Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements (Tables)

v3.20.2
Fair Value Measurements (Tables)
6 Months Ended
Jun. 30, 2020
Information about Company's Financial Assets and Liabilities Measured at Fair Value on Recurring Basis
The following fair value hierarchy table presents information about the Company’s financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019:
 
    
Fair Value Measurement as of June 30, 2020
 
    
Quoted Prices
in Active
Markets for
Identical Assets
(Level 1)
    
Significant
Other
Observable
Inputs
(Level 2)
    
Significant
Unobservable
Inputs
(Level 3)
 
Cash equivalents
   $ 30,108,447      $ —        $ —    
Short-term marketable securities
 
 
8,831,981
 
 
 
—  
 
 
 
—  
 
Long-term marketable securities
     18,686,836        —          —    
Warrant liabilities
     —          —          44,349,846  
  
 
 
    
 
 
    
 
 
 
Total
   $ 57,627,264      $ —        $ 44,349,846  
  
 
 
    
 
 
    
 
 
 
    
Fair Value Measurement as of December 31, 2019
 
    
Quoted Prices
in Active
Markets for
Identical Assets
(Level 1)
    
Significant
Other
Observable
Inputs
(Level 2)
    
Significant
Unobservable
Inputs
(Level 3)
 
Cash equivalents
   $ 21,433,639      $ —        $ —    
Warrant liabilities
     —          —          6,068,978  
  
 
 
    
 
 
    
 
 
 
Total
   $ 21,433,639      $ —        $ 6,068,978  
  
 
 
    
 
 
    
 
 
 
Reconciliation of Company's Financial Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3)
The following tables present a reconciliation of the Company’s financial liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three and six months ended June 30, 2020 and 2019:
Warrant liabilities
 
    
Three Months Ended
June 30,
    
Six Months Ended
June 30,
 
    
2020
    
2019
    
2020
    
2019
 
Balance at beginning of period
   $ 5,653,145      $ 2,982,034      $ 6,068,978      $ 20,781,663  
Issuance of 2020 Warrants
     31,391,369        —          31,391,369        —    
Increase (decrease) in fair value (1)
     7,305,332        1,363,868        6,889,499        (16,435,761
  
 
 
    
 
 
    
 
 
    
 
 
 
Balance at end of period
   $ 44,349,846      $ 4,345,902      $ 44,349,846      $ 4,345,902  
  
 
 
    
 
 
    
 
 
    
 
 
 
 
(1)
The change in fair values of the warrant liabilities is recorded in other income (expense) in the consolidated statement of operations.
2020 Warrants [Member]  
Assumption Used to Determine Fair Value of Warrant Liability The following assumptions were used in a Black- Scholes option-pricing model to determine the fair value of the warrant liability:
    
As of
June 30,
2020
   
At Issuance
May 27,
2020
 
Expected volatility
     107.5     106.4
Remaining contractual term (in years)
     2.92       3.00  
Risk-free interest rate
     0.18     0.22
Expected dividend yield
     —       —  
2016 Warrants [Member]  
Assumption Used to Determine Fair Value of Warrant Liability
The following assumptions were used in a Black-Scholes option-pricing model to determine the fair value of the warrant liability:
    
As of
June 30,
2020
   
As of
December 31,
2019
 
Expected volatility
     115.9     121.4
Remaining contractual term (in years)
     1.08       1.58  
Risk-free interest rate
     0.16     1.59
Expected dividend yield
     —       —  
2017 Warrants [Member]  
Assumption Used to Determine Fair Value of Warrant Liability The following assumptions were used in a Black-Scholes option-pricing model to determine the fair value of the warrant liability:
    
As of
June 30,
2020
   
As of
December 31,
2019
 
Expected volatility
     120.0     104.2
Remaining contractual term (in years)
     2.08       2.58  
Risk-free interest rate
     0.16     1.60
Expected dividend yield
     —       —