Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Dec. 31, 2015 | Feb. 05, 2016 | |
Document And Entity Information | ||
Entity Registrant Name | ANAVEX LIFE SCIENCES CORP. | |
Entity Central Index Key | 1,314,052 | |
Document Type | 10-Q | |
Trading Symbol | AVXL | |
Document Period End Date | Dec. 31, 2015 | |
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 | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 34,653,885 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2,016 |
INTERIM CONDENSED CONSOLIDATED
INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) | Dec. 31, 2015 | Sep. 30, 2015 |
Current | ||
Cash | $ 13,853,405 | $ 15,290,976 |
GST Recoverable | 92,337 | 76,840 |
Prepaid expenses | 77,215 | 100,845 |
Current assets | 14,022,957 | 15,468,661 |
Equipment | 1,003 | 1,252 |
Total Assets | 14,023,960 | 15,469,913 |
Current | ||
Accounts payable and accrued liabilities | 2,417,431 | 2,503,726 |
Deferred grant income | 32,559 | 71,614 |
Promissory notes payable | 82,410 | 85,238 |
Current liabilities | 2,532,400 | 2,660,578 |
Senior Convertible Debentures | 265 | 332 |
Total Liabilities | 2,532,665 | 2,660,910 |
STOCKHOLDERS' EQUITY | ||
Capital stock Authorized: 100,000,000 common shares, par value $0.001 per share Issued and outstanding: 34,653,885 common shares (September 30, 2015 - 32,044,213) | 34,655 | 32,044 |
Additional paid-in capital | 76,127,544 | 74,060,999 |
Common stock to be issued | 2,565,060 | 1,997,415 |
Accumulated deficit | (67,235,964) | (63,281,455) |
Stockholders' Equity | 11,491,295 | 12,809,003 |
Total Liabilities and Stockholder's Equity | $ 14,023,960 | $ 15,469,913 |
INTERIM CONDENSED CONSOLIDATED3
INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares | Dec. 31, 2015 | Sep. 30, 2015 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 34,653,885 | 32,044,213 |
Common stock, shares outstanding | 34,653,885 | 32,044,213 |
INTERIM CONDENSED CONSOLIDATED4
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) | 3 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Operating expenses | ||
General and administrative | $ 3,861,698 | $ 452,053 |
Research and development | 670,736 | 318,625 |
Total operating expenses | (4,532,434) | $ (770,678) |
Other income (expenses) | ||
Grant income | 610,148 | |
Interest and finance expenses, net | 2,142 | $ (77,009) |
Financing related charges and adjustments | (1,095) | 37,651 |
Foreign exchange (loss) gain | (15,655) | 23,318 |
Total other income (expenses), net | 595,540 | (16,040) |
Net loss before provision for income taxes | (3,936,894) | $ (786,718) |
Income tax expense | 17,615 | |
Net loss and comprehensive loss for the period | $ (3,954,509) | $ (786,718) |
Loss per share | ||
Basic (in dollars per share) | $ (0.12) | $ (0.06) |
Diluted (in dollars per share) | $ (0.12) | $ (0.06) |
Weighted average number of shares outstanding | ||
Basic (in shares) | 33,971,913 | 12,907,598 |
Diluted (in shares) | 33,971,913 | 12,907,598 |
INTERIM CONDENSED CONSOLIDATED5
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) | 3 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Cash Flows used in Operating Activities | ||
Net loss for the period | $ (3,954,509) | $ (786,718) |
Adjustments to reconcile net loss to net cash used in operations: | ||
Amortization and depreciation | 249 | 249 |
Accretion of debt discount | 1,095 | 7,120 |
Stock-based compensation | $ 826,020 | 15,362 |
Non-cash financing related charges | 29,000 | |
Change in fair value of derivative financial instruments | (2,000) | |
(Gain) on extinguishment of debt | (42,771) | |
Other | $ (2,828) | $ (5,609) |
Changes in non-cash working capital balances related to operations: | ||
GST recoverable | (15,497) | |
Prepaid expenses | 23,630 | $ (9,373) |
Accounts payable and accrued liabilities | (86,297) | 101,670 |
Deferred grant income | (39,055) | |
Net cash used in operating activities | (3,247,192) | (693,070) |
Cash Flows provided by Financing Activities | ||
Issuance of common shares, net of share issue costs | 1,684,561 | $ 500,000 |
Shares subscribed | $ 125,060 | |
Repayment of promissory note | $ (88,144) | |
Net cash provided by financing activities | $ 1,809,621 | 411,856 |
Decrease in cash during the period | (1,437,571) | (281,214) |
Cash, beginning of period | 15,290,976 | 7,262,138 |
Cash, end of period | $ 13,853,405 | $ 6,980,924 |
INTERIM CONDENSED CONSOLIDATED6
INTERIM CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - 3 months ended Dec. 31, 2015 - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Common Shares to be Issued [Member] | Accumulated Deficit [Member] | Total |
Balance Beginning at Sep. 30, 2015 | $ 32,044 | $ 74,060,999 | $ 1,997,415 | $ (63,281,455) | $ 12,809,003 |
Balance Beginning (in shares) at Sep. 30, 2015 | 32,044,213 | 32,044,213 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Equity units issued under Purchase Agreement | $ 291 | 1,684,270 | $ 1,684,561 | ||
Equity units issued under Purchase Agreement (in shares) | 290,523 | ||||
Commitment shares issued under terms of Purchase Agreement | $ 185 | (185) | |||
Commitment shares issued under terms of Purchase Agreement (in shares) | 185,179 | ||||
Capital stock issued pursuant to debt conversions - at $1.00 | $ 169 | $ 168,406 | $ (167,415) | $ 1,160 | |
Capital stock issued pursuant to debt conversions - at $1.00 (in shares) | 168,577 | ||||
Shares issued pursuant to the exercise of warrants - at $3.00 | $ 125,060 | $ 125,060 | |||
Shares issued pursuant to the exercise of warrants - cashless | $ 1,964 | $ (1,964) | |||
Shares issued pursuant to the exercise of warrants - cashless (in shares) | 1,963,956 | ||||
Shares issued for rounding purposes | $ 2 | $ (2) | |||
Shares issued for rounding purposes (in shares) | 1,437 | ||||
Shared issued pursuant to restricted stock award | $ 610,000 | $ 610,000 | |||
Stock based compensation | $ 216,020 | 216,020 | |||
Net loss for the period | $ (3,954,509) | (3,954,509) | |||
Balance Ending at Dec. 31, 2015 | $ 34,655 | $ 76,127,544 | $ 2,565,060 | $ (67,235,964) | $ 11,491,295 |
Balance Ending (in shares) at Dec. 31, 2015 | 34,653,885 | 34,653,885 |
INTERIM CONDENSED CONSOLIDATED7
INTERIM CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) (Parenthetical) | Dec. 31, 2015$ / shares |
Statement of Stockholders' Equity [Abstract] | |
Debt conversions,share price (in dollars per share) | $ 1 |
Warrants exercised,share price (in dollars per share) | $ 3 |
Business Description and Basis
Business Description and Basis of Presentation | 3 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business Description and Basis of Presentation | Note 1 Business Description and Basis of Presentation Business Anavex Life Sciences Corp. (the Company) is a clinical stage biopharmaceutical company engaged in the development of differentiated therapeutics for the treatment of neurodegenerative diseases including drug candidates to treat Alzheimers disease, other central nervous system (CNS) diseases, pain and various types of cancer. The Companys lead compounds ANAVEX 2-73 and ANAVEX PLUS, a combination of ANAVEX 2-73 with donepezil (Aricept), are being developed to treat Alzheimers disease and potentially other central nervous system (CNS) diseases. In December 2014 a Phase 2a clinical trial was initiated for ANAVEX 2-73, which is being evaluated for the treatment of Alzheimers disease. The randomized trial is designed to assess the safety and exploratory efficacy of ANAVEX 2-73 alone as well as in combination with donepezil (ANAVEX PLUS) in patients with mild to moderate Alzheimers disease. ANAVEX 2-73 targets sigma-1 and muscarinic receptors, which have been shown in preclinical studies to reduce stress levels in the brain and to reverse the pathological hallmarks observed in Alzheimers disease. ANAVEX 2-73 showed no serious adverse events in a previously performed Phase 1 study. In pre-clinical studies, ANAVEX 2-73 demonstrated anti-amnesic and neuroprotective properties in various animal models including the transgenic mouse model Tg2576. Effective October 7, 2015, the Company effected a reverse stock split on the basis of 1:4. As such, the Companys authorized capital was decreased from 400,000,000 shares of common stock, par value $0.001 to 100,000,000 shares of common stock, par value $0.001 and all shares of common stock issued and outstanding were decreased on the basis of one new share for each four old shares. These interim condensed consolidated financial statements give retroactive effect to such reverse split and all share and per share amounts have been adjusted accordingly. Basis of Presentation These interim condensed consolidated financial statements have been prepared, without audit pursuant to the rules and regulations of the Securities and Exchange Commission. Accordingly, certain information and footnote disclosures normally included in the annual financial statements in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, the disclosures are adequate to make the information presented not misleading. These statements reflect all adjustments, consisting of normal recurring adjustments, which in the opinion of management are necessary for fair presentation of the information contained herein. The condensed consolidated balance sheet at September 30, 2015 has been derived from the audited financial statements at that date, but does not include all of the information and notes required by generally accepted accounting principals. These interim condensed financial statements should be read in conjunction with the audited financial statements included in its annual report on Form 10-K for the year ended September 30, 2015. The Company follows the same accounting policies in the preparation of interim reports. Operating results for the three months ended December 31, 2015 are not necessarily indicative of the results that may be expected for the year ending September 30, 2016. Basic and Diluted Loss per Share The basic loss per common share is computed by dividing net loss available to common stockholders by the weighted average number of common shares outstanding. Diluted loss per common share is computed similar to basic loss per common share except that the denominator is increased to include the weighted average of all potentially dilutive shares of common stock that were outstanding during the period. As of December 31, 2015, loss per share excludes 4,731,478 (September 30, 2015 6,101,534) potentially dilutive common shares related to outstanding options, warrants, convertible debentures and shares to be issued, as their effect was anti-dilutive. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 3 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements | Note 2 Recent Accounting Pronouncements Recent Accounting Pronouncements Not Yet Adopted In June 2014, the FASB issued ASU No. 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period ("ASU 2014-12"). ASU 2014-12 requires that a performance target that affects vesting, and that could be achieved after the requisite service period, be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant date fair value of the award. This update further clarifies that compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. The amendments in this ASU are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. The Company is currently evaluating the impact this guidance will have on its financial condition, results of operations and cash flows. In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entitys Ability to Continue as a Going Concern (ASU 2014-15). ASU 2014-15 will explicitly require management to assess an entitys ability to continue as a going concern, and to provide related footnote disclosure in certain circumstances. The new standard will be effective for all entities in the first annual period ending after December 15, 2016. The Company is currently evaluating the impact this guidance will have on its financial condition, results of operations and cash flows. In May, 2014, the FASB and the International Accounting Standards Board (IASB) issued a converged standard on revenue recognition from contracts with customers, ASU 2014-09 (Topic 606 and IFRS 15). This standard will supersede nearly all existing revenue recognition guidance. ASU 2014-09 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The Company is currently evaluating the impact this guidance will have on its financial condition, results of operations and cash flows. In April 2015, the Financial Accounting Standards Board (FASB), issued the Accounting Standards Update 2015-03, Interest - Imputation of Interest (Subtopic 835-30) - Simplifying the Presentation of Debt Issuance Costs, that requires debt issuance costs related to a recognized debt liability to be presented in the balance sheet as a direct deduction from the debt liability rather than as an asset. For public business entities, the final guidance will be effective for fiscal years beginning after December 15, 2015, however, early adoption (including in interim periods) is permitted. Upon adoption, an entity must apply the new guidance retrospectively to all prior periods presented in the financial statements. An entity is also required in the year of adoption to provide certain disclosures about the change in accounting principle, including the nature of and reason for the change, the transition method, a description of the prior-period information that has been retrospectively adjusted and the effect of the change on the financial statement line items (that is, debt issuance cost asset and the debt liability). The Company plans to adopt this standard beginning October 1, 2016. The Company is currently evaluating the impact this guidance will have on its financial condition, results of operations and cash flows. In November 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2015-17 Income Taxes: Balance Sheet Classification of Deferred Taxes (ASU 2015-17). ASU 2015-17 eliminates the requirement to bifurcate deferred taxes between current and non-current on the balance sheet and requires that deferred tax liabilities and assets be classified as noncurrent on the balance sheet. ASU 2015-17 is effective for public entities in fiscal years beginning after December 15, 2016, and for interim periods within those fiscal years. The amendments for ASU-2015-17 can be applied retrospectively or prospectively and early adoption is permitted. The adoption of this standard is not expected to have a material impact for any period presented. Other than noted above, the Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on its results of operations, financial position or cash flow. |
Equipment
Equipment | 3 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Equipment | Note 3 Equipment December 31, 2015 Accumulated Cost Depreciation Net Computer equipment $ 3,015 $ 2,012 $ 1,003 September 30, 2015 Accumulated Cost Depreciation Net Computer equipment $ 3,015 $ 1,763 $ 1,252 |
Promissory Notes Payable
Promissory Notes Payable | 3 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Promissory Notes Payable | Note 4 Promissory Notes Payable December 31, September 30, 2015 2015 Promissory note dated January 9, 2013 with a principal balance of CDN$86,677, bearing interest at 12% per annum, secured by all the present and future assets of the Company; due on demand $ 62,486 $ 64,630 Promissory note dated January 9, 2013 with a principal balance of CDN$27,639, bearing interest at 12% per annum, secured by all the present and future assets of the Company; due on demand 19,924 20,608 $ 82,410 $ 85,238 On January 9, 2013, the Company issued two (2) promissory notes (the Secured Notes); a) The Company issued a promissory note in the amount of CDN$86,677 to the former President, Secretary, Treasurer, CFO and director of the Company (the President) in exchange for unpaid consulting fees owing to the President. The note is bearing interest at 12% per annum and was due June 30, 2013. b) The Company issued a promissory note in the amount of CDN$27,639 to a former director of the Company (the Director) in exchange for unpaid consulting fees owing to the Director. The note is bearing interest at 12% per annum and was due June 30, 2013. The Secured Notes are secured by a right to delay the transfer of any or all of the Companys assets until the obligations of the Secured Notes are satisfied, including a restriction on the transfer of cash by the Company and a security interest over the intellectual property of the Company. The security interests of the Secured Notes is ranked senior to any and all security interests granted prior to the issuance of the notes and to all subsequent security interests granted, unless the holders agree in writing to other terms. In addition, the Secured Notes contain a provision whereby if they are not repaid within 10 days of their maturity dates, they shall bear late fees in addition to interest accruing, at a rate of $100 per day per note. In an event of default by the Company, under the terms of the Secured Notes, the notes shall bear additional late fees of $500 per day per note. Subsequent to the issuance of these Secured Notes, the former President resigned as President, Secretary, Treasurer, CFO and director of the Company and the former Director resigned as director of the Company. The Company did not repay the notes on their maturity. The Company has disputed the issuance and enforceability of the Secured Notes and should there be an attempt to enforce the Secured Notes or collection on them, the Company will consider a legal remedy. The Company has not accrued any late fees in connection with these Secured Notes as of December 31, 2015 or September 30, 2015, as the Company does not consider these amounts to be legally enforceable. |
Deferred Grant Income
Deferred Grant Income | 3 Months Ended |
Dec. 31, 2015 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred Grant Income | Note 5 Deferred Grant Income During the year ended September 30, 2015, the Company was awarded grant funding in the amount of $286,455, of which the Company received $71,614 during the year ended September 30, 2015 and the remainder will be received in equal semi-annual instalments over the 24-month commitment. The grant was received in exchange for a commitment to provide research and development for preclinical validation of Sigma-1 receptor agonism as potential treatment for Parkinsons disease. The grant income was deferred and is being amortized as an increase to other income over a two-year period as the related research and development expenditures are incurred. During the three months ended December 31, 2015, the Company recognized $39,055 of this grant on its statement of operations. During the three months ended December 31, 2015, the Company recognized other grant income of $571,093 in respect of a research and development incentive program offered by the Australian government. |
Senior Convertible Debentures
Senior Convertible Debentures | 3 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Senior Convertible Debentures | Note 6 Senior Convertible Debentures December 31, September 30, Senior Convertible Debentures 2015 2015 Senior Convertible Debentures, non-interest bearing, unsecured, due March 18, 2044 $ 4,982 $ 6,144 Less: Debt Discount (4,717 ) (5,812 ) Total carrying value 265 332 Less: current portion - - Long term liability $ 265 $ 332 On March 13, 2014, the Company entered into a Securities Purchase Agreement (the Purchase Agreement) with certain purchasers (the Purchasers) pursuant to which the Company issued senior convertible debentures in the aggregate principal amount of $10,000,000 (the Debentures). In connection with the issuance of the Debentures, the Company issued an aggregate of 16,916,666 share purchase warrants as follows: Non- Purchasers purchasers Total Series A Warrants 8,333,333 125,000 8,458,333 Series B Warrants 8,333,333 125,000 8,458,333 16,666,666 250,000 16,916,666 Each Series A warrant is exercisable into one common share of the Company at $1.20 per share until March 18, 2019. Each Series B warrant is exercisable into one common share of the Company at $1.68 per share until March 18, 2019 The Debentures are unsecured, non-interest bearing and are due on March 18, 2044. The Debentures were originally convertible, in whole or in part, at the option of the holder into common shares of the Company at $1.20 per share (the Conversion Price). The Conversion Price of the debenture will be adjusted in the event of common stock dividend, split or consolidation. The Conversion Price was later amended to $1.00 per share. Pursuant to the guidance of ASC 470-20 Debt with Conversion and Other Options, the Company allocated the proceeds from the issuance of the Debentures between the Debentures and the detachable Purchaser warrants using the relative fair value method. The fair value of the Purchaser warrants of $22,326,200 at issuance resulted in a debt discount at issuance of $5,989,900. The Company recorded a beneficial conversion feature discount of $4,010,100 in respect of the Debentures issued, based on the intrinsic value of the conversion feature limited to a maximum of the total proceeds of the Debentures allocated to the Debentures. In connection with the recognition of a beneficial conversion feature for accounting purposes and, under the guidance of ASC 740-10, which requires the recognition of a deferred income tax liability in respect of the temporary difference for tax purposes relating to the beneficial conversion feature, the Company recognized a deferred income tax liability of $1,400,000, with an offsetting adjustment to additional paid-in capital. Such deferred tax liability was subsequently reversed in connection with the amendment of such Debentures during the year ended September 30, 2014. The total debt discount at issuance of $10,000,000 was being amortized using the effective interest method over the term of the Debentures. During the year ended September 30, 2014 and in connection with certain amendment agreements, remaining unamortized financing costs of $1,110,568 associated with the Debentures were immediately amortized through earnings upon entering into the amendments. In consideration for the Debentures issued, the Company issued an aggregate of 250,000 share purchase warrants to non-lenders as described above. The fair value of the Non-Purchaser Warrants of $334,900, along with finders fees and other financing costs directly associated with the issuance of the Debentures in the amount of $788,712, was recorded as a deferred financing charge and was being amortized to income over the term of the Debentures using the effective interest method. The fair value of the Purchaser and Non-Purchaser warrants at issuance was determined using the Black Scholes option pricing model with the following weighted average assumptions: Risk-free interest rate 1.56 % Expected life (years) 5.00 Expected volatility 97.16 % Stock price $ 1.76 Dividend yields 0.00 % In connection with the Purchase Agreement, the Company also entered into a registration rights agreement with each Purchaser (the RRA) whereby the Company agreed to file a registration statement with the Securities and Exchange Commission (the SEC) covering the resale of the shares of the Companys common stock issuable upon conversion of the Debentures and upon exercise of the Purchaser warrants. On July 23, 2014, the registration statement was declared effective by the SEC. During the three months ended December 31, 2015, the Company issued an aggregate of 1,162 shares of common stock based on a conversion price of $1.00 per share pursuant to the conversion of $1,162 in outstanding principal amounts due under the Debentures. |
Capital Stock
Capital Stock | 3 Months Ended |
Dec. 31, 2015 | |
Stockholders' Equity Note [Abstract] | |
Capital Stock | Note 7 Capital Stock Authorized 100,000,000 shares of common stock. Equity Transactions During the three months ended December 31, 2015, the Company issued 167,415 shares of common stock pursuant to the application of an incorrect conversion price for conversion notices received during the year ended September 30, 2015. Common stock to be issued Included in common stock to be issued at December 31, 2015 is an amount of $2,440,000 (September 30, 2015: $1,830,000) related to 1,000,000 (September 30, 2015: 750,000) shares of common stock issuable to a director and officer of the Company pursuant to the terms of an employment agreement with that director and officer (Note 10). Included in common stock to be issued at December 31, 2015 is $125,060 relating to the exercise of 41,687 warrants at an exercise price of $3.00 per share. |
Lincoln Park Purchase Agreement
Lincoln Park Purchase Agreement | 3 Months Ended |
Dec. 31, 2015 | |
Business Combinations [Abstract] | |
Lincoln Park Purchase Agreement | Note 8 Lincoln Park Purchase Agreement 2013 Purchase Agreement On July 5, 2013, the Company entered into a $10,000,000 purchase agreement (the 2013 Purchase Agreement) with Lincoln Park Capital Fund, LLC, (Lincoln Park) an Illinois limited liability company (the Financing) pursuant to which the Company may sell and issue to Lincoln Park, and Lincoln Park is obligated to purchase, up to $10,000,000 in value of its shares of common stock from time to time over a 25-month period. In connection with the Financing, the Company also entered into a registration rights agreement with Lincoln Park whereby the Company agreed to file a registration statement with the Securities and Exchange Commission (the SEC) covering the shares of the Companys common stock that may be issued to Lincoln Park under the Purchase Agreement. The Company would determine, at its own discretion, the timing and amount of its sales of common stock, subject to certain conditions and limitations. The purchase price of the shares that may be sold to Lincoln Park under the 2013 Purchase Agreement will be based on the market price of the Companys shares of common stock immediately preceding the time of sale without any fixed discount, provided that in no event will such shares be sold to Lincoln Park when the closing sale price is less than $2.00 per share. There are no upper limits on the per share price that Lincoln Park may pay to purchase such common stock. The purchase price will be equitably adjusted for any reorganization, recapitalization, non-cash dividend, stock split or similar transaction occurring during the business days used to compute such price. In consideration for entering into the 2013 Purchase Agreement, the Company issued to Lincoln Park 85,465 shares of common stock as a commitment fee during the year ended September 30, 2013 and was to issue up to 33,352 shares pro rata, when and if, Lincoln Park purchased, at the Companys discretion, the remaining $10,000,000 aggregate commitment. During the three months ended December 31, 2015, the Company issued to Lincoln Park an aggregate of 296,104 shares of common stock under the Purchase Agreement, including 290,523 shares of common stock for an aggregate purchase price of $1,684,561 and 5,581 commitment shares, representing all remaining purchase amounts available under the Purchase Agreement. 2015 Purchase Agreement On October 21, 2015, the Company entered into a $50,000,000 purchase agreement (the 2015 Purchase Agreement) with Lincoln Park pursuant to which the Company may sell and issue to Lincoln Park, and Lincoln Park is obligated to purchase, up to $50,000,000 in value of its shares of common stock from time to time over a 36-month period. In connection with the Purchase Agreement, the Company also entered into a registration rights agreement with Lincoln Park whereby the Company agreed to file a registration statement with the United States Securities and Exchange Commission (SEC) covering the shares of the Companys common stock that may be issued to Lincoln Park under the Purchase Agreement. The Company may direct Lincoln Park, at its sole discretion, and subject to certain conditions, to purchase up to 50,000 shares of common stock on any business day, provided that at least one business day has passed since the most recent purchase. The amount of a purchase may be increased under certain circumstances provided, however that Lincoln Parks committed obligation under any single purchase shall not exceed $2,000,000. The purchase price of shares of common stock related to the future funding will be based on the then prevailing market prices of such shares at the time of sales as described in the 2015 Purchase Agreement. During the three months ended December 31, 2015 and in consideration for entering into the 2015 Purchase Agreement, the Company issued to Lincoln Park 179,598 shares of common stock as a commitment fee and shall issue up to 89,799 shares pro rata, when and if, Lincoln Park purchases at the Companys discretion the $50,000,000 aggregate commitment. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 9 Related Party Transactions During the three months ended December 31, 2015, the Company accrued general and administrative expenses totaling $3,044,855 (2014: $16,383) in respect of directors fees and stock and stock option compensation charges paid or accrued to directors and officers of the Company, inclusive of amounts noted below. Of the total, $746,514 related to non-cash stock option and stock compensation charges, and $2,290,341 was related to additional compensation associated with the vesting of restricted stock awards to a director and officer of the Company, in connection with the achievement of certain performance milestones, inclusive of and as further described below. As at December 31, 2015, included in accounts payable and accrued liabilities was $47,000 (September 30, 2015: $33,000) owing to directors and officers of the Company for director fees and reimbursable expenses, and a former director and officer of the Company for unpaid fees. During the year ended September 30, 2013, pursuant to an employment agreement with the President, Chief Executive Officer, Chief Financial Officer, Secretary and Treasurer, and Director, of the Company, the Company: i) granted 500,000 fully vested share purchase options exercisable at $1.60 per share until July 5, 2023. ii) issued 1,000,000 shares of restricted common stock that vest as follows: 25% upon the Company starting a Phase Ib/IIb human study (vested during the year ended September 30, 2015 at a value of $610,000 and included in shares to be issued at December 31, 2015) 25% upon the Company in-licensing additional assets in clinical or pre-clinical stage (vested during the year ended September 30, 2014 at a value of $610,000 and included in shares to be issued at December 31, 2015) 25% upon the Company securing additional non-dilutive equity funding in 2013 of at least $5,000,000 with a share price higher than the previous funding (vested during the year ended September 30, 2015 at a value of $610,000 and included in shares to be issued at December 31, 2015) 25% upon the Company obtaining a listing on a major stock exchange (vested during the three months ended December 31, 2015 at a value of $610,000 and included in shares to be issued at December 31, 2015) Included in operating results for the three months ended December 31, 2015 are non-cash stock compensation charges of $610,000 (2014: $0) relating to the vesting of 250,000 (2014: 0) shares of restricted common stock upon the achievement of certain performance conditions, and $2,290,341 (2014: $0) in additional compensation obligations associated with the vesting. The fair value of $2.44 per share for non-cash stock compensation charges was determined with reference to the quoted market price of the Companys shares on the commitment date. This amount has been included in common stock to be issued at December 31, 2015. |
Commitments
Commitments | 3 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments | Note 10 Commitments a) Share Purchase Warrants A summary of the Companys share purchase warrants outstanding is presented below: Weighted Average Number of Shares Exercise Price Balance, October 1, 2014 18,728,910 $ 1.59 Expired (62,500 ) $ 1.40 Exercised (15,468,520 ) $ 1.43 Issued 1,075,000 $ 0.76 Balance, September 30, 2015 4,272,890 $ 2.11 Exercised (2,444,831 ) $ 1.68 Balance, December 31, 2015 1,828,059 $ 2.68 During the three months ended December 31, 2015, the Company issued 1,963,956 shares of common stock pursuant to the exercise of 2,403,144 share purchase warrants on a cashless basis. At December 31, 2015, the Company has 1,828,059 currently exercisable share purchase warrants outstanding as follows: Number Exercise Price Expiry Date 1,462,180 $ 3.00 July 5, 2018 30,000 $ 4.00 February 24, 2019 277,127 $ 1.20 March 13, 2019 1,252 $ 1.68 March 13, 2019 12,500 $ 1.24 May 31, 2019 45,000 $ 1.00 July 31, 2019 1,828,059 All of the warrants expiring on July 5, 2018 contain a contingent call provision whereby the Company may have the option to call for cancellation of all or any portion of the warrants for consideration equal to $0.001 per share, provided the quoted market price of the Companys common stock exceeds $6.00 for a period of twenty consecutive trading days, subject to certain minimum volume restrictions and other restrictions as provided in the warrant agreements. b) Stockbased Compensation Plan 2015 Stock Option Plan On September 18, 2015, the Companys board of directors approved a 2015 Omnibus Incentive Plan (the 2015 Plan), which provides for the grant of stock options and restricted stock awards to directors, officers, employees and consultants of the Company. The maximum number of our common shares reserved for issue under the plan is 6,050,553 shares subject to adjustment in the event of a change of the Companys capitalization. As a result of the adoption of the 2015 Plan, no further option awards will be granted under any previously existing stock option plan. Stock option awards previously granted under previously existing stock option plans remain outstanding in accordance with their terms. The 2015 Plan is administered by the board of directors, except that it may, in its discretion, delegate such responsibility to a committee of such board. The exercise price will be determined by the board of directors at the time of grant but in no event will be less than 110% of fair market value of the Companys shares of common stock on the grant date. Stock options may be granted under the 2015 Plan for an exercise period of up to ten years from the date of grant of the option or such lesser periods as may be determined by the board, subject to earlier termination in accordance with the terms of the 2015 Plan. A summary of the status of Companys outstanding stock purchase options for the three months ended December 31, 2015 and for the year ended September 30, 2015 is presented below: Weighted Weighted Average Number of Average Grant Date fair Shares Exercise Price value Outstanding at October 1, 2014 792,500 $ 2.82 Forfeited (67,500 ) $ 12.00 Granted 1,097,500 $ 2.02 $ 1.66 Outstanding at September 30, 2015 1,822,500 $ 2.00 Forfeited - $ - Granted 34,250 $ 5.67 $ 5.67 Outstanding at December 31, 2015 1,856,750 $ 2.07 Exercisable at December 31, 2015 843,107 $ 1.80 Exercisable at September 30, 2015 825,002 $ 1.78 At December 31, 2015, the following stock options were outstanding: Number of Shares Aggregate Remaining Number Exercise Intrinsic Contractual Total Vested Price Expiry Date Value Life (yrs) 25,000 (1) 25,000 $ 14.68 March 30, 2016 $ - 0.25 500,000 (2) 500,000 $ 1.60 July 5, 2023 1,985,000 7.51 75,000 (3) 25,000 $ 1.20 May 7, 2024 327,750 8.35 125,000 (4) 31,250 $ 1.32 May 8, 2024 531,250 8.35 718,750 (5) 239,585 $ 0.92 April 2, 2025 3,342,188 9.25 50,000 (6) 8,334 $ 1.44 June 8, 2025 206,500 9.44 50,000 (7) 8,334 $ 1.68 June 15, 2025 194,500 9.46 278,750 (8) - $ 5.04 September 18, 2025 147,738 9.72 1,500 (9) 1,500 $ 5.64 September 30, 2025 - 9.75 31,250 (10) 2,604 $ 5.68 October 2, 2025 - 9.75 1,500 (9) 1,500 $ 5.47 December 31, 2025 150 10.00 1,856,750 843,107 $ 6,735,075 The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the quoted market price of the Companys stock for the options that were in-the-money at December 31, 2015. (1) As of December 31, 2015 and September 30, 2015, these options had fully vested. These options were granted during the year ended September 30, 2011 and vested over a period of one year from the date of grant. The fair value of these options at issuance was calculated to be $267,000. The Company did not recognize any stock-based compensation during the three months ended December 31, 2015 (2014: $0). (2) As of December 31, 2015 and September 30, 2015 these options had fully vested. These options were granted during the year ended September 30, 2013 and vested immediately upon granting. The Company did not recognize any stock-based compensation during the three months ended December 31, 2015 (2014: $0) in connection with these options. (3) As of December 31, 2015 and September 30, 2015, 25,000 of these options had vested. These options were issued during the year ended September 30, 2014 and vest annually over a three-year period commencing on the first anniversary of the date of the grant. The Company recognized stock based compensation expense of $5,826 during the three months ended December 31, 2015 (2014: $5,830) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (4) As of December 31, 2015 and September 30, 2015, 31,250 of these options had vested. These options were issued during the year ended September 30, 2014 and vest annually over a four-year period commencing on the first anniversary of the date of the grant. The Company recognized stock based compensation expense of $8,048 during the three months ended December 31, 2015 (2014: $8,053) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (5) As of December 31, 2015, 239,585 of these options had vested (September 30, 2015: 239,585 of these options had vested). These options were issued during the year ended September 30, 2015 and vest in three equal installments on April 2, 2015, April 2, 2016 and April 2, 2017. The Company recognized stock based compensation expense of $43,282 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (6) As of December 31, 2015, 8,334 of these options had vested. These options were issued during the year ended September 30, 2015 and vest quarterly over a three-year period commencing on September 8, 2015. The Company recognized stock based compensation expense of $4,828 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (7) As of December 31, 2015 and September 30, 2015, 8,334 of these options had vested. These options were issued during the year ended September 30, 2015 and vest over a three-year period from the date of grant. The Company recognized stock based compensation expense of $5,634 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (8) As of December 31, 2015 and September 30, 2015, none of these options had vested. These options were issued during the year ended September 30, 2015 and vest over a three-year period from the date of grant. The Company recognized stock based compensation expense of $99,149 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (9) As of December 31, 2015, all of these options had vested. These options were issued during the three months ended December 31, 2015 and vested on December 31, 2015. The Company recognized stock based compensation expense of $13,600 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (10) As of December 31, 2015, 2,604 of these options had vested. These options were issued during the three months ended December 31, 2015 and vest in equal quarterly instalments over a three-year period from the date of grant. The Company recognized stock based compensation expense of $11,993 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 3 Months Ended |
Dec. 31, 2015 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Note 11 Supplemental Cash Flow Information Investing and financing activities that do not have a direct impact on current cash flows are excluded from the statement of cash flows. During the three months ended December 31, 2015; i) the Company issued 1,162 shares of common stock upon conversion of $1,162 in principal amount of convertible debentures at a conversion price of $1.00 per share and 167,415 shares of common stock pursuant to the application of an incorrect conversion price for conversion notices received during the year ended September 30, 2015; During the three months ended December 31, 2014; i) the Company issued 1,401,167 shares of common stock of the Company pursuant to the conversion of convertible debentures at a conversion price of $1.00 per share These transactions have been excluded from the statement of cash flows. |
Recent Accounting Pronounceme19
Recent Accounting Pronouncements (Policies) | 3 Months Ended |
Dec. 31, 2015 | |
Recent Accounting Pronouncements Policies | |
Recent Accounting Pronouncements Not Yet Adopted | Recent Accounting Pronouncements Not Yet Adopted In June 2014, the FASB issued ASU No. 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period ("ASU 2014-12"). ASU 2014-12 requires that a performance target that affects vesting, and that could be achieved after the requisite service period, be treated as a performance condition. As such, the performance target should not be reflected in estimating the grant date fair value of the award. This update further clarifies that compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. The amendments in this ASU are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. The Company is currently evaluating the impact this guidance will have on its financial condition, results of operations and cash flows. In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entitys Ability to Continue as a Going Concern (ASU 2014-15). ASU 2014-15 will explicitly require management to assess an entitys ability to continue as a going concern, and to provide related footnote disclosure in certain circumstances. The new standard will be effective for all entities in the first annual period ending after December 15, 2016. The Company is currently evaluating the impact this guidance will have on its financial condition, results of operations and cash flows. In May, 2014, the FASB and the International Accounting Standards Board (IASB) issued a converged standard on revenue recognition from contracts with customers, ASU 2014-09 (Topic 606 and IFRS 15). This standard will supersede nearly all existing revenue recognition guidance. ASU 2014-09 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The Company is currently evaluating the impact this guidance will have on its financial condition, results of operations and cash flows. In April 2015, the Financial Accounting Standards Board (FASB), issued the Accounting Standards Update 2015-03, Interest - Imputation of Interest (Subtopic 835-30) - Simplifying the Presentation of Debt Issuance Costs, that requires debt issuance costs related to a recognized debt liability to be presented in the balance sheet as a direct deduction from the debt liability rather than as an asset. For public business entities, the final guidance will be effective for fiscal years beginning after December 15, 2015, however, early adoption (including in interim periods) is permitted. Upon adoption, an entity must apply the new guidance retrospectively to all prior periods presented in the financial statements. An entity is also required in the year of adoption to provide certain disclosures about the change in accounting principle, including the nature of and reason for the change, the transition method, a description of the prior-period information that has been retrospectively adjusted and the effect of the change on the financial statement line items (that is, debt issuance cost asset and the debt liability). The Company plans to adopt this standard beginning October 1, 2016. The Company is currently evaluating the impact this guidance will have on its financial condition, results of operations and cash flows. In November 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2015-17 Income Taxes: Balance Sheet Classification of Deferred Taxes (ASU 2015-17). ASU 2015-17 eliminates the requirement to bifurcate deferred taxes between current and non-current on the balance sheet and requires that deferred tax liabilities and assets be classified as noncurrent on the balance sheet. ASU 2015-17 is effective for public entities in fiscal years beginning after December 15, 2016, and for interim periods within those fiscal years. The amendments for ASU-2015-17 can be applied retrospectively or prospectively and early adoption is permitted. The adoption of this standard is not expected to have a material impact for any period presented. Other than noted above, the Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on its results of operations, financial position or cash flow. |
Equipment (Tables)
Equipment (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Schedule of equipment | December 31, 2015 Accumulated Cost Depreciation Net Computer equipment $ 3,015 $ 2,012 $ 1,003 September 30, 2015 Accumulated Cost Depreciation Net Computer equipment $ 3,015 $ 1,763 $ 1,252 |
Promissory Notes Payable (Table
Promissory Notes Payable (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Promissory Notes Payable Tables | |
Schedule of promissory notes payable | December 31, September 30, 2015 2015 Promissory note dated January 9, 2013 with a principal balance of CDN$86,677, bearing interest at 12% per annum, secured by all the present and future assets of the Company; due on demand $ 62,486 $ 64,630 Promissory note dated January 9, 2013 with a principal balance of CDN$27,639, bearing interest at 12% per annum, secured by all the present and future assets of the Company; due on demand 19,924 20,608 $ 82,410 $ 85,238 |
Senior Convertible Debentures (
Senior Convertible Debentures (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of senior convertible debentures | December 31, September 30, Senior Convertible Debentures 2015 2015 Senior Convertible Debentures, non-interest bearing, unsecured, due March 18, 2044 $ 4,982 $ 6,144 Less: Debt Discount (4,717 ) (5,812 ) Total carrying value 265 332 Less: current portion - - Long term liability $ 265 $ 332 |
Schedule of issuance of debentures | In connection with the issuance of the Debentures, the Company issued an aggregate of 16,916,666 share purchase warrants as follows: Non- Purchasers purchasers Total Series A Warrants 8,333,333 125,000 8,458,333 Series B Warrants 8,333,333 125,000 8,458,333 16,666,666 250,000 16,916,666 |
Schedule of fair value of the purchaser and non-purchaser warrants | The fair value of the Purchaser and Non-Purchaser warrants at issuance was determined using the Black Scholes option pricing model with the following weighted average assumptions: Risk-free interest rate 1.56 % Expected life (years) 5.00 Expected volatility 97.16 % Stock price $ 1.76 Dividend yields 0.00 % |
Commitments (Tables)
Commitments (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of purchase warrants outstanding | A summary of the Companys share purchase warrants outstanding is presented below: Weighted Average Number of Shares Exercise Price Balance, October 1, 2014 18,728,910 $ 1.59 Expired (62,500 ) $ 1.40 Exercised (15,468,520 ) $ 1.43 Issued 1,075,000 $ 0.76 Balance, September 30, 2015 4,272,890 $ 2.11 Exercised (2,444,831 ) $ 1.68 Balance, December 31, 2015 1,828,059 $ 2.68 |
Schedule of exercisable share purchase warrants outstanding | At December 31, 2015, the Company has 1,828,059 currently exercisable share purchase warrants outstanding as follows: Number Exercise Price Expiry Date 1,462,180 $ 3.00 July 5, 2018 30,000 $ 4.00 February 24, 2019 277,127 $ 1.20 March 13, 2019 1,252 $ 1.68 March 13, 2019 12,500 $ 1.24 May 31, 2019 45,000 $ 1.00 July 31, 2019 1,828,059 |
Schedule of outstanding stock purchase options | A summary of the status of Companys outstanding stock purchase options for the three months ended December 31, 2015 and for the year ended September 30, 2015 is presented below: Weighted Weighted Average Number of Average Grant Date fair Shares Exercise Price value Outstanding at October 1, 2014 792,500 $ 2.82 Forfeited (67,500 ) $ 12.00 Granted 1,097,500 $ 2.02 $ 1.66 Outstanding at September 30, 2015 1,822,500 $ 2.00 Forfeited - $ - Granted 34,250 $ 5.67 $ 5.67 Outstanding at December 31, 2015 1,856,750 $ 2.07 Exercisable at December 31, 2015 843,107 $ 1.80 Exercisable at September 30, 2015 825,002 $ 1.78 |
Schedule stock options outstanding | At December 31, 2015, the following stock options were outstanding: Number of Shares Aggregate Remaining Number Exercise Intrinsic Contractual Total Vested Price Expiry Date Value Life (yrs) 25,000 (1) 25,000 $ 14.68 March 30, 2016 $ - 0.25 500,000 (2) 500,000 $ 1.60 July 5, 2023 1,985,000 7.51 75,000 (3) 25,000 $ 1.20 May 7, 2024 327,750 8.35 125,000 (4) 31,250 $ 1.32 May 8, 2024 531,250 8.35 718,750 (5) 239,585 $ 0.92 April 2, 2025 3,342,188 9.25 50,000 (6) 8,334 $ 1.44 June 8, 2025 206,500 9.44 50,000 (7) 8,334 $ 1.68 June 15, 2025 194,500 9.46 278,750 (8) - $ 5.04 September 18, 2025 147,738 9.72 1,500 (9) 1,500 $ 5.64 September 30, 2025 - 9.75 31,250 (10) 2,604 $ 5.68 October 2, 2025 - 9.75 1,500 (9) 1,500 $ 5.47 December 31, 2025 150 10.00 1,856,750 843,107 $ 6,735,075 The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the quoted market price of the Companys stock for the options that were in-the-money at December 31, 2015. (1) As of December 31, 2015 and September 30, 2015, these options had fully vested. These options were granted during the year ended September 30, 2011 and vested over a period of one year from the date of grant. The fair value of these options at issuance was calculated to be $267,000. The Company did not recognize any stock-based compensation during the three months ended December 31, 2015 (2014: $0). (2) As of December 31, 2015 and September 30, 2015 these options had fully vested. These options were granted during the year ended September 30, 2013 and vested immediately upon granting. The Company did not recognize any stock-based compensation during the three months ended December 31, 2015 (2014: $0) in connection with these options. (3) As of December 31, 2015 and September 30, 2015, 25,000 of these options had vested. These options were issued during the year ended September 30, 2014 and vest annually over a three-year period commencing on the first anniversary of the date of the grant. The Company recognized stock based compensation expense of $5,826 during the three months ended December 31, 2015 (2014: $5,830) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (4) As of December 31, 2015 and September 30, 2015, 31,250 of these options had vested. These options were issued during the year ended September 30, 2014 and vest annually over a four-year period commencing on the first anniversary of the date of the grant. The Company recognized stock based compensation expense of $8,048 during the three months ended December 31, 2015 (2014: $8,053) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (5) As of December 31, 2015, 239,585 of these options had vested (September 30, 2015: 239,585 of these options had vested). These options were issued during the year ended September 30, 2015 and vest in three equal installments on April 2, 2015, April 2, 2016 and April 2, 2017. The Company recognized stock based compensation expense of $43,282 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (6) As of December 31, 2015, 8,334 of these options had vested. These options were issued during the year ended September 30, 2015 and vest quarterly over a three-year period commencing on September 8, 2015. The Company recognized stock based compensation expense of $4,828 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (7) As of December 31, 2015 and September 30, 2015, 8,334 of these options had vested. These options were issued during the year ended September 30, 2015 and vest over a three-year period from the date of grant. The Company recognized stock based compensation expense of $5,634 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (8) As of December 31, 2015 and September 30, 2015, none of these options had vested. These options were issued during the year ended September 30, 2015 and vest over a three-year period from the date of grant. The Company recognized stock based compensation expense of $99,149 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (9) As of December 31, 2015, all of these options had vested. These options were issued during the three months ended December 31, 2015 and vested on December 31, 2015. The Company recognized stock based compensation expense of $13,600 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. (10) As of December 31, 2015, 2,604 of these options had vested. These options were issued during the three months ended December 31, 2015 and vest in equal quarterly instalments over a three-year period from the date of grant. The Company recognized stock based compensation expense of $11,993 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Companys statement of operations. |
Business Description and Basi24
Business Description and Basis of Presentation (Details Narrative) - $ / shares | Oct. 07, 2015 | Dec. 31, 2015 | Sep. 30, 2015 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Reverse stock split | 1:4 | ||
Common stock, shares authorized | 400,000,000 | 100,000,000 | 100,000,000 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | $ 0.001 |
Potentially dilutive common shares related to outstanding options, warrants, and convertible debentures and shares to be issued | 4,731,478 | 6,101,534 |
Equipment (Details)
Equipment (Details) - USD ($) | Dec. 31, 2015 | Sep. 30, 2015 |
Property, Plant and Equipment [Line Items] | ||
Net | $ 1,003 | $ 1,252 |
Computer Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cost | 3,015 | 3,015 |
Accumulated Depreciation | 2,012 | 1,763 |
Net | $ 1,003 | $ 1,252 |
Promissory Notes Payable (Detai
Promissory Notes Payable (Details) | 12 Months Ended | |||
Sep. 30, 2015USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015CAD | Jan. 09, 2013CAD | |
Total promissory notes payable | $ 85,238 | $ 82,410 | ||
Principal balance | 6,144 | 4,982 | ||
12% Promissory Note [Member] | ||||
Total promissory notes payable | $ 64,630 | 62,486 | ||
Debt instrument, issuance date | Jan. 9, 2013 | |||
Description of collateral | Secured by all the present and future assets of the Company; due on demand. | |||
12% Promissory Note [Member] | Canada, Dollars [Member] | ||||
Principal balance | CAD | CAD 86,677 | CAD 86,677 | ||
12% Promissory Note [Member] | ||||
Total promissory notes payable | $ 20,608 | $ 19,924 | ||
Debt instrument, issuance date | Jan. 9, 2013 | |||
Description of collateral | Secured by all the present and future assets of the Company; due on demand. | |||
12% Promissory Note [Member] | Canada, Dollars [Member] | ||||
Principal balance | CAD | CAD 27,639 | CAD 27,639 |
Promissory Notes Payable (Det27
Promissory Notes Payable (Details Narrative) | Jan. 09, 2013USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2015CAD | Jan. 09, 2013CAD |
Principal balance | $ 4,982 | $ 6,144 | |||
Maturity date | Mar. 18, 2044 | Mar. 18, 2044 | |||
12% Promissory Note [Member] | |||||
Maturity date | Jun. 30, 2013 | ||||
Late fees, per day per note | $ 100 | ||||
Additional late fees, per day per note | $ 500 | ||||
12% Promissory Note [Member] | Canada, Dollars [Member] | |||||
Principal balance | CAD | CAD 86,677 | CAD 86,677 | |||
12% Promissory Note [Member] | |||||
Maturity date | Jun. 30, 2013 | ||||
Late fees, per day per note | $ 100 | ||||
Additional late fees, per day per note | $ 500 | ||||
12% Promissory Note [Member] | Canada, Dollars [Member] | |||||
Principal balance | CAD | CAD 27,639 | CAD 27,639 |
Deferred Grant Income (Details
Deferred Grant Income (Details Narrative) - USD ($) | 3 Months Ended | 12 Months Ended |
Dec. 31, 2015 | Sep. 30, 2015 | |
Deferred Revenue Disclosure [Abstract] | ||
Awarded grant funding amount | $ 286,455 | |
Deferred grant income | $ 39,055 | $ 71,614 |
Other grant income | $ 571,093 |
Senior Convertible Debentures29
Senior Convertible Debentures (Details) - USD ($) | 3 Months Ended | 12 Months Ended |
Dec. 31, 2015 | Sep. 30, 2015 | |
Debt Disclosure [Abstract] | ||
Senior Convertible Debentures, non-interest bearing, unsecured, due March 18, 2044 | $ 4,982 | $ 6,144 |
Less: Debt Discount | (4,717) | (5,812) |
Total carrying value | $ 265 | $ 332 |
Less: current portion | ||
Long term liability | $ 265 | $ 332 |
Maturity date | Mar. 18, 2044 | Mar. 18, 2044 |
Senior Convertible Debentures30
Senior Convertible Debentures (Details 1) - Securities Purchase Agreement [Member] - Senior Convertible Debentures Due March 18, 2044 [Member] | Mar. 13, 2014shares |
Series A Warrant [Member] | |
Number of warrant issued | 8,458,333 |
Series B Warrant [Member] | |
Number of warrant issued | 8,458,333 |
Warrant [Member] | |
Number of warrant issued | 16,916,666 |
Purchasers [Member] | Series A Warrant [Member] | |
Number of warrant issued | 8,333,333 |
Purchasers [Member] | Series B Warrant [Member] | |
Number of warrant issued | 8,333,333 |
Purchasers [Member] | Warrant [Member] | |
Number of warrant issued | 16,666,666 |
Non - Purchasers [Member] | Series A Warrant [Member] | |
Number of warrant issued | 125,000 |
Non - Purchasers [Member] | Series B Warrant [Member] | |
Number of warrant issued | 125,000 |
Non - Purchasers [Member] | Warrant [Member] | |
Number of warrant issued | 250,000 |
Senior Convertible Debentures31
Senior Convertible Debentures (Details 2) - Securities Purchase Agreement [Member] - Senior Convertible Debentures Due March 18, 2044 [Member] - Warrant [Member] | Mar. 13, 2014$ / shares |
Risk-free interest rate | 1.56% |
Expected life (years) | 5 years |
Expected volatility | 97.16% |
Stock price | $ 1.76 |
Dividend yields | 0.00% |
Senior Convertible Debentures32
Senior Convertible Debentures (Details Narrative) | Mar. 13, 2014USD ($)$ / sharesshares | Dec. 31, 2015USD ($)N$ / shares | Dec. 31, 2014N$ / shares | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Aug. 25, 2014$ / shares |
Aggregate principal amount | $ 4,982 | $ 6,144 | ||||
Conversion price (in dollars per share) | $ / shares | $ 1 | $ 1 | ||||
Debt discount issuance | $ 4,717 | $ 5,812 | ||||
Number of equity instrument issued upon conversion | N | 1,162 | 1,401,167 | ||||
Debt beneficial conversion feature | $ 1,162 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | ||||||
Remaining unamortized financing costs | $ 1,110,568 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Purchasers [Member] | ||||||
Aggregate principal amount | $ 10,000,000 | |||||
Description of conversion terms | Convertible, in whole or in part, at the option of the holder into common shares of the Company. | |||||
Conversion price (in dollars per share) | $ / shares | $ 1.20 | |||||
Amended conversion price (in dollars per share) | $ / shares | $ 1 | |||||
Debt discount issuance | $ 5,989,900 | |||||
Debt beneficial conversion feature discount | 4,010,100 | |||||
Deferred income tax liability | $ 1,400,000 | |||||
Total debt discount issuance (effective interest method) | 10,000,000 | |||||
Finder's fees and other financing costs | $ 788,712 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Warrant [Member] | ||||||
Number of warrant issued | shares | 16,916,666 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Warrant [Member] | Purchasers [Member] | ||||||
Number of warrant issued | shares | 16,666,666 | |||||
Fair value | $ 22,326,200 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Warrant [Member] | Non - Purchasers [Member] | ||||||
Number of warrant issued | shares | 250,000 | |||||
Fair value | $ 334,900 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Series A Warrant [Member] | ||||||
Number of warrant issued | shares | 8,458,333 | |||||
Number of common shares called by each | shares | 1 | |||||
Exercise price (in dollars per shares) | $ / shares | $ 1.20 | |||||
Exercisable date | Mar. 18, 2019 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Series A Warrant [Member] | Purchasers [Member] | ||||||
Number of warrant issued | shares | 8,333,333 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Series A Warrant [Member] | Non - Purchasers [Member] | ||||||
Number of warrant issued | shares | 125,000 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Series B Warrant [Member] | ||||||
Number of warrant issued | shares | 8,458,333 | |||||
Number of common shares called by each | shares | 1 | |||||
Exercise price (in dollars per shares) | $ / shares | $ 1.68 | |||||
Exercisable date | Mar. 18, 2019 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Series B Warrant [Member] | Purchasers [Member] | ||||||
Number of warrant issued | shares | 8,333,333 | |||||
Securities Purchase Agreement [Member] | Senior Convertible Debentures Due March 18, 2044 [Member] | Series B Warrant [Member] | Non - Purchasers [Member] | ||||||
Number of warrant issued | shares | 125,000 | |||||
Amended Registration Rights Agreement ( the Debenture Amendment) [Member] | Amended Senior Convertible Debentures Due March 18, 2044 [Member] | ||||||
Amended conversion price (in dollars per share) | $ / shares | $ 1 | $ 1 | ||||
Number of equity instrument issued upon conversion | N | 1,162 | |||||
Debt beneficial conversion feature | $ 1,162 |
Capital Stock (Details Narrativ
Capital Stock (Details Narrative) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2015 | Oct. 07, 2015 | |
Common stock, authorized | 100,000,000 | 100,000,000 | 400,000,000 | |
Number of shares for incorrect conversion price | 167,415 | 167,415 | ||
Common Shares to be Issued [Member] | Directors and Officers [Member] | ||||
Value of shares for common stock to be issued | $ 2,440,000 | $ 1,830,000 | ||
Number of shares for common stock to be issued | 1,000,000 | 750,000 | ||
Warrant [Member] | Common Shares to be Issued [Member] | ||||
Value of shares for common stock to be issued | $ 125,060 | |||
Number of shares for common stock to be issued | 41,687 | |||
Number of warrant exercisable | 3 |
Lincoln Park Purchase Agreeme34
Lincoln Park Purchase Agreementt (Details Narrative) - Lincoln Park Capital Fund, LLC [Member] - USD ($) | Oct. 21, 2015 | Jul. 05, 2013 | Dec. 31, 2015 | Sep. 30, 2013 |
2013 Purchase Agreement [Member] | ||||
Total number of shares obligated to purchase | $ 10,000,000 | |||
Agreement term | 25 months | |||
Description of purchases price | The purchase price of the shares that may be sold to Lincoln Park under the 2013 Purchase Agreement will be based on the market price of the Companys shares of common stock immediately preceding the time of sale without any fixed discount, provided that in no event will such shares be sold to Lincoln Park when the closing sale price is less than $2.00 per share. There are no upper limits on the per share price that Lincoln Park may pay to purchase such common stock. The purchase price will be equitably adjusted for any reorganization, recapitalization, non-cash dividend, stock split or similar transaction occurring during the business days used to compute such price. | |||
Number of shares issued | 296,104 | 85,465 | ||
Pro rata basic number of shares obligated to purchase | 33,352 | |||
Number of shares issued for aggregate purchase price | 290,523 | |||
Number of shares issued for aggregate purchase price, value | $ 1,684,561 | |||
Number of shares issued for commitment | 5,581 | |||
2015 Purchase Agreement [Member] | ||||
Total number of shares obligated to purchase | $ 50,000,000 | |||
Agreement term | 36 months | |||
Description of purchases price | The Company may direct Lincoln Park, at its sole discretion, and subject to certain conditions, to purchase up to 50,000 shares of common stock on any business day, provided that at least one business day has passed since the most recent purchase. The amount of a purchase may be increased under certain circumstances provided, however that Lincoln Parks committed obligation under any single purchase shall not exceed $2,000,000. The purchase price of shares of common stock related to the future funding will be based on the then prevailing market prices of such shares at the time of sales as described in the 2015 Purchase Agreement. | |||
Number of shares issued | 179,598 | |||
Pro rata basic number of shares obligated to purchase | 89,799 |
Related Party Transactions (Det
Related Party Transactions (Details Narrative) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2013 | Sep. 30, 2015 | |
General and administrative expenses | $ 3,044,855 | $ 16,383 | ||
Second Stock Option [Member] | ||||
Number of vested shares | 500,000 | |||
Exercise price | $ 1.60 | |||
Expiry date | Jul. 5, 2023 | |||
Restricted Common Stock [Member] | ||||
Non-cash stock option and stock compensation charges | 610,000 | 0 | ||
Common stock vested awards | 250,000 | 0 | ||
Additional compensation obligations associated with vesting | $ 2,290,341 | $ 0 | ||
Fair value of non-cash stock compensation charges per share | $ 2.44 | |||
Common shares to be issued | $ 1,000,000 | |||
Directors and Officers [Member] | ||||
Non-cash stock option and stock compensation charges | 746,514 | |||
Recognized stock based compensation expense | 2,290,341 | |||
Accounts payable and accrued liabilities | $ 47,000 | $ 33,000 | ||
Directors and Officers [Member] | Restricted Common Stock [Member] | Share-based Compensation Award, Tranche One [Member] | ||||
Stock based compensation award vesting in percentage | 25.00% | |||
Description stock based compensation award vesting | Company starting a Phase Ib/IIb human study. | |||
Common shares to be issued | $ 610,000 | |||
Directors and Officers [Member] | Restricted Common Stock [Member] | Share-based Compensation Award, Tranche Two [Member] | ||||
Stock based compensation award vesting in percentage | 25.00% | |||
Description stock based compensation award vesting | Company in-licensing additional assets in clinical or pre-clinical stage. | |||
Common shares to be issued | $ 610,000 | |||
Directors and Officers [Member] | Restricted Common Stock [Member] | Share-based Compensation Award, Tranche Three [Member] | ||||
Stock based compensation award vesting in percentage | 25.00% | |||
Description stock based compensation award vesting | Company securing additional non-dilutive equity funding in 2013 of at least $5,000,000 with a share price higher than the previous funding. | |||
Common shares to be issued | $ 610,000 | |||
Directors and Officers [Member] | Restricted Common Stock [Member] | Share-based Compensation Award, Tranche Four [Member] | ||||
Stock based compensation award vesting in percentage | 25.00% | |||
Description stock based compensation award vesting | Company obtaining a listing on a major stock exchange. | |||
Common shares to be issued | $ 610,000 |
Commitments (Details)
Commitments (Details) - Purchase Warrants [Member] - $ / shares | 3 Months Ended | 12 Months Ended |
Dec. 31, 2015 | Sep. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Balance, at beginning | 4,272,890 | 18,728,910 |
Expired | (62,500) | |
Exercised | (2,444,831) | (15,468,520) |
Issued | 1,075,000 | |
Balance, at end | 1,828,059 | 4,272,890 |
Share based Compensation Arrangement by Share Based Payment Award Equity Instruments Other than Options Outstanding, Weighted Average Exercise Price [Roll Forward] | ||
Balance, at beginning | $ 2.11 | $ 1.59 |
Expired | 1.40 | |
Exercised | 1.68 | 1.43 |
Issued | 0.76 | |
Balance, at end | $ 2.68 | $ 2.11 |
Commitments (Details 1)
Commitments (Details 1) | 3 Months Ended |
Dec. 31, 2015$ / sharesshares | |
First Purchase Warrants [Member] | |
Number | 1,462,180 |
Exercise Price | $ / shares | $ 3 |
Expiry Date | Jul. 5, 2018 |
Second Purchase Warrants [Member] | |
Number | 30,000 |
Exercise Price | $ / shares | $ 4 |
Expiry Date | Feb. 24, 2019 |
Third Purchase Warrants [Member] | |
Number | 277,127 |
Exercise Price | $ / shares | $ 1.20 |
Expiry Date | Mar. 13, 2019 |
Four Purchase Warrants [Member] | |
Number | 1,252 |
Exercise Price | $ / shares | $ 1.68 |
Expiry Date | Mar. 13, 2019 |
Five Purchase Warrants [Member] | |
Number | 12,500 |
Exercise Price | $ / shares | $ 1.24 |
Expiry Date | May 31, 2019 |
Six Purchase Warrants [Member] | |
Number | 45,000 |
Exercise Price | $ / shares | $ 1 |
Expiry Date | Jul. 31, 2019 |
Purchase Warrants [Member] | |
Number | 1,828,059 |
Commitments (Details 2)
Commitments (Details 2) - 2015 Omnibus Incentive Plan [Member] - $ / shares | 3 Months Ended | 12 Months Ended |
Dec. 31, 2015 | Sep. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding at beginning | 1,822,500 | 792,500 |
Forfeited | (67,500) | |
Granted | 34,250 | 1,097,500 |
Outstanding at ending | 1,856,750 | 1,822,500 |
Exercisable at ending | 843,107 | 825,002 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ||
Outstanding at beginning | $ 2 | $ 2.82 |
Forfeited | 12 | |
Granted | $ 5.67 | 2.02 |
Outstanding at ending | 2.07 | 2 |
Exercisable at ending | 1.80 | 1.78 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||
Granted | $ 5.67 | $ 1.66 |
Commitments (Details 3)
Commitments (Details 3) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2015 | Sep. 30, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | ||
First Stock Option [Member] | |||||
Total Number of Shares | [1] | 25,000 | |||
Number of Vested Shares | 25,000 | ||||
Exercise Price | $ 14.68 | ||||
Expiry Date | Mar. 30, 2016 | ||||
Aggregate Intrinsic Value | |||||
Remaining Contractual Life (in years) | 3 months | ||||
Second Stock Option [Member] | |||||
Total Number of Shares | [2] | 500,000 | |||
Number of Vested Shares | 500,000 | ||||
Exercise Price | $ 1.60 | ||||
Expiry Date | Jul. 5, 2023 | ||||
Aggregate Intrinsic Value | $ 1,985,000 | ||||
Remaining Contractual Life (in years) | 7 years 6 months 4 days | ||||
Third Stock Option [Member] | |||||
Total Number of Shares | [3] | 75,000 | |||
Number of Vested Shares | 25,000 | ||||
Exercise Price | $ 1.20 | ||||
Expiry Date | May 7, 2024 | ||||
Aggregate Intrinsic Value | $ 327,750 | ||||
Remaining Contractual Life (in years) | 8 years 4 months 6 days | ||||
Four Stock Option [Member] | |||||
Total Number of Shares | [4] | 125,000 | |||
Number of Vested Shares | 31,250 | ||||
Exercise Price | $ 1.32 | ||||
Expiry Date | May 8, 2024 | ||||
Aggregate Intrinsic Value | $ 531,250 | ||||
Remaining Contractual Life (in years) | 8 years 4 months 6 days | ||||
Five Stock Option [Member] | |||||
Total Number of Shares | [5] | 718,750 | |||
Number of Vested Shares | 239,585 | ||||
Exercise Price | $ 0.92 | ||||
Expiry Date | Apr. 2, 2025 | ||||
Aggregate Intrinsic Value | $ 3,342,188 | ||||
Remaining Contractual Life (in years) | 9 years 3 months | ||||
Six Stock Option [Member] | |||||
Total Number of Shares | [6] | 50,000 | |||
Number of Vested Shares | 8,334 | ||||
Exercise Price | $ 1.44 | ||||
Expiry Date | Jun. 8, 2025 | ||||
Aggregate Intrinsic Value | $ 206,500 | ||||
Remaining Contractual Life (in years) | 9 years 5 months 8 days | ||||
Seven Stock Option [Member] | |||||
Total Number of Shares | [7] | 50,000 | |||
Number of Vested Shares | 8,334 | ||||
Exercise Price | $ 1.68 | ||||
Expiry Date | Jun. 15, 2025 | ||||
Aggregate Intrinsic Value | $ 194,500 | ||||
Remaining Contractual Life (in years) | 9 years 5 months 16 days | ||||
Eight Stock Option [Member] | |||||
Total Number of Shares | [8] | 278,750 | |||
Number of Vested Shares | |||||
Exercise Price | $ 5.04 | ||||
Expiry Date | Sep. 18, 2025 | ||||
Aggregate Intrinsic Value | $ 147,738 | ||||
Remaining Contractual Life (in years) | 9 years 8 months 19 days | ||||
Nine Stock Option [Member] | |||||
Total Number of Shares | [9] | 1,500 | |||
Number of Vested Shares | 1,500 | ||||
Exercise Price | $ 5.64 | ||||
Expiry Date | Sep. 30, 2025 | ||||
Aggregate Intrinsic Value | |||||
Remaining Contractual Life (in years) | 9 years 9 months | ||||
Ten Stock Option [Member] | |||||
Total Number of Shares | [10] | 31,250 | |||
Number of Vested Shares | 2,604 | ||||
Exercise Price | $ 5.68 | ||||
Expiry Date | Oct. 2, 2025 | ||||
Aggregate Intrinsic Value | |||||
Remaining Contractual Life (in years) | 9 years 9 months | ||||
Eleven Stock Option [Member] | |||||
Total Number of Shares | [9] | 1,500 | |||
Number of Vested Shares | 1,500 | ||||
Exercise Price | $ 5.47 | ||||
Expiry Date | Dec. 31, 2025 | ||||
Aggregate Intrinsic Value | $ 150 | ||||
Remaining Contractual Life (in years) | 10 years | ||||
2015 Omnibus Incentive Plan [Member] | |||||
Total Number of Shares | 1,856,750 | 1,822,500 | 792,500 | ||
Number of Vested Shares | 843,107 | ||||
Exercise Price | $ 2.07 | $ 2 | $ 2.82 | ||
Aggregate Intrinsic Value | $ 6,735,075 | ||||
[1] | As of December 31, 2015 and September 30, 2015, these options had fully vested. These options were granted during the year ended September 30, 2011 and vested over a period of one year from the date of grant. The fair value of these options at issuance was calculated to be $267,000. The Company did not recognize any stock-based compensation during the three months ended December 31, 2015 (2014: $0). | ||||
[2] | As of December 31, 2015 and September 30, 2015 these options had fully vested. These options were granted during the year ended September 30, 2013 and vested immediately upon granting. The Company did not recognize any stock-based compensation during the three months ended December 31, 2015 (2014: $0) in connection with these options. | ||||
[3] | As of December 31, 2015 and September 30, 2015, 25,000 of these options had vested. These options were issued during the year ended September 30, 2014 and vest annually over a three-year period commencing on the first anniversary of the date of the grant. The Company recognized stock based compensation expense of $5,826 during the three months ended December 31, 2015 (2014: $5,830) in connection with these options. These amounts have been included in general and administrative expenses on the Company's statement of operations. | ||||
[4] | As of December 31, 2015 and September 30, 2015, 31,250 of these options had vested. These options were issued during the year ended September 30, 2014 and vest annually over a four-year period commencing on the first anniversary of the date of the grant. The Company recognized stock based compensation expense of $8,048 during the three months ended December 31, 2015 (2014: $8,053) in connection with these options. These amounts have been included in general and administrative expenses on the Company's statement of operations. | ||||
[5] | As of December 31, 2015, 239,585 of these options had vested (September 30, 2015: 239,585 of these options had vested). These options were issued during the year ended September 30, 2015 and vest in three equal installments on April 2, 2015, April 2, 2016 and April 2, 2017. The Company recognized stock based compensation expense of $43,282 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Company's statement of operations. | ||||
[6] | As of December 31, 2015, 8,334 of these options had vested. These options were issued during the year ended September 30, 2015 and vest quarterly over a three-year period commencing on September 8, 2015. The Company recognized stock based compensation expense of $4,828 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Company's statement of operations. | ||||
[7] | As of December 31, 2015 and September 30, 2015, 8,334 of these options had vested. These options were issued during the year ended September 30, 2015 and vest over a three-year period from the date of grant. The Company recognized stock based compensation expense of $5,634 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Company's statement of operations. | ||||
[8] | As of December 31, 2015 and September 30, 2015, none of these options had vested. These options were issued during the year ended September 30, 2015 and vest over a three-year period from the date of grant. The Company recognized stock based compensation expense of $99,149 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Company's statement of operations. | ||||
[9] | As of December 31, 2015, all of these options had vested. These options were issued during the three months ended December 31, 2015 and vested on December 31, 2015. The Company recognized stock based compensation expense of $13,600 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Company's statement of operations. | ||||
[10] | As of December 31, 2015, 2,604 of these options had vested. These options were issued during the three months ended December 31, 2015 and vest in equal quarterly instalments over a three-year period from the date of grant. The Company recognized stock based compensation expense of $11,993 during the three months ended December 31, 2015 (2014: $0) in connection with these options. These amounts have been included in general and administrative expenses on the Company's statement of operations. |
Commitments (Details Narrative)
Commitments (Details Narrative) - Purchase Warrants [Member] | 3 Months Ended |
Dec. 31, 2015shares | |
Number of common shares called | 1,963,956 |
Number of warrant exercised | 2,403,144 |
Number of warrant exercisable | 1,828,059 |
Expiration date | Jul. 5, 2018 |
Description of cancellation policy | The Company may have the option to call for cancellation of all or any portion of the warrants for consideration equal to $0.001 per share, provided the quoted market price of the Companys common stock exceeds $6.00 for a period of twenty consecutive trading days, subject to certain minimum volume restrictions and other restrictions as provided in the warrant agreements. |
Commitments (Details Narrative
Commitments (Details Narrative 1) - 2015 Omnibus Incentive Plan [Member] - USD ($) | 3 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Maximum number of common shares reserved for future issuance | 6,050,553 | |
First Stock Option [Member] | ||
Vesting period | 1 year | |
Fair value of options | $ 267,000 | |
Stock based compensation expense | $ 0 | |
Third Stock Option [Member] | ||
Vesting period | 3 years | |
Third Stock Option [Member] | General and Administrative Expense [Member] | ||
Stock based compensation expense | $ 5,826 | 5,830 |
Four Stock Option [Member] | ||
Vesting period | 4 years | |
Stock based compensation expense | $ 8,048 | 8,053 |
Five Stock Option [Member] | ||
Vesting period | 3 years | |
Description of vesting period rights | Vest in three equal installments on April 2, 2015, April 2, 2016 and April 2, 2017. | |
Five Stock Option [Member] | General and Administrative Expense [Member] | ||
Stock based compensation expense | $ 43,282 | 0 |
Six Stock Option [Member] | ||
Vesting period | 3 years | |
Description of vesting period rights | Vest quarterly over a three year period commencing on September 8, 2015. | |
Six Stock Option [Member] | General and Administrative Expense [Member] | ||
Stock based compensation expense | $ 4,828 | 0 |
Seven Stock Option [Member] | ||
Vesting period | 3 years | |
Seven Stock Option [Member] | General and Administrative Expense [Member] | ||
Stock based compensation expense | $ 5,634 | 0 |
Eight Stock Option [Member] | ||
Vesting period | 3 years | |
Eight Stock Option [Member] | General and Administrative Expense [Member] | ||
Stock based compensation expense | $ 99,149 | 0 |
Second Stock Option [Member] | ||
Stock based compensation expense | 0 | |
Nine Stock Option [Member] | General and Administrative Expense [Member] | ||
Stock based compensation expense | $ 13,600 | 0 |
Ten Stock Option [Member] | ||
Vesting period | 3 years | |
Ten Stock Option [Member] | General and Administrative Expense [Member] | ||
Stock based compensation expense | $ 11,993 | $ 0 |
Supplemental Cash Flow Inform42
Supplemental Cash Flow Information (Details Narrative) | 3 Months Ended | |
Dec. 31, 2015USD ($)N$ / sharesshares | Dec. 31, 2014N$ / sharesshares | |
Supplemental Cash Flow Elements [Abstract] | ||
Capital stock issued pursuant to debt conversions (in shares) | N | 1,162 | 1,401,167 |
Debt beneficial conversion feature | $ | $ 1,162 | |
Conversion price (in dollars per share) | $ / shares | $ 1 | $ 1 |
Number of shares for incorrect conversion price | shares | 167,415 | 167,415 |