Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Schedule of Components of Income Tax Expense (Benefit)

The components of the provision expense (benefit) were as follows for the years ended December 31, 2015, 2014 and 2013 (in thousands):

	2015		2014			2013
Current:
Federal	$	2,500	$	—		$	—
State		621		—			—
		3,121		—			—
Deferred:
Federal		32,378		(1,324	)		—
State		815		(378	)		—
Totals	$	36,314	$	(1,702	)	$	—

Summary of Components of Net Deferred Tax Liabilities

The components of the Company’s net deferred tax liabilities and related valuation allowance are as follows as of December 31, 2015 and 2014 (in thousands):

	2015			2014
Deferred tax assets:
Amortization of intangibles	$	12,130		$	—
Deferred revenue		39,594			—
Derivative liability		1,267			—
Tax credit carryforwards		2,737			—
Net operating loss carryforwards and credits		1,247			23,927
Stock based compensation		2,493			1,606
Accrued expenses and other		636			(183	)
Total deferred tax assets		60,104			25,350
Less valuation allowance		(39,605	)		(25,350	)
Total deferred tax assets		20,499			—
Deferred tax liabilities:
Amortization of intangibles		—			—
Depreciation		(900	)		—
Investment in common stock		(35,995	)		—
Marketable securities		(32,945	)		—
Other		—			(1,709	)
Net deferred tax liabilities	$	(49,341	)	$	(1,709	)

Summary of Reconciliation Between Federal Income Tax and Company Provision for Income Taxes

The reconciliation between US federal income taxes at the statutory rate and the Company’s provision for income taxes are as follows for the years ended December 31 (in thousands):

	2015			2014
Income tax expense (benefit) at federal statutory rate	$	(4,740	)		(1,702	)
State, net of federal tax benefit		(367	)	$	—
Other permanent differences		34			—
Incentive stock compensation		708			—
IgDraSol transaction		2,055			—
Other		(71	)		—
Acquired in-process research and development		2,263			—
Change in State rate		(62	)		—
Research tax credits		(3,141	)		—
Uncertain tax positions		1,836			—
Change in valuation allowance		37,799			—
Income tax provision	$	36,314		$	(1,702	)

Summary of Reconciliation of Unrecognized Tax Expense (Benefits)

A reconciliation of the beginning and ending amount of unrecognized tax expense (benefits) is as follows (in thousands):

	Amount
Unrecognized tax benefits balance at December 31, 2014	$	—
Increase related to current year tax positions		1,836
Decrease related to current year tax positions		—
Settlements		—
Lapse in statute of limitations		—
Unrecognized tax benefits balance at December 31, 2015	$	1,836