MetaStat (MTST) Inactive 10-Q15 Oct 142014 Q2 Quarterly reportFinancial data

Company Profile

Document_and_Entity_Informatio

Document and Entity Information (USD $)	6 Months Ended
Document and Entity Information (USD $)	Aug. 31, 2014	Oct. 14, 2014	Aug. 31, 2013
Document And Entity Information	'	'	'
Entity Registrant Name	'MetaStat, Inc.	'	'
Entity Central Index Key	'0001404943	'	'
Document Type	'10-Q	'	'
Document Period End Date	31-Aug-14	'	'
Amendment Flag	'false	'	'
Current Fiscal Year End Date	'--02-28	'	'
Is Entity a Well-known Seasoned Issuer?	'No	'	'
Is Entity a Voluntary Filer?	'No	'	'
Is Entity's Reporting Status Current?	'Yes	'	'
Entity Filer Category	'Smaller Reporting Company	'	'
Entity Public Float	'	'	$73,451,256
Entity Common Stock, Shares Outstanding	'	27,463,411	'
Document Fiscal Period Focus	'Q2	'	'
Document Fiscal Year Focus	'2014	'	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Aug. 31, 2014	Feb. 28, 2014
ASSETS	'	'
Cash and cash equivalents	$495,657	$483,408
Other receivable	'	20,000
Prepaid Insurance	141,365	12,073
Deferred financing cost	'	60,523
Securities held-for-sale	458,568	'
Total Current Assets	1,095,590	576,004
Equipment (net of accumulated depreciation of $52,764 and $34,192, respectively)	514,375	204,254
Refundable deposit	-289,319	-10,367
TOTAL ASSETS	1,899,284	790,625
Current Liabilities	'	'
Accounts payable	423,807	257,965
Accrued expense	83,642	'
Current portion of capital lease	123,120	'
Convertible notes (net od discount of $0 and $206,636, respectively)	'	2,475,717
Accrued interest payable	'	137,701
Due to investor	244,530	'
Total current liabilities	851,944	2,871,383
Long-term portion of capital lease	218,638	'
TOTAL LIABILITIES	1,070,582	2,871,383
STOCKHOLDERS' EQUITY (DEFICIT)	'	'
Series A convertible preferred stock ($0.0001 par value; 1,000,000 shares authorized; 500,000 and 0 shares issued and outstanding, respectively)	50	'
Common Stock ($0.0001 par value; 150,000,000 shares authorized; 26,938,606 and 21,573,899 shares issued and outstanding, respectively)	2,694	2,157
Additional paid-in-capital	17,089,757	8,644,760
Deficit accumulated during development stage	-16,263,799	-10,727,675
Total stockholders' equity (deficit)	828,702	-2,080,758
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)	$1,899,284	$790,625

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Aug. 31, 2014	Feb. 28, 2014
Statement of Financial Position [Abstract]	'	'
Accumulated depreciation	$52,764	$34,192
Discount	'	$206,637
STOCKHOLDERS' EQUITY	'	'
Preferred stock, shares authorized	50,000,000	50,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$0.00	$0.00
Common stock, shares authorized	150,000,000	150,000,000
Common stock, shares issued	26,938,606	21,573,899
Common stock, shares outstanding	26,938,606	21,573,899

Unaudited_Condensed_Consolidat

Unaudited Condensed Consolidated Statements of Operations (USD $)	3 Months Ended		6 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2014	Aug. 31, 2013
Income Statement [Abstract]	'	'	'	'
Revenue	'	'	'	'
Operating Expenses	'	'	'	'
General & administrative	1,211,176	700,826	1,802,677	2,001,467
Research & development	479,635	45,000	732,717	144,715
Total Operating Expenses	1,690,811	745,826	2,535,394	2,146,182
Other Expense (Income)	'	'	'	'
Interest expense	20,614	34,750	79,287	63,550
Accretion expense	197,246	189,324	539,319	363,306
Deferred financing costs amortization	15,131	'	60,523	'
Other income	-522	'	-3,159	-61
Beneficial conversion feature	2,324,760	'	2,324,760	'
Total Other Expenses (Income)	2,557,229	224,074	3,000,730	426,795
NET LOSS	($4,248,040)	($969,900)	($5,536,124)	($2,572,977)
Basic & Diluted Net Loss Per Share	($0.17)	($0.05)	($0.23)	($0.12)
Weighted shares outstanding	25,542,296	21,300,995	23,582,554	21,300,995

Unaudited_Condensed_Consolidat1

Unaudited Condensed Consolidated Statements of Cash Flows (USD $)	6 Months Ended
	Aug. 31, 2014	Aug. 31, 2013
CASH FLOWS FROM OPERATING ACTIVITIES	'	'
Net loss	($5,536,124)	($2,572,977)
Depreciation	18,572	6,804
Option expense	359,000	846,710
Common stock issued for services	310,375	284,200
Accretion of discount	539,319	363,306
Beneficial conversion feature	2,324,759	'
Amortization of deferred financing costs	60,523	'
Net changes in operating assets and liabilities:	'	'
Other receivables	20,000	'
Prepaid expenses	-35,452	20,531
Refundable deposit	-278,952	'
Accounts payable	135,843	-95,945
Accrued expense	49,753	'
Accrued interest	63,712	62,489
NET CASH USED IN OPERATING ACTIVITIES	-1,968,672	-1,084,882
CASH FLOWS FROM INVESTING ACTIVITIES	'	'
Proceeds from sale of investment	786,000	'
Purchase of equipment	10,090	2,366
NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES	775,872	-2,366
CASH FLOWS FROM FINANCING ACTIVITIES	'	'
Proceeds from equity financing	750,000	'
Payments of convertible debt	-100,000	'
Payment of short-term debt	-59,951	-51,860
Proceeds from issuance of convertible debt	615,000	700,000
NET CASH PROVIDED BY FINANCING ACTIVITIES	1,205,049	648,140
NET INCREASE (DECREASE) IN CASH	12,249	-439,108
Cash at the beginning of the year	483,408	969,188
Cash at the end of the year	495,657	530,080
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES:	'	'
Common stock and warrants issued for conversion of debt	3,558,413	'
Issuance on lease financing for fixed assets	318,603	'
Securities held-for-sale exchanged for common and preferred shares	1,344,000	'
Accrued offering costs	29,999	'
Financing of insurance premium through notes payable	93,840	93,840
Debt discount	$173,035	$545,354

DESCRIPTION_OF_BUSINESS_AND_GO

DESCRIPTION OF BUSINESS AND GOING CONCERN	6 Months Ended
DESCRIPTION OF BUSINESS AND GOING CONCERN	Aug. 31, 2014
Description Of Business And Going Concern	'
DESCRIPTION OF BUSINESS AND GOING CONCERN	'
	MetaStat, Inc. (“we,” “us,” “our,” the “Company,” or “MetaStat”) is a diagnostic company focused on developing and commercializing novel diagnostic technologies and therapeutics for the early and reliable prediction and treatment of systemic metastasis - cancer that spreads from a primary tumor through the bloodstream to other areas of the body. Systemic metastasis is responsible for ~90% of all solid tumor cancer related deaths and as such, we believe the more effective treatment of metastatic disease and/or the prevention of systemic metastasis is needed to improve patient outcomes.

	Basis of Presentation

	The accompanying unaudited consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, MetasStat BioMedical, Inc., a Delaware corporation. All significant intercompany balances and transactions have been eliminated in consolidation. These interim financial statements have been prepared in conformity with generally accepted accounting principles (“GAAP”) in the United States consistent with those applied in, and should be read in conjunction with, the Company’s audited consolidated financial statements and related footnotes for the year ended February 28, 2014 included in the Company’s Annual Report on Form 10-K as filed with the United States Securities and Exchange Commission (“SEC”) on June 13, 2014. These financial statements reflect all adjustments, consisting only of normal recurring adjustments, which are, in the opinion of management, necessary for a fair presentation of the Company’s financial position as of August 31, 2014 and its results of operations and cash flows for the interim periods presented and are not necessarily indicative of results for subsequent interim periods or for the full year. These interim financial statements do not include all of the information and footnotes required by GAAP for complete financial statements and allowed by the relevant SEC rules and regulations; however, the Company believes that its disclosures are adequate to ensure that the information presented is not misleading. Certain amounts in prior periods have been reclassified to conform to current presentation.

	Going Concern

	These financial statements have been prepared on a going concern basis, which implies the Company will continue to realize its assets and discharge its liabilities in the normal course of business. As of August 31, 2014, the Company has an accumulated deficit of $16,263,799. The continuation of the Company as a going concern is dependent upon continued financial support from its shareholders, the ability of the Company to obtain necessary equity and/or debt financing to continue operations, and the attainment of profitable operations. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern. The Company cannot make any assurances that additional financings will be completed on a timely basis, on acceptable terms or at all. If the Company is unable to complete a debt or equity offering, or otherwise obtain sufficient financing when and if needed, it would negatively impact it’s business and operations, which could cause the price of its common stock to decline. It could also lead to the reduction or suspension of the Company’s operations and ultimately force the Company to cease operations. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

	In June 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update (“ASU”) No. 2014-10, “Development Stage Entities (Topic 915), Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, "Consolidation” (“ASU 2014-10”). The amendments in ASU 2014-10 remove the definition of a development stage entity from the Master Glossary of the Accounting Standards Codification, thereby removing the financial reporting distinction between development stage entities and other reporting entities from GAAP. In addition, the amendments eliminate the requirements for development stage entities to: (i) present inception-to-date information in the statements of income, cash flows, and shareholder equity; (ii) label the financial statements as those of a development stage entity; (iii) disclose a description of the development stage activities in which the entity is engaged; and (iv) disclose in the first year in which the entity is no longer a development stage entity that in prior years it had been in the development stage. The presentation and disclosure requirements in ASC Topic 915, "Development Stage Entities" are no longer required for interim and annual reporting periods beginning after December 15, 2014, however, early adoption is permitted. The Company has elected to early adopt the presentation and disclosure provisions of ASU 2014-10 for this unaudited condensed consolidated financial statements.

EQUITY

EQUITY	6 Months Ended
EQUITY	Aug. 31, 2014
Equity [Abstract]	'
EQUITY	'
	On April 5, 2013, the Company issued 153,013 shares of common stock to members of its scientific advisory board and clinical advisory board vesting upon the listing of the Company’s common stock on a national exchange and achieving certain levels of trading. The Company will measure the fair value of the shares when vesting becomes probable, which has not yet occurred. As of August 31, 2014, the Company has not recognized any stock compensation expense in connection with these shares.

	On April 9, 2013, the Company issued 150,000 shares of common stock to a member of its Board of Directors vesting upon the earlier of the Company achieving $5,000,000 in gross sales or a change in control. The Company valued the shares for a total fair value of $375,000 on the grant date. However, as of August 31, 2014, the Company has not recognized any stock compensation expense in connection with these shares and expects to recognize the compensation expense when vesting becomes probable, which has not yet occurred.

	On April 9, 2013, the Company issued 100,000 shares of common stock to an advisor for services that vested immediately. The fair value of the shares amounted to $250,000 on the grant date. The Company recognized $250,000 of stock compensation expense related to these shares during the six months ended August 31, 2013.

	On April 18, 2013, the Company issued 12,000 shares of common stock to a consultant for services that vested immediately. The fair value of the shares amounted to $34,200 on the grant date. The Company recognized $34,200 of stock compensation expense related to these shares during the six months ended August 31, 2013.

	On March 2, 2014, the Company issued 50,000 shares of common stock to a consultant for services to be provided over a six-month period and that vested immediately. The fair value of the shares amounted to $67,500 on the grant date. This transaction was initially recorded a prepaid expense and amortized as stock-based compensation over the service period, resulting in $33,750 and $67,500 recognized during the three and six months ended August 31, 2014, respectively.

	On June 9, 2014, the Company issued 250,000 shares of common stock to a consultant for services to be provided over a six-month period and that vested immediately. The fair value of the shares amounted to $285,025 on the grant date. Stock-based compensation of $95,000 was recognized during the three and six months ended August 31, 2014, respectively, related to these shares.

	On June 30, 2014, the Company issued 4,714,025 shares of common stock and 500,000 shares of Series A Convertible Preferred Stock, convertible at a 1-to-1 ratio into 500,000 shares of common stock to certain accredited investors that entered into a securities purchase agreement (the “Purchase Agreement”) whereby the Company received aggregate gross proceeds of $5,735,427, of which $4,092,427 represents the automatic conversion of outstanding convertible promissory notes with principal amounts totaling $3,357,000 as referenced in Note 5 below (the “Qualified Financing”). The net proceeds from this transaction amounted to $1,643,000. Included in the net proceeds is the receipt of $100,000 from an investor that was concurrently paid $100,000 for due diligence and legal fees by the Company. Approximately $1,000,000 of these proceeds are expected to be generated from the sale of marketable securities transferred to the Company by an investor (see Note 7).

	On July 14, 2014, the Company completed a second closing under the Purchase Agreement whereby the Company issued 188,182 shares of common stock for an aggregate purchase price of $207,000.

	On July 22, 2014, the Company issued 162,500 shares of common stock to members of its Board of Directors that vested immediately. The fair value of the shares amounted to $147,875 on the grant date, which was recorded as a stock-based compensation during the three and six months ended August 31, 2014.

STOCK_OPTIONS

STOCK OPTIONS	6 Months Ended
	Aug. 31, 2014
Stock Options	'
STOCK OPTIONS	'
	For the six months ended August 31, 2013, the Company issued options to purchase 300,000 shares of common stock at $3.25 per share to members of its management team and its Board of Directors. The options vested in four equal installments on each of May 31, 2013, August 31, 2013, November 30, 2013 and February 28, 2014 and expire on April 5, 2023. These options had a total fair value of $632,794 as calculated using the Black-Scholes model. Assumptions used in the Black-Scholes model included: (1) a discount rate of 0.68%; (2) an expected term of 5.25 years; (3) an expected volatility of 129%; and (4) zero expected dividends. During the three and six months ended August 31, 2013, the Company recognized $158,199 and $316,398 of compensation expense related to these options. During the three and six months ended August 31, 2014, the Company did not recognize any compensation expense related to these options.

	For the six months ended August 31, 2013, the Company issued options to purchase 523,500 shares of common stock at $3.25 per share to members of its scientific advisory board and clinical advisory board and a consultant. The options vested in four equal installments on each of May 31, 2013, August 31, 2013, November 30, 2013 and February 28, 2014 and expire on April 5, 2023. Compensation expense related to these non-employee options was measured and recognized at each vesting date. The aggregated fair value of the vested options on the second measurement date amounted to $969,309 as calculated using the Black-Scholes model. Assumptions used in the Black-Scholes model included: (1) a discount rate of 2.47%; (2) an expected term of 9.73 years; (3) an expected volatility of 126%; and (4) zero expected dividends. The Company recognized $219,498 and $530,312 in stock option expense for the three and six months ended August 31, 2013, respectively. During the three and six months ended August 31, 2014, the Company did not recognize any compensation expense related to these options.

	For the three and six months ended August 31, 2014, 220,000 non-employee performance-based stock options vested with a value of $232,000. These options vested based on the completion of a trial and subsequent publication of results on June 3, 2014. The Company recognized $232,000 in stock option expense for the three and six months ended August 31, 2014.

	For the three and six months ended August 31, 2014, an aggregate of 90,000 employee performance-based stock options vested with a value of $127,000. These options vested once certain milestones were completed by the employees, which included the completion of the research plan, lab setup, essential hires and investor presentation for the therapeutics program. The Company recognized $127,000 in stock option expense for the three and six months ended August 31, 2014.

	For the three and six months ended August 31, 2014, 100,000 stock options issued to certain members of our Board of Directors with an exercise price equal to $3.25 were cancelled in an effort to reduce the fully-diluted share count and increase number of available stock options. The Company determined that the transaction was not considered to be a modification of these stock-based awards. All stock-based compensation related to these options were recognized in the fiscal year ended February 28, 2014 and have not been reversed.

	The following table summarizes common stock options issued and outstanding:

		Options		Weighted		Aggregate		Weighted
				average		intrinsic		average
				exercise		value		remaining
				price				contractual
								life (years)

	Outstanding at February 28, 2014		2,680,000	$	1.70	$	-		-
	Forfeited		100,000		3.25		-		8.6

	Outstanding and expected to vest at August 31, 2014		2,580,000	$	1.64	$	-		8.26
	Exercisable at August 31, 2014		2,030,000	$	1.69	$	-		8.01

	As of August 31, 2014, 1,116,500 options are exercisable at $0.68 per share with a weighted average life of 7.36 years, 823,500 options are exercisable at $3.25 with a weighted average life of 8.60 years, and 190,000 options are exercisable at $1.50 with a weighted average life of 9.30 years. Additionally, 550,000 options with an exercise price of $1.50 and a weighted average life of 9.30 years have yet to vest.

	As of August 31, 2014, we had $142,000 of unrecognized compensation related to employee stock options whose recognition is dependent on certain milestones to be achieved. Additionally, there were 550,000 stock options with a performance vesting condition that were granted to consultants which will be measured and recognized when vesting becomes probable.

WARRANTS

WARRANTS	6 Months Ended
WARRANTS	Aug. 31, 2014
Warrants	'
WARRANTS	'
	For the six months ended August 31, 2013, the Company issued 70,000 warrants in connection with the issuance of Convertible Notes referenced in Note 5 below. These warrants were issued between March 1, 2013 and May 14, 2013, are exercisable at $3.00 per share and expire between March 1, 2017 and May 14, 2017. These warrants vested immediately. The warrants do not contain any provision that would require liability treatment, therefore they were classified as equity in the Condensed Consolidated Balance Sheet.

	For the six months ended August 31, 2013, in connection with the issuance of the Convertible Notes referenced in Note 5 below, the Company issued placement agent warrants to purchase an aggregate of 8,480 shares of common stock. These placement agent warrants are exercisable at $2.50 per share, have a term of 5 years and a cashless exercise feature and vested immediately. The fair value of these warrants was determined to be $25,498, as calculated using the Black-Scholes model. Average assumptions used in the Black-Scholes model included: (1) a discount rate of 0.74%; (2) an expected term of 5 years; (3) an expected volatility of 134%; and (4) zero expected dividends.

	For the six months ended August 31, 2014, the Company issued 25,000 warrants in connection with the issuance of Convertible Notes referenced in Note 5 below. These warrants were issued on March 4, 2014, are exercisable at $2.10 per share and expire on March 4, 2019. These warrants vested immediately. The warrants do not contain any provision that would require liability treatment, therefore they were classified as equity in the Condensed Consolidated Balance Sheet.

	For the six months ended August 31, 2014, the Company issued 155,000 warrants in connection with the issuance of Convertible Notes referenced in Note 5 below. These warrants were issued between May 22, 2014 and June 26, 2014, are exercisable at $1.50 per share and expire between May 22, 2019 and June 26, 2019. These warrants vested immediately. The warrants do not contain any provision that would require liability treatment, therefore they were classified as equity in the Condensed Consolidated Balance Sheet.

	For the six months ended August 31, 2014, the Company issued 3,066,000 warrants in connection with the closing of the Qualified Financing as described in Note 2. These warrants were issued on June 30, 2014, are exercisable at $1.50 per share and expire on June 30, 2018. These warrants vested immediately. The warrants do not contain any provision that would require liability treatment, therefore they were classified as equity in the Condensed Consolidated Balance Sheet.

			Warrants				Weighted				Aggregate				Weighted
							average				intrinsic				average
							exercise				value				remaining
							price								contractual
															life (years)

	Outstanding at February 28, 2014			3,146,355			$	1.24			$	-				-
	Issued			3,246,000			$	1.5				-				3.88

	Outstanding at August 31, 2014			6,392,355			$	1.37			$	-				3.18

	Warrants exercisable at August 31, 2014 are:

	Exercise prices				Number of shares				Weighted average remaining life (years)				Exercisable number of shares
	$	0.68				220,000				2.21				220,000
	$	0.91				1,497,124				2.42				1,497,124
	$	1.4				786,250				1.99				786,250
	$	1.5				3,371,000				3.76				3,371,000
	$	2.1				472,001				3.43				472,001
	$	2.5				25,980				3.37				25,980
	$	3				20,000				2.42				20,000

CONVERTIBLE_NOTES

CONVERTIBLE NOTES	6 Months Ended
	Aug. 31, 2014
Debt Disclosure [Abstract]	'
CONVERTIBLE NOTES	'
	2013 Notes

	From January to May 2013, the Company issued convertible promissory notes in the aggregate principal amount of $1,487,000, originally due December 31, 2013 (the “2013 Notes”).

	The 2013 Notes bore interest at the rate of 8% per annum, mature on December 31, 2013 and ranked senior to the Company’s currently issued and outstanding indebtedness and equity securities. Upon the closing by the Company of an equity or equity based financing or a series of equity or equity based financings (a “Qualified Financing”) resulting in gross proceeds to us of at least $3,500,000 in the aggregate, inclusive of the 2013 Notes, the outstanding principal amount of the 2013 Notes together with all accrued and unpaid interest thereunder (the “Outstanding Balance”) would have automatically converted into such securities, including warrants, as are issued in the Qualified Financing, the amount of which shall be determined in accordance with the following formula: (the Outstanding Balance as of the closing of the Qualified Financing) x (1.15) / (the per security price of the securities sold in the Qualified Financing). Commencing six months following the issuance date of the 2013 Notes, the noteholders have the right, at their option, to convert the Outstanding Balance into shares of common stock at a conversion price of $2.50 per share.

	Along with the 2013 Notes, we also issued to the noteholders an aggregate of 148,700 detachable warrants. The warrants had an original exercise price of $3.00 per share and can be exercised within a four-year period.

	On December 31, 2013, the Company entered into certain amendments to its outstanding 2013 Notes with the holders of an aggregate of $1,387,000 principal amount of 2013 Notes (the “Amendments”), whereby the holders of the 2013 Notes extended the maturity date of the 2013 Notes to June 30, 2014 from December 31, 2013. In consideration for entering into the Amendments, the Company (i) reduced the conversion price of the 2013 Notes to $1.50 per share from $2.50 per share, (ii) reduced the exercise price for an aggregate of 128,700 warrants issued in connection with the issuance of the 2013 Notes to $2.10 per share from $3.00 per share, (iii) issued an aggregate of 92,468 common stock purchase warrants with an exercise price of $2.10 per share and a term of four years, and (iv) issued an aggregate of 92,468 shares of the Company’s common stock. During the three months ended May 31, 2014, the Company repaid the principal amount of $100,000 plus accrued interest of $8,828 of 2013 Notes to a holder thereof.

	The Company determined the Amendments constituted a substantive modification of the notes and, as a result, we accounted for this transaction as extinguishment of debt instrument and the issuance of a new debt instrument (“Amended 2013 Notes”), which resulted in a loss on extinguishment of $32,853 being recognized. The loss on extinguishment was computed as follows:

	Fair value of Amended 2013 Notes (1)	$	1,243,482
	Fair value of non-cash consideration issued to the creditor (2)		269,707
	Reacquisition price		1,513,189
	Carrying value of the debt at modification		1,480,336
	Loss on extinguishment	$	32,853

	(1) Fair value was determined using level 2 inputs, specifically prices for a subsequent issuance of comparable debt instruments.
	(2) Consist of $143,325 fair value of common stock issued and $126,382 fair value of warrants issued and warrants modified. The warrants were valued using a Black-Scholes model with the following inputs: (1) a discount rate of 1.27%; (2) an expected term of 4.00 years; (3) an expected volatility of 121%; and (4) zero expected dividends.

	During the six months ended August 31, 2014, the Company recorded $159,647 of accretion expense related to the Amended 2013 Notes.

	2014 Notes

	In November 2013, the Company issued convertible promissory notes in the aggregate principal amount of $500,000 with 83,333 detachable warrants that can be exercised at $2.10 per share within a four-year period (the “2014 Notes”).

	The 2014 Notes bear interest at the rate of 8% per annum, mature on May 31, 2014 and rank pari passu to the 2013 Notes and senior to the Company’s currently issued and outstanding and equity securities. Upon the closing by MetaStat of an equity or equity based financing or a series of equity or equity based financings (a “Qualified Financing”) resulting in gross proceeds to the Company of at least $3,500,000 in the aggregate inclusive of the 2013 Notes and the 2014 Notes, the outstanding principal amount of the 2014 Notes together with all accrued and unpaid interest thereunder (the “Outstanding Balance”) shall automatically convert into such securities, including warrants, as are issued in the Qualified Financing, the amount of which shall be determined in accordance with the following formula: (the Outstanding Balance as of the closing of the Qualified Financing) x (1.15) / (the per security price of the securities sold in the Qualified Financing). Commencing six months following the issuance date of the 2014 Notes, the noteholders have the right, at their option, to convert the Outstanding Balance into shares of common stock at a conversion price of $1.50 per share.

	Additional 2014 Notes

	In January and February 2014, the Company issued convertible promissory notes in the aggregate principal amount of $855,000 with 142,500 detachable warrants that can be exercised at $2.10 per share within a five-year period (the “Additional 2014 Notes”).

	During the six months ended August 31, 2014, the Company issued Additional 2014 Notes in the aggregate principal amount of $150,000 with 25,000 detachable warrants that can be exercised at $2.10 per share within a four-year period.

	The Additional 2014 Notes bear interest at the rate of 8% per annum, mature on June 30, 2014 and rank pari passu to the Company’s issued and outstanding convertible promissory notes and senior to the Company’s issued and outstanding equity securities. Upon the closing by the Company of an equity or equity based financing or a series of equity or equity based financings (a “Qualified Financing”) resulting in gross proceeds to the Company of at least $5,000,000 in the aggregate, and the Company, prior to or concurrent with the completion of the Qualified Financing (the “Qualified Financing Threshold Amount”), the outstanding principal amount of the Additional 2014 Notes, together with all accrued and unpaid interest thereunder (the “Outstanding Balance”), shall automatically convert into such securities, including warrants of the Company, as are issued in the Qualified Financing, the amount of which shall be determined in accordance with the following formula: (the Outstanding Balance as of the closing of the Qualified Financing) x (1.15) / (the per security price of the securities sold in the Qualified Financing). For purposes of determining whether the Qualified Financing Threshold Amount has been satisfied, such amount shall include (i) the Outstanding Balance of the Additional 2014 Notes (each pursuant to the formula stated above) then outstanding, and (ii) the outstanding principal amount of the 2013 Notes and 2014 Notes together with all accrued and unpaid interest thereunder (pursuant to the same formula as stated above and therein). Following the issuance date of the Additional 2014 Notes, the lenders have the right, at their option, to convert the Outstanding Balance into shares of common stock at a conversion price of $1.50 per share.

	May 2014 Notes

	During the six months ended August 31, 2014, the Company issued convertible promissory notes in the aggregate principal amount of $465,000 with 155,000 detachable warrants that can be exercised at $1.50 per share within a five-year period (the “May 2014 Notes”).

	The May 2014 Notes bear interest at the rate of 8% per annum, mature on August 15, 2014 and rank pari passu to the Company’s currently issued and outstanding 2013 Notes, 2014 Notes, and Additional 2014 Notes and senior to the Company’s issued and outstanding equity securities. Upon the closing by the Company of an equity or equity based financing or a series of equity or equity based financings (a “Qualified Financing”) resulting in gross proceeds to the Company of at least $5,000,000 in the aggregate and the Company, prior to or concurrent with the completion of the Qualified Financing (the “Qualified Financing Threshold Amount”), the outstanding principal amount of the May 2014 Notes together with all accrued and unpaid interest (the “Outstanding Balance”) shall automatically convert into such securities, including Warrants of the Company as are issued in the Qualified Financing, the amount of which shall be determined in accordance with the following formula: (the Outstanding Balance as of the closing of the Qualified Financing) x (1.15) / (the per security price of the securities sold in the Qualified Financing). For purposes of determining whether the Qualified Financing Threshold Amount has been satisfied, such amount shall include (i) the Outstanding Balance of the May 2014 Notes, (ii) the outstanding principal amount of the 2013 Notes, (iii) the outstanding principal amount of the 2014 Notes, and (iv) the outstanding principal amount of the Additional 2014 Notes, together with all accrued and unpaid interest thereunder.

	Debt Discount and beneficial conversion feature

	The detachable warrants issued in connection with the 2013 Notes, the 2014 Notes, the Additional 2014 Notes, and the May 2014 Notes (collectively the “Convertible Notes”) were recorded as a debt discount based on their relative fair value.

	The detachable warrants issued during the six months ended August 31, 2013 had a weighted-average fair value of $199,234 as calculated using the Black-Scholes model. Assumptions used in the Black-Scholes model included: (1) a discount rate of 0.58 %; (2) an expected term of 4 years; (3) an expected volatility of 140.6%; and (4) zero expected dividends.

	The detachable warrants issued during the six months ended August 31, 2014 had a weighted-average fair value of $127,289, as calculated using the Black-Scholes model. Assumptions used in the Black-Scholes model included: (1) a discount rate of 1.64 %; (2) an expected term of 5 years; (3) an expected volatility of 116.8%; and (4) zero expected dividends.

	The relative fair value of the warrants and the intrinsic value of the beneficial conversion feature for the convertible notes issued during the six months ended August 31, 2014 and 2013 totaled $173,035 and $545,354, respectively, and was recorded as a discount to the convertible debt.

	During the six months ended August 31, 2014 and 2013, $379,672 and $363,306, respectively, was recognized as accretion expense related to the debt discount.

	Automatic Exchange of the Convertible Notes

	On June 30, 2014, the Company completed the Qualified Financing whereby all outstanding Convertible Notes with an aggregate principal amounts totaling $3,357,000 were automatically exchanged into the securities offered in the Qualified Financing. The exchange also included approximately $201,000 of accrued interest. As of August 31, 2014, the Company has no Convertible Notes outstanding.

	On June 30, 2014, as a result of the exchange of the Convertible Notes in the Qualified Financing, the Company recorded an expense amounting to $2,324,760 related to the recognition of a contingent beneficial conversion feature. The expense was measured at the intrinsic value of the beneficial conversion feature for each of the Convertible Notes at their respective measurement date.

EQUIPMENT

EQUIPMENT	6 Months Ended
EQUIPMENT	Aug. 31, 2014
Property, Plant and Equipment [Abstract]	'
EQUIPMENT	'
	On March 26, 2014, we entered into an agreement with HealthCare Equipment Funding located in Roswell, Georgia to finance the purchase of a Perkin Elmer Vectra 2.0 microscope for a purchase price of $318,603. The terms of the agreement require a down payment of $21,115 and 36 monthly payments of $10,260. The agreement further requires a security deposit of $238,952, which will be refunded to the Company in three equal installments upon the payment of the twelfth, the twenty-fourth and the thirty-sixth monthly payments. This security deposit has been satisfied by the Company. As further security, a personal guaranty was required of our chief executive officer.

	On September 1, 2014, we opened our diagnostic laboratory in Boston MA. As such, we have begun to enter into arrangements for the acquisition of additional laboratory equipment, computer hardware and software, leasehold improvements and office equipment. We cannot at this time provide assurances that we will be able to enter into agreements with vendors on terms commercially favorable to us or that we will be able to enter into such arrangements without securing additional financing.

SECURITES_HELD_FOR_SALES_AND_D

SECURITES HELD FOR SALES AND DUE TO INVESTOR	6 Months Ended
SECURITES HELD FOR SALES AND DUE TO INVESTOR	Aug. 31, 2014
Notes to Financial Statements	'
SECURITES HELD FOR SALES AND DUE TO INVESTOR	'
	As part of the June 30, 2014 equity financing (see Note 4), the Company received 4,800,000 shares of common stock of Quantum Materials Corp (“Consideration Shares”) in lieu of $1,000,000 of cash proceeds from an investor. In the event the Company does not receive gross proceeds of at least $1,000,000 from the sale of the Consideration Shares by the earliest to occur of (i) September 28, 2014 or (ii) the date the Company has sold of the Consideration Shares, then the investor shall make a payment to the Company equal to the difference between $1,000,000 and the aggregate gross proceeds received by the Company from the sale of the Consideration Shares. In the event the Company received gross proceeds of at least $1,000,000 from the sale of the Consideration Shares within the 90 days following the closing date of the equity financing, the Company shall immediately cease to sell the Consideration Shares and return all the unsold Consideration Shares to the investor and any proceeds from the sale of the Consideration Shares in excess of the $1,000,000.

	The Company has elected to account for the Consideration Shares and the related liability to the investor at fair value. As such any changes in fair value of the Consideration Shares and the related liability, which are expected to offset each other, are recorded in earnings. The Consideration Shares and the related liability due to investor are financial instruments which are considered Level 1 in the fair value hierarchy and whose value is based on quoted prices in active market.

	The fair value of the Consideration Shares at the time of the closing of the equity financing amounted to approximately $1,344,000. During the three months ended August 31, 2014, the Company generated approximately $786,000 of proceeds from the sale of the Consideration Shares. As of August 31, 2014, the unsold Consideration Shares had an aggregate fair value of approximately $459,000. As of August 31, 2014, the Company recorded a liability amounted to approximately $245,000. This amount, which is payable to the investor, was measured as the excess of the combined amount of (1) the proceeds from the sale of the Consideration Shares and (2) the fair value of the remaining unsold Consideration Shares over $1,000,000. During the six months ended August 31, 2014, the decrease in fair value of both the Consideration Shares and the related liability due to the investor amounted to approximately $99,000, with both recorded in earnings.

NET_LOSS_PER_SHARE

NET LOSS PER SHARE	6 Months Ended
	Aug. 31, 2014
Accounting Policies [Abstract]	'
NET LOSS PER SHARE	'
	Basic net loss per common share is computed based on the weighted average number of common shares outstanding during the period. Restricted shares issued with vesting condition that have not been met at the end of the period are excluded from the computation of the weighted average shares. As of August 31, 2014 and 2013, 303,153 restricted shares of common stock were excluded from the computation of the weighted average shares.

	Diluted net loss per common share is calculated giving effect to all dilutive potential common shares that were outstanding during the period. Diluted potential common shares generally consist of incremental shares issuable upon exercise of stock options and warrants and conversion of outstanding options and warrants and shares issuable from convertible securities.

	In computing diluted loss per share for the periods ended August 31, 2014 and 2013, no effect has been given to the common shares issuable at the end of the period upon the conversion or exercise of the following securities as their inclusion would have been anti-dilutive:

		August 31,		August 31,
		2014		2013
	Stock options		2,580,000		1,940,000
	Warrants		6,392,355		2,810,554
	Convertible notes		-		620,572
	Total		8,972,355		5,371,126

COMMITMENT

COMMITMENT	6 Months Ended
COMMITMENT	Aug. 31, 2014
Commitments and Contingencies Disclosure [Abstract]	'
COMMITMENT	'
COMMITMENT	On August 28, 2014, the Company entered into an agreement of lease with Zoom Group, LLC in connection with the Company’s diagnostic laboratory and office space located in Boston, MA. The term of the lease is for two years, from September 1, 2014 through August 31, 2016, and the basic rent payable thereunder is $10,280 per month for the first year and $10,588 per month for the second year. Additional monthly payments under the lease agreement shall include tax payments and operational costs. Additionally, the Company paid a $40,000 security deposit in connection with entering into the lease.

SUBSEQUENT_EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Aug. 31, 2014
Subsequent Events [Abstract]	'
SUBSEQUENT EVENTS	'
	Securities Held For Sale:

	As of September 16, 2014, the Company sold an aggregate of 3,730,695 Consideration Shares for aggregate gross proceeds of $1,000,000. The Company is to return 1,069,305 unsold shares to the investor.

	Purchase Agreement with Lincoln Park Capital Fund, LLC:

	On October 10, 2014, the Company entered into a purchase agreement (the “Purchase Agreement”), together with a registration rights agreement (the “Registration Rights Agreement”), with Lincoln Park Capital Fund, LLC (“LPC”).

	Under the terms and subject to the conditions of the Purchase Agreement, the Company has the right to sell to and LPC is obligated to purchase up to $10 million in shares of the Company’s common stock (“Common Stock”), subject to certain limitations, from time to time, over the 24-month period commencing on the date that a registration statement, which the Company agreed to file with the Securities and Exchange Commission (the “SEC”) pursuant to the Registration Rights Agreement, is declared effective by the SEC and a final prospectus in connection therewith is filed. The Company may direct LPC, at its sole discretion and subject to certain conditions, to purchase up to 30,000 shares of Common Stock on any business day, provided that at least one business day has passed since the most recent purchase, increasing to up to 100,000 shares, depending upon the closing sale price of the Common Stock (such purchases, “Regular Purchases”). However, in no event shall a Regular Purchase be more than $500,000. The purchase price of shares of Common Stock related to the future funding will be based on the prevailing market prices of such shares at the time of sales, but in no event will shares be sold to LPC on a day the Common Stock closing price is less than the floor price as set forth in the Purchase Agreement. In addition, the Company may direct LPC to purchase additional amounts as accelerated purchases if on the date of a Regular Purchase the closing sale price of the Common Stock is not below the threshold price as set forth in the Purchase Agreement. In connection with the Purchase Agreement, the Company issued to LPC 200,000 shares of Common Stock (the "Initial Commitment Shares") and may issue up to 400,000 additional shares of Common stock pro rata only if and as the $10 million is funded by LPC. The Initial Commitment Shares have been issued in reliance on an exemption from registration under the Securities Act of 1933, as amended (the "Securities Act"), pursuant to Section 4(a)(2) thereof, and will be registered for resale on the registration statement that the Company must file pursuant to the Purchase Agreement and the Registration Rights Agreement.

	The Purchase Agreement and the Registration Rights Agreement contain customary representations, warranties, agreements and conditions to completing future sale transactions, indemnification rights and obligations of the parties. The Company has the right to terminate the Purchase Agreement at any time, at no cost or penalty. Actual sales of shares of Common Stock to LPC under the Purchase Agreement will depend on a variety of factors to be determined by the Company from time to time, including, among others, market conditions, the trading price of the Common Stock and determinations by the Company as to the appropriate sources of funding for the Company and its operations. There are no trading volume requirements or restrictions under the Purchase Agreement. LPC has no right to require any sales by the Company, but is obligated to make purchases from the Company as it directs in accordance with the Purchase Agreement. LPC has covenanted not to cause or engage in any manner whatsoever, any direct or indirect short selling or hedging of our shares.

	The net proceeds under the Purchase Agreement to the Company will depend on the frequency and prices at which the Company sells shares of its stock to LPC. The Company expects that any proceeds received by the Company from such sales to LPC under the Purchase Agreement will be used for general corporate purposes and working capital requirements.

	The foregoing description of the Purchase Agreement and the Registration Rights Agreement are qualified in their entirety by reference to the full text of the Purchase Agreement and the Registration Rights Agreement, a copy of each of which is attached as exhibits to the Current Report on Form 8-K filed on October 14, 2014.

	Amendment to Memorandum of Understanding:

	On October 12, 2014, the Company entered into an amendment (the “Amendment”) to the binding Memorandum of Understanding (the “MOU”) dated July 14, 2014 between the Company and a private third party entity (the “Licensee”) affiliated with one of the Company’s directors, Dr. David Epstein. The MOU sets forth certain understandings, rights and obligations of the parties with respect the grant by the Company to the Licensee of a license of certain of Company’s therapeutic assets pursuant to an assignment and/or sublicense agreement to be entered into by the parties (the “License Agreement”). The Amendment amends the MOU as follows:

		·	The time to execute the License Agreement has been extended for an additional thirty (30) day period;

		·	The time period for the Licensee to invest an additional $1 million in the Subsequent Financing (as defined in the MOU), or a separate financing on substantially similar terms, has been extended to December 31, 2015;

		·	The time period for the Company to make a $1 million preferred stock equity investment in exchange for a 20% equity interest (on a fully diluted, as converted basis) in the Licensee has been extended to December 31, 2015;

		·	The Licensee shall be responsible for all costs and expenses up to a maximum of $50,000 per month for all operations at SUNY Stony Brook commencing on October 15, 2014 until such time that the MOU terminates. In addition, the Licensee shall pay to the Company $150,000 no later than March 1, 2015 to reimburse the Company for certain costs and expenses incurred by the Company in connection with maintaining the operations at SUNY Stony Brook; and

		·	The Licensee no longer has a rescission right with respect to its initial $250,000 equity investment in the Company.

	The foregoing description of the Amendment is qualified in its entirety by reference to the full text of the Amendment, a copy of each of which is attached as hereto as Exhibit 10.1.

	Appointment of New Directors and Director Resignations:

	Effective as of October 15, 2014, the board of directors (the “Board”) of the Company appointed Mr. Richard Berman and Mr. Philip Goodeve to the Board and accepted the resignations of Mr. Warren Lau and Dr. Patrick Mooney. In addition, Mr. Johan M. (Thijs) Spoor resigned as Chairman of the Board while still remaining a member of the Board. The resignations were not due to disagreements on any matter relating to the Company’s operations, policies or practices.

	Mr. Berman will serve as lead independent director and Chairman of the Company’s Nominating and Corporate Governance Committee Committee, as well as a member of the Company’s Compensation Committee. Mr. Goodeve will serve as a member of the Company’s Compensation Committee and Audit Committee.

	Executive and Director Compensation:

	Effective as of October 14, 2014, the Board approved the following compensation to the Company’s executive management, employees and members of the Board:

	Mr. Daniel Schneiderman, the Company's Vice President of Finance and Secretary, received a stock option award of 300,000 stock options to be issued as follows: (i) 100,000 stock options shall fully vest two years following the date of issuance; (ii) of the remaining 200,000 stock options, one-third shall vest once the Company’s CLIA laboratory is operational, one-third shall vest upon the Company’s first commercial sale, and one-third shall vest upon the Company achieving $25 million in sales for the prior twelve month period; and (iii) shall provide for an exercise price per share of $1.10. Mr. Schneiderman was also issued 20,000 shares of common stock that vest upon an uplisting of the Company’s common stock to a national stock exchange.

	Mr. Mark Gustavson, the Company's Vice President of Diagnositcs, received a stock option award of 300,000 stock options to be issued as follows: one-third shall vest once the Company’s CLIA laboratory is operational, one-third shall vest upon the Company’s first commercial sale, and one-third shall vest upon the Company achieving $25 million in sales for the prior twelve month period. The options shall provide for an exercise price per share of $1.10.

	Mr. Johan M. Spoor, a member of the Company's board of directors, was issued (i) 40,000 shares of common stock that is fully vested; and (ii) 64,935 shares of common stock vesting twelve (12) months following the issuance date. Additionally, 200,000 restricted shares previously issued to Mr. Spoor shall be deemed fully vested.

	Mr. David Siegel, a member of the Company's board of directors, was issued 40,000 shares of common stock that is fully vested.

	Mr. David Epstein, a member of the Company's board of directors, was issued (i) 40,000 shares of common stock that is fully vested; and (ii) 64,935 shares of common stock vesting twelve (12) months following the issuance date.

	Mr. Richard Berman, a newly appointed member of the Company's board of directors, was issued 64,935 shares of common stock vesting twelve (12) months following the issuance date. Additionally, Mr. Berman shall be paid $50,000 in cash to be paid quarterly over the next twelve (12) months.

	Dr. Patrick T. Mooney, a former member of the Company’s board of directors, was issued 40,000 shares of common stock that is fully vested. Additionally, 50,000 restricted shares previously issued to Mr. Mooney shall be deemed fully vested.

	Mr. Warren C. Lau, a former member of the Company’s board of directors, was issued 150,000 shares of common stock that is fully vested.

STOCK_OPTIONS_Tables

STOCK OPTIONS (Tables)	6 Months Ended
STOCK OPTIONS (Tables)	Aug. 31, 2014
Stock Options Tables	'
Common stock options issued and outstanding	'
		Options		Weighted		Aggregate		Weighted
				average		intrinsic		average
				exercise		value		remaining
				price				contractual
								life (years)

	Outstanding at February 28, 2014		2,680,000	$	1.70	$	-		-
	Forfeited		100,000		3.25		-		8.6

	Outstanding and expected to vest at August 31, 2014		2,580,000	$	1.64	$	-		8.26
	Exercisable at August 31, 2014		2,030,000	$	1.69	$	-		8.01

WARRANTS_Tables

WARRANTS (Tables)	6 Months Ended
WARRANTS (Tables)	Aug. 31, 2014
Warrants Tables	'
Common stock purchase warrants issued and outstanding	'
			Warrants				Weighted				Aggregate				Weighted
							average				intrinsic				average
							exercise				value				remaining
							price								contractual
															life (years)

	Outstanding at February 28, 2014			3,146,355			$	1.24			$	-				-
	Issued			3,246,000			$	1.5				-				3.88

	Outstanding at August 31, 2014			6,392,355			$	1.37			$	-				3.18
Warrants exercisable	'
	Exercise prices				Number of shares				Weighted average remaining life (years)				Exercisable number of shares
	$	0.68				220,000				2.21				220,000
	$	0.91				1,497,124				2.42				1,497,124
	$	1.4				786,250				1.99				786,250
	$	1.5				3,371,000				3.76				3,371,000
	$	2.1				472,001				3.43				472,001
	$	2.5				25,980				3.37				25,980
	$	3				20,000				2.42				20,000

CONVERTIBLE_NOTES_Tables

CONVERTIBLE NOTES (Tables)	6 Months Ended
CONVERTIBLE NOTES (Tables)	Aug. 31, 2014
Convertible Notes Tables	'
Computation of loss on extinguishment	'
	Fair value of Amended 2013 Notes (1)	$	1,243,482
	Fair value of non-cash consideration issued to the creditor (2)		269,707
	Reacquisition price		1,513,189
	Carrying value of the debt at modification		1,480,336
	Loss on extinguishment	$	32,853

NET_LOSS_PER_SHARE_Tables

NET LOSS PER SHARE (Tables)	6 Months Ended
NET LOSS PER SHARE (Tables)	Aug. 31, 2014
Accounting Policies [Abstract]	'
Anti-dilutive securities	'
		August 31,		August 31,
		2014		2013
	Stock options		2,580,000		1,940,000
	Warrants		6,392,355		2,810,554
	Convertible notes		-		620,572
	Total		8,972,355		5,371,126

DESCRIPTION_OF_BUSINESS_AND_GO1

DESCRIPTION OF BUSINESS AND GOING CONCERN (Details Narrative) (USD $)	6 Months Ended
	Aug. 31, 2014	Feb. 28, 2014
Description Of Business And Going Concern Details Narrative	'	'
Date of incorporation	28-Mar-07	'
Going Concern	'	'
Accumulated deficit	($16,263,799)	($10,727,675)

EQUITY_Details_Narrative

EQUITY (Details Narrative) (USD $)	3 Months Ended	6 Months Ended
EQUITY (Details Narrative) (USD $)	Aug. 31, 2014	Aug. 31, 2014	Aug. 31, 2013
Second Closing [Member]	'	'	'
Common stock issued	'	188,182	'
Net Proceeds from sale of stock	'	$207,000	'
Advisory And Clinical [Member]	'	'	'
Restricted stock issued	'	153,013	'
Director [Member]	'	'	'
Common stock issued	'	150,000	'
Achievement goal	'	5,000,000	'
Fair value	'	375,000	'
Consultant and Advisor [Member]	'	'	'
Common stock issued	'	100,000	'
Fair value	'	250,000	'
Stock compensation expense	'	250,000	0
Consultant [Member]	'	'	'
Common stock issued	'	50,000	12,000
Fair value	'	67,500	34,200
Stock compensation expense	33,750	67,500	0
Consultant 2 [Member]	'	'	'
Common stock issued	'	250,000	'
Fair value	'	285,025	'
Stock compensation expense	95,000	'	'
Accredited Investor [Member]	'	'	'
Common stock issued	'	4,714,025	'
Preferred stock issued	'	500,000	'
Conversion ratio	'	'1-to-1 ratio	'
Gross Proceeds from sale of stock	'	5,735,427	'
Proceeds from conversion of outstanding convertible notes	'	4,092,427	'
Principal amount of notes converted	'	3,357,000	'
Net Proceeds from sale of stock	'	1,643,000	'
Fees payable to investor	'	100,000	'
Proceeds expected	'	1,000,000	'
Director 2 [Member]	'	'	'
Common stock issued	'	162,500	'
Fair value	'	147,875	'
Stock compensation expense	$147,875	$147,875	'

STOCK_OPTIONS_Details

STOCK OPTIONS (Details) (USD $)	6 Months Ended
STOCK OPTIONS (Details) (USD $)	Aug. 31, 2014
Options Outstanding	'
Outstanding at Beginning of Period	2,680,000
Forfeited	100,000
Outstanding and expected to vest at End of Period	2,580,000
Exercisable at End of period	2,030,000
Weighted Average Exercise Price	'
Outstanding at Beginning of Period	$1.70
Granted	'
Exercised	'
Forfeited	$3.25
Expired	'
Outstanding and expected to vest at End of Period	$1.64
Exercisable at End of period	$1.69
Outstanding at Beginning of Period	'
Granted	'
Exercised	'
Forfeited	'
Expired	'
Outstanding and expected to vest at End of Period	'
Exercisable at End of period	'
Weighted Average Remaining Contractual Term	'
Forfeited	'8 years 7 months 6 days
Outstanding and expected to vest at End of Period	'8 years 3 months 3 days
Exercisable at End of period	'8 years 3 days

STOCK_OPTIONS_Details_Narrativ

STOCK OPTIONS (Details Narrative) (USD $)

6 Months Ended

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

Aug. 31, 2014

Feb. 28, 2014

Aug. 31, 2014

Aug. 31, 2013

Aug. 31, 2014

Aug. 31, 2013

Aug. 31, 2014

Aug. 31, 2013

Aug. 31, 2014

Aug. 31, 2013

Aug. 31, 2014

Option $3.25 (1) [Member]

Option $3.25 (2) [Member]

Non-Employee Options [Member]

Employee Stock Option [Member]

Director Options [Member]

Option $0.68 [Member]

Option $1.50 (2) [Member]

Stock options issued

300,000

523,500

Stock options vested

220,000

90,000

Stock options cancelled

100,000

Stock option price per share

$3.25

Stock options fair value

$632,794

$969,309

$232,000

$127,000

Stock option discount rate

0.68%

2.47%

Stock option expected term

'8 years 3 days

'5 years 3 months

'9 years 8 months 23 days

Stock option expected volatility

129.00%

126.00%

Stock option expected dividends

Stock option expense

158,199

316,398

219,498

530,312

232,000

72,000

Outstanding options exercisable/vested

$1.64

$1.70

$1,116,500

$190,000

Outstanding options price per share

$1.69

$0.68

$1.50

Outstanding options weighted average life

'7 years 4 months 9 days

'9 years 3 months 18 days

Outstanding options not yet vested

550,000

Outstanding options weighted average life, Nonvested

'9 years 3 months 18 days

Unrecognized compensation expense

$270,274

$142,000

Unmeasured compensation shares

550,000

WARRANTS_Details

WARRANTS (Details) (Warrant [Member], USD $)	6 Months Ended
WARRANTS (Details) (Warrant [Member], USD $)	Aug. 31, 2014	Aug. 31, 2013
Warrant [Member]	'	'
Warrants Outstanding	'	'
Outstanding at Beginning of Period	3,146,355	6,392,355
Issued	3,246,000	'
Outstanding at End of Period	6,392,355	6,392,355
Weighted Average Exercise Price	'	'
Outstanding at Beginning of Period	$1.24	$1.37
Issued	$1.50	'
Outstanding at End of Period	$1.37	$1.37
Average Intrensic Value	'	'
Outstanding at Beginning of Period	'	'
Issued	'	'
Outstanding at End of Period	'	'
Weighted Average Remaining Contractual Term	'	'
Issued	'3 years 10 months 17 days	'
Outstanding at End of Period	'3 years 2 months 4 days	'

WARRANTS_Details_1

WARRANTS (Details 1) (USD $)	Aug. 31, 2014	Feb. 28, 2014	Aug. 31, 2014	Aug. 31, 2014	Aug. 31, 2014	Aug. 31, 2014	Aug. 31, 2014	Aug. 31, 2014	Aug. 31, 2014
WARRANTS (Details 1) (USD $)	Aug. 31, 2014	Feb. 28, 2014	WarrantExercisableOne [Member]	WarrantExercisableTwo [Member]	WarrantExercisableThree [Member]	WarrantExercisable Four [Member]	WarrantExercisable Five [Member]	WarrantExercisableSix [Member]	WarrantExercisableSeven [Member]
Exercise prices	$1.64	$1.70	$0.68	$0.91	$1.40	$1.50	$2.10	$2.50	$3
Number of shares	2,580,000	2,680,000	220,000	1,497,124	786,250	3,371,000	472,001	25,980	20,000
Weighted average remaining life (years)	'	'	'2 years 2 months 16 days	'2 years 5 months 1 day	'1 year 11 months 27 days	'3 years 9 months 4 days	'3 years 5 months 5 days	'3 years 4 months 13 days	'2 years 5 months 1 day
Exercisable number of shares	'	'	220,000	1,497,124	786,250	3,371,000	172,001	25,980	20,000

WARRANTS_Details_Narrative

WARRANTS (Details Narrative) (USD $)	6 Months Ended
WARRANTS (Details Narrative) (USD $)	Aug. 31, 2014	Aug. 31, 2013
Expected dividends	$127,289	$199,234
Warrant Issuance 1 [Member]	'	'
Granted Warrants	25,000	'
Exercise prices	$2.10	'
Warrant expiration date	4-Mar-19	'
Warrant Issuance 2 [Member]	'	'
Granted Warrants	155,000	'
Exercise prices	$1.50	'
Warrant expiration date	26-Jun-19	'
Warrant Issuance 3 [Member]	'	'
Granted Warrants	3,066,000	'
Exercise prices	$1.50	'
Warrant expiration date	30-Jun-18	'
Placement Agent [Member]	'	'
Granted Warrants	'	8,480
Warrant term	'	'5 years
Fair value	'	25,498
Discount rate	'	74.00%
Expected volatility	'	134.00%
Expected dividends	'	$0
Warrant [Member]	'	'
Granted Warrants	'	70,000
Exercise prices	'	$3
Warrant expiration date	'	14-May-17

CONVERTIBLE_NOTES_Details

CONVERTIBLE NOTES (Details) (USD $)	6 Months Ended
CONVERTIBLE NOTES (Details) (USD $)	Aug. 31, 2014
Convertible Notes Details	'
Fair value of Amended 2013 Notes	$1,243,482
Fair value of non-cash consideration issued to the creditor	269,707
Reacquisition price	1,513,189
Carrying value of the debt at modification	1,480,336
Loss on extinguishment	$32,853

CONVERTIBLE_NOTES_Details_Narr

CONVERTIBLE NOTES (Details Narrative) (USD $)	6 Months Ended
CONVERTIBLE NOTES (Details Narrative) (USD $)	Aug. 31, 2014	Aug. 31, 2013
Loss on extinguishment of debt	($1,480,336)	'
Debt discount due to beneficial conversion feature	173,035	545,354
Accretion	159,647	'
Accretion - discount	379,672	363,306
Principal repaid	100,000	'
Accrued interest	201,000	'
Loss on extinguishment	32,853	'
Automatic conversion of convertible promissory notes	3,357,000	'
Beneficial conversion expense	2,324,760	'
Detachable warrants weighted average fair value	127,289	199,234
2013 Notes (1) [Member]	'	'
Convertible promissory notes issued	1,487,000	'
Convertible note interest rate	8.00%	'
Gross proceeds minimum aggregate	3,500,000	'
Per security price of securities sold in Qualified Financing	$1.15	'
Conversion price right	$2.50	'
The 2013 Notes (2) [Member]	'	'
Convertible promissory notes issued	148,700	'
Warrant exercise price	$3	'
Expected term	'4 years	'
Gross proceeds minimum aggregate	3,500,000	'
Per security price of securities sold in Qualified Financing	$1.15	'
Conversion price right	$2.50	'
The 2013 Notes (3) [Member]	'	'
Convertible promissory notes issued	1,387,000	'
Warrant exercise price	$3	'
Amended exercise price	$2.10	'
Amended note principal balance	128,700	'
Shares issued pursuant to amendment	92,468	'
Loss on extinguishment of debt	32,853	'
Expected term	'4 years	'
Principal repaid	100,000	'
Accrued interest	8,828	'
Amended conversion price	$1.50	'
2014 Notes (1) [Member]	'	'
Convertible promissory notes issued	500,000	'
Convertible note interest rate	8.00%	'
Warrants issued	83,333	'
Warrant exercise price	$2.10	'
Gross proceeds minimum aggregate	3,500,000	'
Per security price of securities sold in Qualified Financing	$1.15	'
Conversion price right	$1.50	'
The 2014 Notes (2) [Member]	'	'
Convertible promissory notes issued	855,000	'
Convertible note interest rate	8.00%	'
Warrants issued	142,500	'
Warrant exercise price	$2.10	'
Gross proceeds minimum aggregate	5,000,000	'
Per security price of securities sold in Qualified Financing	$1.15	'
Conversion price right	$1.50	'
Additional Notes [Member]	'	'
Convertible promissory notes issued	150,000	'
Warrants issued	25,000	'
Warrant exercise price	$2.10	'
Gross proceeds minimum aggregate	5,000,000	'
Per security price of securities sold in Qualified Financing	$1.15	'
Conversion price right	$1.50	'
May 2014 Notes [Member]	'	'
Convertible promissory notes issued	65,000	'
Convertible note interest rate	8.00%	'
Warrants issued	155,000	'
Warrant exercise price	$1.50	'
Gross proceeds minimum aggregate	$5,000,000	'
Per security price of securities sold in Qualified Financing	$1.15	'

EQUIPMENT_Details_Narrative

EQUIPMENT (Details Narrative) (USD $)	6 Months Ended
EQUIPMENT (Details Narrative) (USD $)	Aug. 31, 2014
Property, Plant and Equipment [Abstract]	'
Microscope purchase price	$318,603
Down payment for microscope	21,115
Monthly payment	10,260
Number of payments	36
Security deposit	$238,952

SECURITES_HELD_FOR_SALES_AND_D1

SECURITES HELD FOR SALES AND DUE TO INVESTOR (Details Narrative) (USD $)	1 Months Ended	6 Months Ended
	Oct. 14, 2014	Aug. 31, 2014	Aug. 31, 2013	Feb. 28, 2014
Notes to Financial Statements	'	'	'	'
Shares received from Quantum	'	4,800,000	'	'
Proceed minimum	'	$1,000,000	'	'
Receivable from investor	'	1,000,000	'	'
Fair value of consideration shares	'	1,344,000	'	'
Proceeds from sale of consideration shares	1,000,000	786,000	'	'
Fair value of unsold consideration shares	'	458,568	'	'
Consideration shares liability	'	245,000	'	'
(Decrease) in fair value of shares and liability	'	($99,000)	'	'

NET_LOSS_PER_SHARE_Details

NET LOSS PER SHARE (Details)	6 Months Ended
NET LOSS PER SHARE (Details)	Aug. 31, 2014	Aug. 31, 2013
Anti-dilutive securities	8,972,355	5,371,126
Stock Option [Member]	'	'
Anti-dilutive securities	2,580,000	1,940,000
Warrants [Member]	'	'
Anti-dilutive securities	6,392,355	2,810,554
Convertible Note [Member]	'	'
Anti-dilutive securities	'	620,572

NET_LOSS_PER_SHARE_Details_Nar

NET LOSS PER SHARE (Details Narrative)	6 Months Ended
NET LOSS PER SHARE (Details Narrative)	Aug. 31, 2014	Aug. 31, 2013
Anti-dilutive securities	8,972,355	5,371,126
Restricted Stock [Member]	'	'
Anti-dilutive securities	303,153	'

COMMITMENT_Details_Narrative

COMMITMENT (Details Narrative) (USD $)	6 Months Ended
COMMITMENT (Details Narrative) (USD $)	Aug. 31, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Lease term	'2 years
Lease expiration date	31-Aug-16
Monthly rent payment, year one	$10,280
Monthly rent payment, year two	10,588
Security deposit	$40,000

SUBSEQUENT_EVENTS_Details_Narr

SUBSEQUENT EVENTS (Details Narrative) (USD $)

1 Months Ended

6 Months Ended

1 Months Ended

Oct. 14, 2014

Aug. 31, 2014

Aug. 31, 2013

Oct. 15, 2014

Oct. 14, 2014

Schneiderman [Member]

Gustavson [Member]

Spoor [Member]

Siegel [Member]

Epstein [Member]

Berman [Member]

Mooney [Member]

Lau [Member]

Lincoln Park Capital Purchase Agreement

Minimum [Member]

Maximum [Member]

Consideration shares sold

3,730,695

30,000

100,000

Proceeds from sale of consideration shares

$1,000,000

$786,000

Unsold shares to be returned to investor

1,069,305

LPC Purchase Agreement Conditions, sale of Common Stock

3,730,695

30,000

100,000

Regular Purchase closing sale price

500,000

Initial Commitment Shares issued

200,000

Additional possible shares to be issued

400,000

Amount to be invested by Licensee per Amended MOU

1,000,000

Preferred stock equity investment

1,000,000

Licensee costs and expenses responsibility, per month

50,000

Licensee reimbursement costs paid to Company

150,000

Initial Licensee equity investment

250,000

Compensation shares

300,000

40,000

150,000

Vested shares

200,000

50,000

Compensation shares 2

20,000

64,935

Exercise price

$1.10

Cash compensation

$50,000