Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Jun. 30, 2016 | Aug. 08, 2016 | |
Document And Entity Information | ||
Entity Registrant Name | Ohr Pharmaceutical Inc | |
Entity Central Index Key | 1,173,281 | |
Document Type | 10-Q | |
Trading Symbol | OHRP | |
Document Period End Date | Jun. 30, 2016 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --09-30 | |
Entity a Well-known Seasoned Issuer | No | |
Entity a Voluntary Filer | No | |
Entity's Reporting Status Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 32,103,969 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,016 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) | Jun. 30, 2016 | Sep. 30, 2015 |
CURRENT ASSETS | ||
Cash | $ 17,623,720 | $ 28,697,323 |
Prepaid expenses and other current assets | 231,978 | 338,713 |
Total Current Assets | 17,855,698 | 29,036,036 |
EQUIPMENT, net | 214,047 | 248,753 |
OTHER ASSETS | ||
Security deposit | 12,243 | 12,243 |
Intangible assets, net | 15,490,916 | 16,332,863 |
Goodwill | 740,912 | 740,912 |
TOTAL ASSETS | 34,313,816 | 46,370,807 |
CURRENT LIABILITIES | ||
Accounts payable and accrued expenses | 3,627,455 | 1,592,348 |
Notes payable | 130,955 | 48,063 |
Contingent consideration | 1,535,237 | 2,239,603 |
Total Current Liabilities | 5,293,647 | 3,880,014 |
TOTAL LIABILITIES | 5,293,647 | 3,880,014 |
STOCKHOLDERS' EQUITY | ||
Preferred stock, Series B; 6,000,000 shares authorized, $0.0001 par value, 0 shares issued and outstanding, respectively | ||
Common stock; 180,000,000 shares authorized, $0.0001 par value, 31,505,203 and 30,331,309 shares issued and outstanding, respectively | 3,150 | 3,033 |
Additional paid-in capital | 106,658,494 | 100,999,173 |
Accumulated deficit | (77,641,475) | (58,511,413) |
Total Stockholders' Equity | 29,020,169 | 42,490,793 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 34,313,816 | $ 46,370,807 |
Consolidated Balance Sheets (U3
Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Jun. 30, 2016 | Sep. 30, 2015 |
Statement of Financial Position [Abstract] | ||
Preferred stock, shares authorized | 6,000,000 | 6,000,000 |
Preferred stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, shares authorized | 180,000,000 | 180,000,000 |
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares issued | 31,505,203 | 30,331,309 |
Common stock, shares outstanding | 31,505,203 | 30,331,309 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
OPERATING EXPENSES | ||||
General and administrative | $ 1,664,882 | $ 1,554,997 | $ 5,849,374 | $ 5,706,831 |
Research and development | 5,637,602 | 1,496,768 | 11,757,741 | 7,416,745 |
Depreciation and amortization | 296,143 | 283,075 | 889,959 | 883,959 |
Gain on settlement of accounts payable | (710,264) | |||
Impairment of intangibles | 338,906 | |||
OPERATING LOSS | 7,598,627 | 3,334,840 | 17,786,810 | 14,346,441 |
OTHER INCOME (EXPENSE) | ||||
Change in fair value of contingent consideration | (104,844) | 20,959 | (1,356,770) | 3,123,766 |
Share in losses on investment in joint venture | (30,088) | (97,949) | ||
Other income | 3,419 | 35,813 | ||
Interest income (exepnse), net | 3,730 | (2,028) | 10,099 | (2,691) |
Total Other Income (Expense) | (101,114) | (11,157) | (1,343,252) | 3,058,939 |
LOSS FROM OPERATIONS BEFORE INCOME TAXES | (7,699,741) | (3,345,997) | (19,130,062) | (11,287,502) |
PROVISION FOR INCOME TAXES | ||||
NET LOSS | $ (7,699,741) | $ (3,345,997) | $ (19,130,062) | $ (11,287,502) |
BASIC AND DILUTED LOSS PER SHARE (in dollars per share) | $ (0.24) | $ (0.11) | $ (0.61) | $ (0.41) |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING: | ||||
BASIC AND DILUTED (in shares) | 31,501,540 | 30,323,206 | 31,126,656 | 27,757,415 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
OPERATING ACTIVITIES | ||
Net loss | $ (19,130,062) | $ (11,287,502) |
Adjustments to reconcile net loss to net cash used by operating activities: | ||
Common stock issued for services | 1,237,064 | 506,928 |
Stock option expense | 2,335,197 | 2,902,558 |
Change in fair value of contingent consideration | 1,356,770 | (3,123,766) |
Share in losses on investment in joint venture | 97,949 | |
Depreciation | 48,012 | 28,082 |
Amortization of intangible assets | 841,947 | 855,877 |
Impairment of Intangibles | 338,906 | |
Gain on settlement of accounts payable | (710,264) | |
Changes in operating assets and liabilities | ||
Prepaid expenses and deposits | 322,544 | (379,010) |
Accounts payable and accrued expenses | 2,745,372 | 1,575,997 |
Net Cash Used in Operating Activities | (10,953,420) | (8,483,981) |
INVESTING ACTIVITIES | ||
Investment in joint venture | (100,000) | |
Purchase of property and equipment | (13,306) | (182,845) |
Net Cash Used in Investing Activities | (13,306) | (282,845) |
FINANCING ACTIVITIES | ||
Proceeds for issuance of common stock for cash | 26,582,998 | |
Proceeds from warrants exercised for cash | 26,041 | 80,003 |
Repayments of short-term notes payable | (132,918) | (137,050) |
Net Cash Provided by/(Used in) Financing Activities | (106,877) | 26,525,951 |
NET CHANGE IN CASH | (11,073,603) | 17,759,125 |
CASH AT BEGINNING OF PERIOD | 28,697,323 | 13,220,494 |
CASH AT END OF PERIOD | 17,623,720 | 30,979,619 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION CASH PAID FOR: | ||
Interest | 4,262 | 3,924 |
NON CASH FINANCING ACTIVITIES: | ||
Settlement of contingent consideration | 2,061,136 | |
Financing of insurance premiums through issuance of short term notes | $ 215,810 | 212,400 |
Common stock issued to settle accounts payable | $ 50,000 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | NOTE 1 - BASIS OF PRESENTATION The accompanying unaudited consolidated financial statements include the accounts of Ohr Pharmaceutical, Inc. and its subsidiaries (the Company). The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (GAAP) for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X related to interim period financial statements. Accordingly, these condensed consolidated financial statements do not include certain information and footnotes required by GAAP for complete financial statements. However, in the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at June 30, 2016, and for all periods presented herein, have been made. It is suggested that these unaudited consolidated financial statements be read in conjunction with the consolidated financial statements and notes thereto included in the Companys Annual Report on Form 10-K for the fiscal year ended September 30, 2015. The results of operations for the quarterly periods ended June 30, 2016 and 2015 are not necessarily indicative of the operating results for the full years. Reclassification has been made to conform to current period presentation which included moving applicable stock option expense from general and administrative expense to research and development expense. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Estimates subject to change in the near term include impairment (if any) of long-lived assets and fair value of contingent consideration. Fair Value of Financial Instruments In accordance with ASC 820, the carrying value of cash and cash equivalents, accounts receivable, accounts payable and notes payable approximates fair value due to the short-term maturity of these instruments. ASC 820 clarifies the definition of fair value, prescribes methods for measuring fair value, and establishes a fair value hierarchy to classify the inputs used in measuring fair value as follows: Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. Level 2 - Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. Level 3 - Unobservable inputs, where there is little or no market activity for the asset or liability. These inputs reflect the reporting entitys own beliefs about the assumptions that market participants would use in pricing the asset or liability, based on the best information available in the circumstances. The following table presents assets and liabilities that are measured and recognized at fair value as of June 30, 2016 and September 30, 2015, on a recurring basis: Assets and liabilities measured at fair value on a recurring basis at June 30, 2016 Level 1 Level 2 Level 3 Total Contingent stock consideration $ $ $ 1,535,237 $ 1,535,237 $ $ $ 1,535,237 $ 1,535,237 Assets and liabilities measured at fair value on a recurring basis at September 30, 2015 Level 1 Level 2 Level 3 Total Contingent stock consideration $ $ 2,239,603 $ 2,239,603 $ $ 2,239,603 $ 2,239,603 The following table provides a summary of the changes in fair value, including net transfers in and/or out, of the financial instruments, measured at fair value on a recurring basis using significant unobservable inputs: Level 3 Reconciliation: Contingent Level 3 assets and liabilities at September 30, 2015 $ 2,239,603 Purchases, sales, issuances and settlements (net) (2,061,136) Mark to market adjustments 1,356,770 Total Level 3 assets and liabilities at June 30, 2016 $ 1,535,237 Recent Accounting Pronouncements Management has considered all recent accounting pronouncements issued since the last audit of the Companys financial statements. The Companys management believes that these recent pronouncements will not have a material effect on the Companys financial statements. |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 9 Months Ended |
Jun. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS | NOTE 3 - INTANGIBLE ASSETS Intangible assets at June 30, 2016 and September 30, 2015: June 30, 2016 September License Rights $ 17,712,991 $ 17,712,991 Patent Costs 200,000 200,000 17,912,991 17,912,991 Accumulated Amortization (2,422,075 ) (1,580,128 ) Total Intangible Assets $ 15,490,916 $ 16,332,863 During the three and nine month periods ended June 30, 2016, the Company recognized $279,624 and $841,947, respectively, in amortization expense on the patents and license rights. The amortization expense has been included in research and development expense. |
ACCOUNTS PAYABLE AND ACCRUED EX
ACCOUNTS PAYABLE AND ACCRUED EXPENSES | 9 Months Ended |
Jun. 30, 2016 | |
Payables and Accruals [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED EXPENSES | NOTE 4 ACCOUNTS PAYABLE AND ACCRUED EXPENSES During the nine months ended June 30, 2016, the Company realized a gain of $710,264 related to the settlement of an accounts payable balance. |
NOTES PAYABLE
NOTES PAYABLE | 9 Months Ended |
Jun. 30, 2016 | |
Debt Disclosure [Abstract] | |
NOTES PAYABLE | NOTE 5 - NOTES PAYABLE On February 28, 2016, the Company entered into a premium financing arrangement for its directors and officers insurance policy in the amount of $215,810. The financing arrangement bears interest at 7% per annum. As of June 30, 2016, the Company had repaid $84,855 of principal and had paid interest of $4,262. |
CAPITAL STOCK
CAPITAL STOCK | 9 Months Ended |
Jun. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
CAPITAL STOCK | NOTE 6 - CAPITAL STOCK Below is a table summarizing the capital stock activity during the nine months ended June 30, 2016 and the shares outstanding as of June 30, 2016: Number Outstanding Weighted- Exercise/Stock Outstanding at September 30, 2015 30,331,309 $ 3.33 Exercise of Warrants 15,278 1.70 Milestone 1 SKS Acquisition 497,859 4.14 Restricted Stock Issued 660,757 4.12 Outstanding at June 30, 2016 31,505,203 $ 3.36 On December 11, 2015, the Board approved the achievement of Milestone 1 in connection with the ophthalmology assets acquisition by the Company of the privately held SKS Ocular LLC and its affiliate, SKS Ocular 1 LLC (SKS). As a result, the Company issued 497,859 shares of its common stock to SKS. The value of the stock issued was $2,061,136, as determined by the $4.14 per share closing sale price of the Companys common stock on the date of Board approval. On December 11, 2015, pursuant to a consulting agreement, the Board granted 120,000 shares of the Companys restricted stock under the Companys 2014 Stock Incentive Plan to Dr. Irach Taraporewala, the Companys former Chief Technology Officer. The restricted stock will vest in four equal, semiannual installments, beginning on July 16, 2016, subject to Dr. Taraporewala continuously providing consulting services to the Company from the grant date until each such vesting date. On December 29, 2015, the Company issued 6,944 shares of common stock pursuant to an exercise of warrants at $1.95 per share, for gross proceeds of $13,540. On January 9, 2016, the Board granted 130,000 and 350,358 shares of the Companys restricted stock to Sam Backenroth, Chief Financial Officer and Dr. Jason Slakter, Chief Executive Officer, respectively, 50% of these shares vest on the January 9, 2017 and the remaining 50% vest on January 9, 2018. On January 22, 2016 and March 17, 2016, the Board approved the issuance of 25,399 and 35,000 shares, respectively, of the Companys restricted stock to a consultant of the Company for services rendered. On May 11, 2016, the Company issued 8,334 shares of common stock pursuant to an exercise of warrants at $1.50 per share, for gross proceeds of $12,501. During the nine months ended June 30, 2016, the Company recognized compensation expense of $1,237,064 for shares issued for services during the current and prior periods. |
COMMON STOCK WARRANTS
COMMON STOCK WARRANTS | 9 Months Ended |
Jun. 30, 2016 | |
Common Stock Warrants | |
COMMON STOCK WARRANTS | NOTE 7 - COMMON STOCK WARRANTS Below is a table summarizing the warrants issued and outstanding as of June 30, 2016: Number Weighted- Exercise Price Outstanding at September 30, 2015 746,869 $ 4.75 Exercised (15,278 ) 1.70 Forfeited/ Expired (43,334 ) 6.55 Outstanding at June 30, 2016 688,257 $ 4.71 As of June 30, 2016, the outstanding warrants have an intrinsic value of $112,361. |
COMMON STOCK OPTIONS
COMMON STOCK OPTIONS | 9 Months Ended |
Jun. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
COMMON STOCK OPTIONS | NOTE 8 - COMMON STOCK OPTIONS During the three and nine months ended June 30, 2016, the Company recognized $610,822 and $2,335,197 of expense related to options granted, respectively. Unamortized option expense as of June 30, 2016 for all options outstanding amounted to approximately $3,311,810. Below is a table summarizing the options issued and outstanding as of June 30, 2016: Number Outstanding Weighted - Exercise Price Outstanding at September 30, 2015 2,761,001 $ 7.27 Granted 669,275 4.11 Forfeited/Expired (559,208 ) 6.60 Outstanding at June 30, 2016 2,871,068 $ 6.66 Exercisable at June 30, 2016 1,739,962 $ 6.39 As of June 30, 2016, the outstanding options have an intrinsic value of $343,334. The fair value of options granted during the nine months ended June 30, 2016 are estimated at the date of grant using the Black-Scholes option-pricing model and the following assumptions: stock price at valuation ranging from of $3.23 to $5.14, expected term ranging from of 2.75 to 3.25 years, exercise price ranging from $3.23 to $5.14, a risk free interest rate ranging from 1.04 to 1.31 percent, a dividend yield of 0 percent and volatility ranging from 103 to 108 percent. The average vesting period of options issued during the nine month period ended June 30, 2016 is 10.9 months with 36.3 percent of the options vesting at the date of the grant. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Jun. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 9 - COMMITMENTS AND CONTINGENCIES Legal Proceedings The Company may become involved in certain legal proceedings and claims which arise in the normal course of business. If an unfavorable ruling were to occur, there exists the possibility of a material adverse impact on the Companys results of operations, prospects, cash flows, financial position and brand. To the best knowledge of the Companys management, at June 30, 2016, there are no legal proceedings which the Company believes will have a material adverse effect on its business, results of operations, cash flows or financial condition. Contingent Stock Consideration On May 30, 2014, the Company completed the acquisition of certain assets of SKS, including licenses, patents and contracts relating to micro-fabrication polymer-based sustained delivery platforms related to ocular therapeutics and dry age-related macular degeneration animal models, together with biomarkers to support such models. The purchase price consisted of: (a) cash in the amount of $3,500,000; (b) 1,194,862 shares of the Companys common stock (valued at $10,180,224 based on the closing sale price of the common stock of the Company on May 30, 2014) and (c) an additional 1,493,577 shares that will be issued contingent to achievement of certain milestones. This contingent consideration has been recorded as a liability of the Company and is reviewed by management for probability and likelihood of the milestones being achieved at each reporting period. The liability is adjusted according to managements assessment. On December 11, 2015, the Board approved the achievement of Milestone 1 and consequently, the Company issued 497,859 shares of its common stock to SKS as partial settlement of the contingent consideration. The value of the stock issued was $2,061,136, as determined by the $4.14 per share closing sale price of the Companys common stock on the date of Board approval. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Jun. 30, 2016 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 10 SUBSEQUENT EVENTS On July 12, 2016, the Board approved the achievement of Milestone 2 in connection with the ophthalmology assets acquisition from SKS. Milestone 2 required the completion of a pharmacodynamic study in an animal model showing clinically relevant efficacy from a drug substance released from SKS Microparticles. Consequently, the Company issued 497,859 shares common stock to SKS. On July 12, 2016, the Company approved the issuance of 27,573 shares of restricted common stock to a consultant of the Company for services rendered. 50% of these shares vested immediately, and 25% of these shares will vest on each of October 1, 2016 and January 2, 2017. On July 18, 2016, 73,334 options to purchase common stock were exercised at a price per share of $1.62. Accordingly, the Company issued 73,334 shares of common stock and received gross proceeds of $118,801. |
SUMMARY OF SIGNIFICANT ACCOUN16
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Estimates subject to change in the near term include impairment (if any) of long-lived assets and fair value of contingent consideration. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments In accordance with ASC 820, the carrying value of cash and cash equivalents, accounts receivable, accounts payable and notes payable approximates fair value due to the short-term maturity of these instruments. ASC 820 clarifies the definition of fair value, prescribes methods for measuring fair value, and establishes a fair value hierarchy to classify the inputs used in measuring fair value as follows: Level 1 - Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. Level 2 - Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. Level 3 - Unobservable inputs, where there is little or no market activity for the asset or liability. These inputs reflect the reporting entitys own beliefs about the assumptions that market participants would use in pricing the asset or liability, based on the best information available in the circumstances. The following table presents assets and liabilities that are measured and recognized at fair value as of June 30, 2016 and September 30, 2015, on a recurring basis: Assets and liabilities measured at fair value on a recurring basis at June 30, 2016 Level 1 Level 2 Level 3 Total Contingent stock consideration $ $ $ 1,535,237 $ 1,535,237 $ $ $ 1,535,237 $ 1,535,237 Assets and liabilities measured at fair value on a recurring basis at September 30, 2015 Level 1 Level 2 Level 3 Total Contingent stock consideration $ $ 2,239,603 $ 2,239,603 $ $ 2,239,603 $ 2,239,603 The following table provides a summary of the changes in fair value, including net transfers in and/or out, of the financial instruments, measured at fair value on a recurring basis using significant unobservable inputs: Level 3 Reconciliation: Contingent Level 3 assets and liabilities at September 30, 2015 $ 2,239,603 Purchases, sales, issuances and settlements (net) (2,061,136) Mark to market adjustments 1,356,770 Total Level 3 assets and liabilities at June 30, 2016 $ 1,535,237 |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Management has considered all recent accounting pronouncements issued since the last audit of the Companys financial statements. The Companys management believes that these recent pronouncements will not have a material effect on the Companys financial statements. |
SUMMARY OF SIGNIFICANT ACCOUN17
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Schedule of assets and liabilities measured and recognized at fair value | The following table presents assets and liabilities that are measured and recognized at fair value as of June 30, 2016 and September 30, 2015, on a recurring basis: Assets and liabilities measured at fair value on a recurring basis at June 30, 2016 Level 1 Level 2 Level 3 Total Contingent stock consideration $ $ $ 1,535,237 $ 1,535,237 $ $ $ 1,535,237 $ 1,535,237 Assets and liabilities measured at fair value on a recurring basis at September 30, 2015 Level 1 Level 2 Level 3 Total Contingent stock consideration $ $ 2,239,603 $ 2,239,603 $ $ 2,239,603 $ 2,239,603 |
Schedule of changes in fair value, including net transfers in and/or out, of the financial instruments, measured at fair value on a recurring basis using significant unobservable inputs | The following table provides a summary of the changes in fair value, including net transfers in and/or out, of the financial instruments, measured at fair value on a recurring basis using significant unobservable inputs: Level 3 Reconciliation: Contingent Level 3 assets and liabilities at September 30, 2015 $ 2,239,603 Purchases, sales, issuances and settlements (net) (2,061,136) Mark to market adjustments 1,356,770 Total Level 3 assets and liabilities at June 30, 2016 $ 1,535,237 |
INTANGIBLE ASSETS (Tables)
INTANGIBLE ASSETS (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of intangible assets | Intangible assets at June 30, 2016 and September 30, 2015: June 30, 2016 September License Rights $ 17,712,991 $ 17,712,991 Patent Costs 200,000 200,000 17,912,991 17,912,991 Accumulated Amortization (2,422,075 ) (1,580,128 ) Total Intangible Assets $ 15,490,916 $ 16,332,863 |
CAPITAL STOCK (Tables)
CAPITAL STOCK (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
Schedule of common stock activity outstanding | Below is a table summarizing the capital stock activity during the nine months ended June 30, 2016 and the shares outstanding as of June 30, 2016: Number Outstanding Weighted- Exercise/Stock Outstanding at September 30, 2015 30,331,309 $ 3.33 Exercise of Warrants 15,278 1.70 Milestone 1 SKS Acquisition 497,859 4.14 Restricted Stock Issued 660,757 4.12 Outstanding at June 30, 2016 31,505,203 $ 3.36 |
COMMON STOCK WARRANTS (Tables)
COMMON STOCK WARRANTS (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Common Stock Warrants | |
Schedule of warrants issued and outstanding | Below is a table summarizing the warrants issued and outstanding as of June 30, 2016: Number Weighted- Exercise Price Outstanding at September 30, 2015 746,869 $ 4.75 Exercised (15,278 ) 1.70 Forfeited/ Expired (43,334 ) 6.55 Outstanding at June 30, 2016 688,257 $ 4.71 |
COMMON STOCK OPTIONS (Tables)
COMMON STOCK OPTIONS (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of options issued and outstanding | Below is a table summarizing the options issued and outstanding as of June 30, 2016: Number Outstanding Weighted - Exercise Price Outstanding at September 30, 2015 2,761,001 $ 7.27 Granted 669,275 4.11 Forfeited/Expired (559,208 ) 6.60 Outstanding at June 30, 2016 2,871,068 $ 6.66 Exercisable at June 30, 2016 1,739,962 $ 6.39 |
SUMMARY OF SIGNIFICANT ACCOUN22
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - Recurring [Member] - USD ($) | Jun. 30, 2016 | Sep. 30, 2015 |
Assets and liabilities measured at fair value on a recurring basis | ||
Contingent stock consideration | $ 1,535,237 | $ 2,239,603 |
Total | 1,535,237 | 2,239,603 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets and liabilities measured at fair value on a recurring basis | ||
Contingent stock consideration | 1,535,237 | 2,239,603 |
Total | $ 1,535,237 | $ 2,239,603 |
SUMMARY OF SIGNIFICANT ACCOUN23
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 1) | 9 Months Ended |
Jun. 30, 2016USD ($) | |
Level 3 Reconciliation: | |
Level 3 assets and liabilities, beginning | $ 2,239,603 |
Purchases, sales, issuances and settlements (net) | (2,061,136) |
Mark to market adjustments | 1,356,770 |
Total Level 3 assets and liabilities, ending | $ 1,535,237 |
INTANGIBLE ASSETS (Details Narr
INTANGIBLE ASSETS (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2016 | Jun. 30, 2015 | |
Amortization of intangible assets | $ 841,947 | $ 855,877 | |
Patents [Member] | |||
Amortization of intangible assets | $ 279,624 | $ 841,947 |
INTANGIBLE ASSETS (Details)
INTANGIBLE ASSETS (Details) - USD ($) | Jun. 30, 2016 | Sep. 30, 2015 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
License Rights | $ 17,712,991 | $ 17,712,991 |
Patent Costs | 200,000 | 200,000 |
Total Intangible Assets,Gross | 17,912,991 | 17,912,991 |
Accumulated Amortization | (2,422,075) | (1,580,128) |
Total Intangible Assets | $ 15,490,916 | $ 16,332,863 |
ACCOUNTS PAYABLE AND ACCRUED 26
ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Details Narrative) | 9 Months Ended |
Jun. 30, 2016USD ($) | |
Payables and Accruals [Abstract] | |
Gain on settlement of accounts payable | $ 710,264 |
NOTES PAYABLE (Details Narrativ
NOTES PAYABLE (Details Narrative) - Financing Arrangement Directors and Officers Insurance [Member] | 9 Months Ended |
Jun. 30, 2016USD ($) | |
Debt issuance date | Feb. 28, 2016 |
Face amount of notes | $ 215,810 |
Notes payable, interest rate | 7.00% |
Principal repaid | $ 84,855 |
Interest paid | $ 4,262 |
CAPITAL STOCK (Details Narrativ
CAPITAL STOCK (Details Narrative) - USD ($) | May 11, 2016 | Mar. 17, 2016 | Jan. 22, 2016 | Jan. 09, 2016 | Dec. 29, 2015 | Dec. 11, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Sep. 30, 2015 |
Value of stock issued for acquisitions | $ 2,061,136 | ||||||||
Restricted stock issued | 660,757 | ||||||||
Stock based compensation expense issued for services | $ 1,237,064 | $ 506,928 | |||||||
Restricted Common Stock [Member] | |||||||||
Description of vesting rights | 50% of these shares vest on the January 9, 2017 and the remaining 50% vest on January 9, 2018. | ||||||||
Warrants [Member] | |||||||||
Value of stock issued for exercise of warrants | $ 12,501 | $ 13,540 | |||||||
Number of shares issued | 8,334 | 6,944 | |||||||
Exercise price (in dollars per share) | $ 1.50 | $ 1.95 | $ 4.71 | $ 4.75 | |||||
Mr. Dr. Irach Taraporewala [Member] | |||||||||
Restricted stock issued | 120,000 | ||||||||
Sam Backenroth [Member] | Restricted Common Stock [Member] | |||||||||
Number of shares granted | 130,000 | ||||||||
Dr. Jason Slakter [Member] | Restricted Common Stock [Member] | |||||||||
Number of shares granted | 350,358 | ||||||||
Consultant [Member] | Restricted Common Stock [Member] | |||||||||
Number of shares issued for services | 35,000 | 25,399 |
CAPITAL STOCK (Details)
CAPITAL STOCK (Details) | 9 Months Ended |
Jun. 30, 2016$ / sharesshares | |
Outstanding Common Shares | |
Outstanding, beginning | shares | 30,331,309 |
Exercise of Warrants | shares | 15,278 |
Milestone 1 - SKS Acquisition | shares | 497,859 |
Restricted Stock Issued | shares | 660,757 |
Common stock shares outstanding, ending | shares | 31,505,203 |
Weighted Average Exercise/Stock Price | |
Stock price, beginning | $ / shares | $ 3.33 |
Exercise of Warrants | $ / shares | 1.70 |
Milestone 1 - SKS Acquisition | $ / shares | 4.14 |
Restricted Stock Issued | $ / shares | 4.12 |
Stock price, ending | $ / shares | $ 3.36 |
COMMON STOCK WARRANTS (Details
COMMON STOCK WARRANTS (Details Narrative) | Jun. 30, 2016USD ($) |
Warrants [Member] | |
Intrinsic value of warrants | $ 112,361 |
COMMON STOCK WARRANTS (Details)
COMMON STOCK WARRANTS (Details) - Warrants [Member] | 9 Months Ended |
Jun. 30, 2016$ / sharesshares | |
Outstanding Warrants | |
Outstanding, beginning | shares | 746,869 |
Exercised | shares | (15,278) |
Forfeited/ Expired | shares | (43,334) |
Outstanding, ending | shares | 688,257 |
Weighted Average Exercise Price | |
Outstanding, beginning | $ / shares | $ 4.75 |
Exercised | $ / shares | 1.70 |
Forfeited/ Expired | $ / shares | 6.55 |
Outstanding, ending | $ / shares | $ 4.71 |
COMMON STOCK OPTIONS (Details N
COMMON STOCK OPTIONS (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2016 | Sep. 30, 2015 | |
Compensation expense related to options granted | $ 610,822 | $ 2,335,197 | |
Unamortized option expense | 3,311,810 | 3,311,810 | |
Intrinsic value of awards | $ 343,334 | $ 343,334 | |
Fair Value assumptions: | |||
Stock price | $ 3.36 | $ 3.36 | $ 3.33 |
Stock Option [Member] | |||
Fair Value assumptions: | |||
Dividend yield | 0.00% | ||
Average vesting period | 10 months 27 days | ||
Percent of options vested at date of grant | 36.30% | ||
Stock Option [Member] | Lower Range [Member[ | |||
Fair Value assumptions: | |||
Stock price | 3.23 | $ 3.23 | |
Expected term | 2 years 9 months | ||
Exercise Price | 3.23 | $ 3.23 | |
Risk free interest rate | 1.04% | ||
Volatility rate | 103.00% | ||
Stock Option [Member] | Upper Range [Member] | |||
Fair Value assumptions: | |||
Stock price | 5.14 | $ 5.14 | |
Expected term | 3 years 3 months | ||
Exercise Price | $ 5.14 | $ 5.14 | |
Risk free interest rate | 1.31% | ||
Volatility rate | 108.00% |
COMMON STOCK OPTIONS (Details)
COMMON STOCK OPTIONS (Details) | 9 Months Ended |
Jun. 30, 2016$ / sharesshares | |
Options Outstanding | |
Outstanding, beginning | shares | 2,761,001 |
Granted | shares | 669,275 |
Forfeited/Expired | shares | (559,208) |
Outstanding, ending | shares | 2,871,068 |
Exercisable, ending | shares | 1,739,962 |
Weighted Average Exercise Price | |
Exercise price, beginning | $ / shares | $ 7.27 |
Granted | $ / shares | 4.11 |
Forfeited/Expired | $ / shares | 6.60 |
Exercise price, ending | $ / shares | 6.66 |
Exercisable, ended | $ / shares | $ 6.39 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details Narrative) | 9 Months Ended |
Jun. 30, 2016USD ($)shares | |
Commitments and Contingencies Disclosure [Abstract] | |
Cash in acquisition | $ | $ 3,500,000 |
Shares of stock issued in acquisition | shares | 1,194,862 |
Shares of stock issued in acquisition, value | $ | $ 10,180,224 |
Number of contingent shares issuable for acquisition | shares | 1,493,577 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - USD ($) | Jul. 18, 2016 | Jul. 12, 2016 | Jun. 30, 2016 |
Milestone 2 - SKS Acquisition | 497,859 | ||
Subsequent Event [Member] | |||
Milestone 2 - SKS Acquisition | 497,859 | ||
Options Exercised | 73,334 | ||
Option Exercise Price | $ 1.62 | ||
Shares issued for option exercise | 73,334 | ||
Gross proceeds from exercise of options | $ 118,801 | ||
Subsequent Event [Member] | Consultant [Member] | |||
Restricted common stock approved for issuance | 27,573 | ||
Vesting rights | 50.00% | ||
Subsequent Event [Member] | Consultant [Member] | Vesting 10/1/2016 [Member] | |||
Vesting rights | 25.00% | ||
Subsequent Event [Member] | Consultant [Member] | Vesting 01/2/2017 [Member] | |||
Vesting rights | 25.00% |