Title of each class | Name of each exchange on which registered |
Common shares, no par value | NASDAQ TSX |
U.S. GAAP [X] | International Financial Reporting Standards as issued by | |
Other [_] |
PART I | ||
Item 1. | ||
Item 2. | ||
Item 3. | ||
Item 4. | ||
Item 4A. | ||
Item 5. | ||
Item 6. | ||
Item 7. | ||
Item 8. | ||
Item 9. | ||
Item 10. | ||
Item 11. | ||
Item 12. |
PART II | ||
Item 13. | ||
Item 14. | ||
Item 15. | ||
Item 16. | ||
Item 16A. | ||
Item 16B. | ||
Item 16C. | ||
Item 16D. | ||
Item 16E. | ||
Item 16F. | ||
Item 16G. | ||
Item 16H. | ||
PART III | ||
Item 17. | ||
Item 18. | ||
Item 19. |
As at and for the year ended November 30, 2016 | As at and for the year ended November 30, 2015 | As at and for the year ended November 30, 2014 | As at and for the year ended November 30, 2013 | As at and for the year ended November 30, 2012 | As at and for the year ended November 30, 2017 | As at and for the year ended November 30, 2016 | As at and for the year ended November 30, 2015 | As at and for the year ended November 30, 2014 | As at and for the year ended November 30, 2013 | |
$ | $ | $ | $ | $ | ||||||
Revenue | 2,247 | 4,094 | 8,770 | 1,527 | 107 | 5,504 | 2,247 | 4,094 | 8,770 | 1,527 |
Loss for the period | (10,144) | (7,436) | (3,856) | (11,495) | (6,137) | |||||
Loss for the year | (8,857) | (10,144) | (7,436) | (3,856) | (11,495) | |||||
Total assets | 7,974 | 5,224 | 7,875 | 4,380 | 2,475 | 7,397 | 7,974 | 5,224 | 7,875 | 4,380 |
Total liabilities | 6,858 | 5,362 | 2,966 | 10,335 | 4,243 | 7,010 | 6,858 | 5,362 | 2,966 | 10,335 |
Net assets | 1,116 | (138) | 4,909 | (5,955) | (1,768) | 386 | 1,116 | (138) | 4,909 | (5,955) |
Capital stock | 29,831 | 21,481 | 18,941 | 11,721 | 6,129 | 35,290 | 29,831 | 21,481 | 18,941 | 11,721 |
Loss per share - basic and diluted | (0.38) | (0.31) | (0.17) | (0.58) | (0.36) | (0.29) | (0.38) | (0.31) | (0.17) | (0.58) |
Dividends | Nil | Nil | Nil | Nil | Nil | |||||
Weighted average common shares | 26,700 | 23,768 | 23,051 | 19,671 | 17,259 | 31,014 | 26,700 | 23,768 | 23,051 | 19,671 |
AVERAGE | AVERAGE | |
2012 | 0.9977 | |
2013 | 1.0241 | 1.0241 |
2014 | 0.9115 | 0.9115 |
2015 | 0.7934 | 0.7934 |
2016 | 0.7532 | 0.7532 |
2017 | 0.7598 |
LOW | HIGH | |
August 2016 | 0.7587 | 0.7828 |
September 2016 | 0.7548 | 0.7786 |
October 2016 | 0.7461 | 0.7631 |
November 2016 | 0.7363 | 0.7498 |
December 2016 | 0.7377 | 0.7622 |
January 2017 | 0.7442 | 0.7675 |
February 2017 (through February 27, 2017) | 0.7680 | 0.7595 |
LOW | HIGH | |
August 2017 | 0.7840 | 0.8012 |
September 2017 | 0.8013 | 0.8245 |
October 2017 | 0.7756 | 0.8018 |
November 2017 | 0.7759 | 0.7885 |
December 2017 | 0.7760 | 0.7971 |
January 2018 | 0.7978 | 0.8135 |
February 2018 (through February 27, 2018) | 0.7849 | 0.8138 |
Generic name | Brand | Indication | Stage of Development(1) | Regulatory Pathway | Market Size (in millions)(2) | Rights(3) |
Dexmethylphenidate hydrochloride extended-release capsules | Focalin XR® | Attention deficit hyperactivity disorder | Received final approval for 5, 10, FDA(4) | ANDA | Intellipharmaceutics and Par | |
Levetiracetam extended-release tablets | Keppra XR® | Partial onset seizures for epilepsy | Received final approval for the 500 and 750 mg strengths from FDA | ANDA | Intellipharmaceutics | |
Venlafaxine hydrochloride extended-release capsules | Effexor XR® | Depression | ANDA application for commercialization approval for 3 strengths under review by FDA | ANDA | Intellipharmaceutics | |
Pantoprazole sodium delayed- release tablets | Protonix® | Conditions associated with gastroesophageal reflux disease | ANDA application for commercialization approval for 2 strengths under review by FDA | ANDA | Intellipharmaceutics | |
Metformin hydrochloride extended-release tablets | Glucophage® XR | Management of type 2 diabetes | Received final approval for 500 and 750 mg strengths from FDA | ANDA | $ (500 and 750 mg only) | Intellipharmaceutics |
Quetiapine fumarate extended-release tablets | Seroquel XR® | Schizophrenia, bipolar disorder & major depressive disorder | Received | ANDA ANDS | Intellipharmaceutics and Mallinckrodt | |
Lamotrigine extended-release tablets | Lamictal® XR™ | Anti-convulsant for epilepsy | ANDA application for commercialization approval for 6 strengths under review by FDA | ANDA | Intellipharmaceutics and Mallinckrodt | |
Desvenlafaxine extended-release tablets | Pristiq® | Depression | ANDA application for commercialization approval for 2 strengths under review by FDA | ANDA | Intellipharmaceutics and Mallinckrodt | |
Trazodone hydrochloride extended release tablets | Depression | ANDA application for commercialization approval for 2 strengths under review by FDA | ANDA | Intellipharmaceutics | ||
Carvedilol phosphate extended-release capsules | Coreg CR® | Heart failure, hypertension | Late-stage development | ANDA | Intellipharmaceutics | |
Oxycodone hydrochloride controlled-release capsules | OxyContin® | Pain | NDA application accepted February 2017 and under review by | NDA 505(b)(2) | Intellipharmaceutics | |
Pregabalin extended-release capsules | Lyrica® | Neuropathic pain | Investigational New Drug (“IND”) application submitted in August 2015 | NDA 505(b)(2) | Intellipharmaceutics | |
Ranolazine extended-release tablets | Ranexa® | Chronic angina | ANDA application for commercialization approval for 2 strengths under review by FDA | ANDA | Intellipharmaceutics |
Country | Issue Date | Issue No. | Title |
U.S.A. | October 31, 2017 | 9,801,939 | Compositions and Methods For Reducing Overdose |
U.S.A. | July 11, 2017 | 9,700,516 | Compositions and Methods For Reducing Overdose |
U.S.A. | July 11, 2017 | 9,700,515 | Compositions and Methods For Reducing Overdose |
U.S.A. | Dec 20, 2016 | 9,522,119 | Compositions and Methods For Reducing Overdose |
U.S.A. | July 14, 2015 | 9,078,827 | Pharmaceutical Composition Having Reduced Abuse Potential |
U.S.A. | Aug 12, 2014 | 8,802,139 | Proton Pump-Inhibitor-Containing Capsules Which Comprise Subunits Differently Structured For A Delayed Release Of The Active Ingredient |
U.S.A. | Dec 10, 2013 | 8,603,520 | Oral Multi-functional Pharmaceutical Capsule Preparations of Proton Pump Inhibitors |
U.S.A. | Mar 12, 2013 | 8,394,409 | Controlled Extended Drug Release Technology |
U.S.A. | Mar 15, 2011 | 7,906,143 | Controlled Release Pharmaceutical Delivery Device and Process for Preparation Thereof |
U.S.A. | Dec 28, 2010 | 7,858,119 | Extended Release Pharmaceuticals |
U.S.A. | Aug 15, 2006 | 7,090,867 | Novel Controlled Release Delivery Device for Pharmaceutical Agents Incorporating Microbial Gum |
U.S.A. | Oct 5, 2004 | 6,800,668 | Syntactic Deformable Foam Compositions and Methods for Making |
U.S.A. | Nov 25, 2003 | 6,652,882 | Controlled Release Formulation Containing Bupropion |
U.S.A. | Aug 19, 2003 | 6,607,751 | Novel Controlled Release Delivery Device for Pharmaceutical Agents Incorporating Microbial Gum |
U.S.A. | Nov 12, 2002 | 6,479,075 | Pharmaceutical Formulations for Acid Labile Substances |
U.S.A. | Oct 2, 2001 | 6,296,876 | Pharmaceutical Formulations for Acid Labile Substances |
Japan | Aug 28, 2015 | 5,798,293 | Pharmaceutical Composition Having Reduced Abuse Potential |
Japan | Jan 17, 2014 | 5,457,830 | Controlled Release Delivery Device Comprising An Organosol Coat |
Japan | Aug 8, 2014 | 5,592,547 | Drug Delivery Composition |
Japan | Aug 30, 2013 | 5,349,290 | Drug Delivery Composition |
India | Feb 10, 2015 | 265,141 | Pharmaceutical Composition Having Reduced Abuse Potential |
Europe | Nov 26, 2014 | 2,007,360 | Controlled Release Delivery Device Comprising an Organosol Coat |
Canada | May 26, 2015 | 2,579,382 | Controlled Release Composition Using Transition Coating, And Method Of Preparing Same |
Canada | Jan 28, 2014 | 2,571,897 | Controlled Extended Drug Release Technology |
Canada | Apr 8, 2014 | 2,576,556 | Disintegrant Assisted Controlled Release Technology |
Canada | Mar 11, 2014 | 2,648,280 | Controlled Release Delivery Device Comprising an Organosol Coat |
Canada | Jun 19, 2012 | 2,626,558 | Pharmaceutical Composition having Reduced Abuse Potential |
Canada | Sep 25, 2012 | 2,529,984 | Oral Multi-Functional Pharmaceutical Capsule Preparations of Proton Pump Inhibitors |
Canada | Feb 22, 2011 | 2,459,857 | Combinatorial Type Controlled Release Drug Delivery Device |
Canada | Mar 15, 2005 | 2,435,276 | Syntactic Deformable Foam Compositions and Methods for Making |
Canada | Nov 29, 2016 | 2,910,865 | Compositions and Methods For Reducing Overdose |
China | May 11, 2016 | ZL200780019665.5 | Drug Delivery Composition |
China | Nov 25, 2015 | ZL200780025611.X | Pharmaceutical Composition Having Reduced Abuse Potential |
For the years ended | |||||||
November 30, | November 30, | November 30, | Change | Change | |||
2017 | 2016 | 2015 | 2017 vs 2016 | 2016 vs 2015 | |||
$ | $ | $ | $ | % | $ | % | |
Revenue: | |||||||
Licensing | 5,025,350 | 2,209,502 | 4,093,781 | 2,815,848 | 127% | (1,884,279) | -46% |
Up-front fees | 479,102 | 37,500 | - | 441,602 | 1178% | 37,500 | N/A |
5,504,452 | 2,247,002 | 4,093,781 | 3,257,450 | 145% | (1,846,779) | -45% | |
Cost of goods sold | 704,006 | - | - | 704,006 | N/A | - | N/A |
Gross Margin | 4,800,446 | 2,247,002 | 4,093,781 | 2,553,444 | 114% | (1,846,779) | -45% |
Expenses: | |||||||
Research and development | 9,271,353 | 8,166,736 | 7,247,473 | 1,104,617 | 14% | 919,263 | 13% |
Selling, general and administrative | 3,287,914 | 3,546,132 | 3,581,913 | (258,218) | -7% | (35,781) | -1% |
Depreciation | 506,961 | 385,210 | 377,849 | 121,751 | 32% | 7,361 | 2% |
13,066,228 | 12,098,078 | 11,207,235 | 968,150 | 8% | 890,843 | 8% | |
Loss from operations | (8,265,782) | (9,851,076) | (7,113,454) | 1,585,294 | -16% | (2,737,622) | 38% |
Net foreign exchange (loss) gain | (80,093) | (22,470) | 46,211 | (57,623) | 256% | (68,681) | -149% |
Interest income | 15,037 | 207 | 1,507 | 14,830 | 7164% | (1,300) | -86% |
Interest expense | (389,239) | (270,238) | (256,629) | (119,001) | 44% | (13,609) | 5% |
Financing cost | (137,363) | - | - | (137,363) | N/A | - | N/A |
Extinguishment loss | - | - | (114,023) | - | N/A | 114,023 | N/A |
Net loss | (8,857,440) | (10,143,577) | (7,436,388) | 1,286,137 | -13% | (2,707,189) | 36% |
For the years ended | Change | Change | |||||
November 30, 2016 | November 30, 2015 | November 30, 2014 | 2016 vs 2015 | 2015 vs 2014 | |||
$ | $ | $ | $ | % | $ | % | |
Revenue: | |||||||
Licensing | 2,209,502 | 4,093,781 | 8,415,540 | (1,884,279) | -46% | (4,321,759) | -51% |
Milestone | - | - | 354,153 | - | N/A | (354,153) | -100% |
Up-front fees | 37,500 | - | - | 37,500 | N/A | - | N/A |
2,247,002 | 4,093,781 | 8,769,693 | (1,846,779) | -45% | (4,675,912) | -53% | |
Expenses: | |||||||
Research and development | 8,166,736 | 7,247,473 | 8,020,201 | 919,263 | 13% | (772,728) | -10% |
Selling, general and administrative | 3,546,132 | 3,581,913 | 3,900,803 | (35,781) | -1% | (318,890) | -8% |
Depreciation | 385,210 | 377,849 | 381,385 | 7,361 | 2% | (3,536) | -1% |
12,098,078 | 11,207,235 | 12,302,389 | 890,843 | 8% | (1,095,154) | -9% | |
Loss from operations | (9,851,076) | (7,113,454) | (3,532,696) | (2,737,622) | 38% | (3,580,758) | 101% |
Net foreign exchange (loss) gain | (22,470) | 46,211 | 10,896 | (68,681) | -149% | 35,315 | 324% |
Interest income | 207 | 1,507 | 4,898 | (1,300) | -86% | (3,391) | -69% |
Interest expense | (270,238) | (256,629) | (339,451) | (13,609) | 5% | 82,822 | -24% |
Extinguishment loss | - | (114,023) | - | 114,023 | N/A | (114,023) | N/A |
Net loss | (10,143,577) | (7,436,388) | (3,856,353) | (2,707,189) | 36% | (3,580,035) | 93% |
For the years ended | ||||||||||||||
For the years ended | November 30, | Change | ||||||||||||
November 30, 2016 | November 30, 2015 | November 30, 2014 | Change (2016 vs 2015) | Change (2015 vs 2014) | 2017 | 2016 | 2015 | (2017 vs 2016) | (2016 vs 2015) | |||||
$ | % | $ | % | $ | $ | $ | $ | % | $ | % | ||||
Cash flows used in operating activities | (6,254,985) | (3,782,164) | (1,714,913) | (2,472,821) | 65% | (2,067,251) | 121% | (6,105,785) | (6,254,985) | (3,782,164) | 149,200 | -2% | (2,472,821) | 65% |
Cash flows provided from financing activities | 9,159,623 | 1,733,865 | 5,957,275 | 7,425,758 | 428% | (4,223,410) | -71% | 5,682,168 | 9,159,623 | 1,733,865 | (3,477,455) | -38% | 7,425,758 | 428% |
Cash flows used in investing activities | (515,410) | (430,480) | (768,973) | (84,930) | 20% | 338,493 | -44% | (1,823,746) | (515,410) | (430,480) | (1,308,336) | 254% | (84,930) | 20% |
Increase (decrease) in cash | 2,389,228 | (2,478,779) | 3,473,389 | 4,868,007 | 196% | (5,952,168) | -171% | (2,247,363) | 2,389,228 | (2,478,779) | (4,636,591) | -194% | 4,868,007 | -196% |
Cash, beginning of period | 1,755,196 | 4,233,975 | 760,586 | (2,478,779) | -59% | 3,473,389 | 457% | |||||||
Cash, end of period | 4,144,424 | 1,755,196 | 4,233,975 | 2,389,228 | 136% | (2,478,779) | -59% | |||||||
Cash, beginning of year | 4,144,424 | 1,755,196 | 4,233,975 | 2,389,228 | 136% | (2,478,779) | -59% | |||||||
Cash, end of year | 1,897,061 | 4,144,424 | 1,755,196 | (2,247,363) | -54% | 2,389,228 | 136% |
(Loss) per share | ||||||||
Quarter Ended | Revenue | Net loss | Basic(1) | Diluted(1) | Revenue | Net loss | Loss per share | |
$ | $ | Basici | Dilutedi | |||||
$ | ||||||||
November 30, 2017 | 1,077,835 | (2,510,936) | (0.08) | |||||
August 31, 2017 | 1,189,739 | (2,550,314) | (0.08) | |||||
May 31, 2017 | 2,001,512 | (1,805,329) | (0.06) | |||||
February 28, 2017 | 1,235,366 | (1,990,861) | (0.07) | |||||
November 30, 2016 | 569,096 | (3,913,304) | (0.13) | (0.13) | 569,096 | (3,913,304) | (0.13) | |
August 31, 2016 | 554,925 | (2,110,156) | (0.07) | (0.07) | 554,925 | (2,110,156) | (0.07) | |
May 31, 2016 | 556,004 | (2,000,077) | (0.08) | (0.08) | 556,044 | (2,000,077) | (0.08) | |
February 29, 2016 | 566,937 | (2,120,040) | (0.09) | (0.09) | 566,937 | (2,120,040) | (0.09) | |
November 30, 2015 | 845,103 | (3,132,788) | (0.13) | (0.13) | ||||
August 31, 2015 | 840,748 | (1,881,670) | (0.08) | (0.08) | ||||
May 31, 2015 | 1,268,245 | (1,507,270) | (0.06) | (0.06) | ||||
February 28, 2015 | 1,139,685 | (914,660) | (0.04) | (0.04) |
Payments Due by Period | |||||
Contractual Obligations | Total | Less than 1 Year | 1 - 3 Years | 3 - 5 Years | More than 5 Years |
Third parties | |||||
Accounts payable | $807,295 | $807,295 | $- | $- | $- |
Accrued liabilities | 384,886 | 384,886 | - | - | - |
Capital lease | 14,829 | 14,829 | - | - | - |
Operating lease | 718,944 | 179,736 | 539,208 | - | - |
Related parties | |||||
Employee costs payable | 1,044,151 | 1,044,151 | - | - | - |
Convertible debenture | 1,574,908 | 1,574,908 | - | - | - |
Total contractual obligations | $4,545,013 | $4,005,805 | $539,208 | $- | $- |
Payments Due by Year | |||||
Contractual Obligations | Total | Less than 1 Year | 1 - 3 Years | 3 - 5 Years | More than 5 Years |
$ | $ | $ | $ | $ | |
Third parties | |||||
Accounts payable | 2,060,084 | 2,060,084 | - | - | - |
Accrued liabilities | 782,369 | 782,369 | - | - | - |
Operating lease | 558,660 | 186,220 | 372,440 | - | - |
Related parties | |||||
Employee costs payable | 214,980 | 214,980 | - | - | - |
Convertible debenture | 1,512,332 | 1,512,332 | - | - | - |
Total contractual obligations | 5,128,425 | 4,755,985 | 372,440 | - | - |
Name and Province of Residence | Position held with the Company | Principal Occupations During the Last 5 Years | Other Public Company Boards | Director Since |
Dr. Isa Odidi Ontario, Canada | Chairman of the Board and Chief Executive Officer | Officer of the Company | None | September 2004 |
Dr. Amina Odidi Ontario, Canada | President, Chief Operating Officer and Director | Officer of the Company | None | September 2004 |
Dr. Eldon R. Smith(1) Alberta, Canada | Director | President and CEO of Eldon R. Smith and Associates Ltd., a consulting business and Professor Emeritus at the University of Calgary, Faculty of Medicine | October 2009 | |
Bahadur Madhani(1) Ontario, Canada | Director | Chief Executive Officer of Equiprop Management Limited, a consulting business. | None | March 2006 |
Kenneth Keirstead(1) New Brunswick, Canada | Director | Executive Manager of Lyceum Group, a consulting | None | January 2006 |
Dr. Patrick Yat Ontario, Canada | Vice-President, | Officer of the Company | None | N/A |
Andrew Patient Ontario, Canada | Chief Financial Officer | Officer of the Company since | None | N/A |
Non-equity incentive plan compensation (U.S.$)(f) | |||||||||
Name and principal position(a) | Year(b) | Salary (U.S.$)(1)(c) | Share-based awards (U.S.$)(d) | Option- based awards (U.S.$)(2)(e) | Annual incentive plans(3) | Long-term incentive plans | Pension value (U.S.$)(g) | All other compensation (U.S.$)(4)(h) | Total compensation (U.S.$)(i) |
Dr. Isa Odidi,Chairman & Chief Executive Officer | 2016 | 340,464 | N/A | $703,016 | 340,464 | N/A | N/A | 13,558 | 1,397,502 |
2015 | 358,617 | N/A | 68,644 | N/A | N/A | N/A | 14,678 | 441,939 | |
2014 | 581,965 | N/A | 99,615 | 182,299 | N/A | N/A | 10,938 | 775,202 | |
Dr. Amina Odidi,President & Chief Operating Officer | 2016 | 340,464 | N/A | $703,016 | 340,464 | N/A | N/A | 13,558 | 1,397,502 |
2015 | 358,617 | N/A | 68,644 | N/A | N/A | N/A | 14,678 | 441,939 | |
2014 | 581,965 | N/A | 99,615 | 182,299 | N/A | N/A | 10,938 | 775,202 | |
John Allport,VP Legal Affairs & Licensing | 2016 | 109,220 | N/A | $50,346 | 56,493 | N/A | N/A | 13,558 | 229,617 |
2015 | 115,043 | N/A | 39,225 | N/A | N/A | N/A | 14,678 | 168,946 | |
2014 | 132,167 | N/A | 99,615 | 91,149 | N/A | N/A | 10,938 | 333,869 | |
Domenic Della Penna, Chief Financial Officer(5) | 2016 | 225,972 | N/A | $64,076 | 112,986 | N/A | N/A | 13,558 | 416,592 |
2015 | 218,185 | N/A | 76,810 | N/A | N/A | N/A | 14,281 | 309,276 | |
2014 | 5,222 | N/A | 34,573 | N/A | N/A | N/A | 342 | 40,137 |
Non-equity incentive plan compensation (U.S.$)(f) | |||||||||
Name and principal position(a) | Year(b) | Salary (U.S.$)(1)(c) | Share-based awards (U.S.$)(d) | Option-based awards (U.S.$)(2)(e) | Annual incentive plans(3) | Long-term incentive plans | Pension value (U.S.$)(g) | All other compensation (U.S.$)(4)(h) | Total compensation (U.S.$)(i) |
Dr. Isa Odidi, Chairman & Chief Executive Officer | 2017 | 343,430 | N/A | 1,609,573 | N/A | N/A | N/A | 13,676 | 1,966,680 |
2016 | 340,464 | N/A | 703,016 | 340,464 | N/A | N/A | 13,558 | 1,397,502 | |
2015 | 358,617 | N/A | 68,644 | N/A | N/A | N/A | 14,678 | 441,939 |
Dr. Amina Odidi, President & Chief Operating Officer | 2017 | 343,430 | N/A | 1,609,573 | N/A | N/A | N/A | 13,676 | 1,966,680 |
2016 | 340,464 | N/A | 703,016 | 340,464 | N/A | N/A | 13,558 | 1,397,502 | |
2015 | 358,617 | N/A | 68,644 | N/A | N/A | N/A | 14,678 | 441,939 | |
John Allport, Former VP Legal Affairs & Licensing(5) | 2017 | 59,676 | N/A | N/A | N/A | N/A | N/A | 7,408 | 67,084 |
2016 | 109,220 | N/A | 50,346 | 56,493 | N/A | N/A | 13,558 | 229,617 | |
2015 | 115,043 | N/A | 39,225 | N/A | N/A | N/A | 14,678 | 168,946 | |
Domenic Della Penna, Former Chief Financial Officer(6) | 2017 | 189,662 | N/A | N/A | N/A | N/A | N/A | 10,257 | 199,919 |
2016 | 225,972 | N/A | 64,076 | 112,986 | N/A | N/A | 13,558 | 416,592 | |
2015 | 218,185 | N/A | 76,810 | N/A | N/A | N/A | 14,281 | 309,276 | |
Andrew Patient, Chief Financial Officer(7) | 2017 | 54,395 | N/A | 19,800 | N/A | N/A | N/A | 3,419 | 77,614 |
Name(a) | Number of securities underlying unexercised options (#)(b) | Option exercise price (U.S.$)(c) | Option expiration date(d) | Value of unexercised in-the-money options (U.S.$)(e) | Number of shares or units of shares that have not vested (#)(f) | Market or payout value of share-based awards that have not vested (U.S.$)(g) | |
Drs. Isa Odidi and Amina Odidi(1) | 2,763,940 | US$3.62 | Sept. 10, 2018 | N/A | N/A | N/A | |
Dr. Isa Odidi | 300,000 75,000 50,000 70,000 90,000 70,000 | C$3.27 C$1.81 C$4.29 C$2.52 C$ C$1.15 | Feb. 16, 2022 Apr. 13. 2020 Feb. 28, 2019 Nov. 30, 2020 Aug. 31, 2021 | Nov. 30, 2022 | N/A N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A N/A |
Dr. Amina Odidi | 300,000 75,000 50,000 70,000 90,000 70,000 | C$3.27 C$1.81 C$4.29 C$2.52 C$ C$1.15 | Feb. 16, 2022 Apr. 13. 2020 Feb. 28, 2019 Nov. 30, 2020 Aug. 31, 2021 | Nov. 30, 2022 | N/A N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A N/A |
John Allport(2) | 250,000 25,000 50,000 40,000 55,000 | C$3.27 C$1.81 C$4.29 C$2.52 C$ 2.42 | Feb. 16. 2022 Apr. 13, 2020 Feb. 28, 2019 Nov. 30, 2020 Aug. 31, 2021 | N/A N/A | N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A | |
Domenic Della Penna | 60,000 50,000 70,000 | C$3.22 C$2.52 C$ 2.42 | Nov. 30, 2024 Nov. 30, 2020 Aug. 31, 2021 | N/A | N/A N/A N/A | N/A N/A N/A | |
Andrew Patient, Chief Financial Officer(5) | 60,000 15,000 | C$1.27 C$1.15 | Oct. 20, 2027 Nov. 30, 2022 | N/A | N/A | N/A |
Name | Option-based awards - Value vested during the year (U.S.$) | Share-based awards - Value vested during the year (U.S.$) | Non-equity incentive plan compensation - Value earned during the year (U.S.$) |
(a) | (b)(1) | (c) | (d) |
Drs. Isa Odidi | N/A | N/A | N/A |
Dr. Amina Odidi | N/A | N/A | N/A |
John | N/A | N/A | N/A |
Domenic Della | N/A | N/A | N/A |
Andrew Patient, Chief Financial Officer(4) | N/A | N/A | N/A |
Name | Fees earned | Share-based awards | Option-based awards | Non-equity incentive plan compensation | Pension value | All other compensation | Total | |
(a) | (b) | (c)(1) | (d)(2) | (e) | (f) | (g) | (h) | |
Eldon Smith | - | $C40,000 | $C18,442 | N/A | N/A | N/A | $C58,442 | |
Kenneth Keirstead | $C40,000 | N/A | $C18,442 | N/A | N/A | N/A | $C58,442 | |
Bahadur Madhani | $C45,000 | N/A | $C18,442 | N/A | N/A | N/A | $C63,442 |
Option-based Awards | Share-based Awards | ||||||
Name | Number of securities underlying unexercised options (#) | Option exercise price (U.S.$) | Option expiration date | Value of unexercised in-the-money options (U.S.$) | Number of shares or units of shares that have not vested (#) | Market or payout value of share-based awards that have not vested (U.S.$) | |
(a) | (b) | (c) | (d) | (e)(1) | (f)(2) | (g)(3) | |
Eldon Smith | 10,000 25,000 37,500 37,500 20,000 35,000 40,000 | C$2.88 C$1.81 C$3.22 C$4.29 C$2.52 C$ C$1.15 | Oct. 22, 2019 Apr. 13, 2020 Nov. 30, 2019 Feb. 28, 2019 Nov. 30, 2020 Aug. 31, 2021 Nov. 30, 2022 | N/A | N/A N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A N/A | C$102,603 N/A N/A N/A N/A N/A N/A |
Kenneth Keirstead | 10,000 25,000 37,500 37,500 20,000 35,000 40,000 | C$2.88 C$1.81 C$3.22 C$4.29 C$2.52 C$ C$1.15 | Oct. 22, 2019 Apr. 13, 2020 Nov. 30, 2019 Feb. 28, 2019 Nov. 30, 2020 Aug. 31, 2021 | Nov. 30, 2022 | N/A N/A N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A N/A N/A |
Bahadur Madhani | 10,000 25,000 37,500 37,500 20,000 35,000 40,000 | C$2.88 C$1.81 C$3.22 C$4.29 C$2.52 C$ C$1.15 | Oct. 22, 2019 Apr. 13, 2020 Nov. 30, 2019 Feb. 28, 2019 Nov. 30, 2020 Aug. 31, 2021 | Nov. 30, 2022 | N/A N/A N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A N/A N/A | N/A N/A N/A N/A N/A N/A N/A |
Name | Option-based awards - Value vested during the year (U.S.$) | Share-based awards - Value vested during the year (U.S.$) | Non-equity incentive plan compensation - Value earned during the year (U.S.$) |
(a) | (b)(1) | (c)(2) | (d) |
Eldon Smith | N/A | N/A | Nil |
Kenneth Keirstead | N/A | N/A | Nil |
Bahadur Madhani | N/A | N/A | Nil |
November 30, 2016 | November 30, 2015 | November 30, 2014 | November 30, 2017 | November 30, 2016 | November 30, 2015 | |
Research Employees | 44 | 40 | 35 | 51 | 40 | 35 |
Administrative Employees | 10 | 12 | 11 | 11 | 12 | 11 |
Name | Position with the Company | Number of Common Shares Owned | Percentage of Common Shares Owned | Number of Stock Options Held(2) | Exercise Price | Option Expiry dd/mm/yyyy | Number of Currently Exercisable Options(4) | Number of Common Shares Issuable on Conversion of Convertible Debt | Number of Deferred Share Units Held | Number of Restricted Share Units Held |
Dr. Isa Odidi | Chief Executive Officer and Chairman of the Board and Director of the Company | 5,781,312(1) | 19.17% | 2,763,940 300,000 75,000 50,000 70,000 90,000 | $3.62 C$3.27 C$1.81 C$4.29 C$2.52 C$2.43 | 10/09/2016 16/02/2022 13/04/2020 28/02/2019 30/11/2020 31/08/2021 | 2,211,152 300,000 75,000 50,000 70,000 60,000 | 450,000(3) | N/A | N/A |
Dr. Amina Odidi | President, Chief Operating Officer and Director of the Company | 5,781,312(1) | 19.17% | 2,763,940 300,000 75,000 50,000 70,000 90,000 | $3.62 C$3.27 C$1.81 C$4.29 C$2.52 C$2.43 | 10/09/2016 16/02/2022 13/04/2020 28/02/2019 30/11/2020 31/08/2021 | 2,211,152 300,000 75,000 50,000 70,000 60,000 | 450,000(3) | N/A | N/A |
John N. Allport | Vice-President, Legal Affairs and Licensing and Director of the Company | 110,558 | 0.37% | 250,000 25,000 50,000 40,000 55,000 | C$3.27 C$1.8 1C$4.29 C$2.52 C$2.43 | 16/02/2022 13/04/2020 28/02/2019 30/11/2020 31/08/2021 | 250,000 25,000 50,000 40,000 37,000 | N/A | N/A | Nil |
Dr. Eldon R. Smith | Director of the Company | 21,731 | 0.07% | 10,000 25,000 37,500 37,500 20,000 35,000 | C$2.88 C$1.81 C$4.29 C$3.22 C$2.52 C$2.43 | 22/10/2019 13/04/2020 28/02/2019 30/11/2019 30/11/2020 31/08/2021 | 10,000 25,000 37,500 37,500 20,000 24,000 | N/A | 79,099 | N/A |
Kenneth Keirstead | Director of the Company | Nil | Nil | 10,000 25,000 37,500 37,500 20,000 35,000 | C$2.88 C$1.81 C$4.29 C$3.22 C$2.52 C$2.43 | 22/10/2019 13/04/2020 28/02/2019 30/11/2019 30/11/2020 31/08/2021 | 10,000 25,000 37,500 37,500 20,000 24,000 | N/A | Nil | N/A |
Bahadur Madhani | Director of the Company | 7,507 | 0.03% | 10,000 25,000 37,500 37,500 20,000 35,000 | C$2.88 C$1.81 C$4.29 C$3.22 C$2.52 C$2.43 | 22/10/2019 13/04/2020 28/02/2019 30/11/2019 30/11/2020 31/08/2021 | 10,000 25,000 37,500 37,500 20,000 24,000 | N/A | Nil | N/A |
Dr. Patrick Yat | Vice-President Pharmaceutical Analysis and Chemistry of the Company | 27,172 | 0.09% | 50,000 15,000 15,000 25,000 | C$3.82 C$1.81 C$2.52 C$2.43 | 24/05/2021 13/04/2020 30/11/2020 31/08/2021 | 50,000 15,000 15,000 17,000 | N/A | N/A | Nil |
Domenic Della Penna | Chief Financial Officer of the Company | 173,700 | 0.58% | 60,000 50,000 70,000 | C$3.22 C$2.52 C$2.43 | 30/11/2024 30/11/2020 31/08/2021 | 45,000 50,000 47,000 | N/A | N/A | Nil |
Totals | 6,121,980 | 20.30% | 5,133,940 | 4,424,152 | 450,000 | 79,099 | Nil |
Name | Position with the Company | Number of Common Shares Owned | Percentage of Common Shares Owned | Number of Stock Options Held(2) | Exercise Price | Option Expiry dd/mm/yyyy | Number of Currently Exercisable Options(4) | Number of Common Shares Issuable on Conversion of Convertible Debt | Number of Deferred Share Units Held | Number of Restricted Share Units Held |
Dr. Isa Odidi | Chief Executive Officer and Chairman of the Board and Director of the Company | 5,781,312(1) | 16.66% | 2,763,940 300,000 75,000 50,000 70,000 90,000 70,000 | $3.62 C$3.27 C$1.81 C$4.29 C$2.52 C$2.42 C$1.15 | 10/09/2018 16/02/2022 13/04/2020 28/02/2019 30/11/2020 31/08/2021 30/11/2022 | 2,487,546 300,000 75,000 50,000 70,000 90,000 23,334 | 450,000(3) | N/A | N/A |
Dr. Amina Odidi | President, Chief Operating Officer and Director of the Company | 5,781,312(1) | 16.66% | 2,763,940 300,000 75,000 50,000 70,000 90,000 70,000 | $3.62 C$3.27 C$1.81 C$4.29 C$2.52 C$2.42 C$1.15 | 10/09/2018 16/02/2022 13/04/2020 28/02/2019 30/11/2020 31/08/2021 30/11/2022 | 2,487,546 300,000 75,000 50,000 70,000 90,000 23,334 | 450,000(3) | N/A | N/A |
John N. Allport | Consultant; Former Vice-President, Legal Affairs and Licensing and Former Director of the Company | 110,558 | 0.32% | 250,000 25,000 50,000 40,000 55,000 | C$3.27 C$1.81 C$4.29 C$2.52 C$2.42 | 16/02/2022 13/04/2020 28/02/2019 30/11/2020 31/08/2021 | 250,000 25,000 50,000 40,000 55,000 | N/A | N/A | Nil |
Dr. Eldon R. Smith | Director of the Company | 21,731 | 0.06% | 10,000 25,000 37,500 37,500 20,000 35,000 40,000 | C$2.88 C$1.81 C$4.29 C$3.22 C$2.52 C$2.42 C$1.15 | 22/10/2019 13/04/2020 28/02/2019 30/11/2019 30/11/2020 31/08/2021 30/11/2022 | 10,000 25,000 37,500 37,500 20,000 35,000 13,334 | N/A | 94,131 | N/A |
Kenneth Keirstead | Director of the Company | Nil | Nil | 10,000 25,000 37,500 37,500 20,000 35,000 40,000 | C$2.88 C$1.81 C$4.29 C$3.22 C$2.52 C$2.42 C$1.15 | 22/10/2019 13/04/2020 28/02/2019 30/11/2019 30/11/2020 31/08/2021 30/11/2022 | 10,000 25,000 37,500 37,500 20,000 35,000 13,334 | N/A | Nil | N/A |
Bahadur Madhani | Director of the Company | 7,507 | 0.02% | 10,000 25,000 37,500 37,500 20,000 35,000 40,000 | C$2.88 C$1.81 C$4.29 C$3.22 C$2.52 C$2.42 C$1.15 | 22/10/2019 13/04/2020 28/02/2019 30/11/2019 30/11/2020 31/08/2021 30/11/2022 | 10,000 25,000 37,500 37,500 20,000 35,000 13,334 | N/A | Nil | N/A |
Dr. Patrick Yat | Vice-President, Chemistry and Analytical Services | 27,172 | 0.08% | 50,000 15,000 15,000 25,000 15,000 | C$3.82 C$1.81 C$2.52 C$2.42 C$1.15 | 24/05/2021 13/04/2020 30/11/2020 31/08/2021 30/11/2022 | 50,000 15,000 15,000 25,000 5,000 | N/A | N/A | Nil |
Andrew Patient | Chief Financial Officer of the Company | Nil | Nil | 60,000 15,000 | C$1.27 C$1.15 | 20/10/2027 30/11/2022 | 20,000 5,000 | N/A | N/A | Nil |
Totals | 5,948,280 | 17.14% | 5,388,940 | 4,822,550 | 450,000 | 94,131 | Nil |
NASDAQ (U.S.$) | TSX (C$) | NASDAQ (U.S.$) | TSX (C$) | |||||
Annual | High | Low | High | Low | High | Low | High | Low |
2017 | 3.12 | 0.81 | 4.09 | 1.00 | ||||
2016 | 3.35 | 1.41 | 4.50 | 1.78 | 3.35 | 1.41 | 4.50 | 1.78 |
2015 | 3.92 | 1.73 | 4.99 | 2.16 | 3.92 | 1.73 | 4.99 | 2.16 |
2014 | 5.18 | 1.94 | 5.77 | 2.14 | 5.18 | 1.94 | 5.77 | 2.14 |
2013 | 6.46 | 1.50 | 6.70 | 1.55 | 6.46 | 1.50 | 6.70 | 1.55 |
2012 | 3.82 | 1.88 | 3.55 | 1.81 | ||||
�� | ||||||||
Quarterly | ||||||||
2016 | ||||||||
2017 | ||||||||
Fourth quarter | 3.35 | 1.69 | 4.50 | 2.21 | 1.25 | 0.82 | 1.58 | 1.00 |
Third quarter | 2.06 | 1.41 | 2.61 | 1.78 | 2.92 | 0.81 | 3.73 | 1.00 |
Second quarter | 2.42 | 1.53 | 3.22 | 2.00 | ||||
First quarter | 3.19 | 1.83 | 4.20 | 2.46 | ||||
2015 | ||||||||
Fourth quarter | 2.32 | 1.73 | 2.95 | 2.16 | ||||
Third quarter | 3.87 | 1.92 | 4.99 | 2.25 | ||||
Second quarter | 3.92 | 2.28 | 4.86 | 2.95 | ||||
First quarter | 2.94 | 1.96 | 3.33 | 2.49 | ||||
2014 | ||||||||
Fourth quarter | 4.48 | 3.05 | 4.17 | 2.77 | ||||
Third quarter | 5.18 | 3.21 | 4.49 | 2.14 | ||||
Second quarter | 4.19 | 1.94 | 5.77 | 3.53 | ||||
First quarter | 3.80 | 2.51 | 4.82 | 3.28 | ||||
2013 | ||||||||
Fourth quarter | 6.46 | 1.63 | 6.70 | 1.72 | ||||
Third quarter | 3.72 | 1.50 | 3.84 | 1.55 | ||||
Second quarter | 2.23 | 1.57 | 2.35 | 1.60 | ||||
First quarter | 2.59 | 1.72 | 2.56 | 1.77 | ||||
2012 | ||||||||
Fourth quarter | 3.16 | 1.88 | 3.17 | 1.81 | ||||
Third quarter | 3.49 | 2.40 | 3.54 | 2.49 | ||||
Second quarter | 3.19 | 2.64 | 3.38 | 2.51 | ||||
First quarter | 3.82 | 2.41 | 3.55 | 2.53 | ||||
NASDAQ (U.S.$) | TSX (C$) | |||
Most recent 6 months | High | Low | High | Low |
February 2017 | 2.99 | 2.11 | 4.05 | 2.78 |
January 2017 | 2.96 | 2.46 | 3.91 | 3.24 |
December 2016 | 3.05 | 2.63 | 4.09 | 3.50 |
November 2016 | 3.35 | 2.44 | 4.50 | 3.28 |
October 2016 | 3.33 | 2.08 | 4.40 | 2.75 |
September 2016 | 2.34 | 1.69 | 2.95 | 2.21 |
August 2016 | 2.06 | 1.71 | 2.61 | 2.23 |
Second quarter | 2.69 | 1.81 | 3.57 | 2.48 |
First quarter | 3.12 | 2.11 | 4.09 | 2.78 |
2016 | ||||
Fourth quarter | 3.35 | 1.69 | 4.50 | 2.21 |
Third quarter | 2.06 | 1.41 | 2.61 | 1.78 |
Second quarter | 2.42 | 1.53 | 3.22 | 2.00 |
First quarter | 3.19 | 1.83 | 4.20 | 2.46 |
2015 | ||||
Fourth quarter | 2.32 | 1.73 | 2.95 | 2.16 |
Third quarter | 3.87 | 1.92 | 4.99 | 2.25 |
Second quarter | 3.92 | 2.28 | 4.86 | 2.95 |
First quarter | 2.94 | 1.96 | 3.33 | 2.49 |
2014 | ||||
Fourth quarter | 4.48 | 3.05 | 4.17 | 2.77 |
Third quarter | 5.18 | 3.21 | 4.49 | 2.14 |
Second quarter | 4.19 | 1.94 | 5.77 | 3.53 |
First quarter | 3.80 | 2.51 | 4.82 | 3.28 |
2013 | ||||
Fourth quarter | 6.46 | 1.63 | 6.70 | 1.72 |
Third quarter | 3.72 | 1.50 | 3.84 | 1.55 |
Second quarter | 2.23 | 1.57 | 2.35 | 1.60 |
First quarter | 2.59 | 1.72 | 2.56 | 1.77 |
NASDAQ (U.S.$) | TSX (C$) | |||
Most recent 6 months | High | Low | High | Low |
February 2018 | 0.82 | 0.61 | 1.02 | 0.78 |
January 2018 | 1.05 | 0.77 | 1.29 | 0.97 |
December 2017 | 0.89 | 0.70 | 1.15 | 0.92 |
November 2017 | 0.97 | 0.84 | 1.23 | 1.09 |
October 2017 | 1.25 | 0.88 | 1.58 | 1.13 |
September 2017 | 1.17 | 0.82 | 1.50 | 1.00 |
August 2017 | 1.30 | 0.81 | 1.62 | 1.00 |
Options outstanding | Options exercisable | ||||||
Exercise price | Number outstanding | Weighted average exercise price per share | Weighted average remaining contract life (years) | Weighted average grant due fair value | Number exercisable | Weighted average exercise price per share | Weighted average grant date fair value |
$ | $ | $ | $ | $ | |||
Under 2.50 - | - | - | - | - | - | - | - |
2.51 - 5.00 | 5,360,835 | 3.31 | 0.96 | 1.74 | 4,364,985 | 3.27 | 1.78 |
5.01 - 10.00 | - | - | - | - | - | - | - |
10.01 - 100.00 | 31,625 | 33.02 | 0.99 | 25.98 | 31,625 | 33.02 | 25.98 |
5,392,460 | 3.48 | 4,396,610 | 3.49 |
Options outstanding | Options exercisable | |||||||
Weighted | Weighted | Weighted | Weighted | Weighted | ||||
average | average | average | average | average | ||||
exercise | remaining | grant | exercise | grant | ||||
Exercise | Number | price per | contract | due | Number | price per | date | |
price | outstanding | share | life (years) | fair value | exercisable | share | fair value | |
$ | $ | $ | $ | |||||
Under 2.50 | 1,251,000 | 1.43 | 3.93 | 0.99 | 920,341 | 1.49 | 1.07 | |
2.51 - 5.00 | 4,560,835 | 3.50 | 1.81 | 1.84 | 4,284,441 | 3.49 | 1.86 | |
5.01 - 10.00 | - | - | - | - | - | - | - | |
10.01 - 100.00 | 16,277 | 29.11 | 0.21 | 22.89 | 16,277 | 29.11 | 22.89 | |
5,828,112 | 3.20 | 5,221,059 | 3.30 |
November 30, | ||||
2017 | 2016 | |||
November 30, 2016 | November 30, 2015 | $ | ||
$ | $ | |||
Total accounts receivable | 472,474 | 478,674 | 756,468 | 472,474 |
Less allowance for doubtful accounts | - | - | (66,849) | - |
Total accounts receivable, net | 472,474 | 478,674 | 689,619 | 472,474 |
Not past due | 427,519 | 453,662 | 689,619 | 427,519 |
Past due for more than 31 days but no more than 60 days | 3,319 | 5,003 | ||
Past due for more than 91 days but no more than 120 days | 41,636 | 20,009 | ||
Total accounts receivable, net | 472,474 | 478,674 | ||
Past due for more than 31 days | ||||
but no more than 60 days | 5,176 | 3,319 | ||
Past due for more than 91 days | ||||
but no more than 120 days | 61,673 | 41,636 | ||
Total accounts receivable, gross | 756,468 | 472,474 |
November 30, 2016 | November 30, 2015 | |||
Canadian | U.S. | Canadian | U.S. | |
FX rates used to translate to U.S. | 1.3429 | 1.3353 | ||
$ | $ | $ | $ | |
Assets | ||||
Cash | 182,714 | 136,059 | 116,096 | 86,944 |
116,096 | 86,944 | |||
Liabilities | ||||
Accounts payable | 449,900 | 335,021 | 1,372,196 | 1,027,631 |
Employee cost payable | 1,402,108 | 1,044,151 | 233,906 | 175,171 |
Capital lease | 19,914 | 14,829 | 48,231 | 36,120 |
1,871,922 | 1,394,001 | 1,654,333 | 1,238,922 | |
Net exposure | (1,689,208) | (1,257,942) | (1,538,237) | (1,151,978) |
November 30, 2017 | November 30, 2016 | |||
Canadian | U.S. | Canadian | U.S. | |
FX rates used to translate to U.S. | 1.2888 | 1.3429 | ||
$ | $ | $ | $ | |
Assets | ||||
Cash | 202,277 | 156,950 | 182,714 | 136,059 |
202,277 | 156,950 | 182,714 | 136,059 | |
Liabilities | ||||
Accounts payable and accrued liabilities | 1,704,086 | 1,322,227 | 949,911 | 707,358 |
Employee cost payable | 277,080 | 214,980 | 1,402,108 | 1,044,151 |
Capital lease | - | - | 19,912 | 14,828 |
1,981,166 | 1,537,207 | 2,371,933 | 1,766,338 | |
Net exposure | (1,778,889) | (1,380,257) | (2,189,219) | (1,630,278) |
November 30, 2016 | ||||||
Less than 3 months | 3 to 6 months | 6 to 9 months | 9 months 1 year | Greater than 1 year | Total | |
$ | $ | $ | $ | $ | $ | |
Third parties | ||||||
Accounts payable | 807,295 | - | - | - | - | 807,295 |
Accrued liabilities | 384,886 | - | - | - | - | 384,886 |
Capital lease | 5,437 | 5,585 | 3,807 | - | - | 14,829 |
Related parties | ||||||
Employee costs payable | 707,547 | - | - | 336,604 | - | 1,044,151 |
Convertible debenture | 59,138 | 1,515,770 | - | - | - | 1,574,908 |
1,964,303 | 1,521,355 | 3,807 | 336,604 | - | 3,826,069 |
November 30, 2017 | ||||||
Less than | 3 to 6 | 6 to 9 | 9 months | Greater than | ||
3 months | months | months | to 1 year | 1 year | Total | |
$ | $ | $ | $ | $ | $ | |
Third parties | ||||||
Accounts payable | 2,060,084 | - | - | - | - | 2,060,084 |
Accrued liabilities | 782,369 | - | - | - | - | 782,369 |
Related parties | ||||||
Employee costs payable | 214,980 | - | - | - | - | 214,980 |
Convertible debenture | 66,973 | 40,805 | 40,805 | 1,363,749 | - | 1,512,332 |
3,124,406 | 40,805 | 40,805 | 1,363,749 | - | 4,569,765 |
2016 | 2015 | |
Audit Fees(1) | C$124,387 | C$169,850 |
Audit-Related Fees(2) | C$174,738 | C$188,855 |
Tax Fees(3) | C$45,460 | C$38,160 |
All Other Fees(4) | -- | C$2,953 |
Total Fees | C$344,585 | C$399,818 |
2016 | 2015 | 2017 | 2016 | |
Audit Fees(1) | - | - | ||
Audit-Related Fees(2) | C$75,664 | - | ||
Tax Fees(3) | - | - | ||
All Other Fees(4) | C$24,075 | - | ||
Audit Fees(1) | C$129,342 | - | ||
Audit-Related Fees(2) | C$210,791 | C$75,664 | ||
Tax Fees(3) | - | |||
All Other Fees(4) | - | C$24,075 | ||
Total Fees | C$99,739 | - | C$340,133 | C$99,739 |
Reports of Independent Registered Public Accounting Firms | 1-2 |
Consolidated balance sheets | 3 |
Consolidated statements of operations and comprehensive loss | 4 |
Consolidated statements of shareholders’ equity (deficiency) | 5 |
Consolidated statements of cash flows | 6 |
Notes to the consolidated financial statements | 7-31 |
November 30, | November 30, | |
2017 | 2016 | |
$ | $ | |
Total accounts receivable | 756,468 | 472,474 |
Less allowance for doubtful accounts | (66,849) | - |
Total accounts receivable, net | 689,619 | 472,474 |
Not past due | 689,619 | 427,519 |
Past due for more than 31 days | ||
but no more than 60 days | 5,176 | 3,319 |
Past due for more than 91 days | ||
but no more than 120 days | 61,673 | 41,636 |
Total accounts receivable, gross | 756,468 | 472,474 |
November 30, 2017 | November 30, 2016 | |||
Canadian | U.S. | Canadian | U.S. | |
FX rates used to translate to U.S. | 1.2888 | 1.3429 | ||
$ | $ | $ | $ | |
Assets | ||||
Cash | 202,277 | 156,950 | 182,714 | 136,059 |
202,277 | 156,950 | 182,714 | 136,059 | |
Liabilities | ||||
Accounts payable and accrued liabilities | 1,704,086 | 1,322,227 | 949,911 | 707,358 |
Employee cost payable | 277,080 | 214,980 | 1,402,108 | 1,044,151 |
Capital lease | - | - | 19,912 | 14,828 |
1,981,166 | 1,537,207 | 2,371,933 | 1,766,338 | |
Net exposure | (1,778,889) | (1,380,257) | (2,189,219) | (1,630,278) |
November 30, 2017 | ||||||
Less than | 3 to 6 | 6 to 9 | 9 months | Greater than | ||
3 months | months | months | to 1 year | 1 year | Total | |
$ | $ | $ | $ | $ | $ | |
Third parties | ||||||
Accounts payable | 2,060,084 | - | - | - | - | 2,060,084 |
Accrued liabilities | 782,369 | - | - | - | - | 782,369 |
Related parties | ||||||
Employee costs payable | 214,980 | - | - | - | - | 214,980 |
Convertible debenture | 66,973 | 40,805 | 40,805 | 1,363,749 | - | 1,512,332 |
3,124,406 | 40,805 | 40,805 | 1,363,749 | - | 4,569,765 |
2017 | 2016 | |
Audit Fees(1) | C$129,342 | - |
Audit-Related Fees(2) | C$210,791 | C$75,664 |
Tax Fees(3) | - | - |
All Other Fees(4) | - | C$24,075 |
Total Fees | C$340,133 | C$99,739 |
Reports of Independent Registered Public Accounting Firms | 1-2 |
Consolidated balance sheets | 3 |
Consolidated statements of operations and comprehensive loss | 4 |
Consolidated statements of shareholders’ equity (deficiency) | 5 |
Consolidated statements of cash flows | 6 |
Notes to the consolidated financial statements | 7-31 |
Intellipharmaceutics International Inc. | ||
Consolidated balance sheets | ||
As at November 30, 2016 and 2015 | ||
(Stated in U.S. dollars) | ||
2016 | 2015 | |
$ | $ | |
Assets | ||
Current | ||
Cash | 4,144,424 | 1,755,196 |
Accounts receivable, net (Note 4) | 472,474 | 478,674 |
Investment tax credits | 681,136 | 458,021 |
Prepaid expenses, sundry and other assets | 400,642 | 229,225 |
5,698,676 | 2,921,116 | |
Deferred offering costs (Note 10) | 386,375 | 543,745 |
Property and equipment, net (Note 5) | 1,889,638 | 1,759,438 |
7,974,689 | 5,224,299 | |
Liabilities | ||
Current | ||
Accounts payable | 807,295 | 3,027,974 |
Accrued liabilities (Note 6) | 384,886 | 454,290 |
Employee costs payable (Note 8) | 1,044,151 | 175,172 |
Current portion of capital lease obligations (Note 9) | 14,829 | 20,460 |
Convertible debenture (Note 7) | 1,494,764 | 1,518,429 |
Deferred revenue (Note 3) | 450,000 | - |
4,195,925 | 5,196,325 | |
Capital lease obligations (Note 9) | - | 15,660 |
Deferred revenue (Note 3) | 2,662,500 | 150,000 |
6,858,425 | 5,361,985 | |
Shareholders' equity (deficiency) | ||
Capital stock (Notes 10 and 11) | ||
Authorized | ||
Unlimited common shares without par value | ||
Unlimited preference shares | ||
Issued and outstanding | ||
29,789,992 common shares | 29,830,791 | 21,481,242 |
Additional paid-in capital | 34,017,071 | 30,969,093 |
Accumulated other comprehensive income | 284,421 | 284,421 |
Accumulated deficit | (63,016,019) | (52,872,442) |
1,116,264 | (137,686) | |
Contingencies (Note 16) | ||
7,974,689 | 5,224,299 |
(Stated in U.S. dollars) | |||
2016 | 2015 | 2014 | |
$ | $ | $ | |
Revenues | |||
Licensing (Note 3) | 2,209,502 | 4,093,781 | 8,415,540 |
Milestone (Note 3) | - | - | 354,153 |
Up-front fees (Note 3) | 37,500 | - | - |
2,247,002 | 4,093,781 | 8,769,693 | |
Expenses | |||
Research and development | 8,166,736 | 7,247,473 | 8,020,201 |
Selling, general and administrative | 3,546,132 | 3,581,913 | 3,900,803 |
Depreciation (Note 5) | 385,210 | 377,849 | 381,385 |
12,098,078 | 11,207,235 | 12,302,389 | |
Loss from operations | (9,851,076) | (7,113,454) | (3,532,696) |
Net foreign exchange gain (loss) | (22,470) | 46,211 | 10,896 |
Interest income | 207 | 1,507 | 4,898 |
Interest expense | (270,238) | (256,629) | (339,451) |
Extinguishment loss (Note 7) | - | (114,023) | - |
Net loss and comprehensive loss | (10,143,577) | (7,436,388) | (3,856,353) |
Loss per common share, basic and diluted | (0.38) | (0.31) | (0.17) |
Weighted average number of common | |||
shares outstanding, basic and diluted | 26,699,579 | 23,767,677 | 23,050,618 |
See accompanying notes to consolidated financial statements |
(Stated in U.S. dollars) | ||||||
Accumulated | Total | |||||
Additional | other | shareholders' | ||||
Capital stock | paid-in | comprehensive | Accumulated | equity | ||
Number | amount | capital | income | deficit | (deficiency) | |
$ | $ | $ | $ | $ | ||
Balance, November 30, 2013 | 21,430,611 | 11,721,152 | 23,619,055 | 284,421 | (41,579,701) | (5,955,073) |
Reclass of warrant liabilities (Note 14) | - | - | 5,438,022 | - | - | 5,438,022 |
Reclass of conversion option in convertible debenture (Note 7) | - | - | 728,950 | - | - | 728,950 |
DSU's to non-management board members (Note 12) | - | - | 20,807 | - | - | 20,807 |
Stock options to employees (Note 11) | - | - | 1,748,607 | - | - | 1,748,607 |
Shares issued for options exercised (Note 11) | 48,000 | 168,693 | (51,709) | - | - | 116,984 |
Proceeds from at-the-market financing (Note 10) | 1,689,500 | 6,571,673 | - | - | - | 6,571,673 |
Share issuance cost (Note 10) | - | (811,887) | - | - | - | (811,887) |
Issuance of shares on exercise of warrants (Note 14) | 288,500 | 1,291,436 | (510,216) | - | - | 781,220 |
Adjustment of conversion option in convertible debenture (Note 7) | - | - | 126,414 | 126,414 | ||
Net loss | - | - | - | - | (3,856,353) | (3,856,353) |
2,026,000 | 7,219,915 | 7,500,875 | - | (3,856,353) | 10,864,437 | |
Balance, November 30, 2014 | 23,456,611 | 18,941,067 | 31,119,930 | 284,421 | (45,436,054) | 4,909,364 |
DSU's to non-management board members (Note 12) | - | - | 29,056 | - | - | 29,056 |
Stock options to employees (Note 11) | - | - | 417,818 | - | - | 417,818 |
Shares issued for options exercised (Note 11) | 91,000 | 300,869 | (132,907) | - | - | 167,962 |
Proceeds from at-the-market financing (Note 10) | 471,439 | 1,290,168 | - | - | - | 1,290,168 |
Share issuance cost (Note 10) | - | (78,166) | - | - | - | (78,166) |
Issuance of shares on exercise of warrants (Note 14) | 225,000 | 1,027,304 | (464,804) | - | - | 562,500 |
Net loss | - | - | - | - | (7,436,388) | (7,436,388) |
787,439 | 2,540,175 | (150,837) | - | (7,436,388) | (5,047,050) | |
Balance, November 30, 2015 | 24,244,050 | 21,481,242 | 30,969,093 | 284,421 | (52,872,442) | (137,686) |
DSU's to non-management board members (Note 12) | - | - | 31,628 | - | - | 31,628 |
Stock options to employees (Note 11) | - | - | 2,261,444 | - | - | 2,261,444 |
Shares issued for options exercised (Note 11) | 27,500 | 87,259 | (34,391) | - | - | 52,868 |
Proceeds from at-the-market financing (Note 10) | 1,471,260 | 3,469,449 | - | - | - | 3,469,449 |
Proceeds from issuance of shares and warrants (Note 10 & 14) | 3,689,270 | 4,764,777 | 1,175,190 | - | - | 5,939,967 |
Share issuance cost (Note 10) | - | (1,002,655) | (158,736) | - | - | (1,161,391) |
Issuance of shares on exercise of warrants (Note 14) | 357,912 | 1,030,719 | (330,066) | - | - | 700,653 |
Modification of convertible debt (Note 7) | - | - | 102,909 | - | - | 102,909 |
Net loss | - | - | - | - | (10,143,577) | (10,143,577) |
5,545,942 | 8,349,549 | 3,047,978 | - | (10,143,577) | 1,253,950 | |
Balance, November 30, 2016 | 29,789,992 | 29,830,791 | 34,017,071 | 284,421 | (63,016,019) | 1,116,264 |
Intellipharmaceutics International Inc. | |||
Consolidated statements of cash flows | |||
for the years ended November 30, 2016, 2015 and 2014 | |||
(Stated in U.S. dollars) | |||
2016 | 2015 | 2014 | |
$ | $ | $ | |
Net loss | (10,143,577) | (7,436,388) | (3,856,353) |
Items not affecting cash | |||
Depreciation (Note 5) | 385,210 | 377,849 | 381,385 |
Stock-based compensation (Note 11) | 2,261,444 | 417,818 | 1,748,607 |
Deferred share units (Note 12) | 31,628 | 29,056 | 20,807 |
Accreted interest (Note 7) | 79,245 | 27,103 | 127,261 |
Loss on extinguishment (Note 7) | - | 114,023 | - |
Unrealized foreign exchange loss (gain) | 22,916 | (81,063) | 3,057 |
Change in non-cash operating assets & liabilities | |||
Accounts receivable | 6,200 | 532,459 | 464,611 |
Investment tax credits | (223,115) | (133,035) | (145,436) |
Prepaid expenses, sundry and other assets | (171,417) | 185,438 | (102,130) |
Accounts payable and accrued liabilities | (1,466,019) | 2,034,576 | (356,722) |
Deferred revenue | 2,962,500 | 150,000 | - |
Cash flows used in operating activities | (6,254,985) | (3,782,164) | (1,714,913) |
Financing activities | |||
Repayment of related party loans | - | - | (739,208) |
Repayment of capital lease obligations | (21,291) | (27,489) | (53,557) |
Issuance of shares on exercise of stock options (Note 11) | 52,868 | 167,962 | 116,984 |
Issuance of common shares on at-the-market financing, gross (Note 10) | 3,469,449 | 1,290,168 | 6,571,673 |
Proceeds from issuance of shares and warrants (Note 10) | 5,939,967 | - | - |
Proceeds from issuance of shares on exercise of warrants (Note 14) | 700,653 | 562,500 | 781,220 |
Offering costs (Note 10) | (982,023) | (259,276) | (719,837) |
Cash flows provided from financing activities | 9,159,623 | 1,733,865 | 5,957,275 |
Investing activity | |||
Purchase of property and equipment | (515,410) | (430,480) | (768,973) |
Cash flows used in investing activities | (515,410) | (430,480) | (768,973) |
Increase (decrease) in cash | 2,389,228 | (2,478,779) | 3,473,389 |
Cash, beginning of year | 1,755,196 | 4,233,975 | 760,586 |
Cash, end of year | 4,144,424 | 1,755,196 | 4,233,975 |
Supplemental cash flow information | |||
Interest paid | 165,585 | 179,878 | 213,637 |
Taxes paid | - | - | - |
See accompanying notes to consolidated financial statements |
November 30, | November 30, | |
2017 | 2016 | |
$ | $ | |
Total accounts receivable | 756,468 | 472,474 |
Less allowance for doubtful accounts | (66,849) | - |
Total accounts receivable, net | 689,619 | 472,474 |
Not past due | 689,619 | 427,519 |
Past due for more than 31 days | ||
but no more than 60 days | 5,176 | 3,319 |
Past due for more than 91 days | ||
but no more than 120 days | 61,673 | 41,636 |
Total accounts receivable, gross | 756,468 | 472,474 |
November 30, 2017 | November 30, 2016 | |||
Canadian | U.S. | Canadian | U.S. | |
FX rates used to translate to U.S. | 1.2888 | 1.3429 | ||
$ | $ | $ | $ | |
Assets | ||||
Cash | 202,277 | 156,950 | 182,714 | 136,059 |
202,277 | 156,950 | 182,714 | 136,059 | |
Liabilities | ||||
Accounts payable and accrued liabilities | 1,704,086 | 1,322,227 | 949,911 | 707,358 |
Employee cost payable | 277,080 | 214,980 | 1,402,108 | 1,044,151 |
Capital lease | - | - | 19,912 | 14,828 |
1,981,166 | 1,537,207 | 2,371,933 | 1,766,338 | |
Net exposure | (1,778,889) | (1,380,257) | (2,189,219) | (1,630,278) |
November 30, 2017 | ||||||
Less than | 3 to 6 | 6 to 9 | 9 months | Greater than | ||
3 months | months | months | to 1 year | 1 year | Total | |
$ | $ | $ | $ | $ | $ | |
Third parties | ||||||
Accounts payable | 2,060,084 | - | - | - | - | 2,060,084 |
Accrued liabilities | 782,369 | - | - | - | - | 782,369 |
Related parties | ||||||
Employee costs payable | 214,980 | - | - | - | - | 214,980 |
Convertible debenture | 66,973 | 40,805 | 40,805 | 1,363,749 | - | 1,512,332 |
3,124,406 | 40,805 | 40,805 | 1,363,749 | - | 4,569,765 |
2017 | 2016 | |
Audit Fees(1) | C$129,342 | - |
Audit-Related Fees(2) | C$210,791 | C$75,664 |
Tax Fees(3) | - | - |
All Other Fees(4) | - | C$24,075 |
Total Fees | C$340,133 | C$99,739 |
Reports of Independent Registered Public Accounting Firms | 1-2 |
Consolidated balance sheets | 3 |
Consolidated statements of operations and comprehensive loss | 4 |
Consolidated statements of shareholders’ equity (deficiency) | 5 |
Consolidated statements of cash flows | 6 |
Notes to the consolidated financial statements | 7-31 |
/s/ MNP LLP | |
Toronto, Canada | Chartered Professional Accountants |
February 15, 2018 | Licensed Public Accountants |
Intellipharmaceutics International Inc. | ||
Consolidated balance sheets | ||
As at November 30, 2017 and 2016 | ||
(Stated in U.S. dollars) | ||
2017 | 2016 | |
$ | $ | |
Assets | ||
Current | ||
Cash | 1,897,061 | 4,144,424 |
Accounts receivable, net (Note 4) | 689,619 | 472,474 |
Investment tax credits | 636,489 | 681,136 |
Prepaid expenses, sundry and other assets | 225,092 | 400,642 |
Inventory (Note 3) | 115,667 | - |
3,563,928 | 5,698,676 | |
Deferred offering costs (Note 10) | 565,302 | 386,375 |
Property and equipment, net (Note 5) | 3,267,551 | 1,889,638 |
7,396,781 | 7,974,689 | |
Liabilities | ||
Current | ||
Accounts payable | 2,060,084 | 807,295 |
Accrued liabilities (Note 6) | 782,369 | 384,886 |
Employee costs payable (Note 8) | 214,980 | 1,044,151 |
Capital lease obligations (Note 9) | - | 14,829 |
Convertible debenture (Note 7) | 1,290,465 | 1,494,764 |
Deferred revenue (Note 3) | 300,000 | 450,000 |
4,647,898 | 4,195,925 | |
Deferred revenue (Note 3) | 2,362,500 | 2,662,500 |
7,010,398 | 6,858,425 | |
Shareholders' equity | ||
Capital stock (Note 10) | ||
Authorized | ||
Unlimited common shares without par value | ||
Unlimited preference shares | ||
Issued and outstanding | ||
34,704,515 common shares | 35,290,034 | 29,830,791 |
(November 30, 2016 - 29,789,992) | ||
Additional paid-in capital | 36,685,387 | 34,017,071 |
Accumulated other comprehensive income | 284,421 | 284,421 |
Accumulated deficit | (71,873,459) | (63,016,019) |
386,383 | 1,116,264 | |
Contingencies (Note 16) | ||
7,396,781 | 7,974,689 | |
On behalf of the Board: | ||
/s/ Dr. Isa Odidi | /s/ Bahadur Madhani | |
Dr. Isa Odidi, Chairman of the Board | Bahadur Madhani | |
See accompanying notes to consolidated financial statements |
Intellipharmaceutics International Inc. | |||
Consolidated statements of operations and comprehensive loss | |||
for the years ended November 30, 2017, 2016 and 2015 | |||
(Stated in U.S. dollars) | |||
2017 | 2016 | 2015 | |
$ | $ | $ | |
Revenues | |||
Licensing (Note 3) | 5,025,350 | 2,209,502 | 4,093,781 |
Up-front fees (Note 3) | 479,102 | 37,500 | - |
5,504,452 | 2,247,002 | 4,093,781 | |
Cost of goods sold | 704,006 | - | - |
Gross Margin | 4,800,446 | 2,247,002 | 4,093,781 |
Expenses | |||
Research and development | 9,271,353 | 8,166,736 | 7,247,473 |
Selling, general and administrative | 3,287,914 | 3,546,132 | 3,581,913 |
Depreciation (Note 5) | 506,961 | 385,210 | 377,849 |
13,066,228 | 12,098,078 | 11,207,235 | |
Loss from operations | (8,265,782) | (9,851,076) | (7,113,454) |
Net foreign exchange (loss) gain | (80,093) | (22,470) | 46,211 |
Interest income | 15,037 | 207 | 1,507 |
Interest expense | (389,239) | (270,238) | (256,629) |
Financing cost (Note 10) | (137,363) | - | - |
Extinguishment loss (Note 7) | - | - | (114,023) |
Net loss and comprehensive loss | (8,857,440) | (10,143,577) | (7,436,388) |
Loss per common share, basic and diluted | (0.29) | (0.38) | (0.31) |
Weighted average number of common | |||
shares outstanding, basic and diluted | 31,014,482 | 26,699,579 | 23,767,677 |
See accompanying notes to consolidated financial statements |
Intellipharmaceutics International Inc. | ||||||
Consolidated statements of shareholders' equity (deficiency) | ||||||
for the years ended November 30, 2017, 2016 and 2015 | ||||||
(Stated in U.S. dollars) | ||||||
Accumulated | Total | |||||
Additional | other | shareholders' | ||||
Capital stock | paid-in | comprehensive | Accumulated | equity | ||
Number | amount | capital | income | deficit | (deficiency) | |
$ | $ | $ | $ | $ | ||
Balance, November 30, 2014 | 23,456,611 | 18,941,067 | 31,119,930 | 284,421 | (45,436,054) | 4,909,364 |
DSU's to non-management board members (Note 12) | - | - | 29,056 | - | - | 29,056 |
Stock options to employees (Note 11) | - | - | 417,818 | - | - | 417,818 |
Shares issued for options exercised (Note 11) | 91,000 | 300,869 | (132,907) | - | - | 167,962 |
Proceeds from at-the-market financing (Note 10) | 471,439 | 1,290,168 | - | - | - | 1,290,168 |
Share issuance cost (Note 10) | - | (78,166) | - | - | - | (78,166) |
Issuance of shares on exercise of warrants (Note 14) | 225,000 | 1,027,304 | (464,804) | - | - | 562,500 |
Net loss | - | - | - | - | (7,436,388) | (7,436,388) |
787,439 | 2,540,175 | (150,837) | - | (7,436,388) | (5,047,050) | |
Balance, November 30, 2015 | 24,244,050 | 21,481,242 | 30,969,093 | 284,421 | (52,872,442) | (137,686) |
DSU's to non-management board members (Note 12) | - | - | 31,628 | - | - | 31,628 |
Stock options to employees (Note 11) | - | - | 2,261,444 | - | - | 2,261,444 |
Shares issued for options exercised (Note 11) | 27,500 | 87,259 | (34,391) | - | - | 52,868 |
Proceeds from at-the-market financing (Note 10) | 1,471,260 | 3,469,449 | - | - | - | 3,469,449 |
Proceeds from issuance of shares and warrants (Note 10 & 14) | 3,689,270 | 4,764,777 | 1,175,190 | - | - | 5,939,967 |
Share issuance cost (Note 10) | - | (1,002,655) | (158,736) | - | - | (1,161,391) |
Issuance of shares on exercise of warrants (Note 14) | 357,912 | 1,030,719 | (330,066) | - | - | 700,653 |
Modification of convertible debt (Note 7) | - | - | 102,909 | - | - | 102,909 |
Net loss | - | - | - | - | (10,143,577) | (10,143,577) |
5,545,942 | 8,349,549 | 3,047,978 | - | (10,143,577) | 1,253,950 | |
Balance, November 30, 2016 | 29,789,992 | 29,830,791 | 34,017,071 | 284,421 | (63,016,019) | 1,116,264 |
DSU's to non-management board members (Note 12) | - | - | 30,355 | - | - | 30,355 |
Stock options to employees (Note 11) | - | - | 1,749,999 | - | - | 1,749,999 |
Shares issued for options exercised (Note 11) | 2,000 | 1,100 | 642 | - | - | 1,742 |
Proceeds from at-the-market financing (Note 10) | 1,108,150 | 2,541,640 | - | - | - | 2,541,640 |
Proceeds from issuance of shares and warrants (Note 10 & 14) | 3,636,364 | 3,257,445 | 742,555 | - | - | 4,000,000 |
Cost of warrants issued to placement agent (Note 14) | - | (86,196) | 86,196 | - | - | - |
Share issuance cost (Note 10) | - | (685,319) | (108,912) | - | - | (794,231) |
Issuance of shares on exercise of warrants (Note 14) | 168,009 | 430,573 | (106,315) | - | - | 324,258 |
Modification of convertible debt (Note 7) | - | - | 273,796 | - | - | 273,796 |
Net loss | - | - | - | - | (8,857,440) | (8,857,440) |
4,914,523 | 5,459,243 | 2,668,316 | - | (8,857,440) | (729,881) | |
Balance, November 30, 2017 | 34,704,515 | 35,290,034 | 36,685,387 | 284,421 | (71,873,459) | 386,383 |
See accompanying notes to consolidated financial statements |
Intellipharmaceutics International Inc. | |||
Consolidated statements of cash flows | |||
for the years ended November 30, 2017, 2016 and 2015 | |||
(Stated in U.S. dollars) | |||
2017 | 2016 | 2015 | |
$ | $ | $ | |
Net loss | (8,857,440) | (10,143,577) | (7,436,388) |
Items not affecting cash | |||
Depreciation (Note 5) | 520,838 | 385,210 | 377,849 |
Stock-based compensation (Note 11) | 1,749,999 | 2,261,444 | 417,818 |
Deferred share units (Note 12) | 30,355 | 31,628 | 29,056 |
Accreted interest (Note 7) | 219,497 | 79,245 | 27,103 |
Loss on extinguishment (Note 7) | - | - | 114,023 |
Financing cost (Note 10) | 137,363 | - | - |
Provision for doubtful debts (Note 4) | 66,849 | - | - |
Unrealized foreign exchange loss (gain) | 56,998 | 22,916 | (81,063) |
Change in non-cash operating assets & liabilities | |||
Accounts receivable | (283,994) | 6,200 | 532,459 |
Investment tax credits | 44,647 | (223,115) | (133,035) |
Prepaid expenses, sundry and other assets | 175,550 | (171,417) | 185,438 |
Inventory | (115,667) | - | - |
Accounts payable, accrued liabilities and employee costs payable | 599,220 | (1,466,019) | 2,034,576 |
Deferred revenue | (450,000) | 2,962,500 | 150,000 |
Cash flows used in operating activities | (6,105,785) | (6,254,985) | (3,782,164) |
Financing activities | |||
Repayment of convertible debenture (Note 7) | (150,000) | - | - |
Repayment of capital lease obligations | (14,829) | (21,291) | (27,489) |
Issuance of shares on exercise of stock options (Note 11) | 1,742 | 52,868 | 167,962 |
Issuance of common shares on at-the-market financing, gross (Note 10) | 2,541,640 | 3,469,449 | 1,290,168 |
Proceeds from issuance of shares and warrants (Note 10) | 4,000,000 | 5,939,967 | - |
Proceeds from issuance of shares on exercise of warrants (Note 14) | 324,258 | 700,653 | 562,500 |
Offering costs | (1,020,643) | (982,023) | (259,276) |
Cash flows provided from financing activities | 5,682,168 | 9,159,623 | 1,733,865 |
Investing activity | |||
Purchase of property and equipment (Note 5) | (1,823,746) | (515,410) | (430,480) |
Cash flows used in investing activities | (1,823,746) | (515,410) | (430,480) |
(Decrease) Increase in cash | (2,247,363) | 2,389,228 | (2,478,779) |
Cash, beginning of year | 4,144,424 | 1,755,196 | 4,233,975 |
Cash, end of year | 1,897,061 | 4,144,424 | 1,755,196 |
Supplemental cash flow information | |||
Interest paid | 123,204 | 165,585 | 179,878 |
Taxes paid | - | - | - |
See accompanying notes to consolidated financial statements |
Assets | Basis | Rate |
Computer equipment | Declining balance | 30% |
Computer software | Declining balance | 50% |
Furniture and fixtures | Declining balance | 20% |
Laboratory equipment | Declining balance | 20% |
Leasehold improvements | Straight line | Over term of lease |
November 30, 2016 | |||
Accumulated | Net book | ||
Cost | amortization | value | |
$ | $ | $ | |
Computer equipment | 295,296 | 238,672 | 56,624 |
Computer software | 124,151 | 117,506 | 6,645 |
Furniture and fixtures | 129,860 | 109,243 | 20,617 |
Laboratory equipment | 3,933,693 | 2,290,074 | 1,643,619 |
Leasehold improvements | 1,205,810 | 1,143,792 | 62,018 |
Laboratory equipment under capital lease | 276,300 | 179,422 | 96,878 |
Computer equipment under capital lease | 76,458 | 73,221 | 3,237 |
6,041,568 | 4,151,930 | 1,889,638 |
Computer equipment | Computer software | Furniture and fixtures | Laboratory equipment | Leasehold improvements | Laboratory equipment under capital lease | Computer equipment under capital lease | Total | |
Cost | ||||||||
Balance at November 30, 2015 | $293,870 | $124,151 | $129,860 | $3,483,398 | $1,142,122 | $276,300 | $76,458 | $5,526,159 |
Additions | 1,426 | - | - | 450,295 | 63,689 | - | - | 515,410 |
Balance at November 30, 2016 | 295,296 | 124,151 | 129,860 | 3,933,693 | 1,205,811 | 276,300 | 76,458 | 6,041,569 |
Additions | 235,454 | 31,908 | 42,638 | 1,353,110 | 235,641 | - | - | 1,898,751 |
Balance at November 30, 2017 | 530,750 | 156,059 | 172,498 | 5,286,803 | 1,441,452 | 276,300 | 76,458 | 7,940,320 |
Accumulated depreciation | ||||||||
Balance at November 30, 2015 | 214,525 | 110,860 | 104,089 | 1,968,088 | 1,142,122 | 155,203 | 71,834 | 3,766,721 |
Depreciation | 24,147 | 6,646 | 5,154 | 321,986 | 1,670 | 24,219 | 1,388 | 385,210 |
Balance at November 30, 2016 | 238,672 | 117,506 | 109,243 | 2,290,074 | 1,143,792 | 179,422 | 73,222 | 4,151,931 |
Depreciation | 47,811 | 13,622 | 10,747 | 379,158 | 49,154 | 19,376 | 970 | 520,838 |
Balance at November 30, 2017 | 286,483 | 131,128 | 119,990 | 2,669,232 | 1,192,946 | 198,798 | 74,192 | 4,672,769 |
Net book value at: | ||||||||
November 30, 2016 | $56,624 | $6,645 | $20,617 | $1,643,619 | $62,019 | $96,878 | $3,236 | $1,889,638 |
Balance at November 30, 2017 | $244,267 | $24,931 | $52,508 | $2,617,571 | $248,506 | $77,502 | $2,266 | $3,267,551 |
November 30, 2015 | |||
Accumulated | Net book | ||
Cost | amortization | value | |
$ | $ | $ | |
Computer equipment | 293,870 | 214,525 | 79,345 |
Computer software | 124,151 | 110,860 | 13,291 |
Furniture and fixtures | 129,860 | 104,089 | 25,771 |
Laboratory equipment | 3,483,398 | 1,968,088 | 1,515,310 |
Leasehold improvements | 1,142,122 | 1,142,122 | - |
Laboratory equipment under capital lease | 276,300 | 155,203 | 121,097 |
Computer equipment under capital lease | 76,458 | 71,834 | 4,624 |
5,526,159 | 3,766,721 | 1,759,438 |
November 30, | November 30, | |
2016 | 2015 | |
$ | $ | |
Professional fees | 190,485 | 163,552 |
Other | 194,401 | 290,738 |
384,886 | 454,290 |
November 30, 2017 | November 30, 2016 | |
$ | $ | |
Professional fees | 400,796 | 190,485 |
Property taxes | 111,970 | - |
Interest | 54,110 | 14,784 |
Other | 215,493 | 179,617 |
782,369 | 384,886 |
November 30, | November 30, | |
2016 | 2015 | |
$ | $ | |
Convertible debenture payable to two directors and officers | ||
of the Company, unsecured, 12% annual interest rate, | ||
payable monthly | 1,494,764 | 1,518,429 |
November 30, | November 30, | |
2017 | 2016 | |
Convertible debenture payable to two directors and officers of the Company, unsecured, 12% annual interest rate, Payable monthly | $1,290,465 | $1,494,764 |
Capital | Operating | Operating | |
Year ending November 30, | Lease | Lease | |
$ | $ | ||
2017 | 15,489 | 179,736 | |
2018 | - | 179,736 | 186,220 |
2019 | - | 179,736 | 186,220 |
2020 | - | 179,736 | 186,220 |
15,489 | 718,944 | 558,660 | |
Less: amounts representing interest at 14% | 660 | - | |
14,829 | 718,944 | ||
Less: current portion | 14,829 | 179,736 | 186,220 |
Balance, long-term portion | - | 539,208 | 372,440 |
November 30, | November 30, | ||
2016 | 2015 | 2014 | |
Volatility | 65.2% | 68.6% | 55.0% |
Risk-free interest rate | 0.620% | 0.580% | 1.45% |
Expected life (in years) | 5.00 | 5.00 | 5.60 |
Dividend yield | - | - | - |
The weighted average grant date | |||
fair value of options granted | $1.20 | $1.66 | $2.10 |
November 30, | November 30, | November 30, | |
2017 | 2016 | 2015 | |
Volatility | 71.7% | 65.2% | 68.6% |
Risk-free interest rate | 1.56% | 0.620% | 0.580% |
Expected life (in years) | 5.49 | 5.00 | 5.00 |
Dividend yield | - | - | - |
The weighted average grant date | |||
fair value of options granted | $0.75 | $1.20 | $1.66 |
November 30, 2016 | November 30, 2015 | November 30, 2014 | |||||||
Weighted | Weighted | Weighted | |||||||
average | Weighted | average | Weighted | average | Weighted | ||||
exercise | average | exercise | average | exercise | average | ||||
Number of | price per | grant date | Number of | price per | grant date | Number of | price per | grant date | |
options | share | fair value | options | share | fair value | options | share | fair value | |
$ | $ | $ | $ | $ | $ | ||||
Outstanding | |||||||||
beginning of | |||||||||
period, | 5,062,007 | 3.89 | 2.21 | 4,858,208 | 3.96 | 2.21 | 4,455,072 | 3.97 | 2.21 |
Granted | 460,000 | 2.42 | 1.20 | 355,000 | 2.52 | 1.66 | 479,001 | 3.86 | 2.10 |
Exercised | (27,500) | 2.57 | 1.68 | (91,000) | 2.34 | 1.86 | (48,000) | 2.45 | 1.07 |
Forfeiture | - | - | - | (60,168) | - | - | (27,832) | - | - |
Expired | (102,047) | 19.24 | 13.29 | (33) | 770.13 | 493.31 | (33) | 709.18 | 709.18 |
Balance at | ||||||||||||||||||
end of period | 5,392,460 | 3.48 | 1.88 | 5,062,007 | 3.89 | 2.21 | 4,858,208 | 3.96 | 2.21 | |||||||||
November 30, 2017 | November 30, 2016 | November 30, 2015 | ||||||||||||||||
Weighted | Weighted | Weighted | ||||||||||||||||
average | Weighted | average | Weighted | average | Weighted | |||||||||||||
exercise | average | exercise | average | exercise | average | |||||||||||||
Number of | price per | grant date | Number of | price per | grant date | Number of | price per | grant date | ||||||||||
options | share | fair value | options | share | fair value | options | share | fair value | ||||||||||
$ | $ | $ | $ | |||||||||||||||
Outstanding, | ||||||||||||||||||
beginning of year | 5,392,460 | 3.48 | 1.88 | 5,062,007 | 3.89 | 2.21 | 4,858,208 | 3.96 | 2.21 | |||||||||
Granted | 496,000 | 1.17 | 0.75 | 460,000 | 2.42 | 1.20 | 355,000 | 2.52 | 1.66 | |||||||||
Exercised | (2,000) | 2.32 | 1.20 | (27,500) | 2.57 | 1.68 | (91,000) | 2.34 | 1.86 | |||||||||
Forfeiture | - | (60,168) | - | |||||||||||||||
Expired | (58,348) | 12.64 | 9.60 | (102,047) | 19.24 | 13.29 | (33) | 770.13 | 493.31 | |||||||||
Balance, | ||||||||||||||||||
end of year | 5,828,112 | 3.20 | 1.72 | 5,392,460 | 3.48 | 1.88 | 5,062,007 | 3.89 | 2.21 | |||||||||
Options | ||||||||||||||||||
exercisable, | exercisable, | |||||||||||||||||
end of year | 4,396,610 | 3.49 | 1.96 | 3,812,930 | 4.01 | 2.35 | 3,640,381 | 4.09 | 2.40 | 5,221,059 | 3.30 | 1.79 | 4,396,610 | 3.49 | 1.96 | 3,812,930 | 4.01 | 2.35 |
Options outstanding | Options exercisable | ||||||
Weighted | Weighted | Weighted | Weighted | Weighted | |||
average | average | average | average | average | |||
exercise | remaining | grant | exercise | grant | |||
Exercise | Number | price per | contract | due | Number | price per | date |
price | outstanding | share | life (years) | fair value | exercisable | share | fair value |
$ | $ | $ | $ | ||||
Under 2.50 | 1,251,000 | 1.43 | 3.93 | 0.99 | 920,341 | 1.49 | 1.07 |
2.51 - 5.00 | 4,560,835 | 3.50 | 1.81 | 1.84 | 4,284,441 | 3.49 | 1.86 |
5.01 - 10.00 | - | - | - | - | - | - | - |
10.01 - 100.00 | 16,277 | 29.11 | 0.21 | 22.89 | 16,277 | 29.11 | 22.89 |
5,828,112 | 3.20 | 5,221,059 | 3.30 |
Options outstanding | Options exercisable | ||||||
Weighted | Weighted | Weighted | Weighted | Weighted | |||
average | average | average | average | average | |||
exercise | remaining | grant | exercise | grant | |||
Number | price per | contract | due | Number | price per | date | |
price | outstanding | share | life (years) | fair value | exercisable | share | fair value |
$ | $ | $ | $ | ||||
Under 2.50 | - | - | - | - | - | - | - |
2.51 - 5.00 | 5,360,835 | 3.31 | 0.96 | 1.74 | 4,364,985 | 3.27 | 1.78 |
5.01 - 10.00 | - | - | - | - | - | - | - |
10.01 - 100.00 | 31,625 | 33.02 | 0.99 | 25.98 | 31,625 | 33.02 | 25.98 |
5,392,460 | 3.48 | 4,396,610 | 3.49 |
November 30, | November 30, | |||||
2016 | 2015 | 2014 | 2017 | 2016 | 2015 | |
$ | $ | $ | ||||
Research and development | 1,995,805 | 152,231 | 1,270,307 | 1,654,051 | 1,995,805 | 152,231 |
Selling, general and administrative | 265,639 | 265,587 | 478,300 | 95,948 | 265,639 | 265,587 |
2,261,444 | 417,818 | 1,748,607 | 1,749,999 | 2,261,444 | 417,818 |
November 30, 2017 | November 30, 2016 | November 30, 2015 | ||||
$ | shares | $ | shares | $ | shares | |
Additional paid in capital | 30,355 | 17,388 | 31,628 | 16,741 | 29,056 | 10,993 |
Accrued liability | 7,562 | 8,660 | 7,261 | 2,356 | 8,051 | 4,272 |
November 30, 2016 | November 30, 2015 | November 30, 2014 | ||||
$ | shares | $ | shares | $ | shares | |
Additional paid in capital | 31,628 | 16,741 | 29,056 | 10,993 | 20,807 | 5,968 |
Accrued liability | 7,261 | 2,356 | 8,051 | 4,272 | 3,759 | 1,338 |
Shares issuable | Shares issuable | |||||||
Warrant | Exercise price | Number outstanding | Expiry | upon exercise | Exercise price | Number outstanding | Expiry | upon exercise |
March 2013 Warrants | $2.10 | 1,491,742 | March 22, 2018 | 372,936 | $2.10 | 1,491,742 | March 22, 2018 | 372,936 |
July 2013 Warrants | $2.55 | 870,000 | July 31, 2018 | 217,500 | $2.55 | 870,000 | July 31, 2018 | 217,500 |
June 2016 Warrants | $1.93 | 3,114,740 | June 02, 2021 | 1,557,370 | $1.93 | 2,778,722 | June 02, 2021 | 1,389,361 |
October 2017 Warrants | $1.25 | 1,818,182 | October 13, 2020 | 1,818,182 | ||||
Placement Agent Warrants | $1.375 | 181,818 | October 13, 2020 | 181,818 | ||||
5,476,482 | 2,147,806 | 7,140,464 | 3,979,797 |
Series A | March 2013 | July 2013 | June 2016 | ||
Warrants | Warrants | Warrants | Warrants | Total | |
Outstanding, December 1, 2015 | 2,835,000 | 1,724,300 | 870,000 | - | 5,429,300 |
Issued | - | - | - | 3,714,286 | 3,714,286 |
Exercised | - | (232,558) | - | (599,546) | (832,104) |
Expired | (2,835,000) | - | - | - | (2,835,000) |
Outstanding, November 30, 2016 | - | 1,491,742 | 870,000 | 3,114,740 | 5,476,482 |
March 2013 Warrants | July 2013 Warrants | June 2016 Warrants | October 2017 Warrants | Placement Agent Warrants | Total | |
Outstanding, December 1, 2016 | 1,491,742 | 870,000 | 3,114,740 | - | - | 5,476,482 |
Issued | - | - | - | 1,818,182 | 181,818 | 2,000,000 |
Exercised | - | - | (336,018) | - | - | (336,018) |
Outstanding, November 30, 2017 | 1,491,742 | 870,000 | 2,778,722 | 1,818,182 | 181,818 | 7,140,464 |
Series A | March 2013 | July 2013 | ||
Warrants | Warrants | Warrants | Total | |
Outstanding, December 1, 2014 | 3,285,000 | 1,724,300 | 870,000 | 5,879,300 |
Exercised | (450,000) | - | - | (450,000) |
Outstanding, November 30, 2015 | 2,835,000 | 1,724,300 | 870,000 | 5,429,300 |
Series A Warrants | March 2013 Warrants | July 2013 Warrants | June 2016 Warrants | Total | |
Outstanding, December 1, 2015 | 2,835,000 | 1,724,300 | 870,000 | - | 5,429,300 |
Issued | - | - | - | 3,714,286 | 3,714,286 |
Exercised | - | (232,558) | - | (599,546) | (832,104) |
Expired | (2,835,000) | - | - | - | (2,835,000) |
Outstanding, November 30, 2016 | - | 1,491,742 | 870,000 | 3,114,740 | 5,476,482 |
November 30, | November 30, | |||||
2016 | 2015 | 2014 | 2017 | 2016 | 2015 | |
% | % | % | ||||
Statutory income tax rate | 26.5 | 26.5 | ||||
$ | $ | |||||
Statutory income tax recovery | (2,688,048) | (1,970,643) | (1,021,934) | (2,347,222) | (2,688,048) | (1,970,643) |
Increase (decrease) in income taxes | ||||||
Non-deductible expenses/ | ||||||
non-taxable income | 640,481 | 164,723 | 417,879 | 488,769 | 640,481 | 164,723 |
Change in valuation allowance | 2,683,775 | 1,804,406 | (995,957) | 2,128,819 | 2,683,775 | 1,804,406 |
Difference in net income before taxes | ||||||
between Canadian and U.S dollar | - | 160,316 | ||||
Investment tax credit | - | (168,591) | (9,114) | - | (168,591) | |
Financing costs booked to equity | (281,063) | (23,348) | (208,271) | (269,715) | (281,063) | (23,348) |
FCR Election | - | (253,856) | - | - | (253,856) | |
Foreign exchange change | - | 985,544 | ||||
Difference in foreign tax rates | (651) | - | ||||
True up of tax returns | (356,095) | (15,991) | 82,939 | - | (356,095) | (15,991) |
Tax loss expired and other | 950 | 463,300 | 588,598 | - | 950 | 463,300 |
- | - |
November 30, | November 30, | November 30, | |
2017 | 2016 | 2015 | |
$ | $ | $ | |
Deferred tax assets | |||
Non-capital loss carry-forwards | 8,972,285 | 7,427,516 | 6,019,380 |
Book and tax basis differences | |||
on assets and liabilities | 863,215 | 3,409,343 | 2,854,916 |
Other | 2,681,375 | - | - |
Investment tax credit | 2,865,404 | 2,405,365 | - |
Undeducted research and | |||
development expenditures | 4,158,178 | 3,710,274 | 5,394,426 |
Capital loss carryforwards | 326,064 | - | - |
Share issuance cost | 436,427 | - | - |
Net operating loss carryforwards | 14,135 | - | - |
20,317,083 | 16,952,498 | 14,268,722 | |
Valuation allowances for | |||
deferred tax assets | (20,317,083) | (16,952,498) | (14,268,722) |
Net deferred tax assets | - | - | - |
November 30, | November 30, | November 30, | |
2016 | 2015 | 2014 | |
$ | $ | $ | |
Deferred tax assets | |||
Non-capital loss carry-forwards | 7,427,516 | 6,019,380 | 6,528,099 |
Book and tax basis differences | |||
on assets and liabilities | 3,409,343 | 2,854,916 | 1,006,667 |
Other | - | - | 47,180 |
Ontario harmonization tax credit | - | - | 371,160 |
Investment tax credit | 2,405,365 | - | 2,327,722 |
Undeducted research and | |||
development expenditures | 3,710,274 | 5,394,426 | 2,183,486 |
16,952,498 | 14,268,722 | 12,464,314 | |
Valuation allowances for | |||
deferred tax assets | (16,952,498) | (14,268,722) | (12,464,314) |
Net deferred tax assets | - | - | - |
Canadian income tax losses expiring | ||
in the year ended November 30, | Federal | Federal |
$ | $ | |
2028 | 182,195 | 182,222 |
2029 | 555,539 | 555,539 |
2030 | 3,373,079 | 3,373,079 |
2031 | 5,532,739 | 5,532,739 |
2032 | 5,750,053 | 5,750,053 |
2033 | 4,562,538 | 4,562,538 |
2034 | 149,927 | 149,927 |
2035 | 2,634,823 | 2,634,823 |
2036 | 5,195,985 | 5,341,606 |
2037 | 5,775,154 | |
27,936,878 | 33,857,680 |
United States Federal net operating losses expiring | ||
in the year ended November 30, | ||
$ | $ | |
2024 | 18,512 | |
2025 | 16,234 | 5,865 |
2026 | 34,522 | 34,522 |
69,268 | 40,387 |
November 30, 2014 | |||
Conversion | Warrant | ||
Option | liability | Total | |
$ | $ | $ | |
Opening balance | 728,950 | 5,438,022 | 6,166,972 |
Transfer out from level 3(a) | (728,950) | (5,438,022) | (6,166,972) |
Closing balance | - | - | - |
November 30, 2016 | November 30, 2015 | November 30, 2017 | November 30, 2016 | |||||
Carrying | Fair | Carrying | Fair | Carrying | Fair | Carrying | Fair | |
amount | value | amount | value | amount | value | amount | value | |
$ | $ | $ | $ | $ | ||||
Financial Liabilities | ||||||||
Convertible debt(i) | 1,494,764 | 1,500,000 | 1,518,429 | 1,481,663 | ||||
Convertible debenture(i) | 1,290,465 | 1,316,386 | 1,494,764 | 1,500,000 |
November 30, | November 30, | |||
2016 | 2015 | 2017 | 2016 | |
$ | $ | |||
Total accounts receivable | 472,474 | 478,674 | 756,468 | 472,474 |
Less allowance for doubtful accounts | - | (66,849) | - | |
Total accounts receivable, net | 472,474 | 478,674 | 689,619 | 472,474 |
Not past due | 427,519 | 453,662 | 689,619 | 427,519 |
Past due for more than 31 days | ||||
but no more than 60 days | 3,319 | 5,003 | 5,176 | 3,319 |
Past due for more than 91 days | ||||
but no more than 120 days | 41,636 | 20,009 | 61,673 | 41,636 |
Total accounts receivable, net | 472,474 | 478,674 | ||
Total accounts receivable, gross | 756,468 | 472,474 |
November 30, 2016 | November 30, 2015 | |||
Canadian | U.S. | Canadian | U.S. | |
FX rates used to translate to U.S. | 1.3,429 | 1.3,353 | ||
$ | $ | $ | $ | |
Assets | ||||
Cash | 182,714 | 136,059 | 116,096 | 86,944 |
182,714 | 136,059 | 116,096 | 86,944 | |
Liabilities | ||||
Accounts payable | 449,900 | 335,021 | 1,372,196 | 1,027,631 |
Employee cost payable | 1,402,108 | 1,044,151 | 233,906 | 175,171 |
Capital lease | 19,914 | 14,829 | 48,231 | 36,120 |
1,871,922 | 1,394,001 | 1,654,333 | 1,238,922 | |
Net exposure | (1,689,208) | (1,257,942) | (1,538,237) | (1,151,978) |
November 30, 2016 | ||||||
Less than | 3 to 6 | 6 to 9 | 9 months | Greater than | ||
3 months | months | months | to 1 year | 1 year | Total | |
$ | $ | $ | $ | $ | $ | |
Third parties | ||||||
Accounts payable | 807,295 | - | - | - | - | 807,295 |
Accrued liabilities | 384,886 | - | - | - | - | 384,886 |
Capital lease (note 9) | 5,437 | 5,585 | 3,807 | - | - | 14,829 |
Related parties | ||||||
Employee costs payable (Note 8) | 707,547 | - | - | 336,604 | - | 1,044,151 |
Convertible debenture (Note 7) | 59,138 | 1,515,770 | - | - | - | 1,574,908 |
1,964,303 | 1,521,355 | 3,807 | 336,604 | - | 3,826,069 |
November 30, 2017 | ||||||
Less than | 3 to 6 | 6 to 9 | 9 months | Greater than | ||
3 months | months | months | to 1 year | 1 year | Total | |
$ | $ | $ | $ | $ | $ | |
Third parties | ||||||
Accounts payable | 2,060,084 | - | - | - | - | 2,060,084 |
Accrued liabilities | 782,369 | - | - | - | - | 782,369 |
Related parties | ||||||
Employee costs payable | 214,980 | - | - | - | - | 214,980 |
Convertible debenture (Note 7) | 66,973 | 40,805 | 40,805 | 1,363,749 | - | 1,512,332 |
3,124,406 | 40,805 | 40,805 | 1,363,749 | - | 4,569,765 |
November 30, | November 30, | |||||
2016 | 2015 | 2014 | 2017 | 2016 | 2015 | |
$ | $ | |||||
Revenue | ||||||
United States | 2,247,002 | 4,093,781 | 8,769,693 | 5,504,452 | 2,247,002 | 4,093,781 |
2,247,002 | 4,093,781 | 8,769,693 | 5,504,452 | 2,247,002 | 4,093,781 | |
Total assets | ||||||
Canada | 7,974,689 | 5,224,299 | 7,875,035 | 7,396,781 | 7,974,689 | 5,224,299 |
Total property and equipment | ||||||
Canada | 1,889,638 | 1,759,438 | 1,618,897 | 3,267,551 | 1,889,638 | 1,759,438 |
Number | Exhibit | Footnote |
1.1 | Articles of Incorporation of the Company and Amendments thereto | (7) |
1.2 | By-Laws of the Company | (7) |
4.1 | IPC Arrangement Agreement | (7) |
4.2 | The acknowledgement and agreement of the Company dated October 22, 2009 to be bound by the performance based stock option agreement dated September 10, 2004 pursuant to which Drs. Isa and Amina Odidi are entitled to purchase up to 2,763,940 of the Company’s shares upon payment of U.S.$3.62 per share, subject to satisfaction of the performance vesting conditions | (7) |
4.3 | The amended and restated promissory note dated October 22, 2009 for up to $2,300,000 issued by Intellipharmaceutics Corp. to Isa Odidi and Amina Odidi | (7) |
4.51 | Securities purchase agreement for February 1, 2011 private placement | (6) |
4.52 | Registration rights agreement for February 1, 2011 private placement | (6) |
4.53 | Combined Series A/B common share purchase warrant for February 1, 2011 private placement | (6) |
4.54 | Placement Agent Agreement between Intellipharmaceutics International Inc. and Roth Capital Partners, LLC, dated March 9, 2012 | (8) |
4.55 | Form of Subscription Agreement (incorporated by reference to Exhibit A attached to Exhibit 4.54 | (8) |
4.56 | 12% convertible term debenture dated January 10, 2013 in principal amount of $1,500,000 | (5) |
4.57 | Lease as amended between Finley W. McLachlan Ltd. and Intellipharmaceutics Corp. for premises at 30 Worcester Road, Toronto, Ontario, Canada. | (5) |
4.58 | Placement Agent Agreement between Intellipharmaceutics International Inc. and Roth Capital Partners, LLC, Brean Capital, LLC and Maxim Group, LLC, dated March 19, 2013 | (9) |
4.59 | Form of Subscription Agreement (incorporated by reference to Exhibit A attached to Exhibit 4.58) | (9) |
4.60 | Form of Warrants (incorporated by reference to Exhibit B attached to Exhibit 4.58) | (9) |
4.61 | Underwriting Agreement between Intellipharmaceutics International Inc. and Maxim Group, LLC, as representative of the underwriters named in Schedule I thereto, dated July 26, 2013 | (10) |
4.62 | Form of Warrants | (10) |
4.63 | Equity Distribution Agreement between Intellipharmaceutics International Inc. and Roth Capital Partners, LLC, dated November 27, 2013 | (11) |
4.64(†) | License and Commercialization Agreement dated as of November 21, 2005, between Intellipharmaceutics Corp., and Par Pharmaceutical, Inc., as amended by the First Amendment To License and Commercialization Agreement dated as of August 12, 2011, and as further amended by the Second Amendment to License and Commercialization Agreement dated as of September 24, 2013 | (4) |
4.65 | Fifth Amendment to Lease Agreement dated November 28, 2014 between Finley W. McLachlan Properties Inc. and Intellipharmaceutics Corp. for premises at 30 Worcester Road, Toronto, Ontario, Canada | (3) |
4.66 | Extension of Debenture Maturity Date dated October 1, 2014 to that certain 12% convertible term debenture dated January 10, 2013 in principal amount of $1,500,000 | (3) |
4.67 | Indenture of Lease dated as of December 1, 2015 between Finley W. McLachlan Properties Inc. and Dufferin Lumber And Supply Company Limited, and Intellipharmaceutics Corp. for premises at 22 Worcester Road and 30 Worcester Road, Toronto, Ontario, Canada | (2) |
4.68 | Extension of Debenture Maturity Date dated as of June 29, 2015 to that certain 12% convertible term debenture dated January 10, 2013 in principal amount of $1,500,000 | (2) |
4.69 | Extension of Debenture Maturity Date dated as of December 8, 2015 to that certain 12% convertible term debenture dated January 10, 2013 in principal amount of $1,500,000 | (2) |
4.70 | Underwriting Agreement between Intellipharmaceutics International Inc. and Dawson James Securities, Inc., dated May 27, 2016. | (12) |
4.71 | Form of Common Share Purchase Warrant | (12) |
4.72 | Extension of Debenture Maturity Date dated as of May 26, 2016 to that certain 12% convertible term debenture dated January 10, 2013 | (1) |
4.73 | Extension of Debenture Maturity Date dated as of December 1, 2016 to that certain 12% convertible term debenture dated January 10, 2013 | (1) |
4.74(††) | License and Commercial Supply Agreement dated effective October 11, 2016, between Mallinckrodt LLC and Intellipharmaceutics Corp. | (1) |
8.1 | List of subsidiaries | (1) |
11.1 | Code of Business Conduct and Ethics | (7) |
12.1 | Certification of the Chief Executive Officer pursuant to Rule 13a-14(a) of the Securities Exchange Act of 1934 | (1) |
12.2 | Certification of the Chief Financial Officer pursuant to Rule 13a-14(a) of the Securities Exchange | (1) |
13.1 | Certification of the Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | (1) |
13.2 | Certification of the Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | (1) |
15.1 | Consent of Independent Registered Public Accounting Firm (MNP LLP) | (1) |
15.2 | Consent of Independent Registered Public Accounting Firm (Deloitte LLP) | (1) |
16.1 | Letter dated February 27, 2017 of Deloitte LLP, as required by Item 16F of Form 20-F | (1) |
101 | XBRL (Extensible Business Reporting Language). The following materials from Intellipharmaceutics International Inc.’s Annual Report on Form 20-F for the fiscal year-ended November 30, 2016, formatted in XBRL: | (1) (13) |
(i) Consolidated balance sheets as at November 30, 2016 and 2015 | ||
(ii) Consolidated statements of operations and comprehensive loss for the years ended November 30, 2016, 2015 and 2014 | ||
(iii) Consolidated statements of shareholders’ equity (deficiency) for the years ended November 30, 2016, 2015 and 2014 | ||
(iv) Consolidated statements of cash flows for the years ended November 30, 2016, 2015 and 2014 | ||
(v) Notes to the consolidated financial statements | ||
(1) | Filed as exhibits to this annual report on Form 20-F for the fiscal year ended November 30, 2016. | |
(2) | Incorporated herein by reference to the Company’s annual report on Form 20-F for the fiscal year ended November 30, 2015 as filed on March 21, 2016. | |
(3) | Incorporated herein by reference to the Company’s annual report on Form 20-F for the fiscal year ended November 30, 2014 as filed on February 27, 2015. | |
(4) | Incorporated herein by reference to the Company’s Amendment No. 1 on Form 20-F/A for the fiscal year ended November 30, 2013 as filed on April 14, 2014. | |
(5) | Incorporated herein by reference to the Company’s annual report on Form 20-F for the fiscal year ended November 30, 2012 as filed on January 31, 2013. | |
(6) | Incorporated herein by reference to the Company’s annual report on Form 20-F for the fiscal year ended November 30, 2010 as filed on May 31, 2011. | |
(7) | Incorporated herein by reference to the Company’s annual report on Form 20-F for the fiscal year ended November 30, 2009 as filed on June 1, 2010. | |
(8) | Incorporated herein by reference to the Company’s report on Form 6-K for the month of March 2012 as filed on March 9, 2012. | |
(9) | Incorporated herein by reference to the Company’s report on Form 6-K for the month of March 2013 as filed on March 19, 2013. | |
(10) | Incorporated herein by reference to the Company’s report on Form 6-K for the month of July 2013 as filed on July 26, 2013 (SEC Accession No. 0001171843-13-002968). | |
(11) | Incorporated herein by reference to the Company’s report on Form 6-K for the month of November 2013 as filed on November 27, 2013. | |
(12) | Incorporated herein by reference to the Company’s report on Form 6-K for the month of May 2016 as filed on May 27, 2016. | |
(13) | XBRL information is furnished and not filed or a part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise is not subject to liability under these sections. |
Number | Exhibit |
1.1 | |
1.2 | |
4.1 | |
4.2 | |
4.3 | |
4.51 | |
4.52 |
4.65 | |
4.66 | |
4.67 | |
4.68 | |
4.69 | |
4.70 | |
4.71 | |
4.72 | |
4.73 | |
4.74(†) | |
4.75 | |
4.76 |
4.77 | |
4.78 | |
4.79(1) | |
4.80(1) | |
8.1(1) | |
11.1 | |
12.1(1) | |
12.2(1) | |
13.1(1) | |
13.2(1) | |
15.1(1) | |
15.2(1) | |
16.1 | |
101(1)(2) | XBRL (Extensible Business Reporting Language). The following materials from Intellipharmaceutics International Inc.'s Annual Report on Form 20-F for the fiscal year-ended November 30, 2017, formatted in XBRL: |
(i) Consolidated balance sheets as at November 30, 2017 and 2016 | |
(ii) Consolidated statements of operations and comprehensive loss for the years ended November 30, 2017, 2016 and 2015 | |
(iii) Consolidated statements of shareholders' equity (deficiency) for the years ended November 30, 2017, 2016 and 2015 | |
(iv) Consolidated statements of cash flows for the years ended November 30, 2017, 2016 and 2015 | |
(v) Notes to the consolidated financial statements | |
(1) | Filed as exhibits to this annual report on Form 20-F for the fiscal year ended November 30, 2017. |
(2) | XBRL information is furnished and not filed or a part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise is not subject to liability under these sections. |