions for the years ended December 31, 2017 or 2016.

Net Loss Per Share

12 Months Ended

Dec. 31, 2017

Net Loss Per Share

Net Loss Per Share

12. Net Loss Per Share

There were no common shares outstanding during the year ended December 31, 2016, and accordingly, the Company has not presented basic and diluted net loss per share for this period. Basic and diluted net loss per share for the year ended December 31, 2017 was calculated as follows:

	Year Ended December 31,
	2017
Numerator:
Net loss	$	(29,727	)
Accretion of preferred stock to redemption value		(244	)

Net loss attributable to common stockholders for basic loss per share	$	(29,971	)


Less change in fair value of warrant liability	$	473

Net loss attributable to common stockholders for diluted loss per share	$	(30,444	)


Denominator:
Weighted average number of common shares outstanding—basic		9,161,844
Assumed conversion of dilutive securities:
Private Placement Warrants		26,743


Denominator for diluted loss per share—adjusted weighted average shares		9,188,587


Net loss per share attributable to common stockholders—basic	$	(3.27	)


Net loss per share attributable to common stockholders—diluted	$	(3.31	)

The Company's potentially dilutive securities include stock options, warrants and convertible preferred stock. These securities were excluded from the computation of diluted net loss per share for the year ended December 31, 2017 and would have been excluded from the computation for the year ended December 31, 2016, as the effect would be to reduce the net loss per share. The following table includes the potential common shares, presented based on amounts outstanding at each period end, that were excluded from the computation of diluted net loss per share attributable to common stockholders for the periods indicated because including them would have had an anti-dilutive effect:

	Year Ended December 31,
	2017		2016
Options to purchase common stock		2,257,621		53,228
Warrants assumed from Macrocure		54,516		—
Convertible preferred stock and accrued dividends (as converted to common stock)		—		3,273,508

		2,312,137		3,326,736

In addition to the potentially dilutive securities noted above, as of December 31, 2016, the Company had outstanding notes payable—related party for which principal and unpaid accrued interest due under the notes will automatically be converted into the class of the Company's stock issued in the Company's next qualified financing, as defined, based on a conversion price equal to the price per share paid by the investors in the financing. Because the necessary conditions for conversion of the notes had not been met during the year ended December 31, 2016, these notes were excluded from the table above. On January 20, 2017, in connection with and prior to the completion of the merger with Macrocure, the Company's Charter and Bylaws were amended to reflect the conversion of all outstanding shares of the Company's convertible preferred stock into 3,174,523 shares of common stock, and to reflect the conversion of the outstanding note payable and accrued interest into 1,950,768 shares of common stock

Commitments and Contingencies	12 Months Ended
Commitments and Contingencies	Dec. 31, 2017
Commitments and Contingencies
Commitments and Contingencies	13. Commitments and Contingencies Lease Agreement—Effective January 1, 2017, the Company entered into an assignment agreement to assume an operating lease for its office space in Cambridge, Massachusetts. Annual rent under the lease, exclusive of operating expenses and real estate taxes, was $289 for the 12-month period ending July 31, 2017, increasing to $297 for the 12-month period ending July 31, 2018 and increasing to $305 for the period ending April 30, 2019. The lease agreement expires April 30, 2019, and the Company has the option to extend the term through April 30, 2022 Manufacturing Agreements—The Company is party to manufacturing agreements with vendors to manufacture TRX518 and DKN-01, our lead product candidates, for use in clinical trials. As of December 31, 2017, noncancelable commitments under these agreements totaled $1,519. License and Service Agreements—On January 3, 2011, the Company entered into a license agreement with Eli Lilly and Company ("Lilly") to grant a license to the Company for certain intellectual property rights relating to pharmaceutically active compounds that may be useful in the treatment of bone healing, cancer and, potentially, other medical conditions. The Company issued 9,000,000 shares of Series A Stock to Lilly as described in Note 8 in consideration for the grant of the license. As defined in the license agreement, the Company would be required to pay royalties to Lilly based upon a percentage in the low single digits of net sales of developed products, if and when achieved. However, there can be no assurance that clinical or commercialization success of developed products will occur, and no royalties have been paid or accrued through December 31, 2017. License Agreement—On May 28, 2015, the Company entered into a license agreement with Lonza Sales AG ("Lonza"), pursuant to which Lonza granted the Company a world-wide, non-exclusive license for certain intellectual property relating to a gene expression system for manufacturing DKN-01. As defined in the license agreement, the company would be required to pay royalties to Lonza based on a percentage in the low single digits of net sales of DKN-01, if and when achieved. However, there can be no assurance that clinical or commercialization success will occur, and no royalties have been paid or accrued through December 31, 2017. Legal Proceedings—At each reporting date, the Company evaluates whether or not a potential loss amount or a potential range of loss is probable and reasonably estimable under the provisions of the authoritative guidance that addresses accounting for contingencies. The Company expenses as incurred the costs related to its legal proceedings. A patent covering TRX518 and its uses was granted to the Company by the European Patent Office. Three notices of opposition to this patent were filed by two major pharmaceutical companies and an individual, possibly on behalf of a major pharmaceutical company. At the conclusion of the opposition proceedings in 2016, the Opposition Division of the European Patent Office that decided the case issued an interlocutory decision indicating that the Company's patent should be maintained with modified claims that differ from the claims as originally granted. These claims cover the TRX518 antibody and uses of TRX518 in a method of enhancing an immune response in a subject. In July 2016, the Company filed an appeal of the decision of the Opposition Division seeking to obtain broader claims that more closely reflect the claims as granted in the patent. The Board of Appeal has not scheduled a date for the appeal hearing. In 2016, a patent covering the use of TRX518 in combination with a chemotherapeutic agent for treating cancer was granted to the Company by the European patent office. In March 2017, notices of opposition to this patent were filed by ten different entities, including several major pharmaceutical companies. Indemnification Agreements—In the ordinary course of business, the Company may provide indemnification of varying scope and terms to vendors, lessors, business partners and other parties with respect to certain matters including, but not limited to, losses arising out of breach of such agreements or from intellectual property infringement claims made by third parties. In addition, the Company has entered into indemnification agreements with members of its board of directors that will require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors or officers. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is, in many cases, unlimited. To date, the Company has not incurred any material costs as a result of such indemnifications. The Company is not aware of any claims under indemnification arrangements, and it has not accrued any liabilities related to such obligations in its consolidated financial statements as of December 31, 2017 and 2016.

Defined Contribution Plan	12 Months Ended
Defined Contribution Plan	Dec. 31, 2017
Defined Contribution Plan
Defined Contribution Plan	14. Defined Contribution Plan The Company has a 401(k) defined contribution plan (the "401(k) Plan") for substantially all of its employees. Eligible employees may make pretax contributions to the 401(k) Plan up to statutory limits. The Company makes matching employee contributions in cash to the 401(k) Plan at a rate of 100% of the first 3% of earnings contributed and 50% of the next 2% of earnings contributed. Employees participating in the 401(k) Plan are fully vested in the Company matching contributions, and investments are directed by participants. The Company made matching contributions of $137 and $131 for the years ended December 31, 2017 and 2016, respectively.

Related Party Transactions	12 Months Ended
Related Party Transactions	Dec. 31, 2017
Related Party Transactions
Related Party Transactions	15. Related Party Transactions During the year ended December 31, 2016, the Company reimbursed an entity related to one of its stockholders for shared office space and office related expenses. The total amount charged to the Company was approximately $308 during the year ended December 31, 2016. Effective January 1, 2017, the Company entered into an assignment agreement to assume the operating lease for its office space in Cambridge, Massachusetts, and accordingly, the Company was not required to reimburse the related party during the year ended December 31, 2017. During the years ended December 31, 2017 and 2016 the Company executed promissory notes with stockholders (See Note 6). The Company has a license agreement with a stockholder (See Note 13). On November 14, 2017, the Company entered into Purchase Agreements with certain Purchasers. Each of the Purchase Agreements was on terms and conditions substantially similar to each other Purchase Agreement and pursuant to such Purchase Agreements, the Company, in a private placement, agreed to issue and sell to the Purchasers an aggregate of 2,958,094 Shares of unregistered Common Stock, at a price per share of $6.085, each share issued with a Warrant to purchase one share of Common Stock at an exercise price of $6.085. HealthCare Ventures IX, L.P. and Eli Lilly and Company, each a more than 5% direct holder of the Company's Common Stock, purchased Common Stock and Warrants in the Private Placement. Each of HealthCare Ventures IX, L.P. and Eli Lilly and Company agreed to purchase the Common Stock and Warrants on the same terms and conditions as the other Purchasers. Three of the Company's directors and executive officers are affiliated with HealthCare Ventures IX, L.P. and its affiliates.

Subsequent Events	12 Months Ended
Subsequent Events	Dec. 31, 2017
Subsequent Events
Subsequent Events	16. Subsequent Events For its consolidated financial statements as of December 31, 2017 and for the year then ended, the Company evaluated subsequent events through February 23, 2018, the date on which those financial statements were issued. Other than any events previously described in these notes to the consolidated financial statements no other subsequent events were considered.

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2017

Summary of Significant Accounting Policies

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany accounts and transactions are eliminated upon consolidation.

Use of Estimates

Cash and Cash Equivalents

The Company considers all highly liquid investments with maturities of three months or less when purchased to be cash equivalents.

Research and Development Expense

Research and development incentive income and receivable

The following table shows the change in the research and development incentive receivable from January 1, 2016 to December 31, 2017:

Balance at January 1, 2016	$	—
Australian research and development incentive income		3,129
Foreign currency translation		(76	)

Balance at December 31, 2016		3,053
Australian research and development incentive income		1,715	(1)
Refund for 2016 eligible expenses		(3,245	)
Foreign currency translation		221

Balance at December 31, 2017	$	1,744

(1)

Concentration of Credit Risk

Income Taxes

Foreign Currency Translation

Property and Equipment

Impairment of Long-Lived Assets

Deferred Offering Costs

Other Assets

Fair Value of Financial Instruments


	•	Level 1—Quoted prices in active markets for identical assets or liabilities.
	•	Level 2—Observable inputs (other than Level 1 quoted prices), such as quoted prices in active markets for similar assets or liabilities, quoted prices in markets that are not active for identical or similar assets or liabilities, or other inputs that are observable or can be corroborated by observable market data.
	•	Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to determining the fair value of the assets or liabilities, including pricing models, discounted cash flow methodologies and similar techniques.

A summary of the assets and liabilities carried at fair value in accordance with the hierarchy defined above is as follows (in thousands):

	Total		Level 1		Level 2		Level 3
December 31, 2017
Assets:
Cash equivalents	$	25,737	$	25,737	$	—	$	—

Total assets	$	25,737	$	25,737	$	—	$	—


Liabilities:
Warrant liability	$	11,862	$	—	$	—	$	11,862

Total liabilities	$	11,862	$	—	$	—	$	11,862


December 31, 2016
Assets:
Cash equivalents	$	793	$	793	$	—	$	—

Total assets	$	793	$	793	$	—	$	—

A roll-forward of the recurring fair value measurements of the warrant liability categorized with Level 3 inputs are as follows (in thousands):

	Warrant Liability
Balance—December 31, 2016	$	—
Initial fair value		12,335
Change in fair value		(473	)

Balance—December 31, 2017	$	11,862

Segment Information

Patent Costs

Stock-Based Compensation

Net Loss per Share

Reclassifications

Reclassification

Certain prior period amounts have been reclassified for consistency with the current period presentation. These reclassifications had no effect on previously reported results of operations.

Redeemable Convertible Preferred Stock

Warrant Liability

New Accounting Pronouncements

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2017

Summary of Significant Accounting Policies

Schedule of change in the research and development incentive receivable

Balance at January 1, 2016	$	—
Australian research and development incentive income		3,129
Foreign currency translation		(76	)

Balance at December 31, 2016		3,053
Australian research and development incentive income		1,715	(1)
Refund for 2016 eligible expenses		(3,245	)
Foreign currency translation		221

Balance at December 31, 2017	$	1,744

(1)

Summary of assets and liabilities carried at fair value in accordance with the hierarchy

A summary of the assets and liabilities carried at fair value in accordance with the hierarchy defined above is as follows (in thousands):

	Total		Level 1		Level 2		Level 3
December 31, 2017
Assets:
Cash equivalents	$	25,737	$	25,737	$	—	$	—

Total assets	$	25,737	$	25,737	$	—	$	—


Liabilities:
Warrant liability	$	11,862	$	—	$	—	$	11,862

Total liabilities	$	11,862	$	—	$	—	$	11,862


December 31, 2016
Assets:
Cash equivalents	$	793	$	793	$	—	$	—

Total assets	$	793	$	793	$	—	$	—

Schedule of the recurring fair value measurements of the warrant derivative liability categorized with Level 3 inputs

A roll-forward of the recurring fair value measurements of the warrant liability categorized with Level 3 inputs are as follows (in thousands):

	Warrant Liability
Balance—December 31, 2016	$	—
Initial fair value		12,335
Change in fair value		(473	)

Balance—December 31, 2017	$	11,862

Property and Equipment, Net (Tables)

12 Months Ended

Dec. 31, 2017

Property and Equipment, Net

Schedule of property and equipment, net

	December 31,
	2017			2016
Computer office equipment	$	51		$	—
Leasehold improvements		69			69
Lab equipment		58			45
Furnitures and fixtures		30			30

		208			144
Less: accumulated depreciation		(73	)		(25	)

Property and equipment, net	$	135		$	119

Accrued Expenses (Tables)

12 Months Ended

Dec. 31, 2017

Accrued Expenses

Schedule of accrued expenses

	December 31,
	2017		2016
Clinical trials	$	2,116	$	2,545
Professional fees		390		88
Payroll and related expenses		955		25

Accrued expenses	$	3,461	$	2,658

Warrants (Tables)

12 Months Ended

Dec. 31, 2017

Warrants

Schedule of warrants

December 31, 2017
Date Exercisable	Number of Shares Issuable		Exercise Price		Exercisable for	Classification
1/23/2017		54,516	$	0.01	Common Stock	Equity
11/14/2017		2,958,094		6.085	Common Stock	Liability

		3,012,610

- Definition

Tabular disclosure of warrants or rights issued. Warrants and rights outstanding are derivative securities that give the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue to entice investors by a higher return potential. The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months. Disclose the title of issue of securities called for by warrants and rights outstanding, the aggregate amount of securities called for by warrants and rights outstanding, the date from which the warrants or rights are exercisable, and the price at which the warrant or right is exercisable.

+ References + Details

Stock-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2017

Stock-Based Compensation

Summary of stock option activity under the Equity Plans

	Options			Weighted Average Exercise Price Per Share		Weighted Average Remaining Life in Years		Aggregate Intrinsic Value
Outstanding at December 31, 2015		59,274		$	4.95		7.90
Forfeited		(6,046	)	$	5.14

Outstanding at December 31, 2016		53,228		$	4.93		7.00	$	213

Granted		2,220,858		$	12.51
Exercised		(3,506	)	$	5.55
Forfeited		(12,959	)	$	5.78

Outstanding at December 31, 2017		2,257,621		$	12.38		8.66	$	68

Options exercisable at December 31, 2017		716,316		$	19.62		7.35	$	65
Options vested and expected to vest at December 31, 2017		2,257,621		$	12.38		8.66	$	68

Schedule of assumptions used to determine grant-date fair value of stock options

	Year Ended December 31,
	2017
Expected volatility		68.7	%
Weighted average risk-free interest rate		2.1	%
Expected dividend yield		0.0	%
Expected term (in years)		6.6

Schedule of stock-based compensation expense classified in the consolidated statements of operations

	Year Ended December 31,
	2017		2016
Research and development	$	1,834	$	35
General and administrative		3,766		10

Total	$	5,600	$	45

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Income Taxes

Schedule of Company's current and deferred expense for income tax

	Year Ended December 31,
	2017			2016
Current expense (benefit):
Federal	$	—		$	—
State		—			—
Foreign		—			—

Total current expense (benefit):	$	—		$	—
Deferred expense (benefit):
Federal	$	—		$	—
State		—			—
Foreign		(157	)		—

Total deferred expense (benefit):	$	(157	)	$	—

Total income tax expense (benefit):	$	(157	)	$	—

Schedule of reconciliation of the Company's statutory income tax rate to the Company's effective income tax rate

	Year Ended December 31,
	2017			2016
Federal statutory income tax rate		34.00	%		34.00	%
State taxes, net of federal benefit		4.42	%		—
Permanent differences		(2.27	)%		(6.50	)%
Tax credits		3.45	%		—
Tax law change		(37.65	)%		—
Foreign rate differential		(0.02	)%		—
Valuation allowance		(3.11	)%		(31.90	)%
Other		1.68	%		4.40	%

		0.50	%		0.00	%

Schedule of significant components of the Company's deferred tax assets

	Year Ended September 30,
	2017			2016
Federal net operating loss carryforwards	$	33,232		$	18,258
State net operating loss carryforwards		4,014			1,858
Stock Options		1,348			43
Federal research tax credits		1,799			1,308
State research tax credits		231			119
License fees		1,659			2,616
Accrued expenses		29			599
Other		182			31

Total deferred tax assets	$	42,494		$	24,832
Valuation allowance		(42,336	)		(24,832	)

Net deferred tax asset (liability)	$	158		$	—

Net Loss Per Share (Tables)

12 Months Ended

Dec. 31, 2017

Net Loss Per Share

Schedule of Basic and diluted net loss per share

	Year Ended December 31,
	2017
Numerator:
Net loss	$	(29,727	)
Accretion of preferred stock to redemption value		(244	)

Net loss attributable to common stockholders for basic loss per share	$	(29,971	)


Less change in fair value of warrant liability	$	473

Net loss attributable to common stockholders for diluted loss per share	$	(30,444	)


Denominator:
Weighted average number of common shares outstanding—basic		9,161,844
Assumed conversion of dilutive securities:
Private Placement Warrants		26,743


Denominator for diluted loss per share—adjusted weighted average shares		9,188,587


Net loss per share attributable to common stockholders—basic	$	(3.27	)


Net loss per share attributable to common stockholders—diluted	$	(3.31	)

Schedule of potentially anti-dilutive securities excluded from calculation of diluted net loss per share

	Year Ended December 31,
	2017		2016
Options to purchase common stock		2,257,621		53,228
Warrants assumed from Macrocure		54,516		—
Convertible preferred stock and accrued dividends (as converted to common stock)		—		3,273,508

		2,312,137		3,326,736

Nature of Business, Basis of Presentation and Liquidity - Merger with Macrocure Ltd (Details) - Macrocure - USD ($) $ in Thousands	Jan. 23, 2017	Aug. 29, 2016
Merger with Macrocure Ltd
Purchase price		$ 10,000
Common Stock
Merger with Macrocure Ltd
Common stock shares issued	3,256,898
Percentage of outstanding ordinary shares acquired	100.00%

Nature of Business, Basis of Presentation and Liquidity - Reverse Stock Split (Details)	Jan. 20, 2017
Common Stock
Reverse Stock Split
Stock split ratio	0.05033

Nature of Business, Basis of Presentation and Liquidity - Private Placement of Common Stock (Details) - Private placement - USD ($) $ / shares in Units, $ in Thousands		12 Months Ended
	Nov. 14, 2017	Dec. 31, 2017
Private Placement of Common Stock
Number of warrants issued per common stock	1
Gross proceeds		$ 5,429
Common Stock
Private Placement of Common Stock
Issuance of stock (in shares)	2,958,094	2,958,094
Price per share (in dollars per share)	$ 6.085
Gross proceeds	$ 18,000	$ 3
Warrant Liability
Private Placement of Common Stock
Exercise price of warrant	$ 6.085
Exercise expiring period	7 years

Nature of Business, Basis of Presentation and Liquidity - Liquidity (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Liquidity
Accumulated deficit	$ 130,397	$ 100,670
Net loss	29,727	25,632
Net cash used in operating activities	(22,137)	(25,337)
Cash and cash equivalents	25,737	793
Research and development incentive receivable	$ 1,744	$ 3,053
Minimum period to fund Operating expense	12 months

Summary of Significant Accounting Policies - Significant Accounting Policies (Details) - USD ($) $ in Thousands	12 Months Ended		24 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017
Research and development incentive income and receivable
Research and development expenses reimbursed (as a percent)	43.50%	45.00%
Research and development incentive income and receivable
Balance at the beginning of the period	$ 3,053
Australian research and development incentive income	1,715	$ 3,129
Refund for 2016 eligible expenses	(3,245)
Foreign currency translation	221	(76)
Balance at the end of the period	1,744	3,053	$ 1,744
Overseas research and development incentive income		717
Income Taxes
Uncertain tax positions	0	0	0
Interest and penalties pertaining to uncertain tax positions	0	0	0
Other Assets
Other assets	$ 1,111	$ 907	$ 1,111
Computer office equipment
Property and Equipment
Useful life (in years)	3 years
Lab equipment
Property and Equipment
Useful life (in years)	5 years
Office Equipment
Property and Equipment
Useful life (in years)	5 years
Furnitures and fixtures
Property and Equipment
Useful life (in years)	5 years

Summary of Significant Accounting Policies - Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Nov. 14, 2017	Dec. 31, 2016
Assets:
Cash equivalents	$ 25,737		$ 793
Total assets	25,737		793
Liabilities:
Warrant liability	11,862	$ 12,335
Total liabilities	$ 11,862
Fair value measurements of the warrant liability
Expected dividend yield	0.00%
Level 1
Assets:
Cash equivalents	$ 25,737		793
Total assets	25,737		793
Level 3
Liabilities:
Warrant liability	11,862
Total liabilities	11,862
Recurring \| Warrant Liability
Fair value measurements of the warrant liability
Initial fair value	12,335
Change in fair value	(473)
Ending Balance	11,862
Money market funds \| Level 1
Assets:
Cash equivalents	$ 25,737		$ 793

Summary of Significant Accounting Policies - Net Loss per Share, Reclassification and Redeemable Convertible Preferred Stock (Details) - shares	Jan. 20, 2017	Dec. 31, 2017	Dec. 31, 2016
Net Loss per Share
Common stock, outstanding shares		12,354,014	0
Conversion of preferred stock into common stock \| Common Stock
Redeemable Convertible Preferred Stock
Shares issued on conversion of preferred stock	3,174,523

Merger with Macrocure and Related Transactions - Merger with Macrocure Ltd. (Details) $ / shares in Units, $ in Thousands		12 Months Ended
	Jan. 23, 2017 USD ($) $ / shares shares	Dec. 31, 2017 USD ($)
Merger with Macrocure
Value of net assets acquired in connection with merger with Macrocure, excluding cash		$ 96
Compensation cost related to Macrocure equity awards, not yet recognized		6,834
Macrocure \| Common Stock
Merger with Macrocure
Common stock shares issued \| shares	3,256,898
Percentage of outstanding ordinary shares acquired	100.00%
Approximate number of the Company's shares issued for each share of Macrocure's ordinary shares	0.1815
Common share value (in dollars per share) \| $ / shares	$ 9.90
Final net cash calculation at closing	$ 21,875
Value of net assets acquired in connection with merger with Macrocure, excluding cash	$ 96
Compensation cost related to Macrocure equity awards, not yet recognized		280
One-time charge with the extension of the exercise periods		$ 504

Merger with Macrocure and Related Transactions - Recapitalization and Amendments to Certificate of Incorporation (Details)	Jan. 20, 2017 shares	Dec. 31, 2017 shares	Dec. 31, 2016 shares
Merger with Macrocure
Common stock, shares authorized		100,000,000	58,500,000
Common Stock
Merger with Macrocure
Common stock, shares authorized	100,000,000
Preferred Stock, shares authorized	10,000,000
Stock split ratio	0.05033
Common Stock \| Conversion of preferred stock into common stock
Merger with Macrocure
Shares issued on conversion of preferred stock	3,174,523
Common Stock \| Conversion of notes payable - related party and accrued interest into common stock
Merger with Macrocure
Shares issued on conversion of notes payable and related accrued interest	1,950,768

Merger with Macrocure and Related Transactions - Subscription Agreement (Details) - Private placement - USD ($) $ / shares in Units, $ in Thousands		12 Months Ended
	Jan. 20, 2017	Dec. 31, 2017
Merger with Macrocure
Purchase price		$ 5,429
HCV IX
Merger with Macrocure
Issuance of stock (in shares)	1,010,225
Purchase price	$ 10,000
Price per share (in dollars per share)	$ 9.90

Merger with Macrocure and Related Transactions - Stock Option Grants (Details)		12 Months Ended
	Jan. 20, 2017 item $ / shares shares	Dec. 31, 2017
Merger with Macrocure
Vesting period subsequent to the first anniversary of the grant date		3 years
Vesting on first anniversary
Merger with Macrocure
Options vesting on the first anniversary date of the grants (as a percent)		25.00%
Vesting period		1 year
2012 Plan \| Macrocure
Merger with Macrocure
Number of executives \| item	3
Common Stock \| 2012 Plan \| Macrocure
Merger with Macrocure
Number of shares which can be purchased by each executive	330,303
Aggregate number of shares which can be purchased by executives	990,909
Exercise price \| $ / shares	$ 9.90
Vesting period subsequent to the first anniversary of the grant date	2 years
Common Stock \| 2012 Plan \| Macrocure \| Vesting on first anniversary
Merger with Macrocure
Options vesting on the first anniversary date of the grants (as a percent)	33.00%
Vesting period	1 year

Merger with Macrocure and Related Transactions - Royalty Agreement and Letter Agreement (Details) - Royalty Vehicle	Jan. 23, 2017
Merger with Macrocure
Collective beneficial ownership (as a percent)	100.00%
TRX 518 compound \| Royalty Agreement
Merger with Macrocure
Royalties payable	5.00%
DKN-01 compound \| Royalty Agreement
Merger with Macrocure
Royalties payable	2.00%

Property and Equipment, Net (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Property and Equipment, Net
Property and equipment, gross	$ 208	$ 144
Less: accumulated depreciation	(73)	(25)
Property and equipment, net	135	119
Depreciation expense	48	25
Computer office equipment
Property and Equipment, Net
Property and equipment, gross	51
Leasehold improvements
Property and Equipment, Net
Property and equipment, gross	69	69
Lab equipment
Property and Equipment, Net
Property and equipment, gross	58	45
Furnitures and fixtures
Property and Equipment, Net
Property and equipment, gross	$ 30	$ 30

Accrued Expenses (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Accrued Expenses
Clinical trials	$ 2,116	$ 2,545
Professional fees	390	88
Payroll and related expenses	955	25
Accrued expenses	$ 3,461	$ 2,658

Notes Payable-Related Party (Details) - USD ($) $ in Thousands			12 Months Ended
	Jan. 20, 2017	Jan. 13, 2017	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2014
Proceeds from promissory notes
Proceeds from promissory notes			$ 750	$ 25,900
Interest expense-related party			121	1,233
Conversion of notes payable - related party and accrued interest into common stock			31,145
Common Stock
Proceeds from promissory notes
Conversion of notes payable - related party and accrued interest into common stock			2
Conversion of notes payable - related party and accrued interest into common stock \| Common Stock
Proceeds from promissory notes
Shares issued on conversion of notes payable and related accrued interest	1,950,768
Convertible Promissory notes \| Convertible promissory note executed with stockholder \| Stockholder
Proceeds from promissory notes
Note interest rate (as a percent)					8.00%
Proceeds from promissory notes		$ 750		25,900
Promissory notes payable outstanding				29,000
Accrued interest expense				1,274
Interest expense-related party			$ 121	$ 1,233
Convertible Promissory notes \| Convertible promissory note executed with stockholder \| Stockholder \| Conversion of notes payable - related party and accrued interest into common stock
Proceeds from promissory notes
Conversion of notes payable - related party and accrued interest into common stock	$ 31,145

Warrants - (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Nov. 14, 2017
Warrants
Number of Shares Issuable	3,012,610
Fair value of warrant liability	$ 11,862	$ 12,335
Income on change in fair value of warrant liability	(473)
Other income (expense)
Warrants
Income on change in fair value of warrant liability	$ 473
Common Stock \| Equity
Warrants
Number of Shares Issuable	54,516
Exercise price of warrant	$ 0.01
Common Stock \| Liability
Warrants
Number of Shares Issuable	2,958,094
Exercise price of warrant	$ 6.085
Common Stock \| Private placement \| Warrants expires on 2024
Warrants
Number of Shares Issuable		2,958,094
Warrant Liability \| Private placement
Warrants
Exercise price of warrant		$ 6.085
Warrant Liability \| Private placement \| Warrants expires on 2024
Warrants
Exercise price of warrant		$ 6.085

Preferred Stock - Activity (Details) $ in Thousands		3 Months Ended	8 Months Ended	12 Months Ended	36 Months Ended	72 Months Ended
Preferred Stock - Activity (Details) $ in Thousands	Apr. 17, 2015 USD ($) shares	Apr. 24, 2015 USD ($) tranche shares	Dec. 19, 2014 USD ($) tranche shares	Dec. 31, 2017 USD ($) shares	Dec. 31, 2013 USD ($) shares	Dec. 31, 2016 tranche shares	Jan. 03, 2011 shares
Preferred Stock
Consideration for conversion of notes payable-related party and accrued interest \| $				$ 31,145
Series A Redeemable Convertible Preferred Stock
Preferred Stock
Preferred stock authorized for issuance (in shares)				0		9,000,000	9,000,000
Issuance of stock to the licensor, corresponding to Series B tranche closing (in shares)	2,720,700				6,279,300	9,000,000
Number of tranches \| tranche						4
Series A Redeemable Convertible Preferred Stock \| Research and development
Preferred Stock
Value of shares issued to the licensor \| $	$ 2,721				$ 6,279
Series B Convertible Preferred Stock
Preferred Stock
Preferred stock authorized for issuance (in shares)				0		21,500,000
Issuance of stock (in shares)	1,967,902				15,000,000
Gross proceeds \| $	$ 1,968				$ 15,000
Issuance of remaining authorized shares (in shares)	6,500,000
Series B Convertible Preferred Stock \| Conversion of notes payable - related party and accrued interest into Series B Convertible Preferred Stock
Preferred Stock
Shares issued on conversion of notes payable and related accrued interest	4,532,098
Consideration for conversion of notes payable-related party and accrued interest \| $	$ 4,532
Series C Convertible Preferred Stock
Preferred Stock
Preferred stock authorized for issuance (in shares)				0		12,000,000
GITR \| Series C Convertible Preferred Stock
Preferred Stock
Number of tranches \| tranche		2	3
Issuance of stock (in shares)		2,835,040	2,687,765
Net proceeds \| $		$ 1,922	$ 1,807

Preferred Stock - Voting and Dividends (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2017 item	Dec. 31, 2016 USD ($)
Series B and Series C convertible preferred stock
Preferred Stock
Number of board members that shareholders have exclusive right to elect \| item	3
Series A Redeemable Convertible Preferred Stock
Preferred Stock
Cumulative unpaid dividends		$ 2,800
Series B Convertible Preferred Stock
Preferred Stock
Dividend rate (as a percent)	8.00%
Cumulative unpaid dividends		6,689
Series C Convertible Preferred Stock
Preferred Stock
Dividend rate (as a percent)	8.00%
Cumulative unpaid dividends		$ 2,383

Preferred Stock - Redemption and Conversion (Details) - USD ($) $ / shares in Units, $ in Thousands	Jan. 20, 2017	Dec. 31, 2017	Dec. 31, 2016
Series B and Series C convertible preferred stock
Preferred Stock
Minimum percentage of holders required for redemption request		66.67%
Maximum percentage of shares redeemable at time of request		25.00%
Maximum additional percentage of shares redeemable upon each anniversary of the request		25.00%
Maximum indebtedness that may be incurred without shareholder approval		$ 500
Series A Redeemable Convertible Preferred Stock
Preferred Stock
Original purchase price (in dollars per share)		$ 1.00	$ 1.00
Conversion price (in dollars per share)		1.00	1.00
Series B Convertible Preferred Stock
Preferred Stock
Original purchase price (in dollars per share)		1.00	1.00
Conversion price (in dollars per share)		1.00	1.00
Series C Convertible Preferred Stock
Preferred Stock
Original purchase price (in dollars per share)		2.39	2.39
Conversion price (in dollars per share)		$ 2.39	$ 2.39
Conversion of preferred stock into common stock \| Common Stock
Preferred Stock
Shares issued on conversion of preferred stock	3,174,523

Common Stock (Details) $ in Thousands		12 Months Ended
Common Stock (Details) $ in Thousands	Jan. 20, 2017 shares	Dec. 31, 2017 USD ($) item shares	Dec. 31, 2016 shares
Common stock, authorized shares		100,000,000	58,500,000
Common stock, issued shares			0
Common stock, outstanding shares		12,354,014	0
Number of votes each common share is entitled to \| item		1
Dividend declared \| $		$ 0
Common Stock
Common stock, authorized shares	100,000,000
Preferred Stock, shares authorized	10,000,000
Stock split ratio	0.05033
Conversion of preferred stock into common stock \| Common Stock
Shares issued on conversion of preferred stock	3,174,523
Conversion of notes payable - related party and accrued interest into common stock \| Common Stock
Shares issued on conversion of notes payable and related accrued interest	1,950,768

Common Stock - Private Placement of Common Stock (Details) $ / shares in Units, $ in Thousands			12 Months Ended
	Dec. 08, 2017 shares	Nov. 14, 2017 USD ($) item $ / shares shares	Dec. 31, 2017 USD ($) shares	Dec. 31, 2016 USD ($)
Private Placement of Common Stock
Gross proceeds		$ 18,000	$ 18,000
Fair value of warrant liability		12,335	11,862
Net proceeds from issuance of stock in private placement		$ 17,250
Additional proceeds from exercise of warrants			18,000
Additional shares issuable on exercise in cash of warrants			2,958,094
Issuance costs associated with private placement			2,172	$ 282
Private placement
Private Placement of Common Stock
Number of warrants issued per common stock \| shares		1
Issuance costs associated with private placement		$ 750
Allocation of issuance cost to warrants (as a percentage)		68.00%
Allocation of issuance cost to common stock (as a percentage)		32.00%
Issuance costs associated with common stock		$ 236	$ 236
Number of days for registration		30 years
Number of days for declaration		60 years
Number of days for review		90 years
Number of purchasers not registered \| item		2
HCV IX and Eli Lilly \| Private placement
Private Placement of Common Stock
Number of affiliated directors and executive officers \| item		3
Common Stock
Private Placement of Common Stock
Remaining proceeds allocated to common stock		$ 5,665
Common Stock \| Private placement
Private Placement of Common Stock
Issuance of stock (in shares) \| shares		2,958,094	2,958,094
Price per share (in dollars per share) \| $ / shares		$ 6.085
Warrant Liability \| Private placement
Private Placement of Common Stock
Exercise price of warrant \| $ / shares		$ 6.085
Exercise expiring period		7 years
Other expense \| Private placement
Private Placement of Common Stock
Issuance costs associated with warrants		$ 514
Minimum \| HCV IX and Eli Lilly \| Private placement
Private Placement of Common Stock
Direct Holding Common Stock Percentage		5.00%
Maximum \| Private placement
Private Placement of Common Stock
Resale shares \| shares	3,734,914

Stock-Based Compensation - Equity Incentive Plans (Details) - shares	Jan. 20, 2017	Dec. 31, 2017
2012 Plan
Stock-Based Compensation
Number of options or stock awards available for grant under the Plan		0
2012 Plan \| Maximum
Stock-Based Compensation
Number of options or stock awards available for grant under the Plan		61,483
Common Stock \| 2012 Plan \| Maximum
Stock-Based Compensation
Shares reserved for issuance	1,387,204
Common Stock \| 2016 Plan
Stock-Based Compensation
Annual increase in authorized shares (as a percent)	4.00%
Common Stock \| 2016 Plan \| Maximum
Stock-Based Compensation
Shares issuable	854,321
Out-of-the-money options \| Common Stock \| 2016 Plan \| Maximum
Stock-Based Compensation
Additional shares issuable	103,023

Stock-Based Compensation - Stock options (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Options
Outstanding balance at the beginning of the period (in shares)	53,228	59,274
Granted (in shares)	2,220,858
Exercised (in shares)	(3,506)
Forfeited (in shares)	(12,959)	(6,046)
Outstanding balance at the end of the period (in shares)	2,257,621	53,228	59,274
Options exercisable at the end of the period (in shares)	716,316
Options vested and expected to vest at end of period (in shares)	2,257,621
Weighted Average Exercise Price Per Share
Outstanding balance at the beginning of the period (in dollars per share)	$ 4.93	$ 4.95
Granted (in dollars per share)	12.51
Exercised (in dollars per share)	5.55
Forfeited (in dollars per share)	5.78	5.14
Outstanding balance at the end of the period (in dollars per share)	12.38	$ 4.93	$ 4.95
Exercisable at the end of the period (in dollars per share)	19.62
Options vested and expected to vest at end of the period (in dollars per share)	$ 12.38
Weighted Average Remaining Life in Years
Outstanding balance	8 years 7 months 28 days	7 years	7 years 10 months 24 days
Options exercisable at end of period	7 years 4 months 6 days
Options vested and expected to vest at end of the period	8 years 7 months 28 days
Aggregate Intrinsic Value
Outstanding balance	$ 68	$ 213
Options exercisable at the end of the period	65
Options vested and expected to vest at end of the period	68
Stock-based compensation expense	$ 5,600	45
Assumptions used to determine grant-date fair value
Vesting period subsequent to the first anniversary of the grant date	3 years
Expiration period	10 years
Compensation cost related to the non-vested awards not yet recognized	$ 6,834
Weighted average period for recognition of compensation cost	2 years 6 months 26 days
Vesting on first anniversary
Assumptions used to determine grant-date fair value
Options vesting on the first anniversary date of the grants (as a percent)	25.00%
Vesting period	1 year
Research and development
Aggregate Intrinsic Value
Stock-based compensation expense	$ 1,834	35
General and administrative
Aggregate Intrinsic Value
Stock-based compensation expense	$ 3,766	$ 10
Stock Options \| Weighted average
Assumptions used to determine grant-date fair value
Expected Volatility	68.70%
Weighted average risk-free interest rate	2.10%
Expected dividend yield (as a percentage)	0.00%
Expected term (in years)	6 years 7 months 6 days

Income Taxes - Operating Loss Carryforwards (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Operating Loss Carryforwards
Minimum ownership change allowed to avoid a limitation of use of net operating loss carryforwards (as a percent)	50.00%
Provision for income taxes	$ (157)
Federal
Operating Loss Carryforwards
Operating loss carryforward	81,614
Research tax credits	1,799	$ 1,308
State
Operating Loss Carryforwards
Operating loss carryforward	63,520
Research tax credits	231	$ 119
Foreign
Operating Loss Carryforwards
Operating loss carryforward	$ 69,970

Income Taxes - Current and deferred expense for income tax (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($)
Deferred expense (benefit):
Foreign	$ (157)
Total deferred expense (benefit):	(157)
Total income tax expense (benefit):	$ (157)

Income Taxes - Reconciliation of Statutory and Effective Tax Rates (Details)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Reconciliation of the statutory tax rate to the Company's effective tax rate
Federal statutory income tax rate	34.00%	34.00%
State taxes, net of federal benefit	4.42%
Permanent differences	(2.27%)	(6.50%)
Tax credits	3.45%
Tax law change	(37.65%)
Foreign rate differential	(0.02%)
Valuation allowance	(3.11%)	(31.90%)
Other	1.68%	4.40%
Effective income tax rate	0.50%	0.00%

Income Taxes - Components of Deferred Tax Assets (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Deferred Tax Assets
Federal net operating loss carryforwards	$ 33,232	$ 18,258
State net operating loss carryforwards	4,014	1,858
Stock options	1,348	43
License fees	1,659	2,616
Accrued expenses	29	599
Other	182	31
Total deferred tax assets	42,494	24,832
Valuation allowance	(42,336)	(24,832)
Net deferred tax assets	158
Federal
Deferred Tax Assets
Research tax credits	1,799	1,308
State
Deferred Tax Assets
Research tax credits	$ 231	$ 119

Income Taxes - Valuation Allowance and Tax Reforms (Details) - USD ($) $ in Thousands		12 Months Ended		24 Months Ended
	Jan. 01, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017
Valuation Allowance
Increase in valuation allowance		$ 17,504	$ 9,060
Tax Reforms
Transition tax on foreign earnings related to cash and cash equivalents, Percent		15.50%
Transition tax on foreign earnings related to other assets, Percent		8.00%
Federal statutory income tax rate		34.00%	34.00%
TCJ Act 2017, Change in tax rate, reduction in deferred tax asset, provisional income tax expense		$ 11,300
Uncertain Tax Positions
Interest and penalties pertaining to uncertain tax positions		$ 0	$ 0	$ 0
Forecast
Tax Reforms
Federal statutory income tax rate	21.00%

Net Loss Per Share - Basic and Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Net Loss Per Share
Common stock, outstanding shares	12,354,014	0
Numerator:
Net loss	$ (29,727)	$ (25,632)
Accretion of preferred stock to redemption value	(244)
Net loss attributable to common stockholders	(29,971)
Less change in fair value of warrant liability	473
Net loss attributable to common stockholders for diluted loss per share	$ (30,444)
Denominator:
Weighted average number of common shares outstanding - basic	9,161,844
Assumed conversion of dilutive securities:
Private Placement Warrants	26,743
Denominator for diluted loss per share - adjusted weighted average shares	9,188,587
Net loss per share attributable to common stockholders - basic	$ (3.27)
Net loss per share attributable to common stockholders - diluted	$ (3.31)

Net Loss Per Share - Antidilutive (Details) - shares		12 Months Ended
Net Loss Per Share - Antidilutive (Details) - shares	Jan. 20, 2017	Dec. 31, 2017	Dec. 31, 2016
Securities excluded from computation of diluted net loss per share
Anti-dilutive securities excluded from calculation of diluted net loss per share		2,312,137	3,326,736
Common Stock \| Conversion of preferred stock into common stock
Securities excluded from computation of diluted net loss per share
Shares issued on conversion of preferred stock	3,174,523
Common Stock \| Conversion of notes payable - related party and accrued interest into common stock
Securities excluded from computation of diluted net loss per share
Shares issued on conversion of notes payable and related accrued interest	1,950,768
Stock Options
Securities excluded from computation of diluted net loss per share
Anti-dilutive securities excluded from calculation of diluted net loss per share		2,257,621	53,228
Warrants assumed from Macrocure
Securities excluded from computation of diluted net loss per share
Anti-dilutive securities excluded from calculation of diluted net loss per share		54,516
Convertible preferred stock and accrued dividends (as converted to common stock)
Securities excluded from computation of diluted net loss per share
Anti-dilutive securities excluded from calculation of diluted net loss per share			3,273,508

Commitments and Contingencies - Lease Agreements (Details) $ in Thousands	Jan. 01, 2017 USD ($)
Operating lease - 12 month period ending July 31, 2017
Commitments and Contingencies
Annual rent	$ 289
Operating lease - 12 month period ending July 31, 2018
Commitments and Contingencies
Annual rent	297
Operating lease - period ending April 30, 2019
Commitments and Contingencies
Annual rent	$ 305

Commitments and Contingencies - Manufacturing, License and Other Agreements (Details) - USD ($) $ in Thousands	Dec. 30, 2016	Dec. 31, 2017
TRX518 and DKN-01
Commitments and Contingencies
Noncancelable commitments		$ 1,519
License and service agreements
Commitments and Contingencies
Accrued royalties		0
License and service agreements \| Preferred Class A
Commitments and Contingencies
Issuance of stock in consideration for license (in shares)	9,000,000
Licensing agreements
Commitments and Contingencies
Accrued royalties		$ 0

Commitments and Contingencies - Legal Proceedings (Details)	1 Months Ended	12 Months Ended
	Mar. 31, 2017 item	Dec. 31, 2017 company individual item
TRX518
Loss Contingencies
Number of notices of opposition filed		3
Number of major companies that filed notices of opposition \| company		2
Number of individuals that filed notices of opposition \| individual		1
TRX518 and Chemotherapeutic
Loss Contingencies
Number of notices of opposition filed	10

Defined Contribution Plan (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Defined Contribution Plan
Contributions to the 401(k) Plan	$ 137	$ 131
Layering first
Defined Contribution Plan
Eligible Employees to contribute (as a percent)	3.00%
Companys match (as a percent)	100.00%
Layering second
Defined Contribution Plan
Eligible Employees to contribute (as a percent)	2.00%
Companys match (as a percent)	50.00%

Related Party Transactions (Details) $ / shares in Units, $ in Thousands		12 Months Ended
	Nov. 14, 2017 item $ / shares shares	Dec. 31, 2017 shares	Dec. 31, 2016 USD ($) shareholder
Private placement
Related Party Transactions
Number of warrants issued per common stock \| shares	1
Private placement \| HCV IX and Eli Lilly
Related Party Transactions
Number of affiliated directors and executive officers \| item	3
Private placement \| HCV IX and Eli Lilly \| Minimum
Related Party Transactions
Direct holding percentage	5.00%
Common Stock \| Private placement
Related Party Transactions
Issuance of stock (in shares) \| shares	2,958,094	2,958,094
Price per share (in dollars per share) \| $ / shares	$ 6.085
Warrant Liability \| Private placement
Related Party Transactions
Exercise price of warrant \| $ / shares	$ 6.085
Stockholder \| Shared office space and office related expenses
Related Party Transactions
Number of stockholders \| shareholder			1
Cost incurred to related party \| $			$ 308