6. Other Liabilities

(a) Warrants

Warrants issued with bank loan:

On October 23, 2013, AQXP Canada entered into a term loan facility with Silicon Valley Bank (“SVB”) for up to $4,000, of which $2,500 was received on October 30, 2013. The loan was repaid on March 28, 2014. Under the terms of the loan, SVB was issued warrants to purchase 11,363 shares of common stock at $10.56 per share. These warrants expire in 2023.


	NUMBER		AMOUNT
BALANCE – December 31, 2013		11,363	$	221
Change in fair value of derivative liability		—		(149	)

BALANCE – December 31, 2014		11,363		72
Change in fair value of derivative liability		—		52

BALANCE – December 31, 2015		11,363	$	124

Change in fair value of the warrants is periodically assessed and recorded in the consolidated and combined statements of operations and comprehensive loss. The fair value of warrants on December 31, 2015 was estimated using the Black-Scholes pricing model with the following assumptions:

(i) Expected volatility – 104%; (ii) Expected term (years) – 7.82 years; (iii) Risk free rate – 2%

(b) Capital leases

The Company leases office equipment under capital leases with an interest rate of 4.64% per annum. At December 31, 2015, the future payments under the Company’s capital leases were as follows:


	AMOUNT
2016	$	3
2017		3
2018		3
2019		2

Total minimum lease payments		11
Less: amount representing interest		(1	)

Present value of future minimum lease payments		10
Less: current portion		(3	)

Capital lease obligations, net of current portion – December 31, 2015	$	7

The net book value of the office equipment under capital leases as of December 31, 2015 was $11, with an immaterial amount related to accumulated depreciation.