Rebus Holdings, Inc. - POS AM filing on 2015-01-13

SUMMARY OF CRITICAL ACCOUNTING POLICIES AND USE OF ESTIMATES (Tables)

9 Months Ended

12 Months Ended

Sep. 30, 2014

Dec. 31, 2013

Schedule of Weighted Average Number of Shares [Table Text Block]

The following potentially dilutive securities have been excluded from the computations of weighted average shares outstanding as of September 30, 2014 and 2013, as they would be anti-dilutive:

	Nine months ended September 30,
	2014		2013
Shares underlying options outstanding		8,425,095		6,011,023
Shares underlying warrants outstanding		19,897,928		10,266,597
Shares underlying convertible notes outstanding		268,117		259,296
		28,591,140		16,536,916

The following potentially dilutive securities have been excluded from the computations of weighted average shares outstanding as of December 31, 2013 and 2012, as they would be anti-dilutive:

	Year Ended December 31,
	2013		2012
Shares underlying options outstanding		6,050,623		4,674,628
Shares underlying warrants outstanding		10,216,597		8,513,984
Shares underlying convertible notes outstanding		261,519		252,698
		16,528,739		13,441,310

Fair Value, Liabilities Measured on Recurring Basis [Table Text Block]

The Company previously had recorded a warrant derivative liability for warrants with anti-dilution provisions, which all the respective warrants were either exercised or expired as of December 31, 2013. The table below summarizes the fair values of our financial liabilities as of December 31, 2012 (in thousands):

	Fair Value at
	December 31,		Fair Value Measurement Using
	2012		Level 1		Level 2		Level 3

Warrant derivative liability	$	1,176	$	—	$	—	$	1,176

Fair Value, Measured on Recurring Basis, Gain (Loss) Included in Earnings [Table Text Block]

The reconciliation of the warrant derivative liability measured at fair value on a recurring basis using unobservable inputs (Level 3) is as follows (in thousands):

	2013		2012
Balance at beginning of year	$	1,176	$	1,734
Loss (gain) on change in fair value of warrant liability		(1,096)		50
Reclassification to equity upon exercise of warrants		(80)		(608)
Balance at end of year	$	—	$	1,176