Subsequent Event

12 Months Ended

Dec. 31, 2017

16.	Subsequent event:

On March 7, 2018, the Company and Teva Pharmaceuticals International GmbH and Teva Canada Limited (together “Teva”), entered into a termination agreement terminating by mutual agreement the collaborative development and license agreement dated December 7, 2012, as amended.

Pursuant to the termination agreement and subject to receipt by us of an order from the Ontario Securities Commission (“OSC”), Teva has agreed to transfer and assign 1,000,000 common shares of the Company held by Teva Canada Limited to the Company for cancellation. Teva will also return, license or assign to the Company certain intellectual property including certain patent rights. The termination agreement requires the Company to pay a low single-digit percentage royalty to Teva based on net sales of approved products, if any, resulting from any continued development and commercialization of TV-45070 by the Company during the period that assigned or licensed patents cover such products. Teva will also transfer regulatory filings related to TV-45070 to the Company.

The termination agreement will become effective on the date specified by the Company in a written notice to Teva. The effective date will be after the date that the Company receives the OSC order granting the Company exemptive relief from the requirements related to issuer bids under applicable Canadian securities laws in connection with the transfer and assignment to the Company by Teva Canada of the 1,000,000 common shares and not earlier than 10 business days from the date that a press release announcing the termination agreement is issued by the Company. The Company has made an application to the OSC for the OSC order and expects the effective date to be on or about March 22, 2018.