Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2021 | May 10, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Mar. 31, 2021 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2021 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 001-32404 | |
Entity Registrant Name | POLARITYTE, INC. | |
Entity Central Index Key | 0001076682 | |
Entity Tax Identification Number | 06-1529524 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 1960 S. 4250 West | |
Entity Address, City or Town | Salt Lake City | |
Entity Address, State or Province | UT | |
Entity Address, Postal Zip Code | 84104 | |
City Area Code | (800) | |
Local Phone Number | 560-3983 | |
Title of 12(b) Security | Common Stock, Par Value $0.001 | |
Trading Symbol | PTE | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 80,633,096 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Current assets | ||
Cash and cash equivalents | $ 37,237 | $ 25,522 |
Accounts receivable, net | 4,320 | 3,819 |
Inventory | 373 | 883 |
Prepaid expenses and other current assets | 2,631 | 992 |
Total current assets | 44,561 | 31,216 |
Property and equipment, net | 9,414 | 10,550 |
Operating lease right-of-use assets | 2,087 | 2,452 |
Intangible assets, net | 495 | 542 |
Goodwill | 278 | 278 |
Other assets | 227 | 472 |
TOTAL ASSETS | 57,062 | 45,510 |
Current liabilities | ||
Accounts payable and accrued expenses | 4,295 | 4,148 |
Other current liabilities | 3,039 | 2,106 |
Current portion of long-term notes payable | 2,508 | 2,059 |
Deferred revenue | 207 | 168 |
Total current liabilities | 10,049 | 8,481 |
Common stock warrant liability | 15,866 | 5,975 |
Operating lease liabilities | 1,142 | 1,476 |
Other long-term liabilities | 596 | 723 |
Long-term notes payable | 1,068 | 1,517 |
Total liabilities | 28,721 | 18,172 |
Commitments and Contingencies (Note 13) | ||
STOCKHOLDERS’ EQUITY | ||
Preferred stock - 25,000,000 shares authorized, 0 shares issued and outstanding at March 31, 2021 and December 31, 2020 | ||
Common stock – $.001 par value; 250,000,000 shares authorized; 80,316,309 and 54,857,099 shares issued and outstanding at March 31, 2021 and December 31, 2020, respectively | 80 | 55 |
Additional paid-in capital | 523,882 | 505,494 |
Accumulated deficit | (495,621) | (478,211) |
Total stockholders’ equity | 28,341 | 27,338 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 57,062 | $ 45,510 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Mar. 31, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Preferred stock, shares authorized | 25,000,000 | 25,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 80,316,309 | 54,857,099 |
Common stock, shares outstanding | 80,316,309 | 54,857,099 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | ||
Net revenues | |||
Total net revenues | $ 4,709 | $ 933 | |
Cost of sales | |||
Total cost of sales | 2,165 | 516 | |
Gross profit | 2,544 | 417 | |
Operating costs and expenses | |||
Research and development | 2,431 | 3,373 | |
General and administrative | 6,371 | 10,605 | |
Sales and marketing | 1,526 | 3,694 | |
Restructuring and other charges | 425 | 452 | |
Total operating costs and expenses | 10,753 | 18,124 | |
Operating loss | (8,209) | (17,707) | |
Other income (expenses) | |||
Change in fair value of common stock warrant liability | (4,027) | 4,532 | |
Inducement loss on sale of liability classified warrants | (5,197) | ||
Interest expense, net | (38) | (12) | |
Other income, net | 61 | 147 | |
Net loss | $ (17,410) | $ (13,040) | |
Net loss per share attributable to common stockholders | |||
Basic | $ (0.23) | $ (0.39) | |
Diluted | $ (0.24) | $ (0.39) | |
Weighted average shares outstanding | |||
Basic | [1] | 76,158,275 | 33,019,994 |
Diluted | 76,396,078 | 33,019,994 | |
Product [Member] | |||
Net revenues | |||
Total net revenues | $ 1,729 | $ 428 | |
Cost of sales | |||
Total cost of sales | 241 | 340 | |
Service [Member] | |||
Net revenues | |||
Total net revenues | 2,980 | 505 | |
Cost of sales | |||
Total cost of sales | $ 1,924 | $ 176 | |
[1] | In December 2020 and January 2021, the Company sold pre-funded warrants to purchase up to 5,238,043 2,420,910 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Income Statement [Abstract] | ||
Net loss | $ (17,410) | $ (13,040) |
Other comprehensive income/(loss): | ||
Unrealized gain on available-for-sale securities | (4) | |
Reclassification of realized gains included in net loss | (73) | |
Comprehensive loss | $ (17,410) | $ (13,109) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Total |
Balance – December 31, 2019 at Dec. 31, 2019 | $ 27 | $ 474,174 | $ 72 | $ (435,357) | $ 38,916 |
Balance, shares at Dec. 31, 2019 | 27,374,653 | ||||
Issuance of common stock, net of issuance costs of $1,319 | $ 11 | 12,588 | 12,599 | ||
Issuance of common stock, net of issuance costs of $1,319 | 10,854,710 | ||||
Stock-based compensation expense | 3,221 | 3,221 | |||
Stock option exercises | 31 | 31 | |||
Stock option exercises, shares | 10,000 | ||||
Vesting of restricted stock units | |||||
Vesting of restricted stock units, shares | 158,513 | ||||
Shares withheld for tax withholding | (5) | (5) | |||
Shares withheld for tax withholding, shares | (4,587) | ||||
Other comprehensive loss | (69) | (69) | |||
Net loss | (13,040) | (13,040) | |||
Balance – March 31, 2020 at Mar. 31, 2020 | $ 38 | 490,009 | 3 | (448,397) | 41,653 |
Balance, shares at Mar. 31, 2020 | 38,393,289 | ||||
Balance – December 31, 2019 at Dec. 31, 2020 | $ 55 | 505,494 | (478,211) | 27,338 | |
Balance, shares at Dec. 31, 2020 | 54,857,099 | ||||
Issuance of common stock and pre-funded warrants through underwritten offering, net of issuance costs of $114 | $ 7 | 1,248 | 1,255 | ||
Issuance of common stock and pre-funded warrants through underwritten offering, net of issuance costs of $251, shares | 6,670,000 | ||||
Issuance of common stock upon exercise of warrants | $ 10 | 6,661 | 6,671 | ||
Issuance of common stock upon exercise of warrants, shares | 10,713,543 | ||||
Reclassification of warrant liability upon exercise | 8,964 | 8,964 | |||
Issuance of common stock upon exercise of pre-funded warrants | $ 8 | 8 | |||
Issuance of common stock upon exercise of pre-funded warrants, shares | 7,658,953 | ||||
Stock-based compensation expense | 1,651 | 1,651 | |||
Stock option exercises | 3 | 3 | |||
Stock option exercises, shares | 2,500 | ||||
Vesting of restricted stock units | |||||
Vesting of restricted stock units, shares | 565,427 | ||||
Shares withheld for tax withholding | (139) | (139) | |||
Shares withheld for tax withholding, shares | (116,593) | ||||
Forfeiture of restricted stock awards | |||||
Forfeiture of restricted stock awards, shares | (34,620) | ||||
Net loss | (17,410) | (17,410) | |||
Balance – March 31, 2020 at Mar. 31, 2021 | $ 80 | $ 523,882 | $ (495,621) | $ 28,341 | |
Balance, shares at Mar. 31, 2021 | 80,316,309 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2021 | Mar. 31, 2020 |
Subsidiary, Sale of Stock [Line Items] | ||
Debt Issuance Costs, Net | $ 1,319 | |
Underwritten Offering [Member] | ||
Subsidiary, Sale of Stock [Line Items] | ||
Debt Issuance Costs, Net | $ 114 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows (Unaudited - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net loss | $ (17,410) | $ (13,040) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Stock-based compensation expense | 1,651 | 3,221 |
Depreciation and amortization | 701 | 752 |
Amortization of intangible assets | 47 | 48 |
Amortization of debt discount | 8 | |
Bad debt expense | 97 | |
Change in inventory reserve | 391 | |
Change in fair value of common stock warrant liability | 4,027 | (4,532) |
Inducement loss on sale of liability classified warrants | 5,197 | |
Loss on restructuring and other charges | 425 | |
Loss on sale of property and equipment | 7 | |
Other non-cash adjustments | (16) | |
Changes in operating assets and liabilities: | ||
Accounts receivable | (598) | 545 |
Inventory | 119 | 19 |
Prepaid expenses and other current assets | (1,639) | (1,543) |
Operating lease right-of-use assets | 328 | 448 |
Other assets | 245 | 4 |
Accounts payable and accrued expenses | 138 | 818 |
Other current liabilities | (15) | (61) |
Deferred revenue | 39 | (75) |
Operating lease liabilities | (360) | (450) |
Net cash used in operating activities | (6,610) | (13,854) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Purchase of property and equipment | (12) | (999) |
Proceeds from sale of property and equipment | 10 | |
Purchase of available-for-sale securities | (14,144) | |
Proceeds from maturities of available-for-sale securities | 15,945 | |
Proceeds from sale of available-for-sale securities | 16,171 | |
Net cash (used in) provided by investing activities | (2) | 16,973 |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Proceeds from term note payable and financing arrangements | 1,028 | 1,053 |
Principal payments on term note payable and financing arrangements | (9) | (55) |
Principal payments on financing leases | (135) | (123) |
Net proceeds from the sale of common stock and warrants | 24,276 | |
Net proceeds from the sale of common stock, warrants and pre-funded warrants | 9,884 | |
Proceeds from the sale of new warrants | 1,002 | |
Proceeds from warrants exercised | 6,671 | |
Proceeds from pre-funded warrants exercised | 8 | |
Cash paid for tax withholdings related to net share settlement | (125) | (2) |
Proceeds from stock options exercised | 3 | 31 |
Net cash provided by financing activities | 18,327 | 25,180 |
Net increase in cash and cash equivalents | 11,715 | 28,299 |
Cash and cash equivalents - beginning of period | 25,522 | 10,218 |
Cash and cash equivalents - end of period | 37,237 | 38,517 |
Supplemental cash flow information: | ||
Cash paid for interest | 31 | 46 |
Supplemental schedule of non-cash investing and financing activities: | ||
Unpaid liability for acquisition of property and equipment | 137 | |
Fair value of placement agent warrants issued in connection with offering | 838 | |
Reclassification of warrant liability to stockholders’ equity upon exercise of warrant | 8,964 | |
Accrued offering costs | 500 | |
Allocation of proceeds to warrant liability | $ 8,629 | $ 11,677 |
PRINCIPAL BUSINESS ACTIVITY AND
PRINCIPAL BUSINESS ACTIVITY AND BASIS OF PRESENTATION | 3 Months Ended |
Mar. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
PRINCIPAL BUSINESS ACTIVITY AND BASIS OF PRESENTATION | 1. PRINCIPAL BUSINESS ACTIVITY AND BASIS OF PRESENTATION PolarityTE, Inc. (together with its subsidiaries, the “Company”) is a biotechnology company developing regenerative tissue products and biomaterials. The Company also operates a laboratory testing and clinical research business using equipment, personnel, and facilities it acquired to advance the development of regenerative tissue products. The accompanying interim condensed consolidated financial statements of the Company are unaudited, but in the opinion of management, reflect all adjustments, consisting of normal recurring accruals, necessary for a fair presentation of the results for the interim periods presented. Accordingly, they do not include all information and notes required by generally accepted accounting principles for complete financial statements. The results of operations for interim periods are not necessarily indicative of results to be expected for the entire fiscal year. The balance sheet at December 31, 2020 has been derived from the audited consolidated financial statements at that date but does not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (U.S. GAAP) for complete financial statements. These interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, 2020 filed with the Securities and Exchange Commission on Form 10-K on March 30, 2021. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation Use of estimates Reclassifications 0.5 Cash and cash equivalents Inventory . 0.4 no Leases The Company has lease agreements with lease and non-lease components. As allowed under ASC 842, the Company has elected not to separate lease and non-lease components for any leases involving real estate and office equipment classes of assets and, as a result, accounts for the lease and non-lease components as a single lease component. The Company has also elected not to apply the recognition requirement of ASC 842 to leases with a term of 12 months or less for all classes of assets. Revenue Recognition The Company records product revenues primarily from the sale of its regenerative tissue products. The Company sells its products to healthcare providers (customers), primarily through direct sales representatives. Product revenues consist of a single performance obligation that the Company satisfies at a point in time. In general, the Company recognizes product revenue upon delivery to the customer. In the contract services segment, the Company records service revenues from the sale of its preclinical research services, which includes delivery of preclinical studies and other research services to unrelated third parties. Service revenues generally consist of a single performance obligation that the Company satisfies over time using an input method based on costs incurred to date relative to the total costs expected to be required to satisfy the performance obligation. The Company believes that this method provides an appropriate measure of the transfer of services over the term of the performance obligation based on the remaining services needed to satisfy the obligation. This requires the Company to make reasonable estimates of the extent of progress toward completion of the contract. As a result, unbilled receivables and deferred revenue are recognized based on payment timing and work completed. Generally, a portion of the payment is due upfront and the remainder upon completion of the contract, with most contracts completing in less than a year. Contract services include research and laboratory testing services to unrelated third parties on a contract basis. These customer contracts generally consist of a single performance obligation that the Company satisfies at a point in time. The Company recognizes revenue upon delivery of testing results to the customer. As of March 31, 2021 and December 31, 2020, the Company had unbilled receivables of $ 0.4 0.2 0.2 0.2 Research and Development Expenses Accruals for Clinical Trials Common Stock Warrant Liability Stock-Based Compensation The fair value of options issued is estimated at the date of grant using a Black-Scholes option-pricing model. The risk-free rate is derived from the U.S. Treasury yield curve in effect at the time of the grant commensurate with the expected term of the option. The volatility factor is determined based on the Company’s historical stock prices. Forfeitures are recognized as they occur. The fair value of restricted stock grants is measured based on the fair market value of the Company’s common stock on the date of grant and amortized to compensation expense over the vesting period of, generally, six months to three years. Net Loss Per Share Gains on warrant liabilities are only considered dilutive when the average market price of the common stock during the period exceeds the exercise price of the warrants. All common stock warrants issued participate on a one-for-one basis with common stock in the distribution of dividends, if and when declared by the Board of Directors, on the Company’s common stock. For purposes of computing EPS, these warrants are considered to participate with common stock in earnings of the Company. Therefore, the Company calculates basic and diluted EPS using the two-class method. Under the two-class method, net income for the period is allocated between common stockholders and participating securities according to dividends declared and participation rights in undistributed earnings. No income was allocated to the warrants for the year ended December 31, 2020, as results of operations were a loss for the period and the warrant holders are not required to absorb losses. The Company has issued pre-funded warrants from time to time at an exercise price of $ 0.001 Impairment of Long-Lived Assets Goodwill no Recent Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326) Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815) and Leases (Topic 842): Effective Dates In August 2020, the FASB issued ASU No. 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity In May 2021, the FASB issued ASU No. 2021-04, Earnings Per Share (Topic 260), Debt— Modifications and Extinguishments (Subtopic 470-50), Compensation—Stock Compensation (Topic 718), and Derivatives and Hedging— Contracts in Entity’s Own Equity (Subtopic 815-40) Recently Adopted Accounting Pronouncements In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes |
LIQUIDITY
LIQUIDITY | 3 Months Ended |
Mar. 31, 2021 | |
Liquidity | |
LIQUIDITY | 3. LIQUIDITY The Company has experienced recurring losses and cash outflows from operating activities. As of March 31, 2021, the Company had an accumulated deficit of $ 495.6 37.2 On January 14, 2021, the Company completed a registered direct offering of 6,670,000 0.001 2,420,910 9,090,910 1.100 1.099 $0.001 Each common warrant is exercisable for one share of the Company’s common stock at an exercise price of $ 1.20 five years The holder of the warrants may not exercise any portion of the warrants to the extent that the holder would own more than 4.99% of the outstanding common stock immediately after exercise, which percentage may be changed at the holder’s election to a lower percentage at any time or to a higher percentage not to exceed 9.99% upon 61 days’ notice to the Company. The Company also issued to designees of the placement agent for the registered direct offering, warrants to purchase up to 6.0% of the aggregate number of common stock shares and pre-funded warrants sold in the offering (or warrants to purchase up to 545,455 shares of common stock) 125 1.375 9.2 On January 22, 2021, the Company entered into a letter agreement with the holder of warrants to purchase 10,688,043 0.624 10,688,043 8,016,033 0.001 0.125 1.20 five years The holder of the warrants may not exercise any portion of the warrants to the extent that the holder would own more than 4.99% of the outstanding common stock immediately after exercise, which percentage may be changed at the holder’s election to a lower percentage at any time or to a higher percentage not to exceed 9.99% upon 61 days’ notice to the Company. The Company also issued to designees of the placement agent for the registered direct offering in December 2020, warrants to purchase 6.0% of the aggregate number of new warrants issued under the letter agreement (or warrants to purchase up to 480,962 shares of common stock) 6.7 0.9 The Company believes that its existing cash and cash equivalents will be adequate to satisfy its capital and operating needs for at least the next 12 months from the date of filing. The Company will continue to pursue fundraising opportunities when available, but such financing may not be available in the future on favorable terms, if at all. If adequate financing is not available, the Company may be required to delay, reduce the scope of, or eliminate one or more of its product development programs, or be unable to continue operations over a longer term. The Company plans to meet its capital requirements primarily through issuances of equity securities, debt financing, or strategic partnership arrangements. Failure to raise additional capital would adversely affect the Company’s ability to fully achieve its intended business objectives. |
FAIR VALUE
FAIR VALUE | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE | 4. FAIR VALUE In accordance with ASC 820, Fair Value Measurements and Disclosures ● Level 1: Observable inputs such as quoted prices in active markets for identical instruments. ● Level 2: Quoted prices for similar instruments that are directly or indirectly observable in the market. ● Level 3: Significant unobservable inputs supported by little or no market activity. Financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, for which determination of fair value requires significant judgment or estimation. Financial instruments measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. There were no transfers within the hierarchy for any of the periods presented. The following table sets forth the fair value of the Company’s financial assets and liabilities measured on a recurring basis by level within the fair value hierarchy (in thousands): SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS MEASURED ON RECURRING BASIS March 31, 2021 Level 1 Level 2 Level 3 Total Liabilities: Common stock warrant liability $ – $ – $ 15,866 $ 15,866 Total $ – $ – $ 15,866 $ 15,866 December 31, 2020 Level 1 Level 2 Level 3 Total Liabilities: Common stock warrant liability $ – $ – $ 5,975 $ 5,975 Total $ – $ – $ 5,975 $ 5,975 The following table presents the change in fair value of the liability classified common stock warrants for the three months ended March 31, 2021 (in thousands): SCHEDULE OF FAIR VALUE OF LIABILITY CLASSIFIED COMMON STOCK WARRANTS Fair Value at December 31, 2020 Initial Fair Value at Issuance (Gain) Loss Upon Change in Fair Value Liability Reduction Due to Exercises Fair Value on March 31, 2021 Warrant liabilities February 14, 2020 issuance $ 328 $ – $ 217 $ – $ 545 December 23, 2020 issuance 5,647 – 3,861 (8,964 ) 544 January 14, 2021 issuance – 8,629 (797 ) – 7,832 January 25, 2021 issuance – 6,199 746 – 6,945 Inducement loss on initial fair value (1) – – 5,197 – – Total $ 5,975 $ 14,828 $ 9,224 $ (8,964 ) $ 15,866 (1) Concurrent with the issuance of the January 25, 2021 warrants, upon the exercise of the December 23, 2020 warrants, an inducement loss of $ 5.2 6.2 1.0 The following table presents the change in fair value of the liability classified common stock warrants for the three months ended March 31, 2020 (in thousands): Fair Value at December 31, 2019 Initial Fair Value at Issuance (Gain) Loss Upon Change in Fair Value Liability Reduction Due to Exercises Fair Value on March 31, 2020 Warrant liabilities February 14, 2020 issuance $ – $ 11,677 $ (4,532 ) $ – $ 7,145 The Company uses the Monte Carlo simulation model to determine the fair value of the liability classified warrants. SCHEDULE OF FAIR VALUE ASSUMPTIONS OF WARRANTS LIABILITY For the Three Months ended March 31, 2021 Stock price $ 1.02 1.21 Exercise price $ 0.10 1.38 Risk-free rate 0.42 1.13 % Volatility 99.0 102.7 % Remaining term (years) 4.73 5.87 Input assumptions used to measure the fair value of these freestanding instruments during the three months ended March 31, 2020 are as follows: For the Three Months ended March 31, 2020 Stock price $ 1.08 1.69 Exercise price $ 2.80 Risk-free rate 0.54 1.51 % Volatility 93.4 94.2 % Remaining term (years) 6.87 6.99 |
PROPERTY AND EQUIPMENT, NET
PROPERTY AND EQUIPMENT, NET | 3 Months Ended |
Mar. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT, NET | 5. PROPERTY AND EQUIPMENT, NET The following table presents the components of property and equipment, net (in thousands): SCHEDULE OF PROPERTY AND EQUIPMENT, NET March 31, 2021 December 31, 2020 Machinery and equipment $ 11,604 $ 12,232 Land and buildings 2,000 2,000 Computers and software 1,207 1,240 Leasehold improvements 2,107 2,107 Construction in progress – 87 Furniture and equipment 148 148 Total property and equipment, gross 17,066 17,814 Accumulated depreciation and amortization (7,652 ) (7,264 ) Total property and equipment, net $ 9,414 $ 10,550 The Company sold SkinTE under Section 361 of the Public Health Service Act in 2020 and into 2021 and, after the Company’s decision to file an investigational new drug application (IND) under Section 351 of that Act, under an enforcement discretion position stated by the FDA in a regenerative medicine policy framework to help facilitate regenerative medicine therapies. On or about April 21, 2021, the FDA announced that enforcement discretion will not be extended beyond May 31, 2021. As a result of this development and the Company’s plan to file its IND in the second half of 2021, the Company has decided it will terminate commercial sales of SkinTE on May 31, 2021, and wind down its SkinTE commercial operation. Approximately $ 3.0 2.5 0.4 Depreciation and amortization expense for property and equipment, including assets acquired under financing leases was as follows (in thousands): SCHEDULE OF DEPRECIATION AND AMORTIZATION EXPENSE For the Three Months Ended March 31, 2021 2020 General and administrative expense $ 304 $ 392 Research and development expense 397 360 Total depreciation and amortization expense $ 701 $ 752 |
LEASES
LEASES | 3 Months Ended |
Mar. 31, 2021 | |
Leases | |
LEASES | 6. LEASES The Company leases facilities and certain equipment under noncancelable leases that expire at various dates through August 2024. These leases require monthly lease payments that may be subject to annual increases throughout the lease term. Certain of these leases may include options to extend or terminate the lease at the election of the Company. These optional periods have not been considered in the determination of the right-of-use-assets or lease liabilities associated with these leases as the Company did not consider it reasonably certain it would exercise the options. Operating Leases On December 27, 2017, the Company entered into a commercial lease agreement with Adcomp LLC, a Utah limited liability company, pursuant to which the Company leased approximately 178,528 November 30, 2022 The Company has a one-time option to renew for an additional five years 98,190 Because the rate implicit in the lease is not readily determinable, the Company has used an incremental borrowing rate of 10% In April 2019, the Company entered into an operating lease to obtain 6,307 The lease expires April 2024 and requires monthly lease payments subject to annual increases 0 Financing Leases In November 2018 and April 2019, the Company entered into financing leases primarily for laboratory equipment used in research and development activities. The financing leases have remaining terms that range from 12 37 10 As of March 31, 2021, the maturities of operating and finance lease liabilities were as follows (in thousands): SCHEDULE OF OPERATING AND FINANCE LEASE LIABILITIES Operating leases Finance leases 2021 (excluding the three months ended March 31, 2021) $ 1,231 $ 491 2022 1,345 405 2023 132 336 2024 87 42 Total lease payments 2,795 1,274 Less: Imputed interest (231 ) (143 ) Total $ 2,564 $ 1,131 Supplemental balance sheet information related to leases was as follows (in thousands): SHCEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO FINANCE AND OPERATING LEASES Finance leases March 31, 2021 December 31, 2020 Finance lease right-of-use assets included within property and equipment, net $ 1,135 $ 1,301 Current finance lease liabilities included within other current liabilities $ 544 $ 556 Non-current finance lease liabilities included within other long-term liabilities 587 711 Total finance lease liabilities $ 1,131 $ 1,267 Operating leases March 31, 2021 December 31, 2020 Current operating lease liabilities included within other current liabilities $ 1,422 $ 1,485 Operating lease liabilities – non current 1,142 1,476 Total operating lease liabilities $ 2,564 $ 2,961 The components of lease expense were as follows (in thousands): SUMMARY OF COMPONENTS OF LEASE EXPENSE 2021 2020 For the Three Months Ended March 31, 2021 2020 Operating lease costs included within operating costs and expenses $ 394 $ 556 Finance lease costs: Amortization of right-of-use assets $ 165 $ 175 Interest on lease liabilities 30 43 Total $ 195 $ 218 Supplemental cash flow information related to leases was as follows (in thousands): SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES For the Three Months Ended March 31, 2021 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash out flows from operating leases $ 426 $ 558 Operating cash out flows from finance leases $ 30 $ 43 Financing cash out flows from finance leases $ 135 $ 123 Lease liabilities arising from obtaining right-of-use assets: Remeasurement of operating lease liability due to lease modification $ 37 $ – As of March 31, 2021 and December 31, 2020, the weighted average remaining lease term for operating leases was 1.9 2.1 9.81 9.75 2.4 2.6 9.78 |
ACCOUNTS PAYABLE AND ACCRUED EX
ACCOUNTS PAYABLE AND ACCRUED EXPENSE | 3 Months Ended |
Mar. 31, 2021 | |
Payables and Accruals [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED EXPENSE | 7. ACCOUNTS PAYABLE AND ACCRUED EXPENSE The following table presents the major components of accounts payable and accrued expenses (in thousands): SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES March 31, 2021 December 31, 2020 Accounts payable $ 339 $ 1,193 Salaries and other compensation 1,519 1,129 Legal and accounting 377 241 Accrued severance 83 330 Benefit plan accrual 700 659 Accrued offering costs 500 – Other 777 596 Total accounts payable and accrued expenses $ 4,295 $ 4,148 Accrued severance as of March 31, 2021 and December 31, 2020 consists of accrued compensation owed to Dr. Denver Lough, a former officer and director, under a settlement terms agreement dated August 21, 2019 (Note 14). |
OTHER CURRENT LIABILITIES
OTHER CURRENT LIABILITIES | 3 Months Ended |
Mar. 31, 2021 | |
Other Liabilities Disclosure [Abstract] | |
OTHER CURRENT LIABILITIES | 8. OTHER CURRENT LIABILITIES The following table presents the major components of other current liabilities (in thousands): SCHEDULE OF OTHER CURRENT LIABILITIES March 31, 2021 December 31, 2020 Current finance lease liabilities $ 544 $ 556 Current operating lease liabilities 1,422 1,485 Short-term financing arrangement 1,048 20 Other 25 45 Total other current liabilities $ 3,039 $ 2,106 The short-term financing balance is related to a financing arrangement entered into during the three months ended March 31, 2021 to fund an insurance contract. Under the financing arrangement, the amounts will be repaid in nine equal monthly installments, with an interest rate of 3.85 |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
STOCK-BASED COMPENSATION | 9. STOCK-BASED COMPENSATION 2020, 2019 and 2017 Equity Incentive Plans 2020 Plan On October 25, 2019, the Company’s Board of Directors (the “Board”) approved the Company’s 2020 Stock Option and Incentive Plan (the “2020 Plan”). The 2020 Plan became effective on December 19, 2019, the date approved by the stockholders. The 2020 Plan provides for the grant of incentive stock options, nonqualified stock options, restricted stock, restricted stock units, stock appreciation rights, unrestricted stock awards, dividend equivalent rights, and cash-based awards to the Company’s employees, officers, directors and consultants. The Compensation Committee of the Board will administer the 2020 Plan, including determining which eligible participants will receive awards, the number of shares of common stock subject to the awards and the terms and conditions of such awards. Up to 7,191,917 December 19, 2029 3,583,950 2019 Plan On October 5, 2018, the Company’s Board approved the Company’s 2019 Equity Incentive Plan (the “2019 Plan”). The 2019 Plan provides for the grant of incentive stock options, nonqualified stock options, restricted stock, restricted stock units, stock appreciation rights and other types of stock-based awards to the Company’s employees, officers, directors and consultants. The Compensation Committee of the Board will administer the 2019 Plan, including determining which eligible participants will receive awards, the number of shares of common stock subject to the awards and the terms and conditions of such awards. Up to 3,000,000 October 5, 2028 392,999 2017 Plan On December 1, 2016, the Company’s Board approved the Company’s 2017 Equity Incentive Plan (the “2017 Plan”). The purpose of the 2017 Plan is to promote the success of the Company and to increase stockholder value by providing an additional means through the grant of awards to attract, motivate, retain and reward selected employees, consultants and other eligible persons. The 2017 Plan provides for the grant of incentive stock options, nonqualified stock options, restricted stock, restricted stock units, stock appreciation rights and other types of stock-based awards to the Company’s employees, officers, directors and consultants. The Compensation Committee of the Board will administer the 2017 Plan, including determining which eligible participants will receive awards, the number of shares of common stock subject to the awards and the terms and conditions of such awards. Up to 7,300,000 December 1, 2026 311,863 A summary of the Company’s employee and non-employee stock option activity for the three months ended March 31, 2021 is presented below: SCHEDULE OF SHARE-BASED COMPENSATION, STOCK OPTIONS, ACTIVITY Number of Shares Weighted- Average Exercise Price Outstanding – December 31, 2020 4,794,567 $ 10.03 Granted 1,352,058 $ 1.30 Exercised (1) (2,500 ) $ 1.10 Forfeited (62,415 ) $ 6.26 Outstanding – March 31, 2021 6,081,710 $ 8.13 Options exercisable, March 31, 2021 4,030,490 $ 11.27 (1) The number of exercised options includes shares withheld on behalf of employees to satisfy minimum statutory tax withholding requirements. Employee Stock Purchase Plan (ESPP) In May 2018, the Company adopted the Employee Stock Purchase Plan (“ESPP”). The Company has initially reserved 500,000 85 Restricted Stock A summary of the Company’s employee and non-employee restricted-stock activity is presented below: SCHEDULE OF SHARE-BASED COMPENSATION, RESTRICTED STOCK ACTIVITY Number of Shares Unvested - December 31, 2020 3,468,969 Granted 498,628 Vested (1) (740,657 ) Forfeited (165,870 ) Unvested – March 31, 2021 3,061,070 (1) The number of vested restricted stock units and awards includes shares that were withheld on behalf of employees to satisfy the minimum statutory tax withholding requirements. Stock-Based Compensation Expense The stock-based compensation expense related to stock options, restricted stock awards, and the employee stock purchase plan was as follows (in thousands): SCHEDULE OF SHARE-BASED COMPENSATION RELATED TO RESTRICTED STOCK AWARDS AND STOCK OPTIONS For the Three Months Ended March 31, 2021 2020 General and administrative expense $ 1,229 $ 3,076 Research and development expense 323 (36 ) Sales and marketing expense 99 181 Total stock-based compensation expense $ 1,651 $ 3,221 |
SALE OF COMMON STOCK, WARRANTS
SALE OF COMMON STOCK, WARRANTS AND PRE-FUNDED WARRANTS | 3 Months Ended |
Mar. 31, 2021 | |
Equity [Abstract] | |
SALE OF COMMON STOCK, WARRANTS AND PRE-FUNDED WARRANTS | 10. SALE OF COMMON STOCK, WARRANTS AND PRE-FUNDED WARRANTS On January 14, 2021, the Company completed a registered direct offering of 6,670,000 0.001 2,420,910 9,090,910 1.10 1.099 0.001 1.20 five years The holder of the warrants may not exercise any portion of the warrants to the extent that the holder would own more than 4.99% of the outstanding common stock immediately after exercise, which percentage may be changed at the holder’s election to a lower percentage at any time or to a higher percentage not to exceed 9.99% upon 61 days’ notice to the Company. The Company also issued to designees of the placement agent warrants to purchase 6.0% of the aggregate number of common stock shares and pre-funded warrants sold in the offering (or warrants to purchase up to 545,455 shares of common stock). The placement agent warrants have substantially the same terms as the warrants, except that the placement agent warrants have an exercise price equal to 125% 1.375 per share). 9.2 0.8 As the common stock warrants and placement agent common stock warrants could each require cash settlement in certain scenarios, the common stock warrants and placement agent common stock warrants were classified as liabilities upon issuance and were initially recorded at estimated fair values of $ 8.1 0.5 The pre-funded warrants were equity classified because they met characteristics of the equity classification criteria. 1.4 0.1 0.7 Accompanying common warrants: SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 14, 2021 March 31, 2021 Stock price $ 1.21 $ 1.11 Exercise price $ 1.20 $ 1.20 Risk-free rate 0.49 % 0.86 % Volatility 100.1 % 102.4 % Remaining term (years) 5.0 4.8 Placement agent warrants: SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF PLACEMENT AGENT WARRANTS January 14, 2021 March 31, 2021 Stock price $ 1.21 $ 1.11 Exercise price $ 1.38 $ 1.38 Risk-free rate 0.49 % 0.86 % Volatility 99.3 % 102.4 % Remaining term (years) 5.0 4.8 On January 22, 2021, the Company entered into a letter agreement with the holder of warrants to purchase 10,688,043 shares of common stock at an exercise price of $ 0.624 per share that were issued to the holder in the registered direct offering that closed on December 23, 2020. Under the letter agreement the holder agreed to exercise the 10,688,043 warrants in full and the Company agreed to issue and sell to the holder common warrants to purchase up to 8,016,033 shares of the Company’s common stock, par value $ 0.001 per share, at a price of $ 0.125 . Each warrant is exercisable for one share of Common Stock at an exercise price of $1.20 per share. The warrants are immediately exercisable and will expire five years from the date of issuance. A holder may not exercise any portion of the warrants to the extent that the holder would own more than 4.99% of the outstanding common stock immediately after exercise, which percentage may be changed at the holder’s election to a lower percentage at any time or to a higher percentage not to exceed 9.99% upon 61 days’ notice to the Company. The Company also issued to designees of the placement agent, warrants to purchase 6.0% of the aggregate number of common stock shares and pre-funded warrants sold in the offering 480,962 shares of common stock). The placement agent warrants have substantially the same terms as the new warrants. 10,688,043 6.7 1.0 Immediately prior to the exercise of the existing 10,688,043 3.6 SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 22, 2021 Stock price $ 1.05 Exercise price $ 0.624 Risk-free rate 0.43 % Volatility 99.4 % Remaining term (years) 4.92 As the new common stock warrants and placement agent common stock warrants could each require cash settlement in certain scenarios, the new common stock warrants and placement agent common stock warrants were classified as liabilities upon issuance and were initially recorded at estimated fair values of $ 5.8 million and $ 0.4 million, respectively. Cash issuance costs of $ 0.1 million were recorded as an expense. The Company measured the fair value of the accompanying common stock warrants and placement agent common stock warrants using the Monte Carlo simulation model at issuance and again at March 31, 2021 using the following inputs: Accompanying new common stock warrants: SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 25, 2021 March 31, 2021 Stock price $ 1.02 $ 1.11 Exercise price $ 1.20 $ 1.20 Risk-free rate 0.42 % 0.87 % Volatility 99.0 % 102.4 % Remaining term (years) 5.0 4.8 Placement agent warrants: SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 22, 2021 March 31, 2021 Stock price $ 1.05 $ 1.11 Exercise price $ 1.20 $ 1.20 Risk-free rate 0.44 % 0.87 % Volatility 99.6 % 102.4 % Remaining term (years) 5.0 4.8 The following table summarizes warrant activity for the year ended March 31, 2021. SUMMARY OF WARRANT ACTIVITY Outstanding December 31, 2020 Warrants Issued Warrants Exercised Outstanding March 31, 2021 Transaction February 14, 2020 common warrants 565,000 – (25,500 ) 539,500 December 23, 2020 common warrants 10,688,043 – (10,688,043 ) – December 23, 2020 placement agent warrants 641,283 – – 641,283 December 23, 2020 pre-funded warrants 5,238,043 – (5,238,043 ) – January 14, 2021 common warrants – 9,090,910 – 9,090,910 January 14, 2021 placement agent warrants – 545,455 – 545,455 January 14, 2021 pre-funded warrants – 2,420,910 (2,420,910 ) – January 25, 2021 common warrants – 8,016,033 – 8,016,033 January 22, 2021 placement agent warrants – 480,962 – 480,962 Total 17,132,369 20,554,270 (18,372,496 ) 19,314,143 On March 30, 2021, the Company entered into a sales agreement with Cantor Fitzgerald & Co. to sell shares of common stock having aggregate sales proceeds of up to $ 50.0 Pursuant to an Equity Purchase Agreement dated as of December 5, 2019 (the “Purchase Agreement”) that the Company entered into with Keystone Capital Partners, LLC (“Keystone”), Keystone agreed to purchase up to $ 25.0 |
NET LOSS PER SHARE ATTRIBUTABLE
NET LOSS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
NET LOSS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS | 11. NET LOSS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS The following tables present reconciliations for the numerators and denominators of basic and diluted net loss per share for the three months ended March 31, 2021 and 2020: SCHEDULE OF EARNINGS PER SHARE, BASIC AND DILUTED March 31, 2021 March 31, 2020 Numerator: Net loss $ (17,410 ) $ (13,040 ) Less: Gain from change in fair value of warrant liabilities (755 ) – Net loss, available to common stockholders $ (18,165 ) $ (13,040 ) March 31, 2021 March 31, 2020 Denominator: Basic weighted average number of common shares (1) 76,158,275 33,019,994 Incremental shares from assumed exercise of warrants 237,803 – Diluted weighted average number of common shares 76,396,078 33,019,994 (1) In December 2020 and January 2021, the Company sold pre-funded warrants to purchase up to 5,238,043 2,420,910 The following outstanding potentially dilutive securities have been excluded from the calculation of diluted net loss per share for the periods presented due to their anti-dilutive effect: SCHEDULE OF ANTI-DILUTIVE POTENTIAL SHARES OUTSTANDING ACTIVITY As of March 31, 2021 2020 Stock options 6,081,710 4,348,559 Restricted stock 3,061,070 1,574,878 Common stock warrants 10,223,233 10,638,298 Shares committed under ESPP 56,806 54,632 |
DEBT
DEBT | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
DEBT | 12. DEBT PPP Loan On April 12, 2020, our subsidiary PolarityTE MD, Inc. (the “Borrower”) entered into a promissory note evidencing an unsecured loan in the amount of $ 3,576,145 1.00% 24 150,563 On October 15, 2020, the Borrower applied to the Lender for forgiveness of the PPP loan in its entirety based on the Borrower’s use of the PPP loan for payroll costs, rent, and utilities. On October 26, 2020, the Borrower was advised that the Lender approved the application, and that the Lender was submitting the application to the SBA for a final decision. The Company classified the principal balance of the PPP loan within “Current portion of long-term notes payable” and “Long-term notes payable” on the consolidated balance sheet as of March 31, 2021. If the Borrower’s application for forgiveness of the PPP loan is not approved or approved only in part, it will be obligated to repay the unforgiven portion of the loan after the SBA makes its decision on the application for forgiveness. No assurance has been provided that the Company will obtain forgiveness of the Loan in whole or in part. The SBA adopted a procedure for auditing all PPP loans over $2 million and pursuant to that procedure the Company completed the SBA’s form requesting information surrounding the Borrower’s original application for the Loan and information on use of the Loan proceeds, which was submitted to the SBA in December 2020. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 13. COMMITMENTS AND CONTINGENCIES On June 26, 2018, a class action complaint alleging violations of the Federal securities laws was filed in the United States District Court, District of Utah, by Jose Moreno against the Company and two directors of the Company, Case No. 2:18-cv-00510-JNP (the “Moreno Complaint”). On July 6, 2018, a similar complaint was filed in the same court against the same defendants by Yedid Lawi, Case No. 2:18-cv-00541-PMW (the “Lawi Complaint”). On November 28, 2018, the Court consolidated the Moreno Lawi In re PolarityTE, Inc. Securities Litigation In November 2018, a shareholder derivative lawsuit was filed in the United States District Court, District of Utah, with the caption Monther v. Lough, et al Other Matters In the ordinary course of business, the Company may become involved in lawsuits, claims, investigations, proceedings, and threats of litigation relating to intellectual property, commercial arrangements, employment, regulatory compliance, and other matters. Except as noted above, at March 31, 2021, the Company was not party to any legal or arbitration proceedings that may have significant effects on its financial position or results of operations. No governmental proceedings are pending or, to the Company’s knowledge, contemplated against the Company. The Company is not a party to any material proceedings in which any director, member of senior management or affiliate of the Company’s is either a party adverse to the Company or its subsidiaries or has a material interest adverse to the Company or its subsidiaries. Commitments The Company has entered into employment agreements with key executives that contain severance terms and change of control provisions. On September 2, 2020, Arches Research, Inc., a subsidiary of PolarityTE, Inc. (“Arches”) entered into two agreements with Co-Diagnostics, Inc. (“Co-Diagnostics”). The COVID-19 Laboratory Services Agreement between the parties provides that Arches will perform specimen testing services for customers referred by Co-Diagnostics to Arches. Co-Diagnostics will arrange all logistics for delivering specimens to Arches for COVID-19 testing for those customers of Co-Diagnostics electing to use the service. Arches bills Co-Diagnostics for the testing services and Co-Diagnostics manages all customer billing. The Rental Agreement for LGC Genomics Oktopure Extraction Machine between Arches and Co-Diagnostics provides that Co-Diagnostics will make available to Arches the Oktopure high throughput extraction machine that Arches will use to perform COVID-19 testing. The term of the agreement is 12 months , requires Arches to use Co-Diagnostics tests exclusively in the machine, and establishes for Arches a minimum monthly purchase obligation, valued at approximately $ 1.1 million annually for Co-Diagnostics tests and related consumables used in the testing process. The COVID-19 Laboratory Services Agreement can be canceled by the Company at any time by providing 60 days written notice, and the Rental Agreement can be canceled at any time by written notice given within 60 days after termination of the Laboratory Services Agreement. |
CERTAIN RELATIONSHIPS AND RELAT
CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS | 3 Months Ended |
Mar. 31, 2021 | |
Related Party Transactions [Abstract] | |
CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS | 14. CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS On August 21, 2019, the Company and Dr. Denver Lough, a principal shareholder and former officer and director, signed a settlement terms agreement that provides, in part, that the Company pay to Dr. Lough $ 1,500,000 1,500,000 200,000 0.1 0.8 In October 2018, the Company entered into an office lease covering approximately 7,250 The lease is for a term of three years 60 Initially the Company will occupy and pay for only 3,275 square feet of space, and the Company is not obligated under the lease to pay for the remaining 3,975 square feet covered by the lease unless it elects to occupy that additional space. The Company believes the terms of the lease are very favorable to us, and the Company obtained these favorable terms through the assistance of Peter A. Cohen, a director, which he provided so that the company he owns, Peter A. Cohen, LLC (“Cohen LLC”), could sublease a portion of the office space. During Q1 2021, the Company decreased the space leased from 5,500 square feet to 4,747 square feet. The Company is using 1,099 square feet, and Cohen LLC is using approximately 3,648 square feet as of March 31, 2021. The monthly lease payment for 4,747 square feet is $ 23,737 55,000 69,000 no |
SEGMENT REPORTING
SEGMENT REPORTING | 3 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | 15. SEGMENT REPORTING Reportable segments are presented in a manner consistent with the internal reporting provided to the chief operating decision maker (CODM), the Chief Executive Officer of the Company. The CODM allocates resources to and assesses the performance of each segment using information about its revenue and operating income (loss). These measures are presented in the following tables (in thousands). SCHEDULE OF SEGMENT INFORMATION For the Three Months Ended March 31, 2021 2020 Net revenues: Reportable segments: Regenerative medicine $ 1,729 $ 428 Contract services 2,980 505 Total net revenues $ 4,709 $ 933 Net income/(loss): Reportable segments: Regenerative medicine $ (17,702 ) $ (12,703 ) Contract services 292 (337 ) Total net loss $ (17,410 ) $ (13,040 ) |
SUBSEQUENT EVENT
SUBSEQUENT EVENT | 3 Months Ended |
Mar. 31, 2021 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENT | 16. SUBSEQUENT EVENT The FDA developed and published in November 2017 a regenerative medicine policy framework to help facilitate regenerative medicine therapies. Under the framework, the FDA stated its intent to exercise enforcement discretion until November 2020 with respect to the FDA’s IND and premarket approval requirements for 361 HCT/Ps, which was subsequently extended through May 2021. We continued to sell SkinTE as a 361 HCT/P in 2020 and into 2021 in reliance on our view that there is a reasonable basis for regulating SkinTE as a 361 HCT/P and also in reliance on the enforcement discretion position stated in the policy framework. On or about April 21, 2021, the FDA announced that enforcement discretion will not be extended beyond May 31, 2021. As a result of this development and our decision to submit an IND for SkinTE, which we expect to submit in the second half of 2021, we plan to terminate our commercial sales effort for SkinTE on May 31, 2021, wind down our commercial operation before the end of June 2021, and focus on the IND for SkinTE. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation |
Use of estimates | Use of estimates |
Reclassifications | Reclassifications 0.5 |
Cash and cash equivalents | Cash and cash equivalents |
Inventory | Inventory . 0.4 no |
Leases | Leases The Company has lease agreements with lease and non-lease components. As allowed under ASC 842, the Company has elected not to separate lease and non-lease components for any leases involving real estate and office equipment classes of assets and, as a result, accounts for the lease and non-lease components as a single lease component. The Company has also elected not to apply the recognition requirement of ASC 842 to leases with a term of 12 months or less for all classes of assets. |
Revenue Recognition | Revenue Recognition The Company records product revenues primarily from the sale of its regenerative tissue products. The Company sells its products to healthcare providers (customers), primarily through direct sales representatives. Product revenues consist of a single performance obligation that the Company satisfies at a point in time. In general, the Company recognizes product revenue upon delivery to the customer. In the contract services segment, the Company records service revenues from the sale of its preclinical research services, which includes delivery of preclinical studies and other research services to unrelated third parties. Service revenues generally consist of a single performance obligation that the Company satisfies over time using an input method based on costs incurred to date relative to the total costs expected to be required to satisfy the performance obligation. The Company believes that this method provides an appropriate measure of the transfer of services over the term of the performance obligation based on the remaining services needed to satisfy the obligation. This requires the Company to make reasonable estimates of the extent of progress toward completion of the contract. As a result, unbilled receivables and deferred revenue are recognized based on payment timing and work completed. Generally, a portion of the payment is due upfront and the remainder upon completion of the contract, with most contracts completing in less than a year. Contract services include research and laboratory testing services to unrelated third parties on a contract basis. These customer contracts generally consist of a single performance obligation that the Company satisfies at a point in time. The Company recognizes revenue upon delivery of testing results to the customer. As of March 31, 2021 and December 31, 2020, the Company had unbilled receivables of $ 0.4 0.2 0.2 0.2 |
Research and Development Expenses | Research and Development Expenses |
Accruals for Clinical Trials | Accruals for Clinical Trials |
Common Stock Warrant Liability | Common Stock Warrant Liability |
Stock-Based Compensation | Stock-Based Compensation The fair value of options issued is estimated at the date of grant using a Black-Scholes option-pricing model. The risk-free rate is derived from the U.S. Treasury yield curve in effect at the time of the grant commensurate with the expected term of the option. The volatility factor is determined based on the Company’s historical stock prices. Forfeitures are recognized as they occur. The fair value of restricted stock grants is measured based on the fair market value of the Company’s common stock on the date of grant and amortized to compensation expense over the vesting period of, generally, six months to three years. |
Net Loss Per Share | Net Loss Per Share Gains on warrant liabilities are only considered dilutive when the average market price of the common stock during the period exceeds the exercise price of the warrants. All common stock warrants issued participate on a one-for-one basis with common stock in the distribution of dividends, if and when declared by the Board of Directors, on the Company’s common stock. For purposes of computing EPS, these warrants are considered to participate with common stock in earnings of the Company. Therefore, the Company calculates basic and diluted EPS using the two-class method. Under the two-class method, net income for the period is allocated between common stockholders and participating securities according to dividends declared and participation rights in undistributed earnings. No income was allocated to the warrants for the year ended December 31, 2020, as results of operations were a loss for the period and the warrant holders are not required to absorb losses. The Company has issued pre-funded warrants from time to time at an exercise price of $ 0.001 |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets |
Goodwill | Goodwill no |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326) Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815) and Leases (Topic 842): Effective Dates In August 2020, the FASB issued ASU No. 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity In May 2021, the FASB issued ASU No. 2021-04, Earnings Per Share (Topic 260), Debt— Modifications and Extinguishments (Subtopic 470-50), Compensation—Stock Compensation (Topic 718), and Derivatives and Hedging— Contracts in Entity’s Own Equity (Subtopic 815-40) |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS MEASURED ON RECURRING BASIS | The following table sets forth the fair value of the Company’s financial assets and liabilities measured on a recurring basis by level within the fair value hierarchy (in thousands): SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS MEASURED ON RECURRING BASIS March 31, 2021 Level 1 Level 2 Level 3 Total Liabilities: Common stock warrant liability $ – $ – $ 15,866 $ 15,866 Total $ – $ – $ 15,866 $ 15,866 December 31, 2020 Level 1 Level 2 Level 3 Total Liabilities: Common stock warrant liability $ – $ – $ 5,975 $ 5,975 Total $ – $ – $ 5,975 $ 5,975 |
SCHEDULE OF FAIR VALUE OF LIABILITY CLASSIFIED COMMON STOCK WARRANTS | The following table presents the change in fair value of the liability classified common stock warrants for the three months ended March 31, 2021 (in thousands): SCHEDULE OF FAIR VALUE OF LIABILITY CLASSIFIED COMMON STOCK WARRANTS Fair Value at December 31, 2020 Initial Fair Value at Issuance (Gain) Loss Upon Change in Fair Value Liability Reduction Due to Exercises Fair Value on March 31, 2021 Warrant liabilities February 14, 2020 issuance $ 328 $ – $ 217 $ – $ 545 December 23, 2020 issuance 5,647 – 3,861 (8,964 ) 544 January 14, 2021 issuance – 8,629 (797 ) – 7,832 January 25, 2021 issuance – 6,199 746 – 6,945 Inducement loss on initial fair value (1) – – 5,197 – – Total $ 5,975 $ 14,828 $ 9,224 $ (8,964 ) $ 15,866 (1) Concurrent with the issuance of the January 25, 2021 warrants, upon the exercise of the December 23, 2020 warrants, an inducement loss of $ 5.2 6.2 1.0 The following table presents the change in fair value of the liability classified common stock warrants for the three months ended March 31, 2020 (in thousands): Fair Value at December 31, 2019 Initial Fair Value at Issuance (Gain) Loss Upon Change in Fair Value Liability Reduction Due to Exercises Fair Value on March 31, 2020 Warrant liabilities February 14, 2020 issuance $ – $ 11,677 $ (4,532 ) $ – $ 7,145 |
SCHEDULE OF FAIR VALUE ASSUMPTIONS OF WARRANTS LIABILITY | The Company uses the Monte Carlo simulation model to determine the fair value of the liability classified warrants. SCHEDULE OF FAIR VALUE ASSUMPTIONS OF WARRANTS LIABILITY For the Three Months ended March 31, 2021 Stock price $ 1.02 1.21 Exercise price $ 0.10 1.38 Risk-free rate 0.42 1.13 % Volatility 99.0 102.7 % Remaining term (years) 4.73 5.87 Input assumptions used to measure the fair value of these freestanding instruments during the three months ended March 31, 2020 are as follows: For the Three Months ended March 31, 2020 Stock price $ 1.08 1.69 Exercise price $ 2.80 Risk-free rate 0.54 1.51 % Volatility 93.4 94.2 % Remaining term (years) 6.87 6.99 |
PROPERTY AND EQUIPMENT, NET (Ta
PROPERTY AND EQUIPMENT, NET (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
SCHEDULE OF PROPERTY AND EQUIPMENT, NET | The following table presents the components of property and equipment, net (in thousands): SCHEDULE OF PROPERTY AND EQUIPMENT, NET March 31, 2021 December 31, 2020 Machinery and equipment $ 11,604 $ 12,232 Land and buildings 2,000 2,000 Computers and software 1,207 1,240 Leasehold improvements 2,107 2,107 Construction in progress – 87 Furniture and equipment 148 148 Total property and equipment, gross 17,066 17,814 Accumulated depreciation and amortization (7,652 ) (7,264 ) Total property and equipment, net $ 9,414 $ 10,550 |
SCHEDULE OF DEPRECIATION AND AMORTIZATION EXPENSE | Depreciation and amortization expense for property and equipment, including assets acquired under financing leases was as follows (in thousands): SCHEDULE OF DEPRECIATION AND AMORTIZATION EXPENSE For the Three Months Ended March 31, 2021 2020 General and administrative expense $ 304 $ 392 Research and development expense 397 360 Total depreciation and amortization expense $ 701 $ 752 |
LEASES (Tables)
LEASES (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Leases | |
SCHEDULE OF OPERATING AND FINANCE LEASE LIABILITIES | As of March 31, 2021, the maturities of operating and finance lease liabilities were as follows (in thousands): SCHEDULE OF OPERATING AND FINANCE LEASE LIABILITIES Operating leases Finance leases 2021 (excluding the three months ended March 31, 2021) $ 1,231 $ 491 2022 1,345 405 2023 132 336 2024 87 42 Total lease payments 2,795 1,274 Less: Imputed interest (231 ) (143 ) Total $ 2,564 $ 1,131 |
SHCEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO FINANCE AND OPERATING LEASES | Supplemental balance sheet information related to leases was as follows (in thousands): SHCEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO FINANCE AND OPERATING LEASES Finance leases March 31, 2021 December 31, 2020 Finance lease right-of-use assets included within property and equipment, net $ 1,135 $ 1,301 Current finance lease liabilities included within other current liabilities $ 544 $ 556 Non-current finance lease liabilities included within other long-term liabilities 587 711 Total finance lease liabilities $ 1,131 $ 1,267 Operating leases March 31, 2021 December 31, 2020 Current operating lease liabilities included within other current liabilities $ 1,422 $ 1,485 Operating lease liabilities – non current 1,142 1,476 Total operating lease liabilities $ 2,564 $ 2,961 |
SUMMARY OF COMPONENTS OF LEASE EXPENSE | The components of lease expense were as follows (in thousands): SUMMARY OF COMPONENTS OF LEASE EXPENSE 2021 2020 For the Three Months Ended March 31, 2021 2020 Operating lease costs included within operating costs and expenses $ 394 $ 556 Finance lease costs: Amortization of right-of-use assets $ 165 $ 175 Interest on lease liabilities 30 43 Total $ 195 $ 218 |
SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES | Supplemental cash flow information related to leases was as follows (in thousands): SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES For the Three Months Ended March 31, 2021 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash out flows from operating leases $ 426 $ 558 Operating cash out flows from finance leases $ 30 $ 43 Financing cash out flows from finance leases $ 135 $ 123 Lease liabilities arising from obtaining right-of-use assets: Remeasurement of operating lease liability due to lease modification $ 37 $ – |
ACCOUNTS PAYABLE AND ACCRUED _2
ACCOUNTS PAYABLE AND ACCRUED EXPENSE (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Payables and Accruals [Abstract] | |
SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES | The following table presents the major components of accounts payable and accrued expenses (in thousands): SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES March 31, 2021 December 31, 2020 Accounts payable $ 339 $ 1,193 Salaries and other compensation 1,519 1,129 Legal and accounting 377 241 Accrued severance 83 330 Benefit plan accrual 700 659 Accrued offering costs 500 – Other 777 596 Total accounts payable and accrued expenses $ 4,295 $ 4,148 |
OTHER CURRENT LIABILITIES (Tabl
OTHER CURRENT LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Other Liabilities Disclosure [Abstract] | |
SCHEDULE OF OTHER CURRENT LIABILITIES | The following table presents the major components of other current liabilities (in thousands): SCHEDULE OF OTHER CURRENT LIABILITIES March 31, 2021 December 31, 2020 Current finance lease liabilities $ 544 $ 556 Current operating lease liabilities 1,422 1,485 Short-term financing arrangement 1,048 20 Other 25 45 Total other current liabilities $ 3,039 $ 2,106 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
SCHEDULE OF SHARE-BASED COMPENSATION, STOCK OPTIONS, ACTIVITY | A summary of the Company’s employee and non-employee stock option activity for the three months ended March 31, 2021 is presented below: SCHEDULE OF SHARE-BASED COMPENSATION, STOCK OPTIONS, ACTIVITY Number of Shares Weighted- Average Exercise Price Outstanding – December 31, 2020 4,794,567 $ 10.03 Granted 1,352,058 $ 1.30 Exercised (1) (2,500 ) $ 1.10 Forfeited (62,415 ) $ 6.26 Outstanding – March 31, 2021 6,081,710 $ 8.13 Options exercisable, March 31, 2021 4,030,490 $ 11.27 (1) The number of exercised options includes shares withheld on behalf of employees to satisfy minimum statutory tax withholding requirements. |
SCHEDULE OF SHARE-BASED COMPENSATION, RESTRICTED STOCK ACTIVITY | A summary of the Company’s employee and non-employee restricted-stock activity is presented below: SCHEDULE OF SHARE-BASED COMPENSATION, RESTRICTED STOCK ACTIVITY Number of Shares Unvested - December 31, 2020 3,468,969 Granted 498,628 Vested (1) (740,657 ) Forfeited (165,870 ) Unvested – March 31, 2021 3,061,070 (1) The number of vested restricted stock units and awards includes shares that were withheld on behalf of employees to satisfy the minimum statutory tax withholding requirements. |
SCHEDULE OF SHARE-BASED COMPENSATION RELATED TO RESTRICTED STOCK AWARDS AND STOCK OPTIONS | The stock-based compensation expense related to stock options, restricted stock awards, and the employee stock purchase plan was as follows (in thousands): SCHEDULE OF SHARE-BASED COMPENSATION RELATED TO RESTRICTED STOCK AWARDS AND STOCK OPTIONS For the Three Months Ended March 31, 2021 2020 General and administrative expense $ 1,229 $ 3,076 Research and development expense 323 (36 ) Sales and marketing expense 99 181 Total stock-based compensation expense $ 1,651 $ 3,221 |
SALE OF COMMON STOCK, WARRANT_2
SALE OF COMMON STOCK, WARRANTS AND PRE-FUNDED WARRANTS (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
SUMMARY OF WARRANT ACTIVITY | The following table summarizes warrant activity for the year ended March 31, 2021. SUMMARY OF WARRANT ACTIVITY Outstanding December 31, 2020 Warrants Issued Warrants Exercised Outstanding March 31, 2021 Transaction February 14, 2020 common warrants 565,000 – (25,500 ) 539,500 December 23, 2020 common warrants 10,688,043 – (10,688,043 ) – December 23, 2020 placement agent warrants 641,283 – – 641,283 December 23, 2020 pre-funded warrants 5,238,043 – (5,238,043 ) – January 14, 2021 common warrants – 9,090,910 – 9,090,910 January 14, 2021 placement agent warrants – 545,455 – 545,455 January 14, 2021 pre-funded warrants – 2,420,910 (2,420,910 ) – January 25, 2021 common warrants – 8,016,033 – 8,016,033 January 22, 2021 placement agent warrants – 480,962 – 480,962 Total 17,132,369 20,554,270 (18,372,496 ) 19,314,143 |
Private Placement [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS | Placement agent warrants: SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF PLACEMENT AGENT WARRANTS January 14, 2021 March 31, 2021 Stock price $ 1.21 $ 1.11 Exercise price $ 1.38 $ 1.38 Risk-free rate 0.49 % 0.86 % Volatility 99.3 % 102.4 % Remaining term (years) 5.0 4.8 On January 22, 2021, the Company entered into a letter agreement with the holder of warrants to purchase 10,688,043 shares of common stock at an exercise price of $ 0.624 per share that were issued to the holder in the registered direct offering that closed on December 23, 2020. Under the letter agreement the holder agreed to exercise the 10,688,043 warrants in full and the Company agreed to issue and sell to the holder common warrants to purchase up to 8,016,033 shares of the Company’s common stock, par value $ 0.001 per share, at a price of $ 0.125 . Each warrant is exercisable for one share of Common Stock at an exercise price of $1.20 per share. The warrants are immediately exercisable and will expire five years from the date of issuance. A holder may not exercise any portion of the warrants to the extent that the holder would own more than 4.99% of the outstanding common stock immediately after exercise, which percentage may be changed at the holder’s election to a lower percentage at any time or to a higher percentage not to exceed 9.99% upon 61 days’ notice to the Company. The Company also issued to designees of the placement agent, warrants to purchase 6.0% of the aggregate number of common stock shares and pre-funded warrants sold in the offering 480,962 shares of common stock). The placement agent warrants have substantially the same terms as the new warrants. 10,688,043 6.7 1.0 Immediately prior to the exercise of the existing 10,688,043 3.6 SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 22, 2021 Stock price $ 1.05 Exercise price $ 0.624 Risk-free rate 0.43 % Volatility 99.4 % Remaining term (years) 4.92 |
Warrant [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS | Accompanying common warrants: SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 14, 2021 March 31, 2021 Stock price $ 1.21 $ 1.11 Exercise price $ 1.20 $ 1.20 Risk-free rate 0.49 % 0.86 % Volatility 100.1 % 102.4 % Remaining term (years) 5.0 4.8 Placement agent warrants: SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF PLACEMENT AGENT WARRANTS January 14, 2021 March 31, 2021 Stock price $ 1.21 $ 1.11 Exercise price $ 1.38 $ 1.38 Risk-free rate 0.49 % 0.86 % Volatility 99.3 % 102.4 % Remaining term (years) 5.0 4.8 On January 22, 2021, the Company entered into a letter agreement with the holder of warrants to purchase 10,688,043 shares of common stock at an exercise price of $ 0.624 per share that were issued to the holder in the registered direct offering that closed on December 23, 2020. Under the letter agreement the holder agreed to exercise the 10,688,043 warrants in full and the Company agreed to issue and sell to the holder common warrants to purchase up to 8,016,033 shares of the Company’s common stock, par value $ 0.001 per share, at a price of $ 0.125 . Each warrant is exercisable for one share of Common Stock at an exercise price of $1.20 per share. The warrants are immediately exercisable and will expire five years from the date of issuance. A holder may not exercise any portion of the warrants to the extent that the holder would own more than 4.99% of the outstanding common stock immediately after exercise, which percentage may be changed at the holder’s election to a lower percentage at any time or to a higher percentage not to exceed 9.99% upon 61 days’ notice to the Company. The Company also issued to designees of the placement agent, warrants to purchase 6.0% of the aggregate number of common stock shares and pre-funded warrants sold in the offering 480,962 shares of common stock). The placement agent warrants have substantially the same terms as the new warrants. 10,688,043 6.7 1.0 Immediately prior to the exercise of the existing 10,688,043 3.6 SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 22, 2021 Stock price $ 1.05 Exercise price $ 0.624 Risk-free rate 0.43 % Volatility 99.4 % Remaining term (years) 4.92 |
Warrant [Member] | Monte Carlo Simulation Model [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS | Immediately prior to the exercise of the existing 10,688,043 3.6 SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 22, 2021 Stock price $ 1.05 Exercise price $ 0.624 Risk-free rate 0.43 % Volatility 99.4 % Remaining term (years) 4.92 |
Common Stock Warrants [Member] | Monte Carlo Simulation Model [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS | Accompanying new common stock warrants: SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 25, 2021 March 31, 2021 Stock price $ 1.02 $ 1.11 Exercise price $ 1.20 $ 1.20 Risk-free rate 0.42 % 0.87 % Volatility 99.0 % 102.4 % Remaining term (years) 5.0 4.8 |
Placement Agent Warrants [Member] | Monte Carlo Simulation Model [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS | Placement agent warrants: SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS January 22, 2021 March 31, 2021 Stock price $ 1.05 $ 1.11 Exercise price $ 1.20 $ 1.20 Risk-free rate 0.44 % 0.87 % Volatility 99.6 % 102.4 % Remaining term (years) 5.0 4.8 |
NET LOSS PER SHARE ATTRIBUTAB_2
NET LOSS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Earnings Per Share [Abstract] | |
SCHEDULE OF EARNINGS PER SHARE, BASIC AND DILUTED | The following tables present reconciliations for the numerators and denominators of basic and diluted net loss per share for the three months ended March 31, 2021 and 2020: SCHEDULE OF EARNINGS PER SHARE, BASIC AND DILUTED March 31, 2021 March 31, 2020 Numerator: Net loss $ (17,410 ) $ (13,040 ) Less: Gain from change in fair value of warrant liabilities (755 ) – Net loss, available to common stockholders $ (18,165 ) $ (13,040 ) March 31, 2021 March 31, 2020 Denominator: Basic weighted average number of common shares (1) 76,158,275 33,019,994 Incremental shares from assumed exercise of warrants 237,803 – Diluted weighted average number of common shares 76,396,078 33,019,994 (1) In December 2020 and January 2021, the Company sold pre-funded warrants to purchase up to 5,238,043 2,420,910 |
SCHEDULE OF ANTI-DILUTIVE POTENTIAL SHARES OUTSTANDING ACTIVITY | The following outstanding potentially dilutive securities have been excluded from the calculation of diluted net loss per share for the periods presented due to their anti-dilutive effect: SCHEDULE OF ANTI-DILUTIVE POTENTIAL SHARES OUTSTANDING ACTIVITY As of March 31, 2021 2020 Stock options 6,081,710 4,348,559 Restricted stock 3,061,070 1,574,878 Common stock warrants 10,223,233 10,638,298 Shares committed under ESPP 56,806 54,632 |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
SCHEDULE OF SEGMENT INFORMATION | The CODM allocates resources to and assesses the performance of each segment using information about its revenue and operating income (loss). These measures are presented in the following tables (in thousands). SCHEDULE OF SEGMENT INFORMATION For the Three Months Ended March 31, 2021 2020 Net revenues: Reportable segments: Regenerative medicine $ 1,729 $ 428 Contract services 2,980 505 Total net revenues $ 4,709 $ 933 Net income/(loss): Reportable segments: Regenerative medicine $ (17,702 ) $ (12,703 ) Contract services 292 (337 ) Total net loss $ (17,410 ) $ (13,040 ) |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | 3 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Jan. 14, 2021 | Dec. 31, 2020 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Restructuring charges | $ 425,000 | $ 452,000 | ||
Inventory Valuation Reserves | 400,000 | $ 0 | ||
Unbilled receivables | 400,000 | 200,000 | ||
Deferred revenue | 200,000 | $ 200,000 | ||
Deferred revenue, revenue recognized | 200,000 | |||
Goodwill impairments | $ 0 | $ 0 | ||
Pre-funded Warrants [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Warrant exercise price per share | $ 0.001 | $ 1.375 |
LIQUIDITY (Details Narrative)
LIQUIDITY (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | Jan. 22, 2021 | Jan. 14, 2021 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Accumulated deficit | $ 495,600 | ||||
Cash and cash equivalents | $ 37,237 | $ 25,522 | |||
Sale of Stock, Number of Shares Issued in Transaction | 6,670,000 | ||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | $ 0.001 | ||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 18,372,496 | ||||
Proceeds from exercise of warrants | $ 900 | $ 6,671 | |||
Letter Agreement [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Warrant exercise price per share | $ 0.624 | ||||
Agreement description | The holder of the warrants may not exercise any portion of the warrants to the extent that the holder would own more than 4.99% of the outstanding common stock immediately after exercise, which percentage may be changed at the holder’s election to a lower percentage at any time or to a higher percentage not to exceed 9.99% upon 61 days’ notice to the Company. The Company also issued to designees of the placement agent for the registered direct offering in December 2020, warrants to purchase 6.0% of the aggregate number of new warrants issued under the letter agreement (or warrants to purchase up to 480,962 shares of common stock) | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Exercised | 10,688,043 | ||||
Letter Agreement [Member] | Holder [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | ||||
Shares Issued, Price Per Share | 0.125 | ||||
Warrant exercise price per share | $ 1.20 | ||||
Warrants and Rights Outstanding, Term | 5 years | ||||
Maximum [Member] | Letter Agreement [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 10,688,043 | ||||
Maximum [Member] | Letter Agreement [Member] | Holder [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 8,016,033 | ||||
Pre-funded Warrants [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Warrant exercise price per share | $ 1.375 | $ 0.001 | |||
Warrant exercise percentage | 125.00% | ||||
IPO [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | ||||
Warrants and Rights Outstanding, Term | 5 years | ||||
Agreement description | The holder of the warrants may not exercise any portion of the warrants to the extent that the holder would own more than 4.99% of the outstanding common stock immediately after exercise, which percentage may be changed at the holder’s election to a lower percentage at any time or to a higher percentage not to exceed 9.99% upon 61 days’ notice to the Company. The Company also issued to designees of the placement agent for the registered direct offering, warrants to purchase up to 6.0% of the aggregate number of common stock shares and pre-funded warrants sold in the offering (or warrants to purchase up to 545,455 shares of common stock) | ||||
IPO [Member] | Maximum [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 9,090,910 | ||||
IPO [Member] | Pre-Funded Warrant [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 2,420,910 | ||||
Shares Issued, Price Per Share | $ 1.099 | ||||
Warrant exercise price per share | 0.001 | ||||
IPO [Member] | Common Stock and Warrant [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Shares Issued, Price Per Share | 1.100 | ||||
IPO [Member] | Warrant [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Shares Issued, Price Per Share | 1.10 | ||||
Warrant exercise price per share | $ 1.20 | ||||
Private Placement [Member] | Maximum [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 545,455 | ||||
Private Placement [Member] | Warrant [Member] | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Proceeds from exercise of warrants | $ 6,700 | $ 9,200 |
SCHEDULE OF FAIR VALUE OF FINAN
SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS MEASURED ON RECURRING BASIS (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total liabilities, fair value | $ 15,866 | $ 5,975 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total liabilities, fair value | ||
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total liabilities, fair value | ||
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total liabilities, fair value | 15,866 | 5,975 |
Common Stock Warrant Liability [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total liabilities, fair value | 15,866 | 5,975 |
Common Stock Warrant Liability [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total liabilities, fair value | ||
Common Stock Warrant Liability [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total liabilities, fair value | ||
Common Stock Warrant Liability [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total liabilities, fair value | $ 15,866 | $ 5,975 |
SCHEDULE OF FAIR VALUE OF LIABI
SCHEDULE OF FAIR VALUE OF LIABILITY CLASSIFIED COMMON STOCK WARRANTS (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair Value, beginning | $ 5,975 | ||
Initial Fair Value at Issuance | 14,828 | ||
(Gain) Loss Upon Change in Fair Value | 9,224 | ||
Liability Reduction Due to Exercises | (8,964) | ||
Fair Value, Ending | 15,866 | ||
Loss on Initial Fair Value [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair Value, beginning | [1] | ||
Initial Fair Value at Issuance | [1] | ||
(Gain) Loss Upon Change in Fair Value | [1] | 5,197 | |
Liability Reduction Due to Exercises | [1] | ||
Fair Value, Ending | [1] | ||
February 14, 2020 Issuance [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair Value, beginning | 328 | $ 0 | |
Initial Fair Value at Issuance | 11,677 | ||
(Gain) Loss Upon Change in Fair Value | 217 | (4,532) | |
Liability Reduction Due to Exercises | 0 | ||
Fair Value, Ending | 545 | $ 7,145 | |
December 23, 2020 Issuance [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair Value, beginning | 5,647 | ||
Initial Fair Value at Issuance | |||
(Gain) Loss Upon Change in Fair Value | 3,861 | ||
Liability Reduction Due to Exercises | (8,964) | ||
Fair Value, Ending | 544 | ||
January 14, 2021 Issuance [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair Value, beginning | |||
Initial Fair Value at Issuance | 8,629 | ||
(Gain) Loss Upon Change in Fair Value | (797) | ||
Liability Reduction Due to Exercises | |||
Fair Value, Ending | 7,832 | ||
January 25, 2021 Issuance [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair Value, beginning | |||
Initial Fair Value at Issuance | 6,199 | ||
(Gain) Loss Upon Change in Fair Value | 746 | ||
Liability Reduction Due to Exercises | |||
Fair Value, Ending | $ 6,945 | ||
[1] | Concurrent with the issuance of the January 25, 2021 warrants, upon the exercise of the December 23, 2020 warrants, an inducement loss of $ 5.2 6.2 1.0 |
SCHEDULE OF FAIR VALUE OF LIA_2
SCHEDULE OF FAIR VALUE OF LIABILITY CLASSIFIED COMMON STOCK WARRANTS (Details) (Parenthetical) $ in Millions | Jan. 25, 2021USD ($) |
Fair Value Disclosures [Abstract] | |
Issuance of Stock and Warrants for Services or Claims | $ 5.2 |
Warrant liability | 6.2 |
Proceeds from Issuance of Warrants | $ 1 |
SCHEDULE OF FAIR VALUE ASSUMPTI
SCHEDULE OF FAIR VALUE ASSUMPTIONS OF WARRANTS LIABILITY (Details) - $ / shares | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 2.80 | |
Minimum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Share Price | $ 1.02 | $ 1.08 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 0.10 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 0.42% | 0.54% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 99.00% | 93.40% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 4 years 8 months 23 days | 6 years 10 months 13 days |
Maximum [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Share Price | $ 1.21 | $ 1.69 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 1.38 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.13% | 1.51% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 102.70% | 94.20% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 5 years 10 months 13 days | 6 years 11 months 26 days |
SCHEDULE OF PROPERTY AND EQUIPM
SCHEDULE OF PROPERTY AND EQUIPMENT, NET (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Abstract] | ||
Machinery and equipment | $ 11,604 | $ 12,232 |
Land and buildings | 2,000 | 2,000 |
Computers and software | 1,207 | 1,240 |
Leasehold improvements | 2,107 | 2,107 |
Construction in progress | 87 | |
Furniture and equipment | 148 | 148 |
Total property and equipment, gross | 17,066 | 17,814 |
Accumulated depreciation and amortization | (7,652) | (7,264) |
Total property and equipment, net | $ 9,414 | $ 10,550 |
SCHEDULE OF DEPRECIATION AND AM
SCHEDULE OF DEPRECIATION AND AMORTIZATION EXPENSE (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Depreciation, Depletion and Amortization | $ 701 | $ 752 |
General and Administrative Expense [Member] | ||
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Depreciation, Depletion and Amortization | 304 | 392 |
Research and Development Expense [Member] | ||
Impaired Assets to be Disposed of by Method Other than Sale [Line Items] | ||
Depreciation, Depletion and Amortization | $ 397 | $ 360 |
PROPERTY AND EQUIPMENT, NET (De
PROPERTY AND EQUIPMENT, NET (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Dec. 31, 2020 | |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Net | $ 9,414 | $ 10,550 |
Asset Impairment Charges | 400 | |
Research And Development Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Asset Impairment Charges | 2,500 | |
Skin T E Operations [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Net | $ 3,000 |
SCHEDULE OF OPERATING AND FINAN
SCHEDULE OF OPERATING AND FINANCE LEASE LIABILITIES (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Leases | ||
Operating leases, 2021 (excluding the three months ended March 31, 2021) | $ 1,231 | |
Finance leases, 2021 (excluding the three months ended March 31, 2021) | 491 | |
Operating leases, 2022 | 1,345 | |
Finance leases, 2022 | 405 | |
Operating leases, 2023 | 132 | |
Finance leases, 2023 | 336 | |
Operating leases, 2024 | 87 | |
Finance leases, 2024 | 42 | |
Operating leases, Total lease payments | 2,795 | |
Finance leases, Total lease payments | 1,274 | |
Operating leases, Imputed interest | (231) | |
Finance leases, Imputed interest | (143) | |
Operating leases, Total | 2,564 | $ 2,961 |
Finance leases, Total | $ 1,131 | $ 1,267 |
SHCEDULE OF SUPPLEMENTAL BALANC
SHCEDULE OF SUPPLEMENTAL BALANCE SHEET INFORMATION RELATED TO FINANCE AND OPERATING LEASES (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Leases | ||
Finance lease right-of-use assets included within property and equipment, net | $ 1,135 | $ 1,301 |
Current finance lease liabilities included within other current liabilities | 544 | 556 |
Non-current finance lease liabilities included within other long-term liabilities | 587 | 711 |
Total finance lease liabilities | 1,131 | 1,267 |
Current operating lease liabilities included within other current liabilities | 1,422 | 1,485 |
Operating lease liabilities – non current | 1,142 | 1,476 |
Total operating lease liabilities | $ 2,564 | $ 2,961 |
SUMMARY OF COMPONENTS OF LEASE
SUMMARY OF COMPONENTS OF LEASE EXPENSE (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Leases | ||
Operating lease costs included within operating costs and expenses | $ 394 | $ 556 |
Amortization of right-of-use assets | 165 | 175 |
Interest on lease liabilities | 30 | 43 |
Total | $ 195 | $ 218 |
SCHEDULE OF SUPPLEMENTAL CASH F
SCHEDULE OF SUPPLEMENTAL CASH FLOW INFORMATION RELATED TO LEASES (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Leases | ||
Operating cash out flows from operating leases | $ 426 | $ 558 |
Operating cash out flows from finance leases | 30 | 43 |
Financing cash out flows from finance leases | 135 | 123 |
Remeasurement of operating lease liability due to lease modification | $ 37 |
LEASES (Details Narrative)
LEASES (Details Narrative) | Dec. 27, 2017USD ($)ft² | Apr. 30, 2019ft² | Dec. 31, 2020 | Mar. 31, 2021 | Mar. 31, 2020 |
Entity Listings [Line Items] | |||||
Area of Land | 6,307 | ||||
Lease renewal description | The lease expires April 2024 and requires monthly lease payments subject to annual increases | ||||
Disposal Group, Including Discontinued Operation, Description and Timing of Disposal | 0 | ||||
Operating Lease, Weighted Average Remaining Lease Term | 2 years 1 month 6 days | 1 year 10 months 24 days | |||
Operating Lease, Weighted Average Discount Rate, Percent | 9.75% | 9.81% | |||
Finance Lease, Weighted Average Remaining Lease Term | 2 years 7 months 6 days | 2 years 4 months 24 days | |||
Finance Lease, Weighted Average Discount Rate, Percent | 9.78% | 9.78% | |||
Minimum [Member] | |||||
Entity Listings [Line Items] | |||||
Lessee, Operating Lease, Remaining Lease Term | 12 months | ||||
Maximum [Member] | |||||
Entity Listings [Line Items] | |||||
Lessee, Operating Lease, Remaining Lease Term | 37 months | ||||
Commercial Lease Agreement [Member] | Adcomp LLC [Member] | |||||
Entity Listings [Line Items] | |||||
Area of Land | 178,528 | ||||
Lease Expiration Date | Nov. 30, 2022 | ||||
Lessee, Operating Lease, Option to Extend | The Company has a one-time option to renew for an additional five years | ||||
Payments for Rent | $ | $ 98,190 | ||||
Incremental borrowing rate | 10.00% | ||||
Financing lease, incremental borrowing rate | 10.00% |
SCHEDULE OF ACCOUNTS PAYABLE AN
SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Payables and Accruals [Abstract] | ||
Accounts payable | $ 339 | $ 1,193 |
Salaries and other compensation | 1,519 | 1,129 |
Legal and accounting | 377 | 241 |
Accrued severance | 83 | 330 |
Benefit plan accrual | 700 | 659 |
Accrued offering costs | 500 | |
Other | 777 | 596 |
Total accounts payable and accrued expenses | $ 4,295 | $ 4,148 |
SCHEDULE OF OTHER CURRENT LIABI
SCHEDULE OF OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Other Liabilities Disclosure [Abstract] | ||
Current finance lease liabilities | $ 544 | $ 556 |
Current operating lease liabilities | 1,422 | 1,485 |
Short-term financing arrangement | 1,048 | 20 |
Other | 25 | 45 |
Total other current liabilities | $ 3,039 | $ 2,106 |
OTHER CURRENT LIABILITIES (Deta
OTHER CURRENT LIABILITIES (Details Narrative) | Mar. 31, 2021 |
Financing Arrangements [Member] | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |
Interest rate | 3.85% |
SCHEDULE OF SHARE-BASED COMPENS
SCHEDULE OF SHARE-BASED COMPENSATION, STOCK OPTIONS, ACTIVITY (Details) - Employee and Non Employee Stock Option [Member] | 3 Months Ended | |
Mar. 31, 2021$ / sharesshares | ||
Option Indexed to Issuer's Equity [Line Items] | ||
Number of Shares Outstanding, Beginning | shares | 4,794,567 | |
Weighted-Average Exercise Price Outstanding, Beginning | $ / shares | $ 10.03 | |
Number of Shares, Granted | shares | 1,352,058 | |
Weighted-Average Exercise Price, Granted | $ / shares | $ 1.30 | |
Number of Shares, Exercised | shares | (2,500) | [1] |
Weighted-Average Exercise Price, Exercised | $ / shares | $ 1.10 | [1] |
Number of Shares, Forfeited | shares | (62,415) | |
Weighted-Average Exercise Price, Forfeited | $ / shares | $ 6.26 | |
Number of Shares Outstanding, Ending | shares | 6,081,710 | |
Weighted-Average Exercise Price Outstanding, Ending | $ / shares | $ 8.13 | |
Number of Shares, Outstanding Exercisable, Ending | shares | 4,030,490 | |
Weighted-Average Exercise Price Exercisable, Ending | $ / shares | $ 11.27 | |
[1] | The number of exercised options includes shares withheld on behalf of employees to satisfy minimum statutory tax withholding requirements. |
SCHEDULE OF SHARE-BASED COMPE_2
SCHEDULE OF SHARE-BASED COMPENSATION, RESTRICTED STOCK ACTIVITY (Details) - Restricted Stock [Member] | 3 Months Ended | |
Mar. 31, 2021shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number, Beginning Balance | 3,468,969 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 498,628 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | (740,657) | [1] |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | (165,870) | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number, Ending Balance | 3,061,070 | |
[1] | The number of vested restricted stock units and awards includes shares that were withheld on behalf of employees to satisfy the minimum statutory tax withholding requirements. |
SCHEDULE OF SHARE-BASED COMPE_3
SCHEDULE OF SHARE-BASED COMPENSATION RELATED TO RESTRICTED STOCK AWARDS AND STOCK OPTIONS (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Share-based Payment Arrangement, Noncash Expense | $ 1,651 | $ 3,221 |
General and Administrative Expense [Member] | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Share-based Payment Arrangement, Noncash Expense | 1,229 | 3,076 |
Research and Development Expense [Member] | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Share-based Payment Arrangement, Noncash Expense | 323 | (36) |
Selling and Marketing Expense [Member] | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Share-based Payment Arrangement, Noncash Expense | $ 99 | $ 181 |
STOCK-BASED COMPENSATION (Detai
STOCK-BASED COMPENSATION (Details Narrative) - shares | Oct. 25, 2019 | Oct. 05, 2018 | Dec. 01, 2016 | May 31, 2018 | Mar. 31, 2021 |
2020 Equity Incentive Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock based compensation terminate date | Dec. 19, 2029 | ||||
Number of share available for future issuance | 3,583,950 | ||||
2020 Equity Incentive Plan [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of stock issuable | 7,191,917 | ||||
2019 Equity Incentive Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock based compensation terminate date | Oct. 5, 2028 | ||||
Number of share available for future issuance | 392,999 | ||||
2019 Equity Incentive Plan [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of stock issuable | 3,000,000 | ||||
2017 Equity Incentive Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock based compensation terminate date | Dec. 1, 2026 | ||||
Number of share available for future issuance | 311,863 | ||||
2017 Equity Incentive Plan [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of stock issuable | 7,300,000 | ||||
Employee Stock Purchase Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common Stock, Capital Shares Reserved for Future Issuance | 500,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent | 85.00% |
SCHEDULE FOR MEASUREMENT OF FAI
SCHEDULE FOR MEASUREMENT OF FAIR VALUE OF COMMON WARRANTS (Details) - $ / shares | Jan. 25, 2021 | Jan. 22, 2021 | Jan. 22, 2021 | Jan. 14, 2021 | Mar. 31, 2021 | Mar. 31, 2020 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Exercise price | $ 2.80 | |||||
Private Placement [Member] | ||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Stock price | $ 1.21 | $ 1.11 | ||||
Exercise price | $ 1.38 | $ 1.38 | ||||
Risk-free rate | 0.49% | 0.86% | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 99.30% | 102.40% | ||||
Remaining term (years) | 5 years | 4 years 9 months 18 days | ||||
Warrant [Member] | ||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Stock price | $ 1.21 | $ 1.11 | ||||
Exercise price | $ 1.20 | $ 1.20 | ||||
Risk-free rate | 0.49% | 0.86% | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 100.10% | 102.40% | ||||
Remaining term (years) | 5 years | 4 years 9 months 18 days | ||||
Warrant [Member] | Monte Carlo Simulation Model [Member] | ||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Stock price | $ 1.05 | $ 1.05 | ||||
Exercise price | $ 0.624 | 0.624 | ||||
Risk-free rate | 0.43% | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 99.40% | |||||
Remaining term (years) | 4 years 11 months 1 day | |||||
Common Stock Warrants [Member] | Monte Carlo Simulation Model [Member] | ||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Stock price | $ 1.02 | $ 1.11 | ||||
Exercise price | $ 1.20 | $ 1.20 | ||||
Risk-free rate | 0.42% | 0.87% | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 99.00% | 102.40% | ||||
Remaining term (years) | 4 years 9 months 18 days | 5 years | ||||
Placement Agent Common Stock Warrants [Member] | Monte Carlo Simulation Model [Member] | ||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
Stock price | $ 1.05 | 1.05 | $ 1.11 | |||
Exercise price | $ 1.20 | $ 1.20 | $ 1.20 | |||
Risk-free rate | 0.44% | 0.87% | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 99.60% | 102.40% | ||||
Remaining term (years) | 5 years | 4 years 9 months 18 days |
SUMMARY OF WARRANT ACTIVITY (De
SUMMARY OF WARRANT ACTIVITY (Details) - shares | Mar. 31, 2021 | Dec. 31, 2020 |
Class of Warrant or Right [Line Items] | ||
Outstanding balance | 19,314,143 | 17,132,369 |
Warrants issued | 20,554,270 | |
Warrants Exercised | (18,372,496) | |
Warrant One [Member] | ||
Class of Warrant or Right [Line Items] | ||
Outstanding balance | 539,500 | 565,000 |
Warrants issued | ||
Warrants Exercised | (25,500) | |
Warrant Two [Member] | ||
Class of Warrant or Right [Line Items] | ||
Outstanding balance | 10,688,043 | |
Warrants issued | ||
Warrants Exercised | (10,688,043) | |
Placement Agent Warrants [Member] | ||
Class of Warrant or Right [Line Items] | ||
Outstanding balance | 641,283 | 641,283 |
Warrants issued | ||
Warrants Exercised | ||
Pre-funded Warrants [Member] | ||
Class of Warrant or Right [Line Items] | ||
Outstanding balance | 5,238,043 | |
Warrants issued | ||
Warrants Exercised | (5,238,043) | |
Warrant Three [Member] | ||
Class of Warrant or Right [Line Items] | ||
Outstanding balance | 9,090,910 | |
Warrants issued | 9,090,910 | |
Warrants Exercised | ||
Placement Agent Warrants One [Member] | ||
Class of Warrant or Right [Line Items] | ||
Outstanding balance | 545,455 | |
Warrants issued | 545,455 | |
Warrants Exercised | ||
Prefunded Warrants One [Member] | ||
Class of Warrant or Right [Line Items] | ||
Outstanding balance | ||
Warrants issued | 2,420,910 | |
Warrants Exercised | (2,420,910) | |
Warrant Four [Member] | ||
Class of Warrant or Right [Line Items] | ||
Outstanding balance | 8,016,033 | |
Warrants issued | 8,016,033 | |
Warrants Exercised | ||
Placement Agent Warrants Three [Member] | ||
Class of Warrant or Right [Line Items] | ||
Outstanding balance | 480,962 | |
Warrants issued | 480,962 | |
Warrants Exercised |
SALE OF COMMON STOCK, WARRANT_3
SALE OF COMMON STOCK, WARRANTS AND PRE-FUNDED WARRANTS (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands | Mar. 30, 2021 | Jan. 25, 2021 | Jan. 22, 2021 | Jan. 22, 2021 | Jan. 14, 2021 | Jan. 14, 2021 | Dec. 05, 2019 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 |
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | ||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 18,372,496 | |||||||||
Proceeds from Warrant Exercises | $ 900 | $ 6,671 | ||||||||
Proceeds from Issuance of Warrants | $ 1,000 | |||||||||
Proceeds from sale of stock | 24,276 | |||||||||
Value of shares agreed to issue | $ 25,000 | $ 12,599 | ||||||||
Cantor Fitzerald And Co [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Proceeds from sale of stock | $ 50,000 | |||||||||
Letter Agreement [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.624 | $ 0.624 | ||||||||
Maximum [Member] | Letter Agreement [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 10,688,043 | 10,688,043 | ||||||||
Exisitng Warrant [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Proceeds from Warrant Exercises | $ 9,200 | |||||||||
Noninterest Expense Offering Cost | 800 | |||||||||
Exisitng Warrant [Member] | Monte Carlo Simulation Model [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Noninterest Expense Offering Cost | $ 100 | |||||||||
Common Stock Warrants [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Estimated fair values | 8,100 | |||||||||
Common Stock Warrants [Member] | Monte Carlo Simulation Model [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Estimated fair values | 5,800 | |||||||||
Placement Agent Common Stock Warrants [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Estimated fair values | 500 | |||||||||
Placement Agent Common Stock Warrants [Member] | Monte Carlo Simulation Model [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Estimated fair values | $ 400 | |||||||||
Common Stock [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Stock Issued During Period, Shares, New Issues | 10,854,710 | |||||||||
Estimated fair values | 1,400 | |||||||||
Value of shares agreed to issue | $ 11 | |||||||||
Common Stock [Member] | Letter Agreement [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | ||||||||
Sale of Stock, Price Per Share | $ 0.125 | $ 0.125 | ||||||||
Common Stock [Member] | Maximum [Member] | Letter Agreement [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Stock Issued During Period, Shares, New Issues | 8,016,033 | |||||||||
Additional Paid-in Capital [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Estimated fair values | 100 | |||||||||
Value of shares agreed to issue | $ 12,588 | |||||||||
Classified Warrants [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Estimated fair values | $ 700 | |||||||||
Warrants [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Proceeds from Warrant Exercises | $ 6,700 | |||||||||
Class of Warrant or Right, Number of Securities Called by Each Warrant or Right | 480,962 | 480,962 | ||||||||
Proceeds from Issuance of Warrants | $ 1,000 | |||||||||
Warrants [Member] | Letter Agreement [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.624 | $ 0.624 | ||||||||
Warrant exercisable description | Each warrant is exercisable for one share of Common Stock at an exercise price of $1.20 per share. The warrants are immediately exercisable and will expire five years from the date of issuance. | |||||||||
Warrant description | A holder may not exercise any portion of the warrants to the extent that the holder would own more than 4.99% of the outstanding common stock immediately after exercise, which percentage may be changed at the holder’s election to a lower percentage at any time or to a higher percentage not to exceed 9.99% upon 61 days’ notice to the Company. The Company also issued to designees of the placement agent, warrants to purchase 6.0% of the aggregate number of common stock shares and pre-funded warrants sold in the offering | |||||||||
Warrants [Member] | Maximum [Member] | Letter Agreement [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Class of Warrant or Right, Number of Securities Called by Each Warrant or Right | 10,688,043 | 10,688,043 | ||||||||
IPO [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Stock Issued During Period, Shares, New Issues | 6,670,000 | |||||||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | ||||||||
Warrants and Rights Outstanding, Term | 5 years | 5 years | ||||||||
IPO [Member] | Maximum [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 9,090,910 | 9,090,910 | ||||||||
IPO [Member] | Pre-Funded Warrant [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 2,420,910 | 2,420,910 | ||||||||
Shares Issued, Price Per Share | $ 1.099 | $ 1.099 | ||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | 0.001 | 0.001 | ||||||||
IPO [Member] | Warrant [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Shares Issued, Price Per Share | 1.10 | 1.10 | ||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 1.20 | 1.20 | ||||||||
Private Placement [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Warrant, Exercise Price, Increase | $ 1.375 | |||||||||
Private Placement [Member] | Maximum [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 545,455 | 545,455 | ||||||||
Percentage of warrant exercise price | 125.00% | |||||||||
Private Placement [Member] | Warrant [Member] | ||||||||||
Subsidiary, Sale of Stock [Line Items] | ||||||||||
Proceeds from Warrant Exercises | $ 6,700 | $ 9,200 |
SCHEDULE OF EARNINGS PER SHARE,
SCHEDULE OF EARNINGS PER SHARE, BASIC AND DILUTED (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | ||
Earnings Per Share [Abstract] | |||
Net loss | $ (17,410) | $ (13,040) | |
Less: Gain from change in fair value of warrant liabilities | (755) | ||
Net loss, available to common stockholders | $ (18,165) | $ (13,040) | |
Basic weighted average number of common shares (1) | [1] | 76,158,275 | 33,019,994 |
Incremental shares from assumed exercise of warrants | 237,803 | ||
Diluted weighted average number of common shares | 76,396,078 | 33,019,994 | |
[1] | In December 2020 and January 2021, the Company sold pre-funded warrants to purchase up to 5,238,043 2,420,910 |
SCHEDULE OF EARNINGS PER SHAR_2
SCHEDULE OF EARNINGS PER SHARE, BASIC AND DILUTED (Details) (Parenthetical) - shares | Jan. 31, 2021 | Dec. 31, 2020 |
Pre-funded Warrants [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Class of Warrant or Right, Number of Securities Called by Each Warrant or Right | 2,420,910 | 5,238,043 |
SCHEDULE OF ANTI-DILUTIVE POTEN
SCHEDULE OF ANTI-DILUTIVE POTENTIAL SHARES OUTSTANDING ACTIVITY (Details) - shares | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Stock Options [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Outstanding potentially dilutive securities | 6,081,710 | 4,348,559 |
Restricted Stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Outstanding potentially dilutive securities | 3,061,070 | 1,574,878 |
Common Stock Warrants [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Outstanding potentially dilutive securities | 10,223,233 | 10,638,298 |
Shares Committed Under E S P P [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Outstanding potentially dilutive securities | 56,806 | 54,632 |
DEBT (Details Narrative)
DEBT (Details Narrative) - USD ($) | Apr. 12, 2020 | Mar. 31, 2021 |
Short-term Debt [Line Items] | ||
Debt description | The SBA adopted a procedure for auditing all PPP loans over $2 million and pursuant to that procedure the Company completed the SBA’s form requesting information surrounding the Borrower’s original application for the Loan and information on use of the Loan proceeds, which was submitted to the SBA in December 2020. | |
Paycheck Protection Program [Member] | ||
Short-term Debt [Line Items] | ||
Unsecured Debt | $ 3,576,145 | |
Debt Instrument, Interest Rate, Stated Percentage | 1.00% | |
Debt Instrument, Term | 24 months | |
Debt Instrument, Periodic Payment | $ 150,563 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details Narrative) - Arches Research Inc [Member] - Laboratory Services Agreement [Member] $ in Millions | Sep. 02, 2020USD ($) |
Condensed Cash Flow Statements, Captions [Line Items] | |
Agreement term | 12 months |
Purchase Obligation | $ 1.1 |
CERTAIN RELATIONSHIPS AND REL_2
CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS (Details Narrative) | Oct. 01, 2019USD ($)shares | Oct. 31, 2018USD ($)ft² | Mar. 31, 2021USD ($) | Mar. 31, 2020USD ($) | Dec. 31, 2020USD ($) | Oct. 02, 2019USD ($) |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Future cash payments | $ 100,000 | |||||
Sublease Income | 55,000 | $ 69,000 | ||||
Due from Related Parties | 0 | $ 0 | ||||
Cohen LLC [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Payments for rent | 23,737 | |||||
Office Lease [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Net Rentable Area | ft² | 7,250 | |||||
Lessee, Operating Lease, Description | The lease is for a term of three years | |||||
Payments for rent | $ 60 | |||||
Description of lessee leasing arrangements, operating leases | Initially the Company will occupy and pay for only 3,275 square feet of space, and the Company is not obligated under the lease to pay for the remaining 3,975 square feet covered by the lease unless it elects to occupy that additional space. The Company believes the terms of the lease are very favorable to us, and the Company obtained these favorable terms through the assistance of Peter A. Cohen, a director, which he provided so that the company he owns, Peter A. Cohen, LLC (“Cohen LLC”), could sublease a portion of the office space. During Q1 2021, the Company decreased the space leased from 5,500 square feet to 4,747 square feet. The Company is using 1,099 square feet, and Cohen LLC is using approximately 3,648 square feet as of March 31, 2021. The monthly lease payment for 4,747 square feet is $23,737. Of this amount $18,243 is allocated pro rata to Cohen, LLC based on square footage occupied. Additional lease charges for operating expenses and taxes are allocated under the sublease based on the ratio of rent paid by the Company and Cohen LLC to total rent. Once the space is fully occupied, the Company will reduce the overall annual lease rate for the Cohen LLC space to $58.60 per square foot. However, the Company has yet to fully occupy the 7,250 square feet covered by the office lease and the lease expires at the end of October 2021. | |||||
Dr Denver Lough [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Stock issued during period, shares, restricted stock award, gross | shares | 200,000 | |||||
Stock issued during period, value, restricted stock award, gross | $ 800,000 | |||||
Settlement Terms Agreement [Member] | Dr Denver Lough [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Due to related parties | $ 1,500,000 | |||||
Settlement Terms Agreement [Member] | Dr Denver Lough [Member] | Equal Monthly Installments Beginning November One Two Thousand Nineteen And Ending April One Two Thousand Twenty One [Member] | ||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||||
Due to related parties | $ 1,500,000 |
SCHEDULE OF SEGMENT INFORMATION
SCHEDULE OF SEGMENT INFORMATION (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Segment Reporting Information [Line Items] | ||
Total net revenues | $ 4,709 | $ 933 |
Total net loss | (17,410) | (13,040) |
Regenerative Medicine [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net revenues | 1,729 | 428 |
Total net loss | (17,702) | (12,703) |
Contract Services [Member] | ||
Segment Reporting Information [Line Items] | ||
Total net revenues | 2,980 | 505 |
Total net loss | $ 292 | $ (337) |