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Commitments and Contingencies
 3 Months Ended
Mar. 31, 2014
Commitments And Contingencies Disclosure [Abstract]  
Commitments and Contingencies
5. Commitments and Contingencies

Leases

The Company leases its facilities and certain office equipment under long-term non-cancelable operating leases. The Company’s lease for its primary North Carolina facility expires in 2019. The lease agreement includes a renewal option to extend the lease through March 31, 2024.

 

Rent expense was approximately $231 and $223 for the three months ended March 31, 2014 and 2013, respectively. Future minimum lease payments for all operating leases as of March 31, 2014 are as follows:

 

2014

    $ 797   

2015

      1,075   

2016

      1,104   

2017

      1,123   

2018

      1,156   

Thereafter

      291   
  

 

 

  

Total

    $ 5,546   
  

 

 

  

License Arrangement with Potential Future Expenditures

As of March 31, 2014, the Company had a license arrangement with Merck that involves potential future expenditures. Under the terms of the license agreement, Merck is eligible to receive milestone payments that could total $19,000 from the Company upon initiation of SCY-078, the Company’s lead product candidate, phase 2 and 3 clinical studies, new drug application, and marketing approvals in each of the U.S., major European markets and Japan. In addition, Merck is eligible to receive tiered royalties from the Company based on a percentage of worldwide net sales of SCY-078. The aggregate royalties are mid- to high-single digits. The Company has two additional licensing agreements that could require it to make payments of up to $2,300 upon achievement of certain milestones by the Company.