Eloxx Pharmaceuticals (ELOX) 10-Q 14 Nov 16 2017 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Sep. 30, 2016	Nov. 01, 2016
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2016
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Entity Registrant Name	Sevion Therapeutics, Inc.
Entity Central Index Key	1,035,354
Current Fiscal Year End Date	--06-30
Entity Filer Category	Smaller Reporting Company
Trading Symbol	SVON
Entity Common Stock, Shares Outstanding		20,636,847

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2016	Jun. 30, 2016
CURRENT ASSETS:
Cash and cash equivalents	$ 287,064	$ 810,808
Prepaid expenses and other current assets	88,847	171,820
Total Current Assets	375,911	982,628
Equipment, furniture and fixtures, net	80,919	92,554
Acquired research and development	6,500,000	8,100,000
Security deposits	55,770	50,770
TOTAL ASSETS	7,012,600	9,225,952
CURRENT LIABILITIES:
Accounts payable	144,874	90,305
Accrued expenses	316,290	256,376
Other current liabilities	6,106	22,310
Total Current Liabilities	467,270	368,991
Warrant and stock right liabilities	319,546	956,575
Deferred tax liability	2,600,000	3,240,000
Other liabilities	0	99,728
TOTAL LIABILITIES	3,386,816	4,665,294
STOCKHOLDERS' EQUITY:
Common stock, $0.01 par value, authorized 500,000,000 shares, issued and outstanding 20,496,385 at September 30, 2016 and June 30, 2016, respectively	204,964	204,964
Capital in excess of par	119,991,604	119,983,399
Accumulated deficit	(116,573,138)	(115,630,059)
Total Stockholders' Equity	3,625,784	4,560,658
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	7,012,600	9,225,952
Series A Convertible Preferred stock
STOCKHOLDERS' EQUITY:
Convertible preferred stock	4	4
Series C Convertible Preferred stock
STOCKHOLDERS' EQUITY:
Convertible preferred stock	$ 2,350	$ 2,350

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Sep. 30, 2016	Jun. 30, 2016
Common stock, par value	$ 0.01	$ 0.01
Common stock, authorized	500,000,000	500,000,000
Common stock, issued	20,496,385	20,496,385
Common stock, outstanding	20,496,385	20,496,385
Series A Convertible Preferred Stock
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, authorized	1,228,500	1,228,500
Preferred stock, shares issued	10,297	10,297
Preferred stock, shares outstanding	380	380
Preferred stock, liquidation preference	$ 399,000	$ 389,500
Series C Convertible Preferred stock
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, authorized	1,228,500	1,228,500
Preferred stock, shares issued	235,837	235,837
Preferred stock, shares outstanding	235,004	235,004
Preferred stock, liquidation preference	$ 2,350	$ 2,350

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($)	3 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Licensing Revenue	$ 0	$ 37,500
Operating expenses:
General and administrative	480,020	587,273
Research and development	280,240	601,583
Impairment of acquired R&D	1,600,000	0
Gain on Sale of patents	(149,728)	0
Total operating expenses	2,210,532	1,188,856
Loss from operations	(2,210,532)	(1,151,356)
Other non-operating income (expense)
Change in fair value of stock right	428,315	22,334
Change in fair value of warrant liability	208,714	948,561
Interest income (expense) - net	(74)	(282)
Net loss before income tax benefit	(1,573,577)	(180,743)
Income tax benefit	640,000	0
Net loss	(933,577)	(180,743)
Preferred dividends	(9,502)	(148,369)
Loss applicable to common shares	(943,079)	(329,112)
Other comprehensive loss	0	0
Comprehensive loss	$ (943,079)	$ (329,112)
Basic and diluted net loss per common share	$ (0.05)	$ (0.02)
Basic and diluted weighted-average number of common shares outstanding	20,496,385	20,006,451

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - 3 months ended Sep. 30, 2016 - USD ($)	Total	Preferred stock	Common Stock	Capital in Excess of Par Value	Accumulated Deficit
Beginning Balance at Jun. 30, 2016	$ 4,560,658	$ 2,354	$ 204,964	$ 119,983,399	$ (115,630,059)
Beginning Balance (in shares) at Jun. 30, 2016		235,384	20,496,385
Stock-based compensation	8,205	$ 0	$ 0	8,205	0
Stock-based compensation (in shares)		0	0
Dividends accrued and unpaid at Sept 30, 2016	(9,502)	$ 0	$ 0	0	(9,502)
Net loss	(933,577)	0	0	0	(933,577)
Ending Balance at Sep. 30, 2016	$ 3,625,784	$ 2,354	$ 204,964	$ 119,991,604	$ (116,573,138)
Ending Balance (in shares) at Sep. 30, 2016		235,384	20,496,385

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	3 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Cash flows from operating activities:
Net loss	$ (933,577)	$ (180,743)
Noncash income related to change in fair value
- stock right	(428,315)	(22,334)
- warrant liability	(208,714)	(948,561)
Gain on sale of patents	(149,728)	0
Stock-based compensation expense	8,205	23,475
Depreciation and amortization	11,635	32,093
Impairment of aquired R&D	1,600,000	0
Deferred tax liability reduction for impairment of acquired R&D	(640,000)	0
Deferred rent	(16,204)	(14,160)
(Increase) decrease in operating assets:
Prepaid expenses and other current assets	82,973	95,814
Other Asset	(5,000)	0
Increase (decrease) in operating liabilities:
Accounts payable	54,569	(57,677)
Accrued expenses	50,412	(22,561)
Deferred revenue	0	(37,500)
Net cash used in operating activities	(573,744)	(1,132,154)
Cash flows from investing activities:
Proceeds from sale of patents	50,000	0
Net cash provided by investing activities	50,000	0
Cash flows from financing activities:
Proceeds from issuance of common stock and warrants, net and exercise of warrants and options	0	1,152,397
Net cash provided by financing activities	0	1,152,397
Net (decrease) increase in cash and cash equivalents	(523,744)	20,243
Cash and cash equivalents at beginning of period	810,808	3,334,626
Cash and cash equivalents at end of period	287,064	3,354,869
Supplemental disclosure of non-cash transactions:
Conversion of preferred stock into common stock	0	6,075
Allocation of equity proceeds to warrants	0	559,261
Allocation of equity proceeds to stock rights	0	142,854
Allocation of preferred stock proceeds to beneficial conversion feature	0	135,701
Dividends accrued on preferred stock	$ 9,502	$ 12,668

Basis of Presentation

Basis of Presentation	3 Months Ended
	Sep. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Note 1 - Basis of Presentation: The financial statements included herein have been prepared by Sevion Therapeutics, Inc. (the “Company”), without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with United States generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2016. In the opinion of the Company’s management, the accompanying unaudited condensed consolidated financial statements contain all adjustments, consisting solely of those which are of a normal recurring nature, necessary to present fairly its financial position as of September 30, 2016 and the results of its operations for the three months ended September 30, 2016 and cash flows for the three months ended September 30, 2016. Interim results are not necessarily indicative of results for the full fiscal year.

Liquidity

Liquidity	3 Months Ended
	Sep. 30, 2016
Liquidity [Abstract]
Liquidity	Note 2 – Liquidity: As shown in the accompanying condensed consolidated financial statements, the Company has a history of losses with an accumulated deficit of $ 116,573,138 Given the Company’s limited capital resources, management recommended to the Company’s Board of Directors that certain executive level salaries be reduced by upwards of 80%, staff reductions be effected and that there be a temporary reduction of research and development expenditures to support the Company’s goal of cutting expenses and preserving cash on hand. The Company’s Board of Directors approved this recommendation and the reductions went into effect on March 23, 2016. As of September 30, 2016, the Company had cash and cash equivalents in the amount of $ 287,064 300,000 Health, Inc., The Company will need additional capital to operate and expand its research program and plans to raise additional capital possibly through the placement of debt instruments, equity instruments or any combination thereof. However, the Company may not be able to obtain adequate funds for its operations when needed or on acceptable terms. If the Company is unable to raise additional funds, it will need to do one or more of the following: • license third parties to develop and commercialize products or technologies that it would otherwise seek to develop and commercialize itself; • seek strategic alliances or business combinations; • attempt to sell the Company; • cease operations; or • declare bankruptcy. These conditions raise substantial doubt about our ability to continue as a going concern. Consequently, the audit reports prepared by our independent registered public accounting firm relating to our consolidated financial statements for the years ended June 30, 2016, 2015 and 2014 include an explanatory paragraph expressing substantial doubt about our ability to continue as a going concern. These interim consolidated financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

Intangibles

Intangibles	3 Months Ended
	Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Patent Costs	Note 3 – Intangibles: The Company assesses the impairment in value of intangible assets whenever events or circumstances indicate that their carrying value may not be recoverable. Factors the Company considers important which could trigger an impairment review include the following: • significant negative industry trends; • significant underutilization of the assets; • significant changes in how the Company uses the assets or its plans for their use; and • changes in technology and the appearance of competing technology. If a triggering event occurs and if the Company's review determines that the future undiscounted cash flows related to the groups, including these assets, will not be sufficient to recover their carrying value, the Company will reduce the carrying values of these assets down to the Company’s estimate of fair value. Due to the decrease in the market value of the Company at September 30, 2016, the Company determined that there was a triggering event that required the Company to review if there had been an impairment to the Acquired Research and Development in the amount of $ 8,100,000 1,600,000

Loss Per Share

Loss Per Share	3 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Loss Per Share	Note 4 - Loss Per Share: Basic loss per share is computed by dividing net loss available to common shareholders by the weighted average number of the Company’s Common Stock assumed to be outstanding during the period of computation. Diluted earnings per share is computed similar to basic earnings per share except that the denominator is increased to include the number of additional shares of Common Stock that would have been outstanding if the potential shares of Common Stock had been issued and if the additional shares of Common Stock were dilutive. For all periods presented, basic and diluted loss per share are the same, as any additional Common Stock equivalents would be anti-dilutive. September 30, 2016 2015 Common Stock to be issued upon conversion of convertible preferred stock - Series A 506,666 506,666 Common Stock to be issued upon conversion of convertible preferred stock - Series C 2,350,040 2,350,040 Outstanding warrants 8,660,915 8,698,634 Outstanding options 1,915,338 1,534,088 Total potentially dilutive shares of Common Stock 13,432,959 13,089,428

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Sep. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-Based Compensation	Note 5 – Stock-Based Compensation: The terms and vesting schedules for share-based awards vary by type of grant and the employment status of the grantee. Generally, the awards vest based upon time-based conditions or achievement of specified goals and milestones. The Company did not issue options during the three month period ended September 30, 2016. Weighted Aggregate Average Exercise Price Number Exercise Price Range Outstanding, June 30, 2016 1,917,238 $ 3.29 $ 0.22 - $ 108.00 Granted - $ - - Exercised - $ - - Cancelled - $ - - Expired 1,900 $ 25.00 $ 25.00 Outstanding, September 30, 2016 1,915,338 $ 3.27 $ 0.22 - $ 108 Options exercisable at September 30, 2016 1,855,114 $ 3.35 As of September 30, 2016, the aggregate intrinsic value of stock options outstanding was $ 0 6.33 0 6.28 4,023,362 Stock-based compensation expense for the three months ended September 30, 2016 and September 30, 2015 amounted to $ 8,205 23,475 As of September 30, 2016, total stock-based compensation expense not yet recognized related to stock option grants amounted to approximately $ 21,392 26

Income Taxes

Income Taxes	3 Months Ended
	Sep. 30, 2016
Income Tax Disclosure [Abstract]
Income Taxes	Note 6 – Income Taxes: No provision for income taxes has been made for the three months ended September 30, 2016 and 2015 given the Company’s losses in 2016 and 2015 and available net operating loss carryforwards. A benefit has not been recorded as the realization of the net operating losses is not assured and the timing in which the Company can utilize its net operating loss carryforwards in any year or in total may be limited by provisions of the Internal Revenue Code regarding changes in ownership of corporations. The deferred tax liability in the amount of $ 3,240,000 640,000 640,000 2,600,000

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 7 - Fair Value Measurements: Carrying Fair Value Measurement at Sept 30, 2016 Value Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 287,064 $ 287,064 $ - $ - Warrant Liabilities $ 319,546 $ - $ - $ 319,546 Carrying Fair Value Measurement at June 30, 2016 Value Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 810,808 $ 810,808 $ - $ - Warrant Liabilities $ 956,575 $ - $ - $ 956,575 The following table summarizes the changes in fair value of the Company’s Level 3 financial investments: For the Three months ended Sept 30, 2016 Beginning Balance $ 956,575 Change in fair value of warrant liabilities, net (208,714) Change in fair value of stock right, net (428,315) Ending Balance $ 319,546

Warrant Liabilities

Warrant Liabilities	3 Months Ended
	Sep. 30, 2016
Warrant Liabilities [Abstract]
Warrant Liabilities	Note 8 – Warrant Liabilities: The warrant liabilities represent the fair value of Common Stock purchase warrants which have exercise price reset features estimated using a Monte Carlo valuation model. The Company performs a valuation using the Monte Carlo model for such warrants to account for the various possibilities that could occur due to changes in the inputs to the model as a result of contractually-obligated changes. These estimates of the likelihood of completing an equity raise that would meet the criteria to trigger the reset provisions are based on numerous factors, including the remaining term of the financial instruments and the Company’s overall financial condition. Changes in the unobservable input values would have likely caused material changes in the fair value of the Company’s Level 3 financial instruments. The significant unobservable input used in the fair value measurement was the estimation of the likelihood of the occurrence of a change to the strike price of the warrants. A significant increase (decrease) in this likelihood would have resulted in a higher (lower) fair value measurement. Date of Issuance September 30, 2016 Estimated life in years 2.50 1.08 Risk-free interest rate (1) 0.91 % 0.77 % Volatility 108.60 % 112.70 % Dividend paid 0.00 % 0.00 % (1) Represents the interest rate on a U.S. Treasury security with a maturity date corresponding to that of the warrant term.

Series C Preferred Stock

Series C Preferred Stock	3 Months Ended
	Sep. 30, 2016
Equity [Abstract]
Preferred Stock	Note 9 – Series C Preferred Stock. During the three months ended September 30, 2016, no shares of Series C Preferred Stock were converted into shares of Common Stock.

Gain on Sale of Patents

Gain on Sale of Patents	3 Months Ended
	Sep. 30, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Gain on Sale of Patents	Note 10 – Gain on Sale of Patents: On September 8, 2015, the Company entered into an agreement to sell certain Intellectual Property consisting of patents, patent applications and license agreements related to those patents and patent applications. The Company is not actively developing any program related to the Intellectual Property included in the agreement. On July 19, 2016, the transaction closed and the Company received $ 50,000 19.9 99,728 The stock received has been recorded under the cost method of accounting. It was determined that the fair value of the Intellectual Property sold and the equity received were $ 0 149,728

Recent Accounting Pronouncement

Recent Accounting Pronouncements	3 Months Ended
	Sep. 30, 2016
Accounting Changes and Error Corrections [Abstract]
Recent Accounting Pronouncements	Note 11 – Recent Accounting Pronouncements From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (“FASB”) or other standard setting bodies that are adopted by the Company as of the specified effective date. Unless otherwise discussed, we believe that the impact of recently issued standards that are not yet effective will not have a material impact on our financial position or results of operations upon adoption. In May 2014, the FASB issued ASU No. 2014- 09, “Revenue from Contracts with Customers” (“ASU 2014-09”). ASU 2014-09 requires that a company recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration to which the company expects to be entitled for those goods or services. ASU 2014-09 defines a five step process to achieve this core principle and, in doing so, more judgment and estimates may be required within the revenue recognition process than are required under existing U.S. GAAP. The standard is effective for annual periods beginning after December 15, 2016, and interim periods therein, using either of the following transition methods: (i) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients, or (ii) a retrospective approach with the cumulative effect of initially adopting ASU 2014-09 recognized at the date of adoption (which includes additional footnote disclosures). In July 2015, the FASB approved a proposal to defer the effective date of the guidance until annual and interim reporting periods beginning after December 15, 2017. The Company does not anticipate that the adoption of this standard will have a material impact on the Company’s financial statements. In June 2014, the FASB issued ASU No. 2014-12, “Compensation - Stock Compensation (Topic 718): Accounting for Share-Based Payments When the Terms of an Award Provide that a Performance Target Could be Achieved after the Requisite Service Period,” (“ASU 2014-12”). ASU 2014-12 requires that a performance target that affects vesting, and that could be achieved after the requisite service period, be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant date fair value of the award. This update further clarifies that compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. The Company does not anticipate that the adoption of this standard will have a material impact on the Company’s financial statements. In August 2014, the FASB issued ASU No. 2014-15, “Presentation of Financial Statements-Going Concern (Subtopic 205-40): Disclosure of Uncertainties About an Entity’s Ability to Continue as a Going Concern,” (“ASU 2014-15”). ASU 2014-15 amended existing guidance related to the disclosures about an entity’s ability to continue as a going concern. These amendments are intended to define management’s responsibility to evaluate whether there is substantial doubt about an organization’s ability to continue as a going concern and to provide related footnote disclosures. These amendments provide guidance to an organization’s management, with principles and definitions that are intended to reduce diversity in the timing and content of disclosures that are commonly provided by organizations in the financial statement footnotes. The amendments are effective for annual periods ending after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. The Company does not anticipate that the adoption of this standard will have a material impact on the Company’s financial statements. In November 2014, the FASB issued ASU No. 2014-16, “Derivatives and Hedging (Topic 815), Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share Is More Akin to Debt or to Equity,” (“ASU 2014-16”). All entities are required to use what is called the “whole instrument approach” to determine the nature of a host contract in a hybrid financial instrument issued in the form of a share. The guidance requires issuers and investors to consider all of a hybrid instrument’s stated and implied substantive terms and features, including any embedded derivative features being evaluated for bifurcation. The guidance eliminates the “chameleon approach,” under which all embedded features except the feature being analyzed are considered. The guidance is effective for fiscal years beginning after December 15, 2015, and interim periods within fiscal years beginning after December 15, 2016. The Company has implemented this update and the adoption of this standard does not have a material impact on the Company’s financial statements. In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842)”, which supersedes FASB ASC 840. All entities will be required to record operating leases on the balance sheet as assets and liabilities instead of recording only capital (finance) leases on the balance sheet. The guidance is effective for fiscal years beginning after December 15, 2018, and interim periods within fiscal years beginning after December 15, 2017. The Company does not anticipate that the adoption of this standard will have a material impact on the Company’s financial statements. In March 2016, the FASB issued ASU No. 2016-09, “Compensation – Stock Compensation: Improvements to Employee Share Based Payment Accounting,” which is intended to simplify several aspects of accounting for share based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The standard is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. Early application is permitted. The Company does not anticipate that the adoption of this standard will have a material impact on the Company’s financial statements.

Subsequent Events

Subsequent Events	3 Months Ended
	Sep. 30, 2016
Subsequent Events [Abstract]
Subsequent Event	Note 12 – Subsequent Events On November 10, 2016, the Company entered into unsecured promissory notes (the “Notes”) in the aggregate amount of $300,000 with a related part OPKO Health, Inc. and an existing stockholder of the Company. The Notes have customary events of default, an interest rate of 5% per annum with principal and interest due twelve months from their issuance. The Notes are to be used to fund operations.

Loss Per Share (Tables)

Loss Per Share (Tables)	3 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Weighted Average of Dilutive Shares of Common Stock	Potentially dilutive shares of Common Stock have been excluded from the calculation of the weighted average number of dilutive shares of Common Stock as follows: September 30, 2016 2015 Common Stock to be issued upon conversion of convertible preferred stock - Series A 506,666 506,666 Common Stock to be issued upon conversion of convertible preferred stock - Series C 2,350,040 2,350,040 Outstanding warrants 8,660,915 8,698,634 Outstanding options 1,915,338 1,534,088 Total potentially dilutive shares of Common Stock 13,432,959 13,089,428

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Sep. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award Of Warrants	Stock option activity under the Company’s 2008 Plan and 1998 Plan for the three months ended September 30, 2016 is summarized as follows: Weighted Aggregate Average Exercise Price Number Exercise Price Range Outstanding, June 30, 2016 1,917,238 $ 3.29 $ 0.22 - $ 108.00 Granted - $ - - Exercised - $ - - Cancelled - $ - - Expired 1,900 $ 25.00 $ 25.00 Outstanding, September 30, 2016 1,915,338 $ 3.27 $ 0.22 - $ 108 Options exercisable at September 30, 2016 1,855,114 $ 3.35

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Assets and Liabilities Carried at Fair Value Measured on Recurring Basis	The following tables provide the assets and liabilities carried at fair value measured on a recurring basis as of September 30, 2016 and June 30, 2016: Carrying Fair Value Measurement at Sept 30, 2016 Value Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 287,064 $ 287,064 $ - $ - Warrant Liabilities $ 319,546 $ - $ - $ 319,546 Carrying Fair Value Measurement at June 30, 2016 Value Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 810,808 $ 810,808 $ - $ - Warrant Liabilities $ 956,575 $ - $ - $ 956,575
Changes in Fair Value of the Company's Level 3 Financial Instruments	The following table summarizes the changes in fair value of the Company’s Level 3 financial investments: For the Three months ended Sept 30, 2016 Beginning Balance $ 956,575 Change in fair value of warrant liabilities, net (208,714) Change in fair value of stock right, net (428,315) Ending Balance $ 319,546

Warrant Liabilities (Tables)

Warrant Liabilities (Tables)	3 Months Ended
	Sep. 30, 2016
Warrant Liabilities [Abstract]
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions	The assumptions used to value the warrants at the date of issuance and at September 30, 2016 are as follows: Date of Issuance September 30, 2016 Estimated life in years 2.50 1.08 Risk-free interest rate (1) 0.91 % 0.77 % Volatility 108.60 % 112.70 % Dividend paid 0.00 % 0.00 % (1) Represents the interest rate on a U.S. Treasury security with a maturity date corresponding to that of the warrant term.

Liquidity - Additional Informat

Liquidity - Additional Information (Detail) - USD ($)	Nov. 10, 2016	Sep. 30, 2016	Jun. 30, 2016	Sep. 30, 2015	Jun. 30, 2015
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents		$ 287,064	$ 810,808	$ 3,354,869	$ 3,334,626
Development Stage Enterprise Deficit Accumulated During Development Stages		$ 116,573,138
Proceeds from Issuance of Debt	$ 300,000

Intangibles - Additional Inform

Intangibles - Additional Information (Detail) - USD ($)	3 Months Ended
	Sep. 30, 2016	Jun. 30, 2016
Finite-Lived Intangible Assets [Line Items]
Acquired research and development	$ 6,500,000	$ 8,100,000
Asset Impairment Charges	$ 1,600,000

Calculation of Weighted Average

Calculation of Weighted Average Number of Dilutive Shares of Common Stock (Detail) - shares	3 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Summary Of Significant Accounting Policies [Line Items]
Common Stock to be issued upon conversion of convertible preferred stock	13,432,959	13,089,428
Series A Preferred stock
Summary Of Significant Accounting Policies [Line Items]
Common Stock to be issued upon conversion of convertible preferred stock	506,666	506,666
Series C Preferred Stock
Summary Of Significant Accounting Policies [Line Items]
Common Stock to be issued upon conversion of convertible preferred stock	2,350,040	2,350,040
Outstanding options
Summary Of Significant Accounting Policies [Line Items]
Common Stock to be issued upon conversion of convertible preferred stock	1,915,338	1,534,088
Outstanding warrants
Summary Of Significant Accounting Policies [Line Items]
Common Stock to be issued upon conversion of convertible preferred stock	8,660,915	8,698,634

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Detail) - USD ($)	3 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock option outstanding intrinsic value	$ 0
Option outstanding weighted average remaining term	6 years 3 months 29 days
Exercisable aggregate intrinsic value	$ 0
Weighted average option exercisable remaining life	6 years 3 months 11 days
Shares available for future stock option grant	4,023,362
Stock based compensation	$ 8,205	$ 23,475
Stock based compensation expense related to stock options, not yet recognized, period of recognition	26 months
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized	$ 21,392

Stock-Based Compensation Stock

Stock-Based Compensation Stock Option Activity (Detail)	3 Months Ended
	Sep. 30, 2016$ / sharesshares
Aggregate Number
Beginning Balance | shares	1,917,238
Granted | shares	0
Exercised | shares	0
Cancelled | shares	0
Expired | shares	1,900
Ending Balance | shares	1,915,338
Options exercisable at end of Period | shares	1,855,114
Weighted Average Exercise Price
Beginning Balance	$ 3.29
Granted	0
Exercised	0
Cancelled	0
Expired	25
Ending Balance	3.27
Options exercisable at end of Period	3.35
Exercise Price Range
Granted	0
Exercised	0
Cancelled	0
Expired	25
Maximum [Member]
Exercise Price Range
Beginning Balance	108
Ending Balance	108
Minimum [Member]
Exercise Price Range
Beginning Balance	0.22
Ending Balance	$ 0.22

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($)	3 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Jun. 30, 2016
Income Tax [Line Items]
Deferred Tax Liabilities, Net	$ 2,600,000		$ 3,240,000
Deferred Income Tax Expense (Benefit)	(640,000)	$ 0
Increase (Decrease) in Deferred Liabilities	$ 640,000

Assets and Liabilities at Fair

Assets and Liabilities at Fair Value Measured on Recurring Basis (Detail) - USD ($)	Sep. 30, 2016	Jun. 30, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Warrant Liabilities	$ 319,546	$ 956,575
Fair Value Measurements Recurring Basis
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	287,064	810,808
Warrant Liabilities	319,546	956,575
Level 1 | Fair Value Measurements Recurring Basis
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, Fair Value	287,064	810,808
Warrant Liabilities	0	0
Level 2 | Fair Value Measurements Recurring Basis
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, Fair Value	0	0
Warrant Liabilities	0	0
Level 3 | Fair Value Measurements Recurring Basis
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents, Fair Value	0	0
Warrant Liabilities	$ 319,546	$ 956,575

Changes in Fair Value of the Co

Changes in Fair Value of the Company's Financial Instruments (Detail) - USD ($)	3 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Beginning Balance	$ 956,575
Change in fair value of warrant liabilities, net	(208,714)	$ (948,561)
Change in fair value of stock right, net	(428,315)	$ (22,334)
Ending Balance	$ 319,546

Warrant Liabilities (Detail)

Warrant Liabilities (Detail)	3 Months Ended
	Sep. 30, 2016
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected life (in years)	1 year 29 days
Risk-free interest rate	0.77%	[1]
Volatility	112.70%
Dividend paid	0.00%
Warrant [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected life (in years)	2 years 6 months
Risk-free interest rate	0.91%	[1]
Volatility	108.60%
Dividend paid	0.00%
[1]	Represents the interest rate on a U.S. Treasury security with a maturity date corresponding to that of the warrant term.

Gain on Sale of Patents - Addit

Gain on Sale of Patents - Additional Information (Detail) - USD ($)	1 Months Ended	3 Months Ended
	Jul. 19, 2016	Sep. 30, 2016	Sep. 30, 2015
Proceeds from Sale of Intangible Assets		$ 50,000	$ 0
Business Acquisition, Percentage of Voting Interests Acquired	19.90%
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other	$ 99,728
Gain (Loss) on Disposition of Intangible Assets		149,728	$ 0
Intellectual Property [Member]
Proceeds from Sale of Intangible Assets	$ 50,000
Finite-lived Intangible Assets, Fair Value Disclosure		0
Gain (Loss) on Disposition of Intangible Assets		$ 149,728

Subsequent Event - Additional I

Subsequent Event - Additional Information (Detail) - Subsequent Event [Member] - Unsecured Promissory Notes [Member]	Nov. 10, 2016USD ($)
Subsequent Event [Line Items]
Debt Instrument, Face Amount	$ 300,000
Debt Instrument, Interest Rate, Stated Percentage	5.00%