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Share Based Payments (Tables)

12 Months Ended

Dec. 31, 2017

The following is a summary of stock option activity for the year ended December 31, 2017 and nine months ended December 31, 2016:

				Weighted Average		Aggregate
				Exercise Price		Intrinsic Value
	Number of Options			(CAD)		(CAD)
Outstanding as of April 1, 2016		1,335,072		$	5.40	$	1,581
Granted		707,000			6.90
Forfeited		(6,250	)		3.00
Cancelled		(24,822	)		3.00
Exercised		(42,000	)		3.00
Outstanding as of December 31, 2016		1,969,000			6.00		8,218
Granted		868,902			11.15
Forfeited		(153,067	)		11.45
Cancelled		(62,689	)		13.75
Exercised ⁽¹⁾		(173,500	)		5.15
Outstanding as of December 31, 2017		2,448,646		$	7.35	$	21,089
Exercisable as of December 31, 2017		1,451,739		$	5.70	$	14,892

(1) For the year ended December 31, 2017, 20,000 stock options were exercised on a cashless basis resulting in 14,095 common shares being withheld.

Summary of Non-Employee Stock Options Accounted for As Liabilities

The non-employee stock options that are accounted for as liabilities are summarized as follows (amounts in thousands):

	Year Ended December 31, 2017			Nine Months Ended December 31, 2016
Fair value of non-employee stock options at beginning of period	$	1,617		$	521
Reallocation of vested non-employee stock options		-			268
Exercised		(156	)		-
Cancelled		(294	)		-
Change in fair value of non-employee stock options during the period		1,470			828
Fair value of non-employee stock options at end of period	$	2,637		$	1,617

Summary of Stock-Based Compensation Expense is Classified in Condensed Consolidated Statements of Operations and Comprehensive Loss

Stock-based compensation expense is classified in the Company’s consolidated statements of operations and comprehensive loss as follows (amounts in thousands):

	Year Ended December 31, 2017		Nine Months Ended December 31, 2016
Research and development	$	343	$	107
General and administrative		1,475		1,355
	$	1,818	$	1,462

Employee and Director Stock Options

Summary of Stock Options Outstanding and Exercisable

The following table summarizes stock options outstanding and exercisable by employees and directors as of December 31, 2017:

			Options
			Outstanding
Number of			Remaining						Number of
Options			Contractual Life		Exercise		Grant Date Fair		Options
Outstanding		Expiration Date	(In Years)		Price (CAD)		Value (CAD)		Exercisable
	360,000	June 18, 2019		1.46	$	3.00	$	1.00		360,000
	80,000	June 18, 2019		1.46	$	3.00	$	1.32		80,000
	20,000	December 8, 2019		1.94	$	14.60	$	6.55		20,000
	80,000	December 8, 2019		1.94	$	14.80	$	6.46		80,000
	20,000	March 16, 2020		2.21	$	16.00	$	7.09		20,000
	8,500	August 14, 2020		2.62	$	4.90	$	1.94		8,500
	150,000	October 21, 2020		2.81	$	4.20	$	1.80		112,500
	20,000	December 31, 2020		3.00	$	6.20	$	2.49		20,000
	595,000	July 13, 2020		2.53	$	6.95	$	3.23		396,666
	20,000	August 8, 2020		2.61	$	6.55	$	3.23		10,000
	617,000	April 17, 2027		9.30	$	10.80	$	7.76		-
	6,146	May 18, 2027		9.38	$	10.00	$	5.23		3,073
	10,000	May 18, 2027		9.38	$	10.00	$	7.63		-
	30,000	August 8, 2027		9.61	$	13.15	$	8.86		-
	2,016,646									1,110,739

Estimation Using Black-Scholes Option Pricing Model With Following Weighted Average Assumptions

The fair value of employee and director stock options granted for the year ended December 31, 2017 and the nine months ended December 31, 2016 had a weighted average grant date fair value of CAD$4.34 and $2.60 per option, respectively, and they were estimated using the Black-Scholes option pricing model with the following weighted-average assumptions:

	Year Ended December 31, 2017			Nine Months Ended December 31, 2016
Stock price	CAD$10.40			CAD$6.95
Exercise price	CAD$10.85			CAD$6.95
Expected term	6.25 years			2.5 years
Expected volatility		90.84	%		77.92	%
Risk-free interest rate		1.06	%		0.49	%
Dividend rate		0.00	%		0.00	%

Non-employee Stock Options

Summary of Stock Options Outstanding and Exercisable

The following table summarizes stock options outstanding and exercisable by non-employees as of December 31, 2017:

			Options
			Outstanding
Number of			Remaining						Number of
Options			Contractual Life		Exercise		Grant Date Fair		Options
Outstanding		Expiration Date	(In Years)		Price (CAD)		Value (CAD)		Exercisable
	160,000	June 18, 2019		1.46	$	3.00	$	1.32		160,000
	30,000	December 8, 2019		1.94	$	14.60	$	8.25		30,000
	82,000	October 3, 2020		2.76	$	6.75	$	4.00		41,000
	110,000	October 28, 2020		2.83	$	4.20	$	2.20		110,000
	20,000	May 18, 2027		9.38	$	10.00	$	8.69		-
	15,000	August 8, 2027		9.61	$	13.15	$	11.70		-
	15,000	November 6, 2027		9.85	$	20.65	$	19.93		-
	432,000									341,000

Estimation Using Black-Scholes Option Pricing Model With Following Weighted Average Assumptions

The fair value of non-employee stock options granted for the year ended December 31, 2017 and the nine months ended December 31, 2016 had a weighted average grant date fair value of CAD$3.88 and $3.23 per option, respectively, and they were estimated using the Black-Scholes option pricing model with the following weighted-average assumptions:

	Year Ended December 31, 2017			Nine Months Ended December 31, 2016
Stock price	CAD$12.15			CAD$9.60
Exercise price	CAD$12.20			CAD$6.75
Option term	10 years			3.75 years
Expected volatility		91.02	%		84.16	%
Risk-free interest rate		1.60	%		0.98	%
Dividend rate		0.00	%		0.00	%

Non-employee Liability

Estimation Using Black-Scholes Option Pricing Model With Following Weighted Average Assumptions

The fair value of non-employee liability classified awards as of December 31, 2017 and 2016 were estimated using the Black-Scholes option pricing model with the following weighted-average assumptions:

	December 31, 2017			December 31, 2016
Stock price	CAD$15.95			CAD$9.60
Exercise price	CAD$4.30			CAD$6.15
Expected life	1.51 years			2.59 years
Expected volatility		61.58	%		87.61	%
Risk-free interest rate		1.61	%		0.79	%
Dividend rate		0.00	%		0.00	%

Restricted Stock Units

Summary of Company’s Restricted Stock Unit Activity

The following is a summary of the Company’s restricted stock unit activity for the year ended December 31, 2017:

	Number of Restricted Stock Units			Weighted Average Grant Date Fair Value per Unit (CAD)
Outstanding as of January 1, 2017		-		$	-
Granted		8,097			10.00
Forfeited		(3,182	)
Outstanding as of December 31, 2017		4,915		$	10.00
Vested as of December 31, 2017 ⁽¹⁾		2,987		$	10.00

(1) includes 723 RSUs withheld for taxes