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Cover Page - shares	6 Months Ended
Cover Page - shares	Jun. 30, 2020	Aug. 05, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2020
Document Transition Report	false
Entity File Number	001-36570
Entity Registrant Name	ZOSANO PHARMA CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	45-4488360
Entity Address, Address Line One	34790 Ardentech Court
Entity Address, City or Town	Fremont
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	94555
City Area Code	510
Local Phone Number	745-1200
Title of 12(b) Security	Common Stock, $0.0001 par value
Trading Symbol	ZSAN
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		68,583,356
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Entity Central Index Key	0001587221
Current Fiscal Year End Date	--12-31
Amendment Flag	false

CONDENSED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 10,547	$ 6,316
Prepaid expenses and other current assets	699	497
Total current assets	11,246	6,813
Restricted cash	455	455
Property and equipment, net	30,712	24,636
Operating lease right-of-use assets	5,296	5,763
Other long-term assets	3	3
Total assets	47,712	37,670
Current liabilities:
Accounts payable	4,809	4,356
Accrued compensation	2,754	2,015
Build-to-suit obligation, current portion	3,085	4,554
Operating lease liabilities, current portion	1,228	1,140
Paycheck Protection Program loan, current portion	725	0
Other accrued liabilities	3,945	4,172
Total current liabilities	16,546	16,237
Build-to-suit obligation, long-term portion, net of debt issuance costs and discount	6,509	6,095
Operating lease liabilities, long-term portion	5,297	5,931
Paycheck Protection Program loan, long-term portion	888	0
Other liabilities	8	15
Total liabilities	29,248	28,278
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.0001 par value; 5,000,000 shares authorized; none issued and outstanding as of June 30, 2020 and December 31, 2019	0	0
Common stock, $0.0001 par value; 250,000,000 shares authorized; 57,245,251 and 23,503,214 shares issued and outstanding as of June 30, 2020 and December 31, 2019, respectively	6	2
Additional paid-in capital	333,863	308,211
Accumulated deficit	(315,405)	(298,821)
Total stockholders’ equity	18,464	9,392
Total liabilities and stockholders’ equity	$ 47,712	$ 37,670

CONDENSED BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Preferred stock, par value (usd per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (usd per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	57,245,251	23,503,214
Common stock, shares outstanding	57,245,251	23,503,214

CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income Statement [Abstract]
Revenue	$ 0	$ 0	$ 0	$ 0
Operating expenses:
Research and development	4,932	6,640	10,446	13,256
General and administrative	2,766	2,767	5,848	5,638
Total operating expenses	7,698	9,407	16,294	18,894
Loss from operations	(7,698)	(9,407)	(16,294)	(18,894)
Other income (expense):
Interest income	5	82	15	162
Interest expense	(190)	(35)	(396)	(76)
Other income (expense), net	(12)	0	91	22
Loss before provision for income taxes	(7,895)	(9,360)	(16,584)	(18,786)
Provision for income taxes	0	0	0	0
Net loss	(7,895)	(9,360)	(16,584)	(18,786)
Unrealized gain (loss) on marketable securities, net of tax	0	(1)	0	5
Comprehensive loss	$ (7,895)	$ (9,361)	$ (16,584)	$ (18,781)
Net loss per common share – basic and diluted	$ (0.14)	$ (0.55)	$ (0.36)	$ (1.30)
Weighted-average shares used in computing net loss per common share – basic and diluted	54,927,408	16,868,643	45,596,713	14,434,365

CONDENSED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Accumulated Other Comprehensive Income (Loss)	Registered Direct Offering	Registered Direct Offering Common Stock	Registered Direct Offering Additional Paid-In Capital	Public Stock Offering	Public Stock Offering Common Stock	Public Stock Offering Additional Paid-In Capital	At-the-market Offering	At-the-market Offering Common Stock	At-the-market Offering Additional Paid-In Capital	Series D Warrants Common Stock	Series C Warrant	Series C Warrant Common Stock	Series C Warrant Additional Paid-In Capital
Beginning balance (in shares) at Dec. 31, 2018		11,973,039
Beginning balance at Dec. 31, 2018	$ 18,710	$ 1	$ 279,946	$ (261,232)	$ (5)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Stock-based compensation	361		361
Unrealized gain on marketable securities	6				6
Net loss	(9,426)			(9,426)
Ending balance (in shares) at Mar. 31, 2019		11,973,039
Ending balance at Mar. 31, 2019	9,651	$ 1	280,307	(270,658)	1
Beginning balance (in shares) at Dec. 31, 2018		11,973,039
Beginning balance at Dec. 31, 2018	18,710	$ 1	279,946	(261,232)	(5)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Unrealized gain on marketable securities	5
Net loss	(18,786)
Ending balance (in shares) at Jun. 30, 2019		17,723,039
Ending balance at Jun. 30, 2019	19,007	$ 2	299,023	(280,018)	0
Beginning balance (in shares) at Mar. 31, 2019		11,973,039
Beginning balance at Mar. 31, 2019	9,651	$ 1	280,307	(270,658)	1
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)		5,750,000
Issuance of common stock	18,331	$ 1	18,330
Stock-based compensation	386		386
Unrealized gain on marketable securities	(1)				(1)
Net loss	(9,360)			(9,360)
Ending balance (in shares) at Jun. 30, 2019		17,723,039
Ending balance at Jun. 30, 2019	$ 19,007	$ 2	299,023	(280,018)	0
Beginning balance (in shares) at Dec. 31, 2019	23,503,214	23,503,214
Beginning balance at Dec. 31, 2019	$ 9,392	$ 2	308,211	(298,821)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)							11,903,506			11,992,307			2,151,346
Issuance of common stock						$ 10,211	$ 1	$ 10,210	$ 8,264	$ 2	$ 8,262	$ 2,706		$ 2,706
Issuance of common stock upon exercise of warrants (in shares)															2,161,539		2,649,723
Issuance of common stock upon exercise of warrants																$ 1,722		$ 1,722
Stock-based compensation	364		364
Net loss	(8,689)			(8,689)
Ending balance (in shares) at Mar. 31, 2020		54,361,635
Ending balance at Mar. 31, 2020	$ 23,970	$ 5	331,475	(307,510)	0
Beginning balance (in shares) at Dec. 31, 2019	23,503,214	23,503,214
Beginning balance at Dec. 31, 2019	$ 9,392	$ 2	308,211	(298,821)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Unrealized gain on marketable securities	0
Net loss	$ (16,584)
Ending balance (in shares) at Jun. 30, 2020	57,245,251	57,245,251
Ending balance at Jun. 30, 2020	$ 18,464	$ 6	333,863	(315,405)	0
Beginning balance (in shares) at Mar. 31, 2020		54,361,635
Beginning balance at Mar. 31, 2020	23,970	$ 5	331,475	(307,510)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)													1,550,231
Issuance of common stock												$ 1,161	$ 1	$ 1,160
Issuance of common stock upon exercise of warrants (in shares)																	1,333,385
Issuance of common stock upon exercise of warrants																$ 867		$ 867
Stock-based compensation	361		361
Unrealized gain on marketable securities	0
Net loss	$ (7,895)			(7,895)
Ending balance (in shares) at Jun. 30, 2020	57,245,251	57,245,251
Ending balance at Jun. 30, 2020	$ 18,464	$ 6	$ 333,863	$ (315,405)	$ 0

CONDENSED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
CONDENSED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	Jun. 30, 2020	Jun. 30, 2019
Cash flows from operating activities
Net loss	$ (16,584)	$ (18,786)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation	725	747
Change in operating lease right-of-use assets	467	399
Depreciation and amortization	517	361
Effective interest on financing obligations	413	442
Capitalized effective interest	(263)	(386)
Accretion of interest on marketable securities	0	(42)
Other	0	28
Change in operating assets and liabilities:
Prepaid expenses and other assets	(225)	(657)
Accounts payable	(1,480)	635
Accrued compensation and other accrued liabilities	533	(904)
Operating lease liabilities	(546)	(451)
Net cash used in operating activities	(16,443)	(18,614)
Cash flows from investing activities:
Proceeds from maturities of marketable securities	0	13,900
Purchases of marketable securities	0	(3,476)
Purchases of property and equipment	(4,707)	(6,213)
Net cash (used in) provided by investing activities	(4,707)	4,211
Cash flows from financing activities:
Proceeds from exercise of Series C warrants	2,589	0
Proceeds from Paycheck Protection Program loan	1,610	0
Proceeds from build-to-suit obligation, net of issuance costs	0	2,277
Principal payments on financing obligations	(1,477)	(1,234)
Net cash provided by financing activities	25,381	19,515
Net increase in cash, cash equivalents and restricted cash	4,231	5,112
Cash, cash equivalents and restricted cash at beginning of period	6,771	9,595
Cash, cash equivalents and restricted cash at end of period	11,002	14,707
Supplemental cash flow information:
Cash paid for interest	499	365
Cash paid for taxes	12	1
Non-cash investing and financing activities:
Acquisition of property and equipment under accounts payable and other accrued liabilities	6,044	5,795
Unpaid offering costs	445	142
Right-of-use assets acquired under finance lease obligations	0	22
Registered Direct Offering
Cash flows from financing activities:
Proceeds from offering of securities, net of costs	10,222	0
Public Stock Offering
Cash flows from financing activities:
Proceeds from offering of securities, net of costs	8,441	0
Public Offering
Cash flows from financing activities:
Proceeds from offering of securities, net of costs	0	18,472
At-the-market Offering
Cash flows from financing activities:
Proceeds from offering of securities, net of costs	$ 3,996	$ 0

Organization and Basis of Presentation	6 Months Ended
Organization and Basis of Presentation	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Basis of Presentation	Organization and Basis of Presentation The Company Zosano Pharma Corporation (the “Company”) is a clinical-stage biopharmaceutical company focused on providing rapid systemic administration of therapeutics and other bioactive molecules to patients using its proprietary transdermal microneedle system. Basis of Presentation The accompanying condensed financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) for interim financial information, the instructions to Form 10-Q and Regulation S-X. They do not include all the information and notes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal and recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and six months ended June 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020, or any other subsequent period. These financial statements should be read in conjunction with the Company’s audited financial statements for the year ended December 31, 2019, included in the Company’s annual report on Form 10-K and filed with the United States Securities and Exchange Commission (“SEC”) on March 13, 2020. Use of Estimates The preparation of the accompanying condensed financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the condensed financial statements, and the reported amounts of expenses during the periods reported. Actual results could differ from those estimates. Liquidity and Substantial Doubt in Going Concern Since inception, the Company has incurred recurring operating losses and negative cash flows from operating activities, and as of June 30, 2020, had an accumulated deficit of $315.4 million. As of June 30, 2020, the Company had approximately $10.5 million in cash and cash equivalents. Presently, the Company does not have sufficient cash and cash equivalents to enable it to fund its anticipated level of operations and meet its obligations as they become due within twelve months following the date of issuance of this Quarterly Report on Form 10-Q. The aforementioned factors raise substantial doubt about the Company’s ability to continue as a going concern for a period of one year from the issuance of these financial statements. The financial statements do not include any adjustments that might result from the outcome of this uncertainty. The Company filed a shelf registration statement on Form S-3 with the SEC, which was declared effective by the SEC on April 16, 2020. This shelf registration statement provides the Company with the ability to issue common stock and other securities as described in the registration statement from time to time up to an aggregate amount of $74.5 million. On June 8, 2020, the Company entered into a sales agreement with BTIG, LLC, as sales agent (“BTIG”), to establish an at-the-market ("ATM") offering program, under which the Company is permitted to offer and sell, from time to time, shares of common stock having a maximum aggregate offering price of up to $20.0 million. The Company is required to pay BTIG a commission of 3% of the gross proceeds from the sale of shares and also agreed to provide BTIG with customary indemnification rights. During the quarter ended June 30, 2020, the Company issued and sold 1,550,231 shares of its common stock at an average price of $0.91 per share under the ATM program. The aggregate net proceeds were approximately $1.2 million after BTIG's commission of $42,000 and estimated offering expenses. During the period from July 1, 2020 through August 5, 2020, the Company issued and sold 9,266,951 shares of its common stock at an average price of $0.91 per share under the ATM program. The aggregate net proceeds were approximately $8.2 million after BTIG's commission of $253,000. The shares were sold pursuant to the Company’s effective shelf registration statement, the base prospectus filed as part of such registration statement and the prospectus supplement dated June 8, 2020. On May 27, 2020, the Company entered into the First Amendment to Lease Documents (the “Trinity Amendment”) with Trinity Funding 1, LLC (“Trinity”), which, among other things, extends the term of each lease schedule from a 36-month term to a 42-month term by providing for an interest-only period from May 2020 through October 2020, with principal payments recommencing November 1, 2020. Additionally, the Trinity Amendment removed all end-of-term options other than the option to purchase the equipment at 12% of equipment cost at the end of each 42-month-term. On April 21, 2020, the Company executed a promissory note (the “PPP Note”) evidencing an unsecured loan in the amount of $1.6 million under the Paycheck Protection Program (the “PPP Loan”). The Paycheck Protection Program (“PPP”) was established under the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”) and is administered by the U.S. Small Business Administration (“SBA”). Under the terms of the CARES Act, PPP loan recipients can apply for and be granted forgiveness for all or a portion of loans granted under the PPP. Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds for eligible purposes, including payroll, benefits, rent and utilities, and the maintenance of its payroll levels. No assurance is provided that the Company will obtain forgiveness of the PPP Loan in whole or in part. On March 4, 2020, the Company entered into a securities purchase agreement with certain institutional investors for the issuance and sale in a registered direct offering (the "March 2020 Offering") of (i) 11,903,506 shares of the Company's common stock and (ii) Series E Warrants to purchase up to a total of 11,903,506 shares of common stock at an offering price of $0.9275 per share and accompanying warrant. The Series E Warrants have an exercise price of $0.8025 per share, are immediately exercisable and will expire five years from the date of issuance. The aggregate net proceeds from the offering were approximately $10.2 million, after deducting the placement agent fees and other offering expenses. During the period from July 1, 2020 through August 5, 2020, Series E Warrants to purchase 350,000 shares of common stock have been exercised at an exercise price of $0.8025 per share for aggregate proceeds of approximately $281,000. On February 14, 2020, the Company closed an underwritten offering (the "February 2020 Offering") for the issuance and sale of (i) 10,146,154 Class A Units, each consisting of one share of common stock and one Series C Warrant to purchase one share of common stock, at a public offering price of $0.65 per Class A Unit, and (ii) 2,161,539 Class B Units, each consisting of one Series D Pre-Funded Warrant to purchase one share of common stock and one Series C Warrant to purchase one share of common stock, at a public offering price of $0.6499 per Class B Unit. The Series C Warrants have an exercise price of $0.65 per share, are immediately exercisable and will expire five years from the date of issuance. The Series D Pre-Funded Warrants had an exercise price of $0.0001 per share and were fully exercised in connection with the closing of the offering. The Company granted the underwriter a 30-day option to purchase up to an additional 1,846,153 shares of common stock and/or additional Series C Warrants to purchase up to 1,846,153 shares of common stock. The underwriter fully exercised its option to purchase the shares and the Series C Warrants. The aggregate net proceeds from the offering were $8.3 million after deducting underwriting commissions and other offering expenses. As of June 30, 2020, 3,983,108 shares of common stock have been issued pursuant to the exercise of the Series C Warrants at an exercise price of $0.65 per share for aggregate proceeds of $2.6 million. During the period from July 1, 2020 through August 5, 2020, Series C Warrants to purchase 5,571,154 shares of common stock have been exercised at an exercise price of $0.65 per share for aggregate proceeds of approximately $3.6 million. The Company plans to raise additional funding through equity or debt financings, licensing or collaboration agreements, or strategic alliances with pharmaceutical partners, or any combination of the above. However, there are no assurances that additional funding will be obtained and that the Company will succeed in its future operations. The Company’s inability to obtain required funding in the near future or its inability to obtain funding on favorable terms will have a material adverse effect on its operations and strategic development plan for future growth. If the Company cannot successfully raise additional capital and implement its strategic development plan, its liquidity, financial condition and business prospects will be materially and adversely affected, and it may have to cease operations. The Company will continue to evaluate its timelines, strategic needs, and working capital requirements. There can be no assurance that if the Company attempts to raise additional capital, it will be successful in doing so on terms acceptable to the Company, or at all. Further, there can be no assurance that it will be able to gain access and/or be able to execute on securing new sources of funding, new development opportunities, successfully obtain regulatory approvals for and commercialize new products, achieve significant product revenues from its products (if approved), or achieve or sustain profitability in the future. COVID-19 Pandemic On March 11, 2020, the World Health Organization designated COVID-19 as a global pandemic. Due to the COVID-19 pandemic, there has been uncertainty in the global financial markets and economic conditions. The Company is closely monitoring the impact of the COVID-19 pandemic on its business, including how it will impact its employees, clinical trials and third-party service providers who perform critical services for the Company's business. In addition, the impact of the COVID-19 pandemic on the global financial markets and economic conditions could impact the Company's ability to raise capital through an equity financing, debt financing, a license or collaboration or a combination of such sources of capital, and as a result, its ability to continue as a going concern. The full extent to which the COVID-19 pandemic will directly or indirectly impact the Company's business, results of operations and financial condition will depend on future developments that are highly uncertain, including as a result of new information that may emerge concerning COVID-19 and the actions taken to contain or treat it. As of the date of issuance of this Quarterly Report on Form 10-Q, management is not aware of any specific event or circumstances that would require an update to its estimates or a revision of the carrying value of its assets or liabilities. These estimates may change, as new events occur, and additional information is obtained. On March 27, 2020, the CARES Act was signed into law. The CARES Act includes provisions relating to refundable payroll tax credits, deferment of the employer portion of certain payroll taxes, net operating loss carryback periods, alternative minimum tax credit refunds, modifications to the net interest deduction limitations and technical corrections to tax depreciation methods for qualified improvement property. The Company analyzed the provisions of the CARES Act and determined there was no significant impact on the Company's provision for income taxes for the three and six months ended June 30, 2020.

Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2020

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Significant Accounting Policies

The Company’s significant accounting policies are included in Note 2. Summary of Significant Accounting Policies to the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019.

Cash, Cash Equivalents and Restricted Cash

The Company considers all highly liquid investments with an original maturity of 90 days or less to be cash equivalents.

As of June 30, 2020, and December 31, 2019, the Company had restricted cash of approximately $0.5 million consisting of deposits of $0.3 million to secure its building lease until the end of the lease term, a deposit of approximately $0.1 million to a utility provider and $35,000 to secure corporate purchasing cards.

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the balance sheets and as presented as cash, cash equivalents and restricted cash in the statements of cash flows:


	June 30, 2020		June 30, 2019
	(unaudited; in thousands)
Cash and cash equivalents	$	10,547	$	14,252
Restricted cash	455		455
Total	$	11,002	$	14,707

Marketable Securities

Marketable securities generally consist of debt securities with original maturities greater than 90 days and remaining maturities of less than one year. Marketable securities with an original maturity greater than one year, if any, would be considered long-term investments. All of the Company's investments are classified as available-for-sale and carried at fair value based upon quoted market price. The change in unrealized gains and losses related to fixed maturity debt securities is reported as a separate component of comprehensive loss in the statements of operations and comprehensive loss and as a separate component of stockholders' equity on the balance sheets. Interest income includes interest, dividends, amortization and accretion of purchase premiums and discounts and realized gains and losses on sales of securities, if any. The cost of securities sold is based on the specific-identification method.

The Company monitors its investment portfolio for potential impairment on a quarterly basis. If the carrying amount of an investment in available-for-sale debt securities exceeds its fair value and the decline in value is determined to be other-than-temporary, an allowance is recorded in the amount that the carrying amount of the security exceeds its fair value and a loss is recognized in operating results for the amount of such decline. If the carrying amount of an investment in marketable securities, other than available-for-sale debt securities, exceeds its fair value and the decline in value is determined to be other-than-temporary, the carrying amount of the security is reduced to fair value and a loss is recognized in operating results for the amount of such decline. In order to determine whether a decline in value is other-than-temporary, the Company evaluates, among other factors, the cause of the impairment, including the creditworthiness of the security issuers, the number of securities in an unrealized loss position, the severity and duration of the unrealized losses, and its intent and ability to hold the security to maturity or expected recovery.

Fair Value Instruments

The Company records its financial assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the reporting date. The accounting guidance establishes a three-tiered hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value as follows:

•Level 1: Inputs which include quoted prices in active markets for identical assets and liabilities.

•Level 2: Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

•Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The carrying values of certain assets and liabilities of the Company, such as cash and cash equivalents and accounts payable approximate fair value due to their relatively short maturities. The carrying value of the Company’s short-term financial obligations approximates their fair value as the terms of the borrowing are consistent with current market rates and the duration to maturity is short. The carrying value of the Company's long-term financial obligations approximates fair value because interest rates approximate market rates that the Company could obtain for debt with similar terms and maturities.

Net Loss Per Common Share

Basic net loss per common share is calculated by dividing the net loss by the weighted-average number of common shares outstanding during the period, without consideration for potentially dilutive securities. Diluted net loss per common share is computed by dividing the net loss attributable to common stockholders by the weighted-average number of common shares and potentially dilutive securities outstanding for the period determined using the treasury-stock and if-converted methods. For purposes of the diluted net loss per share calculation, common stock warrants, stock options and restricted stock units ("RSUs") are considered to be potential dilutive securities but are excluded from the calculation of diluted net loss per share because their effect would be anti-dilutive and therefore, basic and diluted net loss per share were the same for all periods presented.

The following outstanding common stock equivalents were excluded from the computations of diluted net loss per common share for the periods presented as the effect of including such securities would be antidilutive:


	June 30, 2020	June 30, 2019
	(unaudited)
Warrants to purchase common stock	22,345,150	274,524
Options to purchase common stock	2,685,487	1,765,742
Restricted Stock Units	343,442	—
Total	25,374,079	2,040,266

Recent Accounting Pronouncements

Recently Adopted Accounting Pronouncements

The Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2019-05, Financial Instruments - Credit Losses, Targeted Transition Relief in May 2019, ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments — Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments in April 2019, and ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments - Credit Losses in November 2018. This new guidance is intended to present credit losses on available-for-sale debt securities as an allowance rather than as a write-down. Entities are required to apply the standards' provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. The Company adopted ASU 2019-05, ASU 2019-04 and ASU 2018-19 effective January 1, 2020. The adoption of this guidance did not have an impact on the Company's financial statements.

In August 2018, the FASB issued ASU 2018-15, Intangible - Goodwill and Other - Internal-Use Software (Subtopic 350-40), which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The Company adopted ASU 2018-15, Subtopic 350-40 effective January 1, 2020 on a prospective basis. The adoption of this guidance did not have a material impact on the Company's financial statements.

In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820). The new guidance modifies the disclosure requirements on fair value measurements. The Company adopted Topic 820 effective January 1, 2020 on a modified retrospective basis. The adoption of this guidance did not have a material impact on the Company's financial statement disclosures.

Recent Accounting Pronouncements Not Yet Adopted

In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. This new guidance simplifies the accounting for income taxes by removing certain exceptions to general principles, clarifying requirements and including amendments to improve consistent application of the guidance. The guidance specifically removes the exception to the incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items, such as discontinued operations or other comprehensive income. The guidance also requires an entity to recognize a franchise tax that is partially based on income as an income-based tax and to account for any other amounts incurred as a non-income based tax. The guidance is effective for the Company beginning January 1, 2021 using a prospective approach. Early adoption is permitted. The Company is evaluating the effect of implementation on its financial statements and disclosures.

Cash Equivalents and Investments in Marketable Securities

6 Months Ended

Jun. 30, 2020

Cash, Cash Equivalents, and Short-term Investments [Abstract]

Cash Equivalents and Investments in Marketable Securities

The following table summarizes the Company's cash equivalents and investments in marketable securities measured at fair value on a recurring basis as of June 30, 2020:


			Fair Value Measurements
	Total		Quoted prices in active market Level 1		Significant other observable inputs Level 2		Significant unobservable inputs Level 3
	(unaudited; in thousands)
Money market funds classified as cash equivalents	$	7,915	$	7,915	$	—	$	—

The Company did not hold any cash equivalents and investments in marketable securities as of December 31, 2019.

Balance Sheet Components

6 Months Ended

Jun. 30, 2020

Balance Sheet Related Disclosures [Abstract]

Balance Sheet Components

The following table summarizes the Company’s prepaid expenses and other current assets for each of the periods presented:


	June 30, 2020		December 31, 2019
	(unaudited; in thousands)		(in thousands)
Prepaid insurance	$	275	$	49
Prepaid software, subscriptions and deferred implementation costs	172		61
Prepaid services	167		316
Deferred offering costs	77		65
Other	8		6
Total	$	699	$	497

The following table summarizes the Company’s property and equipment for each of the periods presented:


	June 30, 2020		December 31, 2019
	(unaudited; in thousands)		(in thousands)
Leasehold improvements	$	24,114	$	16,932
Manufacturing equipment	14,220		12,173
Laboratory and office equipment	1,617		1,585
Right-of-use laboratory and office equipment	25		25
Computer equipment and software	138		138
Right-of-use computer equipment and software	29		29
Construction-in-progress	17,909		20,602
Property and equipment at cost	58,052		51,484
Less: accumulated depreciation property and equipment	(27,305)		(26,821)
Less: accumulated amortization right-of-use assets	(35)		(27)
Total	$	30,712	$	24,636

As of June 30, 2020, construction-in-progress included $14.3 million of an asset relating to the build-to-suit arrangement for construction of the Company's commercial coating and primary packaging system, of which capitalized construction period interest was $2.0 million (See Note 6. Debt Financing).

The following table summarizes the Company's depreciation and amortization expense for each of the periods presented:


	Three Months Ended June 30,						Six Months Ended June 30,
	2020		2019		2020		2019
	(unaudited; in thousands)						(unaudited; in thousands)
Depreciation and amortization expense	$	345	$	197	$	517	$	361

The following table summarizes the Company’s other accrued liabilities for each of the periods presented:


	June 30, 2020		December 31, 2019
	(unaudited; in thousands)		(in thousands)
Construction-in-progress obligations	$	3,372	$	3,422
Professional service fees	184		206
Contract manufacturing	92		250
Accrued taxes	16		27
Pre-clinical and clinical studies	11		43
Other	270		224
Total	$	3,945	$	4,172

Leases

6 Months Ended

Jun. 30, 2020

Leases [Abstract]

Leases

Operating Leases

The Company has a non-cancelable operating lease for office, research and development, and manufacturing facilities in Fremont, California through August 31, 2024, with an option to further extend the lease for an additional 60 months subject to certain terms and conditions. The operating lease right-of-use asset and associated lease liability do not consider the option to extend the term after August 31, 2024, as the Company is not reasonably certain of exercising the extension option. The Company entered into a three year, non-cancelable lease for telephone equipment in January 2018.

Per the terms of the agreements, the Company does not have any residual value guarantees, restrictions or covenants. In calculating the present value of the lease payments, the Company utilized its incremental borrowing rate, as the rates implicit in the leases were not readily determinable. The Company accounts for lease and non-lease components separately. The building

lease includes non-lease components (i.e. common area maintenance) which are charged and paid separately from rent based on actual costs incurred and therefore are not included in the right-of-use asset and lease liability but reflected in operating expense in the period incurred.

Finance Leases

The Company leases certain equipment under non-cancelable agreements which expire between 2021 and 2022.

The following table summarizes the components of lease costs for each of the periods presented:


	Three Months Ended June 30,						Six Months Ended June 30,
	2020		2019		2020		2019
	(unaudited; in thousands)						(unaudited; in thousands)
Operating lease costs	$	422	$	410	$	844	$	820
Finance lease costs:
Amortization of finance lease right-of-use assets	4		4		8		19
Interest on finance lease obligations	2		3		4		12
Total	$	428	$	417	$	856	$	851

The following table summarizes cash payments for leases for each of the periods presented:


	Six Months Ended June 30,
	2020		2019
	(unaudited; in thousands)
Operating cash flows from operating leases - cash paid for operating leases	$	922	$	872
Operating cash flows from finance leases - cash paid for interest	$	4	$	6
Financing cash flows from finance leases - cash paid for principal	$	8	$	6

The following table summarizes the lease terms and discount rates for the Company's leases as of June 30, 2020:


	Operating leases		Finance leases
	(unaudited)
Weighted-average remaining lease term (in years)	4.25		1.40
Weighted average discount rate	11	%	27	%

The following table summarizes the Company's annual scheduled lease payments for each year ending December 31, as of June 30, 2020:


	Operating leases		Finance leases
	(unaudited; in thousands)
Remainder of 2020	$	939	$	13
2021	1,909		14
2022	1,961		3
2023	2,017		—
2024	1,372		—
Total undiscounted cash flows	8,198		30
Less: amount representing interest	(1,673)		(6)
Present value of lease liabilities	$	6,525	$	24

Current portion	$	1,228	$	16
Long-term portion	5,297		8
Total	$	6,525	$	24

Leases

Operating Leases

Finance Leases

The Company leases certain equipment under non-cancelable agreements which expire between 2021 and 2022.

The following table summarizes the components of lease costs for each of the periods presented:


	Three Months Ended June 30,						Six Months Ended June 30,
	2020		2019		2020		2019
	(unaudited; in thousands)						(unaudited; in thousands)
Operating lease costs	$	422	$	410	$	844	$	820
Finance lease costs:
Amortization of finance lease right-of-use assets	4		4		8		19
Interest on finance lease obligations	2		3		4		12
Total	$	428	$	417	$	856	$	851

The following table summarizes cash payments for leases for each of the periods presented:


	Six Months Ended June 30,
	2020		2019
	(unaudited; in thousands)
Operating cash flows from operating leases - cash paid for operating leases	$	922	$	872
Operating cash flows from finance leases - cash paid for interest	$	4	$	6
Financing cash flows from finance leases - cash paid for principal	$	8	$	6

The following table summarizes the lease terms and discount rates for the Company's leases as of June 30, 2020:


	Operating leases		Finance leases
	(unaudited)
Weighted-average remaining lease term (in years)	4.25		1.40
Weighted average discount rate	11	%	27	%

The following table summarizes the Company's annual scheduled lease payments for each year ending December 31, as of June 30, 2020:


	Operating leases		Finance leases
	(unaudited; in thousands)
Remainder of 2020	$	939	$	13
2021	1,909		14
2022	1,961		3
2023	2,017		—
2024	1,372		—
Total undiscounted cash flows	8,198		30
Less: amount representing interest	(1,673)		(6)
Present value of lease liabilities	$	6,525	$	24

Current portion	$	1,228	$	16
Long-term portion	5,297		8
Total	$	6,525	$	24

Debt Financing

6 Months Ended

Jun. 30, 2020

Debt Disclosure [Abstract]

Debt Financing

Build-to-Suit Obligation with Trinity

In September 2018, the Company entered into a build-to-suit arrangement with Trinity Capital Fund III, L.P. (the "Agreement”) in order to obtain financing for the third-party construction of the Company's commercial coating and primary packaging system (the "Equipment"). Under the Agreement, Trinity (as successor in interest to Trinity Capital Fund III, L.P.) made available to the Company $14.0 million for equipment costs and associated soft costs ("Total Cost"), with an initial drawdown of $5.0 million and additional drawdowns in increments of not less than $0.5 million. Under the Agreement, each individual drawdown represents a separate financing arrangement with its own term and stated interest rate. Each drawdown is non-cancelable, with no prepayment options. In consideration of the financing arrangement, as collateral, the Company granted Trinity a first-priority lien and security interest in substantially all of the Company's assets. On May 27, 2020, the Company entered into the Trinity Amendment.

The Trinity Amendment, among other things, extends each individual drawdown term from 36 months to 42 months by providing for an interest-only period from May 2020 through October 2020, with principal payments recommencing November 1, 2020. Additionally, the Trinity Amendment removed all end-of-term options other than the option to purchase the equipment at 12% of the Total Cost, which is equal to the drawdown amount (“Purchase Option Fee”), which the Company intends to exercise at the end of each 42-month-term. The transfer of title from Trinity to the Company will occur at the end of the final 42-month-term, provided that the purchase option was executed, and the Purchase Option Fee was paid in full at the end of each 42-month-term. The security interest will terminate on the earlier to occur of (i) the date that falls six (6) months after the delivery and installation of the Equipment or (ii) payment in full of all amounts owed. The Company accounted for the Trinity Amendment as a debt modification under ASC 470-50, as the amended terms were not substantially different from the terms of the Agreement.

The Company determined that it controls the Equipment during the construction period due to its involvement in and its obligations related to the construction of the Equipment. Accordingly, construction costs incurred were recorded as construction-in-progress, a component of property and equipment on the balance sheet, and the Trinity financing obligation was recorded as a build-to-suit obligation on the balance sheet. As of June 30, 2020, the Company had an aggregate commercial coating and primary packaging system construction-in-progress balance of $14.3 million that included $2.0 million of interest related to its build-to-suit obligation.

In connection with the build-to-suit arrangement, the Company issued common stock warrants (“Trinity Warrants”) for a total of 75,000 shares of common stock at an exercise price of $3.5928 per share. The Trinity Warrants will expire on September 25, 2025. Proceeds allocated to the Trinity Warrants based on their relative fair value approximated $243,000 and were recorded as a discount to the initial $5.0 million drawdown under the Trinity financing arrangement and are being amortized as interest over the term of the September 2018 drawdown.

The Trinity build-to-suit arrangement requires compliance with various affirmative and restrictive covenants in regard to making certain investments and other restricted payments, engaging in mergers or consolidations, and the sale or transfer of certain assets. Failure to comply with any of these covenants, or pay principal, interest or other amounts when due, would constitute an event of default under the applicable agreement. The Company was in compliance with its covenants with respect to the Trinity build-to-suit arrangement as of June 30, 2020.

The following table summarizes the debt obligations as of June 30, 2020 including the amended effective interest rate and maturity dates pursuant to the terms of the Trinity Amendment:


Drawdown Date	Drawdown Amount		Principal Balance		Purchase Option Fee		Discount on Purchase Option Fee		Unamortized Discounts and Issuance Costs		Monthly Payment		Monthly Payment (interest only period)		Stated Interest Rate		Amended Effective Interest Rate		Maturity Date
			(unaudited; in thousands)
09/25/18	$	5,000	$	2,378	$	600	$	(35)	$	(216)	$	160	$	20	9.43	%	24.38	%	04/01/22
12/11/18	2,800		1,566		336		(27)		(89)		90		13		9.68	%	18.25	%	07/01/22
06/06/19	2,300		1,654		276		(37)		(118)		74		14		9.93	%	18.08	%	01/01/23
09/13/19	2,300		1,831		276		(45)		(147)		74		16		9.93	%	18.04	%	04/01/23
11/27/19	1,600		1,354		192		(35)		(120)		52		12		9.93	%	18.16	%	06/01/23
Total	$	14,000	$	8,783	$	1,680	$	(179)	$	(690)	$	450	$	75

The following table summarizes the Company's build-to-suit obligation as of June 30, 2020 (unaudited; in thousands):


Build-to-suit obligation principal amount	$	8,783
Build-to-suit obligation Purchase Option Fees at present value	1,501
Less: unamortized Purchase Option Fees	(527)
unamortized fair value of free-standing warrants	(59)
unamortized debt discount	(98)
unamortized debt issuance costs	(6)
Build-to-suit obligation, net of debt issuance costs and discount	$	9,594

Build-to-suit obligation, current portion	$	3,085
Build-to-suit obligation, long-term portion, net of debt issuance costs and discount	6,509
Build-to-suit obligation, net of debt issuance costs and discount	$	9,594

The following table summarizes the future minimum payments on the Company’s build-to-suit obligation for each year ending December 31, including payment of principal, interest and Purchase Option Fees as of June 30, 2020:


	Principal		Interest		Purchase Option Fees
	(unaudited; in thousands)
Remainder of 2020	$	753	$	447	$	—
2021	4,779		618		—
2022	2,979		189		936
2023	272		8		744
Total	$	8,783	$	1,262	$	1,680

The following table summarizes interest incurred on the Company's build-to-suit obligation for each of the periods presented:


	Three Months Ended June 30,						Six Months Ended June 30,
	2020		2019		2020		2019
	(unaudited; in thousands)						(unaudited; in thousands)
Build-to-suit obligation, cash interest expense	$	228	$	159	$	480	$	346
Build-to-suit obligation, effective interest expense	170		199		413		386
Less: build-to-suit obligation, interest capitalized	(231)		(358)		(529)		(732)
Build-to-suit obligation interest expense	$	167	$	—	$	364	$	—

PPP Loan

On April 21, 2020, the Company executed a PPP Note evidencing a PPP Loan in the amount of $1.6 million. The PPP was established under the CARES Act and is administered by the SBA. The Loan has been made through Silicon Valley Bank (the “Lender”).

The PPP Loan has a two-year term and bears interest at a rate of 1.0% per annum. Monthly principal and interest payments are deferred for six months. Beginning seven months from the date of the PPP Note, the Company is required to make monthly payments of principal and interest of approximately $91,000 to the Lender for 18 months through April 2022.

The PPP Note contains customary events of default relating to, among other things, payment defaults, providing materially false and misleading representation to the SBA or Lender or breaching the terms of the PPP Note. The occurrence of an event of default may result in the immediate repayment of all amounts outstanding, collection of all amounts owing from the Company or filing suit and obtaining judgment against the Company.

Under the terms of the CARES Act, PPP loan recipients can apply for and be granted forgiveness for all or a portion of the loan granted under the PPP. Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds for eligible purposes, including payroll, benefits, rent and utilities, and the maintenance of its payroll levels. However, no assurance is provided that forgiveness for any portion of the PPP Loan will be obtained.

Commitments and Contingencies	6 Months Ended
Commitments and Contingencies	Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Equipment Purchase Commitments The Company has a remaining commitment of $4.6 million, of which $3.2 million was recorded as a current liability as of June 30, 2020, with an equipment manufacturer for the construction and purchase of a commercial coating and primary packaging system for the production of its product candidate, Qtrypta™ (M207) ("Qtrypta"). The terms of the purchase commitment are contingent upon performance of certain milestones. The Company anticipates that the obligation will be paid within the next 9 months. Contract Manufacturing Organizations In September 2018, the Company entered into a technology transfer agreement and a manufacturing and supply agreement with a contract manufacturing organization ("CMO") to provide services related to the manufacture and commercialization of Qtrypta. During the term of the agreement, the CMO will provide services related to processing, packaging, labeling and storing Qtrypta, in addition to other services such as stability testing, quality control and assurance, and waste disposal. The agreements call for minimum annual fees of $2.0 million in 2020 escalating to $14.0 million in 2024, to be paid in equal monthly installments. Beginning in 2020, the annual fee includes the production of a defined number of units with an option to purchase additional units at a defined price. The agreement contains negotiated representations and warranties, indemnification, limitations of liability, and other provisions. The initial term of the agreement continues until the seventh anniversary of the date on which the Company receives New Drug Application approval of Qtrypta in the United States. The Company may terminate the agreements upon denial of regulatory approvals or if regulatory approvals are withdrawn under certain circumstances. The Company may also elect to terminate the contracts for convenience, which would result in cancellation fees in the amount of 50% of the annual fee due in the year that the contract is terminated, and costs to remove the Company's equipment and restore the CMO's facility to its original condition. The Company or the CMO may terminate the agreement for the other’s uncured material breach, uncured force majeure or bankruptcy or insolvency-related events. The Company has commitments with this CMO for the construction of manufacturing space and technology transfer fees totaling $7.8 million, of which $3.0 million was a current liability on the balance sheet as of June 30, 2020. On July 31, 2020, the Company entered into an amendment to a Business Understanding Agreement dated September 13, 2018 with a CMO (the "Amended Agreement"). Pursuant to the Amended Agreement, this CMO agreed to provide services related to the manufacture and assembly of a component (the “Product”) of Qtrypta. Under the Amended Agreement, the parties expressed their mutual intent to enter into a commercial supply agreement (“Supply Agreement”) addressing certain of the terms set forth in the Amended Agreement. The Amended Agreement provides that if the Company ceases to purchase the Product from this CMO and a Supply Agreement is not entered into, then the Company may be required to pay this CMO up to $2.5 million; however, no such payment will be required in the event of this CMO’s material breach. The Company may be required to pay an additional payment of up to $4.6 million if the Company ceases to purchase the Product from this CMO and a Supply Agreement is not entered into, except that no such payment will be required in the event of this CMO’s material breach or if the U.S. Food and Drug Administration does not approve Qtrypta. Indemnification and Guarantees In the normal course of business, the Company enters into contracts and agreements that contain a variety of representations and warranties and provide for general indemnifications. The Company’s exposure under these agreements is unknown because it involves claims that may be made against the Company in the future but have not yet been made. To date, the Company has not paid any claims or been required to defend any action related to its indemnification obligations. However, the Company may record charges in the future as a result of these indemnification obligations. The Company also has indemnification obligations to its officers and directors for specified events or occurrences, subject to some limits, while they are serving at the Company’s request in such capacities. There have been no claims to date and the Company has director and officer insurance that may enable the Company to recover a portion of any amounts paid for future potential claims. The Company believes the fair value of these indemnification agreements is minimal. Accordingly, the Company has not recorded any liabilities for these agreements as of June 30, 2020. Legal Proceedings

Common Stock Warrants

6 Months Ended

Jun. 30, 2020

Stockholders' Equity Note [Abstract]

Common Stock Warrants

The following table summarizes the Company’s common stock warrants issued and outstanding as of the periods presented:


	Warrants Outstanding as of December 31, 2019	Issued	Exercised	Expired	Warrants Outstanding as of June 30, 2020	Exercise Price		Expiration Date
		(unaudited)
Series E - March 2020	—	11,903,506	—	—	11,903,506	$	0.8025	03/06/25
Series D - February 2020	—	2,161,539	(2,161,539)	—	—
Series C - February 2020	—	14,153,846	(3,983,108)	—	10,170,738	$	0.65	02/14/25
Trinity - September 2018	75,000	—	—	—	75,000	$	3.5928	09/25/25
Series B - August 2016	195,906	—	—	—	195,906	$	31.00	08/19/21
Amendment to Hercules Term Loan - June 2015	2,035	—	—	(2,035)	—
Hercules Term Loan - June 2014	1,583	—	—	(1,583)	—
Total	274,524	28,218,891	(6,144,647)	(3,618)	22,345,150

The Company evaluated the Series E and Series C common stock warrants under ASC 480, Distinguishing Liabilities from Equity, and ASC 815, Derivatives and Hedging, and determined permanent equity treatment was appropriate for these freestanding financial instruments. The March 2020 Offering and the February 2020 Offering did not include any embedded features that would require bifurcation. Each Series E and Series C common stock warrant grants the holder the right to purchase one share of common stock, subject to proportional adjustments in the event of stock splits, combinations or similar events. The Series E and Series C common stock warrants do not have any dividend or liquidation preferences or participation rights. Subject to certain conditions, the warrants are exercisable on a cashless basis, and subject to certain beneficial ownership limitations, any unexercised Series E or Series C common stock warrants will be automatically exercised via cashless exercise on the expiration date pursuant to the terms of the respective warrant agreements.

Stock-Based Compensation

6 Months Ended

Jun. 30, 2020

Share-based Payment Arrangement [Abstract]

Stock-Based Compensation

During the second quarter of 2020, the Company granted RSUs to its employees and Board of Directors. Upon vesting, each RSU converts into one share of the Company’s common stock. The value of an RSU award is based on the Company’s stock price on the date of grant. The RSUs granted to employees vest annually over four years and are subject to the employee’s continuing service to the Company. The RSUs granted to members of the Board of Directors vest fully after one year and are subject to the director's continuing service to the Company. Stock-based compensation expense is recognized straight-line over the vesting term.

The following table summarizes activity under the Amended and Restated 2014 Equity and Incentive Plan ("2014 Plan"), the 2012 Stock Incentive Plan ("2012 Plan") and inducement grants issued to new employees outside of the 2014 Plan in accordance with Nasdaq Listing Rule 5635(c)(4) for the six months ended June 30, 2020 (unaudited):


	Number of Shares Subject to Outstanding Stock Options	Weighted-Average Exercise Price per Share		Number of RSUs outstanding	Weighted-Average grant date fair value
Outstanding at January 1, 2020	2,260,307	$	4.29	—	$	—
Granted	766,625	$	0.98	343,442	$	0.84
Canceled/forfeited/expired	(341,445)	$	3.70	—	$	—
Outstanding at June 30, 2020	2,685,487	$	3.42	343,442	$	0.84

On January 1, 2020, the shares of common stock authorized for issuance under the 2014 Plan were increased by 822,612 pursuant to the automatic annual increase provisions of the 2014 Plan. As of June 30, 2020, 15,014 shares of common stock were available for issuance under the 2014 Plan.

The following table summarizes the Company's stock compensation expense for each of the periods presented:


	Three Months Ended June 30,						Six Months Ended June 30,
	2020		2019		2020		2019
	(unaudited; in thousands)						(unaudited; in thousands)
Research and development	$	161	$	178	$	330	$	343
General and administrative	200		208		395		404
Total	$	361	$	386	$	725	$	747

Summary of Significant Accounting Policies (Policies)	6 Months Ended
Summary of Significant Accounting Policies (Policies)	Jun. 30, 2020
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying condensed financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) for interim financial information, the instructions to Form 10-Q and Regulation S-X. They do not include all the information and notes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal and recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and six months ended June 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020, or any other subsequent period. These financial statements should be read in conjunction with the Company’s audited financial statements for the year ended December 31, 2019, included in the Company’s annual report on Form 10-K and filed with the United States Securities and Exchange Commission (“SEC”) on March 13, 2020.
Use of Estimates	Use of EstimatesThe preparation of the accompanying condensed financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the condensed financial statements, and the reported amounts of expenses during the periods reported.
Liquidity and Substantial Doubt in Going Concern	Liquidity and Substantial Doubt in Going Concern Since inception, the Company has incurred recurring operating losses and negative cash flows from operating activities, and as of June 30, 2020, had an accumulated deficit of $315.4 million. As of June 30, 2020, the Company had approximately $10.5 million in cash and cash equivalents. Presently, the Company does not have sufficient cash and cash equivalents to enable it to fund its anticipated level of operations and meet its obligations as they become due within twelve months following the date of issuance of this Quarterly Report on Form 10-Q. The aforementioned factors raise substantial doubt about the Company’s ability to continue as a going concern for a period of one year from the issuance of these financial statements. The financial statements do not include any adjustments that might result from the outcome of this uncertainty. The Company filed a shelf registration statement on Form S-3 with the SEC, which was declared effective by the SEC on April 16, 2020. This shelf registration statement provides the Company with the ability to issue common stock and other securities as described in the registration statement from time to time up to an aggregate amount of $74.5 million. On June 8, 2020, the Company entered into a sales agreement with BTIG, LLC, as sales agent (“BTIG”), to establish an at-the-market ("ATM") offering program, under which the Company is permitted to offer and sell, from time to time, shares of common stock having a maximum aggregate offering price of up to $20.0 million. The Company is required to pay BTIG a commission of 3% of the gross proceeds from the sale of shares and also agreed to provide BTIG with customary indemnification rights. During the quarter ended June 30, 2020, the Company issued and sold 1,550,231 shares of its common stock at an average price of $0.91 per share under the ATM program. The aggregate net proceeds were approximately $1.2 million after BTIG's commission of $42,000 and estimated offering expenses. During the period from July 1, 2020 through August 5, 2020, the Company issued and sold 9,266,951 shares of its common stock at an average price of $0.91 per share under the ATM program. The aggregate net proceeds were approximately $8.2 million after BTIG's commission of $253,000. The shares were sold pursuant to the Company’s effective shelf registration statement, the base prospectus filed as part of such registration statement and the prospectus supplement dated June 8, 2020. On May 27, 2020, the Company entered into the First Amendment to Lease Documents (the “Trinity Amendment”) with Trinity Funding 1, LLC (“Trinity”), which, among other things, extends the term of each lease schedule from a 36-month term to a 42-month term by providing for an interest-only period from May 2020 through October 2020, with principal payments recommencing November 1, 2020. Additionally, the Trinity Amendment removed all end-of-term options other than the option to purchase the equipment at 12% of equipment cost at the end of each 42-month-term. On April 21, 2020, the Company executed a promissory note (the “PPP Note”) evidencing an unsecured loan in the amount of $1.6 million under the Paycheck Protection Program (the “PPP Loan”). The Paycheck Protection Program (“PPP”) was established under the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”) and is administered by the U.S. Small Business Administration (“SBA”). Under the terms of the CARES Act, PPP loan recipients can apply for and be granted forgiveness for all or a portion of loans granted under the PPP. Such forgiveness will be determined, subject to limitations, based on the use of loan proceeds for eligible purposes, including payroll, benefits, rent and utilities, and the maintenance of its payroll levels. No assurance is provided that the Company will obtain forgiveness of the PPP Loan in whole or in part. On March 4, 2020, the Company entered into a securities purchase agreement with certain institutional investors for the issuance and sale in a registered direct offering (the "March 2020 Offering") of (i) 11,903,506 shares of the Company's common stock and (ii) Series E Warrants to purchase up to a total of 11,903,506 shares of common stock at an offering price of $0.9275 per share and accompanying warrant. The Series E Warrants have an exercise price of $0.8025 per share, are immediately exercisable and will expire five years from the date of issuance. The aggregate net proceeds from the offering were approximately $10.2 million, after deducting the placement agent fees and other offering expenses. During the period from July 1, 2020 through August 5, 2020, Series E Warrants to purchase 350,000 shares of common stock have been exercised at an exercise price of $0.8025 per share for aggregate proceeds of approximately $281,000. On February 14, 2020, the Company closed an underwritten offering (the "February 2020 Offering") for the issuance and sale of (i) 10,146,154 Class A Units, each consisting of one share of common stock and one Series C Warrant to purchase one share of common stock, at a public offering price of $0.65 per Class A Unit, and (ii) 2,161,539 Class B Units, each consisting of one Series D Pre-Funded Warrant to purchase one share of common stock and one Series C Warrant to purchase one share of common stock, at a public offering price of $0.6499 per Class B Unit. The Series C Warrants have an exercise price of $0.65 per share, are immediately exercisable and will expire five years from the date of issuance. The Series D Pre-Funded Warrants had an exercise price of $0.0001 per share and were fully exercised in connection with the closing of the offering. The Company granted the underwriter a 30-day option to purchase up to an additional 1,846,153 shares of common stock and/or additional Series C Warrants to purchase up to 1,846,153 shares of common stock. The underwriter fully exercised its option to purchase the shares and the Series C Warrants. The aggregate net proceeds from the offering were $8.3 million after deducting underwriting commissions and other offering expenses. As of June 30, 2020, 3,983,108 shares of common stock have been issued pursuant to the exercise of the Series C Warrants at an exercise price of $0.65 per share for aggregate proceeds of $2.6 million. During the period from July 1, 2020 through August 5, 2020, Series C Warrants to purchase 5,571,154 shares of common stock have been exercised at an exercise price of $0.65 per share for aggregate proceeds of approximately $3.6 million. The Company plans to raise additional funding through equity or debt financings, licensing or collaboration agreements, or strategic alliances with pharmaceutical partners, or any combination of the above. However, there are no assurances that additional funding will be obtained and that the Company will succeed in its future operations. The Company’s inability to obtain required funding in the near future or its inability to obtain funding on favorable terms will have a material adverse effect on its operations and strategic development plan for future growth. If the Company cannot successfully raise additional capital and implement its strategic development plan, its liquidity, financial condition and business prospects will be materially and adversely affected, and it may have to cease operations. The Company will continue to evaluate its timelines, strategic needs, and working capital requirements. There can be no assurance that if the Company attempts to raise additional capital, it will be successful in doing so on terms acceptable to the Company, or at all. Further, there can be no assurance that it will be able to gain access and/or be able to execute on securing new sources of funding, new development opportunities, successfully obtain regulatory approvals for and commercialize new products, achieve significant product revenues from its products (if approved), or achieve or sustain profitability in the future.
Cash, Cash Equivalents, and Restricted Cash	Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments with an original maturity of 90 days or less to be cash equivalents.
Marketable Securities	Marketable Securities Marketable securities generally consist of debt securities with original maturities greater than 90 days and remaining maturities of less than one year. Marketable securities with an original maturity greater than one year, if any, would be considered long-term investments. All of the Company's investments are classified as available-for-sale and carried at fair value based upon quoted market price. The change in unrealized gains and losses related to fixed maturity debt securities is reported as a separate component of comprehensive loss in the statements of operations and comprehensive loss and as a separate component of stockholders' equity on the balance sheets. Interest income includes interest, dividends, amortization and accretion of purchase premiums and discounts and realized gains and losses on sales of securities, if any. The cost of securities sold is based on the specific-identification method. The Company monitors its investment portfolio for potential impairment on a quarterly basis. If the carrying amount of an investment in available-for-sale debt securities exceeds its fair value and the decline in value is determined to be other-than-temporary, an allowance is recorded in the amount that the carrying amount of the security exceeds its fair value and a loss is recognized in operating results for the amount of such decline. If the carrying amount of an investment in marketable securities, other than available-for-sale debt securities, exceeds its fair value and the decline in value is determined to be other-than-temporary, the carrying amount of the security is reduced to fair value and a loss is recognized in operating results for the amount of such decline. In order to determine whether a decline in value is other-than-temporary, the Company evaluates, among other factors, the cause of the impairment, including the creditworthiness of the security issuers, the number of securities in an unrealized loss position, the severity and duration of the unrealized losses, and its intent and ability to hold the security to maturity or expected recovery.
Fair Value Instruments	Fair Value Instruments The Company records its financial assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the reporting date. The accounting guidance establishes a three-tiered hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value as follows: •Level 1: Inputs which include quoted prices in active markets for identical assets and liabilities. •Level 2: Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. •Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The carrying values of certain assets and liabilities of the Company, such as cash and cash equivalents and accounts payable approximate fair value due to their relatively short maturities. The carrying value of the Company’s short-term financial obligations approximates their fair value as the terms of the borrowing are consistent with current market rates and the duration to maturity is short. The carrying value of the Company's long-term financial obligations approximates fair value because interest rates approximate market rates that the Company could obtain for debt with similar terms and maturities.
Net Loss Per Common Share	Net Loss Per Common Share Basic net loss per common share is calculated by dividing the net loss by the weighted-average number of common shares outstanding during the period, without consideration for potentially dilutive securities. Diluted net loss per common share is computed by dividing the net loss attributable to common stockholders by the weighted-average number of common shares and potentially dilutive securities outstanding for the period determined using the treasury-stock and if-converted methods. For purposes of the diluted net loss per share calculation, common stock warrants, stock options and restricted stock units ("RSUs") are considered to be potential dilutive securities but are excluded from the calculation of diluted net loss per share because their effect would be anti-dilutive and therefore, basic and diluted net loss per share were the same for all periods presented.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Recently Adopted Accounting Pronouncements The Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2019-05, Financial Instruments - Credit Losses, Targeted Transition Relief in May 2019, ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments — Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments in April 2019, and ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments - Credit Losses in November 2018. This new guidance is intended to present credit losses on available-for-sale debt securities as an allowance rather than as a write-down. Entities are required to apply the standards' provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. The Company adopted ASU 2019-05, ASU 2019-04 and ASU 2018-19 effective January 1, 2020. The adoption of this guidance did not have an impact on the Company's financial statements. In August 2018, the FASB issued ASU 2018-15, Intangible - Goodwill and Other - Internal-Use Software (Subtopic 350-40), which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The Company adopted ASU 2018-15, Subtopic 350-40 effective January 1, 2020 on a prospective basis. The adoption of this guidance did not have a material impact on the Company's financial statements. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820). The new guidance modifies the disclosure requirements on fair value measurements. The Company adopted Topic 820 effective January 1, 2020 on a modified retrospective basis. The adoption of this guidance did not have a material impact on the Company's financial statement disclosures. Recent Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. This new guidance simplifies the accounting for income taxes by removing certain exceptions to general principles, clarifying requirements and including amendments to improve consistent application of the guidance. The guidance specifically removes the exception to the incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items, such as discontinued operations or other comprehensive income. The guidance also requires an entity to recognize a franchise tax that is partially based on income as an income-based tax and to account for any other amounts incurred as a non-income based tax. The guidance is effective for the Company beginning January 1, 2021 using a prospective approach. Early adoption is permitted. The Company is evaluating the effect of implementation on its financial statements and disclosures.

Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2020

Accounting Policies [Abstract]

Schedule of Cash and Cash Equivalents


	June 30, 2020		June 30, 2019
	(unaudited; in thousands)
Cash and cash equivalents	$	10,547	$	14,252
Restricted cash	455		455
Total	$	11,002	$	14,707

Schedule of Restricted Cash


	June 30, 2020		June 30, 2019
	(unaudited; in thousands)
Cash and cash equivalents	$	10,547	$	14,252
Restricted cash	455		455
Total	$	11,002	$	14,707

Schedule of Outstanding Common Stock Equivalents Excluded From Computations of Diluted Net Loss per Common Share


	June 30, 2020	June 30, 2019
	(unaudited)
Warrants to purchase common stock	22,345,150	274,524
Options to purchase common stock	2,685,487	1,765,742
Restricted Stock Units	343,442	—
Total	25,374,079	2,040,266

Cash Equivalents and Investments in Marketable Securities (Tables)

6 Months Ended

Jun. 30, 2020

Cash, Cash Equivalents, and Short-term Investments [Abstract]

Summary of Cash Equivalents and Marketable Securities

The following table summarizes the Company's cash equivalents and investments in marketable securities measured at fair value on a recurring basis as of June 30, 2020:


			Fair Value Measurements
	Total		Quoted prices in active market Level 1		Significant other observable inputs Level 2		Significant unobservable inputs Level 3
	(unaudited; in thousands)
Money market funds classified as cash equivalents	$	7,915	$	7,915	$	—	$	—

Balance Sheet Components (Tables)

6 Months Ended

Jun. 30, 2020

Balance Sheet Related Disclosures [Abstract]

Schedule of Prepaid Expenses and Other Current Assets

The following table summarizes the Company’s prepaid expenses and other current assets for each of the periods presented:


	June 30, 2020		December 31, 2019
	(unaudited; in thousands)		(in thousands)
Prepaid insurance	$	275	$