SIGNIFICANT ACCOUNTING POLICIES (Tables)

3 Months Ended

Mar. 31, 2018

Accounting Policies [Abstract]

Schedule of Error Corrections and Prior Period Adjustments [Table Text Block]

The effects of the restatement on the line items within the Company’s condensed consolidated balance sheets as of March 31, 2018 are as follows:

	March 31, 2018
(U.S. dollars in thousands)	As originally reported			Adjustments			As restated
CURRENT LIABILITIES:
Contracts liability	$	-		$	2,651		$	2,651
Total current liabilities		21,499			2,651			24,150
LONG TERM LIABILITIES:
Contracts liability		29,030			(6,648	)		22,382
Total long term liabilities		82,737			(6,648	)		76,089
Total liabilities		104,236			(3,997	)		100,239
CAPITAL DEFICIENCY	$	(39,439	)	$	3,997		$	(35,442	)

The effects of the restatement on the line items within the Company’s condensed consolidated statements of operations for the three months ended March 31, 2018 are as follows:

	Three Months Ended March 31, 2018
(U.S. dollars in thousands, except per share data)	As originally reported			Adjustments		As restated
REVENUES FROM LICENSE AGREEMENTS	$	-		$	2,161	$	2,161
OPERATING LOSS	$	(7,312	)	$	2,161	$	(5,151	)
LOSS FOR THE PERIOD	$	(9,400	)	$	2,161	$	(7,239	)
Net loss per share of common stock-basic and diluted	$	(0.06	)	$	0.01	$	(0.05	)

The effects of the restatement on the line items within the Company’s condensed consolidated statements of changes in capital deficiency for the three months ended March 31, 2018 are as follows:

	Three Months Ended March 31, 2018
(U.S. dollars in thousands)	As originally reported			Adjustments		As restated
Net loss	$	(9,400	)	$	2,161	$	(7,239	)
Balances as of March 31, 2018
Accumulated deficit		(307,332	)		3,997		(303,335	)
Total capital deficiency	$	(39,439	)	$	3,997	$	(35,442	)

Although there was with no impact to net cash provided by operating activities, net cash used in investing activities or net cash used in financing activities, the effects of the restatement on the line items within the condensed consolidated statements of cash flows for the three months ended March 31, 2018 are as follows:

	Three Months Ended March 31, 2018
(U.S. dollars in thousands)	As originally reported			Adjustments			As restated
Cash flows from operating activities:
Net loss	$	(9,400	)	$	2,161		$	(7,239	)
Increase in contracts liability		2,179			(2,161	)		18
Net cash used in operating activities	$	(9,413	)	$	-		$	(9,413	)

The impacts of the restatement have been reflected throughout the financial statements, including the applicable footnotes, as appropriate.

In addition, in connection with the agreement with Chiesi, the Company should have recognized $1.8 million of revenue in the last quarter of 2017 and accordingly has revised certain items in its consolidated financial statements for December 31, 2017 presented herein. The Company evaluated the materiality of the error from quantitative and qualitative perspectives, and concluded that the error was immaterial to the Company’s prior annual consolidated financial statements. Since the revision was not material to any prior interim period or annual consolidated financial statements, no amendments to previously filed interim or annual periodic reports was required. Consequently, the Company revised the historical consolidated financial information presented herein. Below are amounts as reported and as adjusted for December 31, 2017:

	December 31, 2017
(U.S. dollars in thousands)	As originally reported			Adjustments			As revised
Contracts liability	$	26,851		$	(1,836	)	$	25,015
Accumulated deficit		(297,932	)		1,836			(296,096	)