Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2021 | Aug. 09, 2021 | |
Cover [Abstract] | ||
Entity Registrant Name | XENON PHARMACEUTICALS INC. | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --12-31 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 41,124,184 | |
Entity Central Index Key | 0001582313 | |
Entity Filer Category | Non-accelerated Filer | |
Document Period End Date | Jun. 30, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Small Business | true | |
Entity Shell Company | false | |
Entity Emerging Growth Company | false | |
Entity File Number | 001-36687 | |
Entity Tax Identification Number | 98-0661854 | |
Entity Address, Address Line One | 200-3650 Gilmore Way | |
Entity Address, City or Town | Burnaby | |
Entity Address, State or Province | BC | |
Entity Address, Country | CA | |
Entity Address, Postal Zip Code | V5G 4W8 | |
City Area Code | 604 | |
Local Phone Number | 484-3300 | |
Title of 12(b) Security | Common Shares, without par value | |
Trading Symbol | XENE | |
Security Exchange Name | NASDAQ | |
Entity Incorporation, State or Country Code | Z4 | |
Document Quarterly Report | true | |
Document Transition Report | false |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 82,930 | $ 45,009 |
Marketable securities | 177,593 | 131,988 |
Accounts receivable | 2,919 | 1,822 |
Prepaid expenses and other current assets | 3,313 | 2,964 |
Total current assets | 266,755 | 181,783 |
Operating lease right-of-use asset, net (note 6) | 3,086 | 3,326 |
Property, plant and equipment, net | 4,326 | 3,554 |
Deferred tax assets (note 11) | 544 | 523 |
Total assets | 274,711 | 189,186 |
Current liabilities: | ||
Accounts payable and accrued expenses (note 7) | 11,198 | 10,874 |
Deferred revenue (note 10) | 3,025 | 3,642 |
Operating lease liability (note 6) | 759 | 265 |
Total current liabilities | 14,982 | 14,781 |
Operating lease liability, long-term (note 6) | 2,746 | 3,050 |
Total liabilities | 17,728 | 17,831 |
Shareholders’ equity: | ||
Preferred shares, without par value; unlimited shares authorized; issued and outstanding: 1,016,000 (December 31, 2020 - 1,016,000) (note 9) | 7,732 | 7,732 |
Common shares, without par value; unlimited shares authorized; issued and outstanding: 41,117,568 (December 31, 2020 - 35,012,125) (note 9) | 499,351 | 397,748 |
Additional paid-in capital | 67,255 | 45,357 |
Accumulated deficit | (316,365) | (278,492) |
Accumulated other comprehensive loss | (990) | (990) |
Shareholders' equity | 256,983 | 171,355 |
Total liabilities and shareholders’ equity | 274,711 | 189,186 |
Commitments and contingencies (note 12) |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Statement Of Financial Position [Abstract] | ||
Preferred shares, without par value | ||
Preferred shares, shares authorized | Unlimited | Unlimited |
Preferred shares, issued | 1,016,000 | 1,016,000 |
Preferred shares, outstanding | 1,016,000 | 1,016,000 |
Common shares, without par value | ||
Common shares, shares authorized | Unlimited | Unlimited |
Common shares, Issued | 41,117,568 | 35,012,125 |
Common shares, Outstanding | 41,117,568 | 35,012,125 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Income Statement [Abstract] | ||||
Revenue (note 10) | $ 2,218 | $ 13,384 | $ 6,576 | $ 20,462 |
Operating expenses: | ||||
Research and development | 18,377 | 10,720 | 34,685 | 22,511 |
General and administrative | 6,339 | 3,310 | 10,448 | 6,630 |
Total operating expenses | 24,716 | 14,030 | 45,133 | 29,141 |
Loss from operations | (22,498) | (646) | (38,557) | (8,679) |
Other income (expense): | ||||
Interest income | 55 | 912 | 127 | 2,028 |
Interest expense | (154) | (484) | ||
Foreign exchange gain | 117 | 662 | 272 | 424 |
Loss on repayment of term loan (note 8) | (988) | (988) | ||
Loss before income taxes | (22,326) | (214) | (38,158) | (7,699) |
Income tax recovery (note 11) | 217 | 39 | 285 | 40 |
Net loss and comprehensive loss | (22,109) | (175) | (37,873) | (7,659) |
Net loss attributable to preferred shareholders | (521) | (5) | (951) | (222) |
Net loss attributable to common shareholders | $ (21,588) | $ (170) | $ (36,922) | $ (7,437) |
Net loss per common share (note 4): | ||||
Basic and diluted | $ (0.51) | $ 0 | $ (0.94) | $ (0.22) |
Weighted-average common shares outstanding (note 4): | ||||
Basic and diluted | 43,106,207 | 34,979,282 | 40,473,413 | 34,084,508 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Convertible Preferred Shares [Member] | Common Shares [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Loss [Member] | [1] | ||
Balance at Dec. 31, 2019 | $ 91,977 | $ 7,732 | $ 294,244 | $ 40,646 | $ (249,655) | $ (990) | |||
Balance (in Shares) at Dec. 31, 2019 | 1,016,000 | 28,139,228 | |||||||
Net loss | (7,484) | (7,484) | |||||||
Issuance of common shares, net of issuance costs (note 9a) | 102,456 | $ 102,456 | |||||||
Issuance of common shares, net of issuance costs (note 9a) (in shares) | 6,759,187 | ||||||||
Stock-based compensation expense | 1,015 | 1,015 | |||||||
Issued pursuant to exercise of stock options | 14 | $ 607 | (593) | ||||||
Issued pursuant to exercise of of stock options (in Shares) | 57,857 | ||||||||
Balance at Mar. 31, 2020 | 187,978 | $ 7,732 | $ 397,307 | 41,068 | (257,139) | (990) | |||
Balance (in Shares) at Mar. 31, 2020 | 1,016,000 | 34,956,272 | |||||||
Balance at Dec. 31, 2019 | 91,977 | $ 7,732 | $ 294,244 | 40,646 | (249,655) | (990) | |||
Balance (in Shares) at Dec. 31, 2019 | 1,016,000 | 28,139,228 | |||||||
Net loss | $ (7,659) | ||||||||
Issued pursuant to exercise of of stock options (in Shares) | [2] | 153,042 | |||||||
Balance at Jun. 30, 2020 | $ 189,298 | $ 7,732 | $ 397,652 | 42,218 | (257,314) | (990) | |||
Balance (in Shares) at Jun. 30, 2020 | 1,016,000 | 34,994,790 | |||||||
Balance at Mar. 31, 2020 | 187,978 | $ 7,732 | $ 397,307 | 41,068 | (257,139) | (990) | |||
Balance (in Shares) at Mar. 31, 2020 | 1,016,000 | 34,956,272 | |||||||
Net loss | (175) | (175) | |||||||
Stock-based compensation expense | 1,472 | 1,472 | |||||||
Issued pursuant to exercise of stock options | $ 23 | $ 345 | (322) | ||||||
Issued pursuant to exercise of of stock options (in Shares) | 54,716 | [2] | 38,518 | ||||||
Balance at Jun. 30, 2020 | $ 189,298 | $ 7,732 | $ 397,652 | 42,218 | (257,314) | (990) | |||
Balance (in Shares) at Jun. 30, 2020 | 1,016,000 | 34,994,790 | |||||||
Balance at Dec. 31, 2020 | 171,355 | $ 7,732 | $ 397,748 | 45,357 | (278,492) | (990) | |||
Balance (in Shares) at Dec. 31, 2020 | 1,016,000 | 35,012,125 | |||||||
Net loss | (15,764) | (15,764) | |||||||
Issuance of common shares, net of issuance costs (note 9a) | $ 99,846 | ||||||||
Issuance of common shares, net of issuance costs (note 9a) (in shares) | 5,868,135 | ||||||||
Issuance of common shares and pre-funded warrants, net of issuance costs (note 9a and note 9c) | 118,615 | ||||||||
Issuance of common shares and pre-funded warrant, net of issuance costs (note 9a and note 9c) | 18,769 | ||||||||
Stock-based compensation expense | 1,965 | 1,965 | |||||||
Issued pursuant to exercise of stock options | 106 | $ 740 | (634) | ||||||
Issued pursuant to exercise of of stock options (in Shares) | 82,455 | ||||||||
Balance at Mar. 31, 2021 | 276,277 | $ 7,732 | $ 498,334 | 65,457 | (294,256) | (990) | |||
Balance (in Shares) at Mar. 31, 2021 | 1,016,000 | 40,962,715 | |||||||
Balance at Dec. 31, 2020 | 171,355 | $ 7,732 | $ 397,748 | 45,357 | (278,492) | (990) | |||
Balance (in Shares) at Dec. 31, 2020 | 1,016,000 | 35,012,125 | |||||||
Net loss | $ (37,873) | ||||||||
Issued pursuant to exercise of of stock options (in Shares) | [2] | 344,734 | |||||||
Balance at Jun. 30, 2021 | $ 256,983 | $ 7,732 | $ 499,351 | 67,255 | (316,365) | (990) | |||
Balance (in Shares) at Jun. 30, 2021 | 1,016,000 | 41,117,568 | |||||||
Balance at Mar. 31, 2021 | 276,277 | $ 7,732 | $ 498,334 | 65,457 | (294,256) | (990) | |||
Balance (in Shares) at Mar. 31, 2021 | 1,016,000 | 40,962,715 | |||||||
Net loss | (22,109) | (22,109) | |||||||
Stock-based compensation expense | 2,704 | 2,704 | |||||||
Issued pursuant to exercise of stock options | $ 111 | $ 1,017 | (906) | ||||||
Issued pursuant to exercise of of stock options (in Shares) | 222,331 | [2] | 154,853 | ||||||
Balance at Jun. 30, 2021 | $ 256,983 | $ 7,732 | $ 499,351 | $ 67,255 | $ (316,365) | $ (990) | |||
Balance (in Shares) at Jun. 30, 2021 | 1,016,000 | 41,117,568 | |||||||
[1] | The accumulated other comprehensive loss is entirely related to historical cumulative translation adjustments from the application of U.S. dollar reporting when the functional currency of the Company was the Canadian dollar. | ||||||||
[2] | During the six months ended June 30, 2021, 58,179 (six months ended June 30, 2020 – 10,715) stock options were exercised for the same number of common shares in exchange for cash. In the same period, the Company issued 179,129 (six months ended June 30, 2020 – 85,660) common shares for the cashless exercise of 286,555 (six months ended June 30, 2020 – 142,327) stock options. |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Operating activities: | ||
Net loss | $ (37,873) | $ (7,659) |
Items not involving cash: | ||
Depreciation | 427 | 271 |
Amortization of discount on term loan | 216 | |
Deferred income tax recovery | (21) | (52) |
Stock-based compensation | 4,669 | 2,487 |
Unrealized foreign exchange loss | 11 | 23 |
Unrealized loss (gain) on marketable securities | 92 | (532) |
Loss on repayment of term loan (note 8) | 988 | |
Changes in operating assets and liabilities: | ||
Accounts receivable | (608) | (1,009) |
Prepaid expenses and other current assets | (349) | 225 |
Accounts payable and accrued expenses | 484 | (1,054) |
Deferred revenue | (617) | (17,760) |
Net cash used in operating activities | (33,785) | (23,856) |
Investing activities: | ||
Purchases of property, plant and equipment | (1,313) | (1,016) |
Purchases of marketable securities | (122,279) | (146,773) |
Proceeds from marketable securities | 76,680 | 105,798 |
Net cash used in investing activities | (46,912) | (41,991) |
Financing activities: | ||
Repayment of term loan and repayment fees (note 8) | (16,743) | |
Proceeds from issuance of common shares and pre-funded warrants, net of issuance costs (note 9a) | 118,615 | 102,456 |
Issuance of common shares pursuant to exercise of stock options | 217 | 37 |
Net cash provided by financing activities | 118,832 | 85,750 |
Effect of exchange rate changes on cash and cash equivalents | (214) | (459) |
Increase in cash and cash equivalents | 37,921 | 19,444 |
Cash and cash equivalents, beginning of period | 45,009 | 24,755 |
Cash and cash equivalents, end of period | 82,930 | 44,199 |
Supplemental disclosures: | ||
Interest paid | 339 | |
Interest received | 1,537 | 2,191 |
Cash paid for operating lease | 412 | 311 |
Supplemental disclosures of non-cash transactions: | ||
Fair value of stock options exercised on a cashless basis | 1,324 | $ 876 |
Increase in operating lease liability and accounts receivable related to lease incentives claimed in the period | $ 493 |
Nature of the Business
Nature of the Business | 6 Months Ended |
Jun. 30, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Nature of the Business | 1. Nature of the business: Xenon Pharmaceuticals Inc. (the “Company”), incorporated in 1996 under the predecessor to the Business Corporations Act (British Columbia) and continued federally in 2000 under the Canada Business Corporations Act, is a clinical stage biopharmaceutical company focused on developing innovative therapeutics to improve the lives of patients with neurological disorders, with a focus on epilepsy. The Company has incurred significant operating losses since inception. As of June 30, 2021, the Company had an accumulated deficit of $316,365 and a $37,873 net loss for the six months ended June 30, 2021. Management expects to continue to incur significant expenses in excess of revenue and to incur operating losses for the foreseeable future. To date, the Company has financed its operations primarily through funding received from collaboration and license agreements, private placements of common and preferred shares, public offerings of common shares and pre-funded warrants and debt financings. Until such time as the Company can generate substantial product revenue, if ever, management expects to finance the Company’s cash needs through a combination of collaboration agreements, equity and debt financings. The continuation of research and development activities and the future commercialization of its products are dependent on the Company’s ability to successfully raise additional funds when needed. It is not possible to predict either the outcome of future research and development programs or the Company’s ability to continue to fund these programs in the future. |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | 2. Basis of presentation: These consolidated financial statements are presented in U.S. dollars. The Company has one wholly-owned subsidiary as of June 30, 2021 Xenon Pharmaceuticals USA Inc., which was incorporated in Delaware on December 2, 2016. These unaudited interim consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary. All intercompany transactions and balances have been eliminated on consolidation. The accompanying unaudited interim consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”) for interim financial information. Accordingly, these consolidated financial statements do not include all of the information and footnotes required for complete consolidated financial statements and should be read in conjunction with the audited consolidated financial statements and notes for the year ended December 31, 2020 and included in the Company’s 2020 Annual Report on Form 10-K filed with the SEC and with the securities commissions in British Columbia, Alberta and Ontario on March 1, 2021. These unaudited interim consolidated financial statements reflect all adjustments, consisting of normal recurring adjustments, which, in the opinion of management, are necessary for a fair presentation of results for the interim periods presented. The results of operations for the three and six months ended June 30, 2021 and 2020 are not necessarily indicative of results that can be expected for a full year. These unaudited interim consolidated financial statements follow the same significant accounting policies as those described in the notes to the audited consolidated financial statements of the Company included in the Company’s 2020 Annual Report on Form 10-K for the year ended December 31, 2020, with the exception of the policy described in note 3 below. |
Changes in Significant Accounti
Changes in Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Changes And Error Corrections [Abstract] | |
Changes in Significant Accounting Policies | 3 . Changes in significant accounting policies: In December 2019, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. These amendments simplify accounting for income taxes, change the accounting for certain income tax transactions and make certain improvements to the codification. The Company has adopted this standard as of January 1, 2021 on a prospective basis. |
Net Income (Loss) Per Common Sh
Net Income (Loss) Per Common Share | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) Per Common Share | 4 . Net income (loss) per common share: Basic net income (loss) per common share is calculated using the two-class method required for participating securities which includes 1,016,000 The weighted average number of common shares used in the basic and diluted net income (loss) per common share calculations for the three and six months ended June 30, 2021 include the pre-funded warrants issued in connection with the Company’s March 2021 underwritten public offering (note 9c) as the pre-funded warrants are exercisable at any time for nominal cash consideration. The treasury stock method is used to compute the dilutive effect of the Company’s stock options and warrants. Under this method, the incremental number of common shares used in computing diluted net income (loss) per common share is the difference between the number of common shares assumed issued and purchased using assumed proceeds. The if-converted method is used to compute the dilutive effect of the Company’s convertible preferred shares. Under the if-converted method, dividends on the preferred shares, if applicable, are added back to earnings attributable to common shareholders, and the preferred shares and paid-in kind dividends are assumed to have been converted at the share price applicable at the end of the period. The if-converted method is applied only if the effect is dilutive. For the three and six months ended June 30, 2021 and 2020, all stock options, warrants and convertible preferred shares were anti-dilutive and were excluded from the diluted weighted average common shares outstanding for the period. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | 5 . Fair value of financial instruments: Certain financial instruments and other items are measured at fair value. To determine the fair value, the Company uses the fair value hierarchy for inputs used to measure fair value of financial assets and liabilities. This hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three levels: Level 1 (highest priority), Level 2, and Level 3 (lowest priority). • Level 1 - Unadjusted quoted prices in active markets for identical instruments. • Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (i.e., interest rates, yield curves, etc.), and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs). • Level 3 - Inputs are unobservable and reflect the Company’s assumptions as to what market participants would use in pricing the asset or liability. The Company develops these inputs based on the best information available. Assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurements. Changes in the observability of valuation inputs may result in a reclassification of levels for certain securities within the fair value hierarchy. The Company’s Level 1 assets include cash and cash equivalents and marketable securities with quoted prices in active markets. The carrying amount of accounts receivables, accounts payable and accrued expenses approximates fair value due to the nature and short-term of those instruments. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Leases | 6 . Leases: The Company has one operating lease for research laboratories and office space in Burnaby, British Columbia. In October 2020, the Company entered into a lease amendment for a 21–month committed term from October 1, 2020 to June 30, 2022 and a renewal option for a portion of the facility for a 5-year term that was reasonably certain of exercise was included in the determination of the right-of-use asset and lease liability. The cost components of the operating lease were as follows for the three and six months ended June 30, 2021 and 2020: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Lease Cost Operating lease expense $ 140 $ 151 $ 279 $ 260 Variable lease expense (1) 190 132 374 267 Lease Term and Discount Rate Remaining lease term (years) 6.00 1.75 6.00 1.75 Discount rate 2.45 % 3.75 % 2.45 % 3.75 % (1) Future minimum lease payments as of June 30, 2021 were as follows: Year ending December 31: 2021 $ 416 2022 713 2023 584 2024 584 2025 and thereafter 1,460 Total future minimum lease payments $ 3,757 Less: imputed interest (252 ) Present value of lease liabilities $ 3,505 |
Accounts Payable and Accrued Ex
Accounts Payable and Accrued Expenses | 6 Months Ended |
Jun. 30, 2021 | |
Payables And Accruals [Abstract] | |
Accounts Payable and Accrued Expenses | 7 . Accounts payable and accrued expenses: Accounts payable and accrued expenses consisted of the following: June 30, December 31, 2021 2020 Trade payables $ 3,278 $ 3,041 Employee compensation, benefits, and related accruals 2,459 2,859 Consulting and contracted research 5,025 4,738 Professional fees 362 167 Other 74 69 Total $ 11,198 $ 10,874 |
Term Loan
Term Loan | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Term Loan | 8 . Term loan: In August 2018, the Company entered into an Amended and Restated Loan and Security Agreement (the “Amended and Restated Loan Agreement”) with Silicon Valley Bank (the “Bank”), pursuant to which the Bank agreed to extend a term loan to the Company with a principal amount of $15,500 In May 2020, the Company repaid the total outstanding term loan balance ahead of the maturity date. The repayment consisted of (i) the outstanding principal balance, (ii) a final payment fee of $1,008 , $225. |
Share Capital
Share Capital | 6 Months Ended |
Jun. 30, 2021 | |
Stockholders Equity Note [Abstract] | |
Share Capital | 9 . Share capital: (a) Financing: In November 2019, the Company entered into an at-the-market equity offering sales agreement with Jefferies LLC (“Jefferies”) and Stifel, Nicolaus & Company, Incorporated (“Stifel”) to sell common shares of the Company having aggregate gross proceeds of up to $50,000 from time to time, through an “at-the-market” equity offering program under which Jefferies and Stifel would act as sales agents. As of December 31, 2019, the Company had sold , net of commissions paid and transaction expenses. In January 2020, the Company sold an additional , net of commissions and transaction expenses. In January 2020, the Company entered into an underwriting agreement with Jefferies, Stifel and Guggenheim Securities, LLC, relating to an underwritten public offering of 3,750,000 common shares sold by the Company at a public offering price of $16.00 per common share, and granted the underwriters an option for a period of 30 days to purchase up to an additional 562,500 common shares. The public offering was completed in January 2020, and the Company received proceeds of $56,265, net of underwriting discounts, commissions and offering expenses. The underwriters exercised their option in full in February 2020 and the Company received additional proceeds of $8,395, net of underwriting discounts, commissions and offering expenses. In August 2020, the Company entered into an at-the-market equity offering sales agreement with Jefferies and Stifel to sell common shares of the Company having aggregate gross proceeds of up to $100,000, from time to time, through an “at-the-market” equity offering program under which Jefferies and Stifel would act as sales agents. As of June 30, 2021, 733,000 common shares have been sold under the sales agreement for proceeds of approximately $10,693, net of commissions and transaction expenses. In March 2021, The public offering was completed in March 2021, and the Company received proceeds of $107,922, net of underwriting discounts, commissions and offering expenses. (b) Exchange agreement with certain funds affiliated with BVF Partners L.P. (collectively, “BVF”): In March 2018, the Company and BVF entered into an exchange agreement pursuant to which the Company issued to BVF 2,868,000 Series 1 Preferred Shares in exchange for 2,868,000 common shares which were subsequently cancelled by the Company. The Company filed articles of amendment creating an unlimited number of Series 1 Preferred Shares. The Series 1 Preferred Shares are convertible into common shares on a one-for-one basis subject to the holder, together with its affiliates, beneficially owning no more than 9.99% of the total number of common shares issued and outstanding immediately after giving effect to such conversion (the “Beneficial Ownership Limitation”). The holder may reset the Beneficial Ownership Limitation to a higher or lower number, not to exceed 19.99% of the total number of common shares issued and outstanding immediately after giving effect to such conversion, upon providing written notice to the Company which will be effective 61 days after delivery of such notice. Each Series 1 Preferred Share is also convertible into one common share at any time at the Company’s option without payment of additional consideration, provided that prior to any such conversion, the holder, together with its affiliates, beneficially owns less than 5.00% of the total number of common shares issued and outstanding and such conversion will not result in the holder, together with its affiliates, beneficially holding more than 5.00% of the total number of common shares issued and outstanding immediately after giving effect to such conversion. In the event of a change of control, holders of Series 1 Preferred Shares shall be issued one common share for each outstanding Series 1 Preferred Share held immediately prior to the change of control (without regard to the Beneficial Ownership Limitation), and following such conversion, will be entitled to receive the same kind and amount of securities, cash or property that a holder of common shares is entitled to receive in connection with such change of control. The Series 1 Preferred Shares rank equally to the common shares in the event of liquidation, dissolution or winding up or other distribution of the assets of the Company among its shareholders and the holders of the Series 1 Preferred Shares are entitled to vote together with the common shares on an as-converted basis and as a single class, subject in the case of each holder of the Series 1 Preferred Shares to the Beneficial Ownership Limitation. Any Series 1 Preferred Shares that are ineligible to be converted into common shares due to the Beneficial Ownership Limitation, measured as of a given record date that applies for a shareholder meeting or ability to act by written consent, shall be deemed to be non-voting securities of the Company. Holders of Series 1 Preferred Shares are entitled to receive dividends (without regard to the Beneficial Ownership Limitation) on the same basis as the holders of common shares. The Company may not redeem the Series 1 Preferred Shares. The Company recorded the issuance of Series 1 Preferred Shares and corresponding cancellation of common shares at $7.61 per share, the estimated weighted average cost at which BVF acquired the common shares. The Series 1 Preferred Shares are recorded wholly as equity under ASC 480, with no bifurcation of conversion feature from the host contract, given that the Series 1 Preferred Shares cannot be cash settled and have no redemption features. During the year ended December 31, 2018, BVF converted 1,852,000 Series 1 Preferred Shares in exchange for an equal number of common shares of the Company. BVF was a related party of the Company prior to the closing of the exchange agreement, and continues to be a related party as of June 30, 2021. (c) Pre-Funded Warrants: In connection with an underwritten public offering completed in March 2021, the Company issued 1,081,081 Pre-Funded Warrants at a price of $18.4999 per Pre-Funded Warrant which grants the holder the right to purchase up to 1,081,081 common shares at an exercise price of $0.0001 per share. The Pre-Funded Warrants are exercisable at the holder’s discretion from the date of issuance until the date the Pre-Funded Warrant is exercised in full. The Company may not affect the exercise of any Pre-Funded Warrant, and a holder will not be entitled to exercise any portion of any Pre-Funded Warrant that, upon giving effect to such exercise, would cause: (i) the aggregate number of common shares beneficially owned by such holder, together with its affiliates, to exceed 4.99% of the total number of common shares outstanding immediately after giving effect to the exercise; or (ii) the combined voting power of the Company’s securities beneficially owned by such holder, together with its affiliates, to exceed 4.99% of the combined voting power of all of the Company’s securities immediately outstanding after giving effect to the exercise, which percentage may be changed at the holder’s election to a higher or lower percentage not in excess of 19.99% upon at least 61 days’ notice to the Company. Since the Pre-Funded Warrants meet the condition for equity classification, proceeds from issuance of the Pre-Funded Warrants of $18,769, net of underwriting discounts, commissions and offering expenses, are recorded in additional paid-in capital. Upon exercise of the Pre-Funded Warrants, the historical costs recorded in additional paid-in capital along with the exercise price collected from holder will be recorded in common shares. As of June 30, 2021, no Pre-Funded Warrants have been exercised. (d) Stock-based compensation: The following table presents stock option activity for the period: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Outstanding, beginning of period 5,742,608 4,527,992 4,758,997 3,534,236 Granted 382,500 127,300 1,494,450 1,245,650 Exercised (1) (222,331 ) (54,716 ) (344,734 ) (153,042 ) Forfeited, cancelled or expired (131,726 ) (5,144 ) (137,662 ) (31,412 ) Outstanding, end of period 5,771,051 4,595,432 5,771,051 4,595,432 Exercisable, end of period 2,842,948 2,114,647 2,842,948 2,114,647 (1) During the six months ended June 30, 2021, 58,179 (six months ended June 30, 2020 – 10,715) stock options were exercised for the same number of common shares in exchange for cash. In the same period, the Company issued 179,129 (six months ended June 30, 2020 – 85,660) common shares for the cashless exercise of 286,555 (six months ended June 30, 2020 – 142,327) stock options. The fair value of each stock option granted is estimated using the Black-Scholes option-pricing model with the following weighted-average assumptions: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Average risk-free interest rate 1.27 % 0.48 % 1.18 % 0.77 % Expected volatility 69 % 68 % 68 % 68 % Average expected term (in years) 7.09 6.86 6.67 6.75 Expected dividend yield 0 % 0 % 0 % 0 % Weighted average fair value of stock options $ 12.14 $ 8.27 $ 12.67 $ 7.50 |
Revenue
Revenue | 6 Months Ended |
Jun. 30, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Revenue | 10 . Revenue: Revenue was as follows for the three and six months ended June 30, 2021 and 2020 : Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Neurocrine Biosciences: Recognition of the transaction price $ 617 $ 11,916 $ 617 $ 17,760 Research and development services 1,601 1,468 2,959 2,702 Flexion: Milestone payments — — 3,000 — Total collaboration revenue $ 2,218 $ 13,384 $ 6,576 $ 20,462 (a) collaboration : In December 2019, the Company entered into a License and Collaboration Agreement . At execution of the agreement, Neurocrine Biosciences paid the Company an upfront cash payment of $30,000 and a $20,000 equity investment in the Company. The equity investment was measured at fair value of $16,667 on the date of issuance and the resulting premium $3,333, together with the upfront cash payment totaling $33,333, was the transaction price of the arrangement for allocation to the performance obligations. The agreement includes the following performance obligations: (i) an exclusive license to XEN901 with associated technology and know-how transfer, (ii) an exclusive license to the DTCs with associated know-how transfer, (iii) a license to Research Compounds and research services under the Research Program, (iv) development services under the Initial Development Program for XEN901, and (v) development services under the Initial Development Program for the DTCs. The total transaction price of $33,333 was allocated to performance obligation (v) based on its estimated standalone selling price determined based on internal development plans and budget, with the balance allocated to performance obligations (i) and (ii) by the residual approach. The Company allocated the transaction price as follows: $28,807 to performance obligations (i) and (ii), completed as of December 2020 The arrangement consideration related to the services under performance obligations (iii) and (iv) to be performed on behalf of Neurocrine Biosciences were excluded from the initial transaction price allocation because the consideration and performance are contingent upon Neurocrine Biosciences requesting performance of the services and these services are priced at an estimated fair value. None of the at-risk substantive performance milestones, including development, regulatory and sales-based milestones, were included in the transaction price, as all milestone amounts are outside the control of the Company and contingent upon Neurocrine Biosciences’s efforts and success in future clinical trials. The Company will re-evaluate the transaction price in each reporting period and as uncertain events are resolved or other changes in circumstances occur. During The Company has an option to co-fund 50% of the development costs of XEN901 or another product candidate in the U.S., exercisable upon achievement of certain milestones, in exchange for increased U.S. royalties. The Company has not exercised this option as of June 30, 2021. (b) In September 2019, the Company entered into an agreement with Flexion Therapeutics Inc. (“Flexion”) pursuant to which Flexion acquired all rights with respect to XEN402, and a related compound (collectively “XEN402”), including certain regulatory documentation, intellectual property rights, reports, data and all quantities of XEN402, now known as FX301, owned or controlled by the Company. During the six months ended June 30, 2021, the U.S. Food and Drug Administration cleared the first investigational new drug application for FX301 and Flexion initiated a Phase 1b clinical trial, resulting in milestone payments of $1,000 and $2,000 paid to the Company, respectively. Pursuant to terms of the agreement, the Company will also be eligible for a development milestone payment of $5,000 upon initiation of a Phase 2 proof-of-concept clinical trial. Following successful proof-of-concept, the Company may be entitled to future clinical development and global regulatory approval milestone payments of up to $40,750, commercial milestone payments of up to $75,000, as well as future royalties ranging from mid-single to low-double digit percentages. These additional amounts will be recognized as determinable. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 11 . Income taxes: Income tax recovery for the three and six months ended June 30, 2021 and 2020 arose from the operations of Xenon Pharmaceuticals USA Inc., the Company’s wholly-owned subsidiary in the United States. Deferred income tax assets recorded on the consolidated balance sheets as of June 30, 2021 and December 31, 2020 resulted from the temporary differences between the amounts of assets and liabilities recognized for financial statement and income tax purposes related to the operations of Xenon Pharmaceuticals USA Inc. The realization of deferred income tax assets is dependent upon the generation of sufficient taxable income during future periods in which the temporary differences are expected to reverse. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 12 . Commitments and contingencies: (a) Priority access agreement with Medpace Inc. (“Medpace”): In August 2015, the Company entered into a priority access agreement with Medpace for the provision of certain clinical development services, under which the Company has committed to using Medpace non-exclusively for clinical development services over the five-year of which $3,595 of services have been received and $3,405 remains committed as of June 30, 2021. As the Company did not meet the commitment to retain Medpace for $7,000 of services prior to August 2020, the Company is required to provide Medpace the exclusive right to perform all subsequent outsourced clinical development work until such $7,000 commitment has been satisfied, subject to the availability of appropriate Medpace resources and reasonable service rates. If the Company decides not to retain Medpace for the provision of clinical development services, the Company may satisfy its obligations under the priority access agreement by paying Medpace an amount equal to half of the unsatisfied portion. The Company intends to continue to utilize Medpace for clinical development work where suitable in order to fulfill the remaining commitment; therefore, no liability has been recognized as of June 30, 2021 with respect to the unsatisfied portion under the priority access agreement. (b) License, manufacture and supply agreement: In March 2017, the Company entered into a license, manufacture and supply agreement with a pharmaceutical contract manufacturing organization for the access and use of certain regulatory documents as well as for the manufacture and supply of clinical and commercial drug product to support the development of XEN007. Under the terms of the agreement, the Company will be required to pay a low single-digit percentage royalty on net sales of any products developed and commercialized under the agreement. (c) Asset purchase agreement with 1st Order Pharmaceuticals, Inc. (“1st Order”): In April 2017, the Company acquired XEN1101 (previously known as 1OP2198) from 1st Order pursuant to an asset purchase agreement. In August 2020, the Company and 1st To date, the Company has paid $300 based on progress against these milestones. (d) License agreement: In July 2017, the Company entered into a license agreement with a pharmaceutical company for the access and use of certain regulatory documents to support the development of XEN007. Future potential payments include $2,000 in clinical development milestones, up to $7,000 in regulatory milestones, plus a low-to-mid single-digit percentage royalty on net sales of any products developed and commercialized under the agreement. No amounts have been accrued to date based on the progress against these milestones. (e) Guarantees and indemnifications: The Company has entered into license and research agreements with third parties that include indemnification provisions that are customary in the industry. These indemnification provisions generally require the Company to compensate the other party for certain damages and costs incurred as a result of third-party claims or damages arising from these transactions. The maximum amount of potential future indemnification is unlimited; however, the Company currently holds commercial and product liability insurance. This insurance limits the Company’s exposure and may enable it to recover a portion of any future amounts paid. Historically, the Company has not made any indemnification payments under such agreements and the Company believes that the fair value of these indemnification obligations is minimal. Accordingly, the Company has not recognized any liabilities relating to these obligations for any period presented. |
Subsequent event
Subsequent event | 6 Months Ended |
Jun. 30, 2021 | |
Subsequent Events [Abstract] | |
Subsequent event | 13. Subsequent event: |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Schedule of Cost Components of Operating Lease | The cost components of the operating lease were as follows for the three and six months ended June 30, 2021 and 2020: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Lease Cost Operating lease expense $ 140 $ 151 $ 279 $ 260 Variable lease expense (1) 190 132 374 267 Lease Term and Discount Rate Remaining lease term (years) 6.00 1.75 6.00 1.75 Discount rate 2.45 % 3.75 % 2.45 % 3.75 % (1) |
Future Minimum Lease Payments | Future minimum lease payments as of June 30, 2021 were as follows: Year ending December 31: 2021 $ 416 2022 713 2023 584 2024 584 2025 and thereafter 1,460 Total future minimum lease payments $ 3,757 Less: imputed interest (252 ) Present value of lease liabilities $ 3,505 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Expenses (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Payables And Accruals [Abstract] | |
Accounts Payable and Accrued Expenses | Accounts payable and accrued expenses consisted of the following: June 30, December 31, 2021 2020 Trade payables $ 3,278 $ 3,041 Employee compensation, benefits, and related accruals 2,459 2,859 Consulting and contracted research 5,025 4,738 Professional fees 362 167 Other 74 69 Total $ 11,198 $ 10,874 |
Share Capital (Tables)
Share Capital (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock Option Activity | The following table presents stock option activity for the period: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Outstanding, beginning of period 5,742,608 4,527,992 4,758,997 3,534,236 Granted 382,500 127,300 1,494,450 1,245,650 Exercised (1) (222,331 ) (54,716 ) (344,734 ) (153,042 ) Forfeited, cancelled or expired (131,726 ) (5,144 ) (137,662 ) (31,412 ) Outstanding, end of period 5,771,051 4,595,432 5,771,051 4,595,432 Exercisable, end of period 2,842,948 2,114,647 2,842,948 2,114,647 (1) During the six months ended June 30, 2021, 58,179 (six months ended June 30, 2020 – 10,715) stock options were exercised for the same number of common shares in exchange for cash. In the same period, the Company issued 179,129 (six months ended June 30, 2020 – 85,660) common shares for the cashless exercise of 286,555 (six months ended June 30, 2020 – 142,327) stock options. |
Fair Value Assumptions for Stock Options | The fair value of each stock option granted is estimated using the Black-Scholes option-pricing model with the following weighted-average assumptions: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Average risk-free interest rate 1.27 % 0.48 % 1.18 % 0.77 % Expected volatility 69 % 68 % 68 % 68 % Average expected term (in years) 7.09 6.86 6.67 6.75 Expected dividend yield 0 % 0 % 0 % 0 % Weighted average fair value of stock options $ 12.14 $ 8.27 $ 12.67 $ 7.50 |
Revenue (Tables)
Revenue (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Schedule Of Collaboration Revenue | Revenue was as follows for the three and six months ended June 30, 2021 and 2020 : Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Neurocrine Biosciences: Recognition of the transaction price $ 617 $ 11,916 $ 617 $ 17,760 Research and development services 1,601 1,468 2,959 2,702 Flexion: Milestone payments — — 3,000 — Total collaboration revenue $ 2,218 $ 13,384 $ 6,576 $ 20,462 |
Nature of the Business (Details
Nature of the Business (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |||||||
Accumulated deficit | $ 316,365 | $ 316,365 | $ 278,492 | ||||
Net loss | $ 22,109 | $ 15,764 | $ 175 | $ 7,484 | $ 37,873 | $ 7,659 |
Basis of Presentation (Details)
Basis of Presentation (Details) | 6 Months Ended |
Jun. 30, 2021 | |
Xenon Pharmaceuticals USA Inc. [Member] | |
Basis Of Presentation [Line Items] | |
Date of incorporation | Dec. 2, 2016 |
Net Income (Loss) Per Common (D
Net Income (Loss) Per Common (Details) - shares | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2020 |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Preferred shares, issued | 1,016,000 | 1,016,000 | |
Series1 Preferred Shares | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Preferred shares, issued | 1,016,000 | 1,016,000 |
Leases (Details)
Leases (Details) | 6 Months Ended |
Jun. 30, 2021Lease | |
Lessee Lease Description [Line Items] | |
Operating lease extension term | 5 years |
Burnaby, British Columbia [Member] | |
Lessee Lease Description [Line Items] | |
Number of operating leases | 1 |
Operating lease term | 21 months |
Operating lease expiration date | Jun. 30, 2022 |
Operating lease, description | The Company has one operating lease for research laboratories and office space in Burnaby, British Columbia. In October 2020, the Company entered into a lease amendment for a 21–month committed term from October 1, 2020 to June 30, 2022 and a renewal option for a portion of the facility for a 5-year term that was reasonably certain of exercise was included in the determination of the right-of-use asset and lease liability. |
Leases - Schedule of Cost Compo
Leases - Schedule of Cost Components of Operating Lease (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
Leases [Abstract] | |||||
Operating lease expense | $ 140 | $ 151 | $ 279 | $ 260 | |
Variable lease expense | [1] | $ 190 | $ 132 | $ 374 | $ 267 |
Remaining lease term (years) | 6 years | 1 year 9 months | 6 years | 1 year 9 months | |
Discount rate | 2.45% | 3.75% | 2.45% | 3.75% | |
[1] | Variable lease costs are payments that vary because of changes in facts or circumstances and include common area maintenance and property taxes related to the premises. Variable lease costs are excluded from the calculation of minimum lease payments. |
Leases - Future Minimum Lease P
Leases - Future Minimum Lease Payments (Details) $ in Thousands | Jun. 30, 2021USD ($) |
Commitments And Contingencies Disclosure [Abstract] | |
2021 | $ 416 |
2022 | 713 |
2023 | 584 |
2024 | 584 |
2025 and thereafter | 1,460 |
Total future minimum lease payments | 3,757 |
Less: imputed interest | (252) |
Present value of lease liabilities | $ 3,505 |
Accounts Payable and Accrued _3
Accounts Payable and Accrued Expenses - Accounts Payable and Accrued Expenses (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Payables And Accruals [Abstract] | ||
Trade payables | $ 3,278 | $ 3,041 |
Employee compensation, benefits, and related accruals | 2,459 | 2,859 |
Consulting and contracted research | 5,025 | 4,738 |
Professional fees | 362 | 167 |
Other | 74 | 69 |
Total | $ 11,198 | $ 10,874 |
Term Loan (Details)
Term Loan (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
May 31, 2020 | Aug. 31, 2018 | Jun. 30, 2020 | Jun. 30, 2020 | Jun. 30, 2021 | |
Debt Instrument [Line Items] | |||||
Loss on repayment of term loan | $ (988) | $ (988) | |||
Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, commencing period | 2018-08 | ||||
Debt instrument, interest only payment end date | Mar. 31, 2020 | ||||
Debt instrument principal repayment period | 30 months | ||||
Debt instrument, maturity date | Sep. 1, 2022 | ||||
Debt instrument, final payment fee percentage | 6.50% | ||||
Debt instrument, final payment fee | $ 1,008 | ||||
Debt instrument prepayment fee | $ 225 | ||||
Warrants outstanding to purchase common stock | 40,000 | ||||
Warrants exercise price per common share | $ 9.79 | ||||
Loss on repayment of term loan | $ 988 | ||||
Term Loan [Member] | Prime Rate [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, floating interest rate | 0.50% | ||||
Silicon Valley Bank [Member] | Term Loan [Member] | Loan Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount of debt instrument | $ 15,500 |
Share Capital (Details)
Share Capital (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||
Mar. 31, 2021 | Aug. 31, 2020 | Feb. 29, 2020 | Jan. 31, 2020 | Nov. 30, 2019 | Mar. 31, 2018 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2021 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share Capital [Line Items] | |||||||||||
Amount offered for issuance of common stock | $ 102,456 | ||||||||||
Warrants outstanding to purchase common stock | 1,081,081 | ||||||||||
Warrants exercise description | The Company may not affect the exercise of any Pre-Funded Warrant, and a holder will not be entitled to exercise any portion of any Pre-Funded Warrant that, upon giving effect to such exercise, would cause: (i) the aggregate number of common shares beneficially owned by such holder, together with its affiliates, to exceed 4.99% of the total number of common shares outstanding immediately after giving effect to the exercise; or (ii) the combined voting power of the Company’s securities beneficially owned by such holder, together with its affiliates, to exceed 4.99% of the combined voting power of all of the Company’s securities immediately outstanding after giving effect to the exercise, which percentage may be changed at the holder’s election to a higher or lower percentage not in excess of 19.99% upon at least 61 days’ notice to the Company. | ||||||||||
Series1 Preferred Shares | |||||||||||
Share Capital [Line Items] | |||||||||||
Conversion of shares | 1,852,000 | ||||||||||
Common Shares [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Conversion of shares | 1,852,000 | ||||||||||
BVF Partners L.P [Member] | Exchange Agreement [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Estimated weighted average cancellation price per share of common stock | $ 7.61 | ||||||||||
BVF Partners L.P [Member] | Exchange Agreement [Member] | Series1 Preferred Shares | |||||||||||
Share Capital [Line Items] | |||||||||||
Shares issued | 2,868,000 | ||||||||||
Preferred shares convertible into common shares | one-for-one | ||||||||||
Maximum beneficial ownership limitation percentage for conversion of common stock issued and outstanding | 9.99% | ||||||||||
Maximum beneficial ownership limitation upon notice, percentage for conversion of common stock issued and outstanding | 19.99% | ||||||||||
Maximum beneficial percentage hold for conversion of number Of common stock issued and outstanding | 5.00% | ||||||||||
Minimum beneficial percentage hold for conversion of number Of common stock issued and outstanding. | 5.00% | ||||||||||
BVF Partners L.P [Member] | Exchange Agreement [Member] | Common Shares [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Shares cancelled | 2,868,000 | ||||||||||
Common Shares [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Shares issued | 5,868,135 | 6,759,187 | |||||||||
Amount offered for issuance of common stock | $ 99,846 | $ 102,456 | |||||||||
Jefferies and Stifel [Member] | Underwritten Public Offering [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Amount offered for issuance of common stock | $ 107,922 | ||||||||||
Shares issued | 5,135,135 | ||||||||||
Shares price | $ 18.50 | $ 18.50 | |||||||||
Warrants outstanding to purchase common stock | 1,081,081 | 1,081,081 | |||||||||
Warrants issued price per pre funded warrant | $ 18.4999 | $ 18.4999 | |||||||||
Warrants exercise price per common share | $ 0.0001 | $ 0.0001 | |||||||||
Sale proceeds from issuance of pre funded warrants | $ 18,769 | ||||||||||
Number of warrants exercised | 0 | ||||||||||
Jefferies and Stifel [Member] | At-The-Market Equity Offering [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Amount offered for issuance of common stock | $ 37,796 | $ 10,729 | |||||||||
Sale proceeds of common shares | 10,693,000 | ||||||||||
Jefferies and Stifel [Member] | At-The-Market Equity Offering [Member] | Maximum [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Amount offered for issuance of common stock | $ 50,000 | ||||||||||
Amount offered for issuance of common stock | $ 100,000 | ||||||||||
Jefferies and Stifel [Member] | At-The-Market Equity Offering [Member] | Common Shares [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Shares issued | 2,446,687 | 733,000 | 805,643 | ||||||||
Jefferies and Stifel [Member] | Over Allotment [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Shares issued | 810,810 | ||||||||||
Jefferies, Stifel and Guggenheim Securities, LLC [Member] | Underwritten Public Offering [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Amount offered for issuance of common stock | $ 8,395 | $ 56,265 | |||||||||
Jefferies, Stifel and Guggenheim Securities, LLC [Member] | Underwritten Public Offering [Member] | Common Shares [Member] | |||||||||||
Share Capital [Line Items] | |||||||||||
Shares issued | 562,500 | 3,750,000 | |||||||||
Shares price | $ 16 |
Share Capital - Stock Option Ac
Share Capital - Stock Option Activity (Details) - shares | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||||||
Number of Options Outstanding, Beginning balance | 5,742,608 | 4,758,997 | 4,527,992 | 3,534,236 | 4,758,997 | 3,534,236 | |
Number of Options, Granted | 382,500 | 127,300 | 1,494,450 | 1,245,650 | |||
Number of Options, Exercised | [1] | (222,331) | (54,716) | (344,734) | (153,042) | ||
Number of Options, Forfeited, cancelled or expired | (131,726) | (5,144) | (137,662) | (31,412) | |||
Number of Options Outstanding, Ending balance | 5,771,051 | 5,742,608 | 4,595,432 | 4,527,992 | 5,771,051 | 4,595,432 | |
Number of Options Exercisable, End of period | 2,842,948 | 2,114,647 | 2,842,948 | 2,114,647 | |||
[1] | During the six months ended June 30, 2021, 58,179 (six months ended June 30, 2020 – 10,715) stock options were exercised for the same number of common shares in exchange for cash. In the same period, the Company issued 179,129 (six months ended June 30, 2020 – 85,660) common shares for the cashless exercise of 286,555 (six months ended June 30, 2020 – 142,327) stock options. |
Share Capital - Stock Option _2
Share Capital - Stock Option Activity (Parenthetical) (Details) - shares | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ||
Stock Options exercised for Number of Common Shares for cash | 58,179 | 10,715 |
Common stock issued for cashless exercise | 179,129 | 85,660 |
Cashless exercise of stock options | 286,555 | 142,327 |
Share Capital - Fair Value Assu
Share Capital - Fair Value Assumptions for Stock Options (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Fair Value Assumptions For Stock Options [Abstract] | ||||
Average risk-free interest rate | 1.27% | 0.48% | 1.18% | 0.77% |
Expected volatility | 69.00% | 68.00% | 68.00% | 68.00% |
Average expected term (in years) | 7 years 1 month 2 days | 6 years 10 months 9 days | 6 years 8 months 1 day | 6 years 9 months |
Expected dividend yield | 0.00% | 0.00% | 0.00% | 0.00% |
Weighted average fair value of stock options granted | $ 12.14 | $ 8.27 | $ 12.67 | $ 7.50 |
Revenue - Schedule of Collabora
Revenue - Schedule of Collaboration Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation Of Revenue [Line Items] | ||||
Revenue | $ 2,218 | $ 13,384 | $ 6,576 | $ 20,462 |
Collaboration Revenue [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue | 2,218 | 13,384 | 3,576 | 20,462 |
Neurocrine Biosciences [Member] | Collaboration Revenue [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Recognition of the transaction price | 617 | 11,916 | 617 | 17,760 |
Research and development services | $ 1,601 | $ 1,468 | 2,959 | $ 2,702 |
Flexion [Member] | Collaboration Revenue [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Milestone payments | $ 3,000 |
Revenue - Additional Informatio
Revenue - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disaggregation Of Revenue [Line Items] | ||||||
Revenue | $ 2,218 | $ 13,384 | $ 6,576 | $ 20,462 | ||
Accounts receivable | 2,919 | 2,919 | $ 1,822 | |||
Collaboration Revenue [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Revenue | 2,218 | 13,384 | 3,576 | 20,462 | ||
Neurocrine Biosciences [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Accounts receivable | 1,624 | 1,624 | ||||
Deferred revenue | 3,025 | 3,025 | ||||
Flexion [Member] | Collaboration Revenue [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Milestone payments | 3,000 | |||||
Exclusive License to XEN901 and Exclusive License to DTCs [Member] | Neurocrine Biosciences [Member] | Collaboration Revenue [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Revenue | 11,523 | 17,285 | ||||
Development Services Under the Initial Development Program For DTCs [Member] | Neurocrine Biosciences [Member] | Collaboration Revenue [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Revenue | 617 | 393 | 617 | 475 | ||
Research And Development Funding | Neurocrine Biosciences [Member] | Collaboration Revenue [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Revenue | 1,601 | $ 1,468 | 2,959 | $ 2,702 | ||
License and Collaboration Agreement [Member] | Neurocrine Biosciences [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Upfront payment received in cash | $ 30,000 | |||||
Upfront payment received in equity investment | 20,000 | |||||
Equity investment measured at fair value | 16,667 | |||||
Collaborate agreement premium related to equity investment | 3,333 | |||||
Transaction price allocated to performance obligations | 33,333 | |||||
Variable consideration allocated to performance obligation | $ 592 | |||||
Percentage of option to co-fund development costs upon achievement of certain milestones | 50.00% | |||||
License and Collaboration Agreement [Member] | Exclusive License to XEN901 and Exclusive License to DTCs [Member] | Neurocrine Biosciences [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Transaction price allocated to performance obligations | $ 28,807 | |||||
License and Collaboration Agreement [Member] | Development Services Under the Initial Development Program For DTCs [Member] | Neurocrine Biosciences [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Transaction price allocated to performance obligations | $ 5,118 | |||||
Asset Purchase Agreement [Member] | Flexion [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Milestone payment due on initiation of Phase 1b clinical trial | $ 2,000 | |||||
Asset Purchase Agreement [Member] | Flexion [Member] | XEN402 [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Milestone payments | 1,000 | |||||
Asset Purchase Agreement [Member] | Eligible to Receive Development Milestone Payment [Member] | Flexion [Member] | XEN402 [Member] | Maximum [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Potential milestone payments receivable | 5,000 | 5,000 | ||||
Asset Purchase Agreement [Member] | Future Clinical Development And Global Regulatory Approval Milestone Payments [Member] | Flexion [Member] | XEN402 [Member] | Maximum [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Potential milestone payments receivable | 40,750 | 40,750 | ||||
Asset Purchase Agreement [Member] | Commercial Milestone Payments [Member] | Flexion [Member] | XEN402 [Member] | Maximum [Member] | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Potential milestone payments receivable | $ 75,000 | $ 75,000 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) | 1 Months Ended | 6 Months Ended | |||
Aug. 31, 2020 | Jul. 31, 2017 | Mar. 31, 2017 | Aug. 31, 2015 | Jun. 30, 2021 | |
License, Manufacture and Supply Agreement [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Royalty obligation description | Under the terms of the agreement, the Company will be required to pay a low single-digit percentage royalty on net sales of any products developed and commercialized under the agreement. | ||||
Asset Purchase Agreement [Member] | 1st Order Pharmaceuticals, Inc. [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Milestone payment paid | $ 300,000 | ||||
Royalty obligation | $ 0 | ||||
Asset Purchase Agreement [Member] | 1st Order Pharmaceuticals, Inc. [Member] | Clinical Development Milestones [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Future potential payments | 1,200,000 | ||||
Asset Purchase Agreement [Member] | 1st Order Pharmaceuticals, Inc. [Member] | Regulatory Milestone [Member] | Maximum [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Future potential payments | 6,000,000 | ||||
Asset Purchase Agreement [Member] | 1st Order Pharmaceuticals, Inc. [Member] | Other Milestones [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Future potential payments | $ 500,000 | ||||
License Agreement [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Royalty obligation description | low-to-mid single-digit percentage royalty on net sales of any products developed and commercialized under the agreement | ||||
License Agreement [Member] | Clinical Development Milestones [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Future potential payments | $ 2,000,000 | ||||
License Agreement [Member] | Regulatory Milestone [Member] | Maximum [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Future potential payments | $ 7,000,000 | ||||
Priority Access Agreement with Medpace Inc. [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Service agreement, term | 5 years | ||||
Committed service obligation | $ 7,000,000 | 3,405,000 | |||
Contractual obligation paid | $ 3,595,000 |
Subsequent event - Additional I
Subsequent event - Additional Information (Details) | Mar. 19, 2014USD ($) |
Genentech [Member] | Maximum [Member] | |
Subsequent Event [Line Items] | |
Potential milestone payments receivable | $ 1,500 |