Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Cash flows from operating activities:
Net loss	$ (13,557)	$ (12,332)
Reconciliation of net loss to net cash used in operating activities
Depreciation	687	89
Amortization of intellectual property	128	110
Fair value of warrants issued for consulting services	138	65
Fair value of common stock issued for consulting services		98
Stock option compensation	1,060	301
Increase in fair value of derivative liabilities		5,776
Amortization of debt discount	54	909
Amortization of deferred financing costs	62	5
Non-cash convertible note interest expense	343	214
Changes in operating assets and liabilities
Inventory	(59)
Prepaid expenses and other current assets	(394)	(95)
Accounts payable	(176)	3,152
Accrued expenses	564	68
Deferred rent	29	164
Net cash used in operating activities	(11,121)	(1,476)
Cash flows from investing activities:
Decrease (increase) in restricted cash	7,899	(11,667)
Purchases of property and equipment	(26,512)	(11,637)
Other assets	(250)	(1,594)
Intellectual property related expenditures	(200)	(146)
Net cash used in investing activities	(19,063)	(25,044)
Cash flows from financing activities:
Proceeds from issuance of common stock, net of offering costs	30,709	32,862
Proceeds from issuance of notes payable, net of issuance costs		9,262
Payments on notes payable	(14)
Payments on capital leases	(52)
Proceeds from issuance of convertible notes payable, net of issuance costs	4,858
Net cash provided by financing activities	35,501	42,124
Net increase (decrease) in cash and cash equivalents	5,317	15,604
Cash and cash equivalents at beginning of period	20,141	4,537
Cash and cash equivalents at end of period	25,458	20,141
Supplemental disclosure of cash flow information:
Cash paid for interest, net of amounts capitalized	330	103
Cash paid for income taxes	1	2
Non-cash investing activities
Tenant improvement allowances	78	869
Non-cash financing activities
Capital lease	310
Fair value of consulting warrants	138	65
Fair value of financing warrants	229	881
Fair value of common stock issued upon conversion of convertible notes and accrued interest		6,279
Fair value of common stock issued upon extinguishment of beneficial conversion feature derivative liability		6,280
Fair value of common stock issued to consultants		98
Total non-cash financing activities	677	13,603
Supplemental disclosure of non-cash transactions
Increase in property and equipment resulting from increase in accounts payable	1,200
Increase in property and equipment resulting from increase in accrued expenses	1,330
Decrease in restricted cash resulting from a decrease in accounts payable	2,644
Recognition of convertible debt discount	$ 4,975