Shareholders' Equity (Tables)

3 Months Ended

Mar. 31, 2020

Equity [Abstract]

Summary of Stock Options Granted

The following table summarizes the Company’s stock options granted in Canadian dollars under the Original Plan and the New Plan:

	Number of Options	Weighted- Average Exercise Price (C$)	Weighted- Average Exercise Price ($)	Weighted- Average Contractual Term (years)	Aggregate intrinsic value (C$)	Aggregate intrinsic value ($)
Outstanding, December 31, 2019	2,356,413	16.21	12.46	6.70	101,404	77,807
Granted	320,400	48.70	35.65
Exercised	(89,288)	15.63	11.85
Forfeited	(30,505)	25.13	18.82
Outstanding, March 31, 2020	2,557,020	20.20	14.36	6.87	77,253	54,431

The following table summarizes the Company’s stock options granted in U.S. dollars under the New Plan:

	Number of Options	Weighted- Average Exercise Price ($)	Weighted- Average Contractual Term (years)	Aggregate intrinsic value ($)
Outstanding, December 31, 2019	2,853,346	15.85	8.66	84,481
Granted	800,800	36.36
Exercised	(33,204)	11.80
Forfeited	(71,431)	13.58
Outstanding, March 31, 2020	3,549,511	20.56	8.76	54,011

Schedule of Stock-based compensation expense

The estimated fair value of options granted to officers, directors, employees and consultants is amortized over the vesting period. Stock-based compensation expense for equity classified instruments, as well as the financial statement impact of the periodic revaluation of liability classified equity instruments (note 12), is recorded in research and development expense, general and administrative expense and finance expense (income) as follows:

	Three Months Ended March 31,
	2020		2019
Research and development expense:
Stock-based compensation for equity classified instruments (*)	$	2,016	$	1,127
Change in fair value of liability classified equity instruments	(1,794)		420
	$	222	$	1,547
General and administrative expense:
Stock-based compensation for equity classified instruments (*)	$	2,228	$	1,490
Change in fair value of liability classified equity instruments	(5,379)		1,326
	$	(3,151)	$	2,816
Finance expense (income):
Change in fair value of liability classified equity instruments	(34)		15
	$	(34)	$	15

(*) Amounts include stock-based compensation expense relating to RSUs of $91 for the three months ended March 31, 2020 (three months ended March 31, 2019: nil)

Schedule of Estimated Fair Value of Stock Options Assumptions

The estimated fair value of stock options granted in Canadian dollars under the Original Plan and the New Plan was determined using the Black-Scholes option pricing model with the following weighted-average assumptions:

	Three Months Ended March 31,
	2020		2019
Dividend yield	0	%	0	%
Expected volatility	75.2	%	73.8	%
Risk-free interest rate	0.66	%	1.46	%
Expected average life of options	6.07 years		6.05 years

The estimated fair value of stock options granted in U.S. dollars under the New Plan was determined using the Black-Scholes option pricing model with the following weighted-average assumptions:

	Three Months Ended March 31,
	2020		2019
Dividend yield	0	%	0	%
Expected volatility	75.3	%	72.7	%
Risk-free interest rate	0.80	%	2.49	%
Expected average life of options	6.06 years		6.06 years

The weighted-average Black-Scholes option pricing assumptions for liability classified stock options are as follows:

	March 31, 2020		March 31, 2019
Dividend yield	0	%	0	%
Expected volatility	80.2	%	76.8	%
Risk-free interest rate	0.51	%	1.53	%
Expected average option term	3.20 years		3.57 years
Number of liability classified stock options outstanding	1,252,604		1,452,666