Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Dec. 31, 2019 | Feb. 07, 2020 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Citius Pharmaceuticals, Inc. | |
Entity Central Index Key | 0001506251 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --09-30 | |
Document Type | 10-Q | |
Document Period End Date | Dec. 31, 2019 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2020 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Shell Company | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 31,493,389 | |
Entity File Number | 001-38174 | |
Entity Interactive Data Current | Yes | |
Entity Incorporation State Country Code | NV |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) | Dec. 31, 2019 | Sep. 30, 2019 |
Current Assets: | ||
Cash and cash equivalents | $ 2,779,650 | $ 7,893,804 |
Prepaid expenses | 55,747 | 48,111 |
Total Current Assets | 2,835,397 | 7,941,915 |
Property and equipment, net | 413 | 590 |
Operating lease right-of-use asset, net | 1,103,155 | |
Other Assets: | ||
Deposits | 57,093 | 57,093 |
In-process research and development | 19,400,000 | 19,400,000 |
Goodwill | 1,586,796 | 1,586,796 |
Total Other Assets | 21,043,889 | 21,043,889 |
Total Assets | 24,982,854 | 28,986,394 |
Current Liabilities: | ||
Accounts payable | 1,547,261 | 2,713,542 |
Accrued expenses | 209,118 | 246,225 |
Accrued compensation | 1,475,983 | 1,400,688 |
Accrued interest - related parties | 78,288 | 74,297 |
Notes payable - related parties | 172,970 | 172,970 |
Operating lease liability | 146,244 | |
Total Current Liabilities | 3,629,864 | 4,607,722 |
Operating lease liability - non current | 976,198 | |
Total Liabilities | 4,606,062 | 4,607,722 |
Commitments and Contingencies | ||
Stockholders' Equity: | ||
Preferred stock - $0.001 par value; 10,000,000 shares authorized; no shares issued and outstanding | ||
Common stock - $0.001 par value; 200,000,000 shares authorized; 30,177,674 and 28,930,493 shares issued and outstanding at December 31, 2019 and September 30, 2019, respectively | 30,178 | 28,930 |
Additional paid-in capital | 80,488,966 | 80,169,724 |
Accumulated deficit | (60,142,352) | (55,819,982) |
Total Stockholders' Equity | 20,376,792 | 24,378,672 |
Total Liabilities and Stockholders' Equity | $ 24,982,854 | $ 28,986,394 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Dec. 31, 2019 | Sep. 30, 2019 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | ||
Preferred stock, shares outstanding | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 30,177,674 | 28,930,493 |
Common stock, shares outstanding | 30,177,674 | 28,930,493 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Statement [Abstract] | ||
Revenues | ||
Operating Expenses | ||
Research and development | 2,664,546 | 2,113,101 |
General and administrative | 1,562,995 | 1,588,124 |
Stock-based compensation - general and administrative | 220,384 | 171,249 |
Total Operating Expenses | 4,447,925 | 3,872,474 |
Operating Loss | (4,447,925) | (3,872,474) |
Other Income (Expense) | ||
Other income | 110,207 | |
Interest income | 19,339 | 1,747 |
Interest expense | (3,991) | (4,003) |
Total Other Income (Expense), Net | 125,555 | (2,256) |
Net Loss | $ (4,322,370) | $ (3,874,730) |
Net Loss Per Share - Basic and Diluted | $ (0.15) | $ (0.22) |
Weighted Average Common Shares Outstanding | ||
Basic and diluted | 29,197,980 | 17,764,008 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) | Preferred Stock | Common Stock | Additional Paid-In Capital | Accumulated Deficit | Total |
Balance at Sep. 30, 2018 | $ 16,199 | $ 68,107,323 | $ (40,257,838) | ||
Balance, shares at Sep. 30, 2018 | 16,198,791 | ||||
Issuance of common stock upon exercise of warrants | $ 1,600 | 14,400 | $ 16,000 | ||
Issuance of common stock upon exercise of warrants, shares | 1,600,000 | ||||
Stock-based compensation expense | 171,249 | 171,249 | |||
Net loss | (3,874,730) | (3,874,730) | |||
Balance at Dec. 31, 2018 | $ 17,799 | 68,292,972 | (44,132,568) | 24,178,203 | |
Balance, shares at Dec. 31, 2018 | 17,798,791 | ||||
Balance at Sep. 30, 2019 | $ 28,930 | 80,169,724 | (55,819,982) | 24,378,672 | |
Balance, shares at Sep. 30, 2019 | 28,930,493 | ||||
Issuance of common stock upon exercise of warrants | $ 1,061 | (955) | 106 | ||
Issuance of common stock upon exercise of warrants, shares | 1,060,615 | ||||
Issuance of common stock for services | $ 187 | 99,813 | 100,000 | ||
Issuance of common stock for services, shares | 186,566 | ||||
Stock-based compensation expense | 220,384 | 220,384 | |||
Net loss | (4,322,370) | (4,322,370) | |||
Balance at Dec. 31, 2019 | $ 30,178 | $ 80,488,966 | $ (60,142,352) | $ 20,376,792 | |
Balance, shares at Dec. 31, 2019 | 30,177,674 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash Flows From Operating Activities: | ||
Net loss | $ (4,322,370) | $ (3,874,730) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Stock-based compensation expense | 220,384 | 171,249 |
Issuance of common stock for services | 100,000 | |
Amortization of operating lease right-of-use asset | 34,569 | |
Depreciation | 177 | 235 |
Changes in operating assets and liabilities: | ||
Other receivables | 818,343 | |
Prepaid expenses | (7,636) | 11,109 |
Accounts payable | (1,166,281) | 509,988 |
Accrued expenses | (37,107) | 18,773 |
Accrued compensation | 75,295 | 182,500 |
Accrued interest - related parties | 3,991 | 4,003 |
Operating lease liability | (15,282) | |
Net Cash Used In Operating Activities | (5,114,260) | (2,158,530) |
Cash Flows From Financing Activities: | ||
Proceeds from common stock warrant exercises | 106 | 16,000 |
Net Cash Provided By Financing Activities | 106 | 16,000 |
Net Change in Cash and Cash Equivalents | (5,114,154) | (2,142,530) |
Cash and Cash Equivalents - Beginning of Period | 7,893,804 | 9,184,003 |
Cash and Cash Equivalents - End of Period | 2,779,650 | 7,041,473 |
Supplemental Disclosures Of Cash Flow Information and Non-cash Activities: | ||
Operating lease right-of-use asset and liability recorded upon adoption of ASC 842 | $ 1,137,724 |
Nature of Operations, Basis of
Nature of Operations, Basis of Presentation and Summary of Significant Accounting Policies | 3 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
NATURE OF OPERATIONS, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 1. NATURE OF OPERATIONS, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Business Citius Pharmaceuticals, Inc. ("Citius" or the "Company") is a specialty pharmaceutical company dedicated to the development and commercialization of critical care products targeting important medical needs with a focus on anti-infective products in adjunct cancer care and unique prescription products. On March 30, 2016, Citius acquired Leonard-Meron Biosciences, Inc. ("LMB") as a wholly-owned subsidiary. The Company acquired all of the outstanding stock of LMB by issuing shares of its common stock. The net assets acquired included identifiable intangible assets of $19,400,000 related to in-process research and development. The Company recorded goodwill of $1,586,796 for the excess of the purchase price over the net assets. In-process research and development represents the value of LMB's leading drug candidate which is an antibiotic solution used to treat catheter-related bloodstream infections (Mino-Lok®) and is expected to be amortized on a straight-line basis over a period of eight years commencing upon revenue generation. Goodwill represents the value of LMB's industry relationships and its assembled workforce. Goodwill will not be amortized but will be tested at least annually for impairment. Citius is subject to a number of risks common to companies in the pharmaceutical industry including, but not limited to, risks related to the development by Citius or its competitors of research and development stage product candidates, market acceptance of its product candidates that might be approved, competition from larger companies, dependence on key personnel, dependence on key suppliers and strategic partners, the Company's ability to obtain additional financing and the Company's compliance with governmental and other regulations. Basis of Presentation and Summary of Significant Accounting Policies Basis of Preparation The accompanying unaudited condensed consolidated financial statements of the Company have been prepared on the same basis as the annual consolidated financial statements and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary to fairly state the condensed consolidated financial position of the Company as of December 31, 2019, the results of its operations and cash flows for the three-month periods ended December 31, 2019 and 2018, and are not necessarily indicative of the results that may be expected for the year ending September 30, 2020. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended September 30, 2019 filed with the Securities and Exchange Commission. Recently Adopted Accounting Standards In February 2016, the FASB issued Accounting Standards Update ("ASU") No. 2016-02, Leases (Topic 842). ASU 2016-02 requires a lessee to record a right-of-use asset and a corresponding lease liability, initially measured at the present value of the lease payments, on the balance sheet for all leases with terms longer than 12 months, as well as the disclosure of key information about leasing arrangements. Leases will be classified as either finance leases or operating leases, with classification affecting the pattern of expense recognition in the statement of operations. In January, July and December 2018, the FASB issued ASU No's. 2018-01, 2018-10, 2018-11, 2018-20 and 2019-01, which were targeted improvements to ASU No. 2016-02 (collectively, with ASU No. 2016-02, "ASC 842") and provided entities with an additional (and optional) transition method to adopt the new lease standard, and provided clarifications to address potential narrow-scope implementation issues. The Company adopted ASU 2016-02 effective October 1, 2019 and elected the optional transition method for adoption. The Company also took advantage of the transition package of practical expedients permitted within ASU 2016-02, which among other things, allowed it to carryforward historical lease classifications. The Company also elected to keep leases with an initial term of 12 months or less off of the balance sheet as a policy election and will recognize those lease payments in the consolidated statements of operations on a straight-line basis over the lease term. As of the adoption date, the Company identified one operating lease arrangement in which it is a lessee. The adoption of this ASU resulted in the recognition of a right-of-use asset and lease liability of $1,137,724. In June 2018, the FASB issued ASU No. 2018-07, Compensation - Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting which is intended to reduce cost and complexity and to improve financial reporting for nonemployee share-based payments. The amendment is effective for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. The Company adopted ASU 2018-07 on October 1, 2019 and it did not have a material effect on the Company's financial position, results of operations or disclosures. There have been no other recently issued accounting pronouncements that have had or are expected to have a material impact on the Company's consolidated financial statements. Use of Estimates Basic and Diluted Net Loss per Common Share |
Going Concern Uncertainty and M
Going Concern Uncertainty and Management's Plan | 3 Months Ended |
Dec. 31, 2019 | |
Going Concern Uncertainty and Management's Plan [Abstract] | |
GOING CONCERN UNCERTAINTY AND MANAGEMENT'S PLAN | 2. GOING CONCERN UNCERTAINTY AND MANAGEMENT'S PLAN The accompanying condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company experienced negative cash flows from operations of $5,114,260 for the three months ended December 31, 2019. The Company has generated no operating revenue to date and has principally raised capital through the issuance of debt and equity instruments to finance its operations. At December 31, 2019, the Company had a working capital deficit of $794,467. The Company estimates cash resources, including proceeds in January 2020 from the cash exercise of warrants issued in September 2019, will be sufficient to fund its operations into the third quarter of fiscal year 2020. This raises substantial doubt about the Company's ability to continue as a going concern. The Company plans to raise capital through equity financings from outside investors as well as raise additional funds from existing investors and continued borrowings under related party debt agreements. There is no assurance, however, that the Company will be successful in raising the needed capital and, if funding is available, that it will be available in amounts sufficient for and on terms acceptable to the Company. The accompanying condensed consolidated financial statements do not include any adjustments that might result from the outcome of the above uncertainty. |
Patent and Technology License A
Patent and Technology License Agreements | 3 Months Ended |
Dec. 31, 2019 | |
Patent and Technology License Agreements [Abstract] | |
PATENT AND TECHNOLOGY LICENSE AGREEMENTS | 3. PATENT AND TECHNOLOGY LICENSE AGREEMENTS Patent and Technology License Agreement – Mino-Lok LMB has a patent and technology license agreement with Novel Anti-Infective Therapeutics, Inc. ("NAT") to develop and commercialize Mino-Lok® on an exclusive, worldwide sub licensable basis, as amended. LMB pays an annual maintenance fee each June until commercial sales of a product subject to the license commence. The annual fee paid in June 2019 was $90,000 (at which level it will remain for as long as it is due) and the annual fee paid in June 2018 was $75,000. LMB will also pay annual royalties on net sales of licensed products, with royalties ranging from the mid-single digits to the low double digits or, in the event the licensed product is not subject to a valid patent claim, the royalty is reduced to mid- to lower-single digits. In limited circumstances in which the licensed product is not subject to a valid patent claim and a competitor is selling a competing product, the royalty rate is in the low single digits. After a commercial sale is obtained, LMB must pay minimum aggregate annual royalties of $100,000 in the first commercial year which is prorated for a less than 12-month period, increasing $25,000 per year to a maximum of $150,000 annually. LMB must also pay NAT up to $1,100,000 upon achieving specified regulatory and sales milestones. Finally, LMB must pay NAT a specified percentage of payments received from any sub licensees. Unless earlier terminated by NAT, based on the failure by the Company to achieve certain development and commercial milestones or for various breaches by the Company, the license agreement remains in effect until the date that all patents licensed under the agreement have expired and all patent applications within the licensed patent rights have been cancelled, withdrawn or expressly abandoned. Patent and Technology License Agreement – Mino-Wrap On January 2, 2019, we entered into a patent and technology license agreement with the Board of Regents of the University of Texas System on behalf of the University of Texas M. D. Anderson Cancer Center ("Licensor"), whereby we in-licensed exclusive worldwide rights to the patented technology for any and all uses relating to breast implants. We intend to develop a liquefying gel-based wrap containing minocycline and rifampin for the reduction of infections associated with breast implants following breast reconstructive surgeries ("Mino-Wrap"). We are required to use commercially reasonable efforts to commercialize Mino-Wrap under several regulatory scenarios and achieve milestones associated with these regulatory options leading to an approval from the U.S. Food and Drug Administration ("FDA"). Under the license agreement, the Company paid a nonrefundable upfront payment of $125,000 which was recorded as research and development expense during the year ended September 30, 2019. We are obligated to pay an annual maintenance fee of $30,000, commencing in January 2020, which increases annually by $15,000 per year up to a maximum of $90,000. Annual maintenance fees cease on the first sale of product. We also must pay up to an aggregate of $2.1 million in milestone payments, contingent on the achievement of various regulatory and commercial milestones. Under the terms of the license agreement, we also must pay a royalty of mid- to upper-single digit percentages of net sales, depending on the amount of annual sales, and subject to downward adjustment to lower- to mid-single digit percentages in the event there is no valid patent for the product in the United States at the time of sale. After the first sale of product, we will owe an annual minimum royalty payment of $100,000 that will increase annually by $25,000 for the duration of the term. We will be responsible for all patent expenses incurred by Licensor for the term of the agreement although Licensor is responsible for filing, prosecution and maintenance of all patents. Unless earlier terminated by Licensor, based upon the failure by us to achieve certain development and commercial milestones or for various breaches by us, the agreement expires on the later of the expiration of the patents or January 2, 2034. |
Notes Payable - Related Parties
Notes Payable - Related Parties | 3 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
NOTES PAYABLE - RELATED PARTIES | 4. NOTES PAYABLE – RELATED PARTIES The aggregate principal balance as of December 31, 2019 consists of notes payable held by our Chairman, Leonard Mazur, in the amount of $160,470 and notes payable held by our Chief Executive Officer, Myron Holubiak, in the amount of $12,500. Notes with an aggregate principal balance of $104,000 accrue interest at the prime rate plus 1.0% per annum and notes with an aggregate principal balance of $68,970 accrue interest at 12% per annum. Interest expense on notes payable – related parties was $3,991 and $4,003, respectively, for the three months ended December 31, 2019 and 2018. |
Common Stock, Stock Options and
Common Stock, Stock Options and Warrants | 3 Months Ended |
Dec. 31, 2019 | |
Stockholders' Equity Note [Abstract] | |
COMMON STOCK, STOCK OPTIONS AND WARRANTS | 5. COMMON STOCK, STOCK OPTIONS AND WARRANTS Registered Direct/Private Placement Offerings On April 3, 2019, the Company closed a registered direct offering with several institutional and accredited investors for the sale of 3,430,421 shares of common stock at $1.545 per share for gross proceeds of $5,300,001. Simultaneously, the Company also privately sold and issued 3,430,421 immediately exercisable two-year unregistered warrants to the investors with an exercise price of $1.42 per share. The Company paid the placement agent for the offering a fee of 7% of the gross proceeds totaling $371,000 and issued the placement agent 240,130 immediately exercisable two-year warrants with an exercise price of $1.93125 per share. The Company also reimbursed the placement agent for $85,000 in expenses and incurred $10,000 in other expenses. Net proceeds from the offering were $4,834,001. The estimated fair value of the 3,430,421 warrants issued to the investors was $2,709,467 and the estimated fair value of the 240,130 warrants issued to the placement agent was $169,854. On September 27, 2019, Citius closed an underwritten at-the-market offering of (i) 6,760,615 units, each unit consisting of one share of common stock and one immediately exercisable five-year warrant to purchase one share at $0.77 per share, and (ii) 1,060,615 pre-funded units, each pre-funded unit consisting of one pre-funded warrant to purchase one share and one immediately exercisable five-year warrant to purchase one share at $0.77 per share. The pre-funded warrants included in the pre-funded units are immediately exercisable at a price of $0.0001 per share and do not expire. The offering price was $0.8951 per unit and $0.895 per pre-funded unit. The net proceeds of the offering were $6,290,335. The Company issued the underwriter immediately exercisable five-year warrants to purchase up to 547,486 shares at $1.118875 per share with an estimated fair value of $323,414. The estimated fair value of the 1,060,615 pre-funded warrants was $809,145, and the estimated fair value of the 7,821,230 warrants included in the units and the pre-funded units issued to the investors was $4,845,341. Common Stock Issued for Services On February 13, 2019, the Company issued 125,000 shares of common stock for investor relations services and expensed the $117,500 fair value of the common stock issued. On September 16, 2019, the Company issued 94,097 shares of common stock for investor relations services and expensed the $94,097 fair value of the common stock issued. On November 4, 2019, the Company issued 186,566 shares of common stock for strategic consulting and corporate development services and expensed the $100,000 fair value of the common stock issued. Stock Option Plans Pursuant to its 2014 Stock Incentive Plan (the "2014 Plan") the Company reserved 866,667 shares of common stock for issuance to employees, directors and consultants. The Board of Directors (or committees and/or executive officers delegated by the Board of Directors) may grant stock options, stock appreciation rights, restricted stock, restricted stock units, other stock-based awards and cash-based awards under the 2014 Plan. As of December 31, 2019, there were options to purchase an aggregate of 861,838 shares of common stock outstanding under the 2014 Plan, options to purchase 4,829 shares were exercised, and no shares remain available for future grants. On February 7, 2018, our stockholders approved the 2018 Omnibus Stock Incentive Plan (the "2018 Plan") and the Company reserved 2,000,000 shares of common stock for issuance to employees, directors and consultants. Pursuant to the 2018 Plan, the Board of Directors (or committees and/or executive officers delegated by the Board of Directors) may grant stock options, stock appreciation rights, restricted stock, restricted stock units, other stock-based awards and cash-based awards. As of December 31, 2019, there were options to purchase an aggregate of 1,890,000 shares of common stock outstanding under the 2018 Plan and 110,000 shares available for future grants. The fair value of each stock option award is estimated on the date of grant using the Black-Scholes option pricing model. Due to its limited operating history and limited number of sales of its common stock, the Company estimated its volatility in consideration of a number of factors including the volatility of comparable public companies through December 31, 2018. Since January 1, 2019, the Company has estimated its volatility using the trading activity of its common stock. The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant commensurate with the expected term assumption. The expected term of stock options granted, all of which qualify as "plain vanilla," is based on the average of the contractual term (generally 10 years) and the vesting period. For non-employee options, the expected term is the contractual term. A summary of option activity under the 2014 Plan and 2018 Plan is presented below: Option Weighted- Weighted- Aggregate Outstanding at October 1, 2019 1,771,039 $ 4.03 Granted 980,799 0.67 Exercised — — Forfeited or expired — — Outstanding at December 31, 2019 2,751,838 $ 2.831 8.3 years $ 416,892 Exercisable at December 31, 2019 1,199,509 $ 5.18 6.9 years $ 67,461 On October 8, 2019, the Board of Directors granted stock options to purchase a total of 705,799 shares to employees, 125,000 shares to directors and 125,000 shares to consultants at $0.67 per share. On October 28, 2019, the Board of Directors granted stock options to purchase a total of 25,000 shares to a consultant at $0.55 per share. All of these options vest over terms of 12 to 36 months and have a term of 10 years. Stock-based compensation expense for the three months ended December 31, 2019 and 2018 was $220,384 and $171,249, respectively. At December 31, 2019, unrecognized total compensation cost related to unvested awards of $1,208,053 is expected to be recognized over a weighted average period of 1.9 years. Warrants As of December 31, 2019, the Company has reserved shares of common stock for the exercise of outstanding warrants. The following table summarizes the warrants outstanding: Exercise Number Expiration Dates Investor Warrants $ 9.00 202,469 March 19, 2020 – September 14, 2020 Investor Warrants 9.00 307,778 November 5, 2020 – April 25, 2021 LMB Warrants 6.15 38,771 November 20, 2020 – March 2, 2021 LMB Warrants 9.90 4,985 January 8, 2020 LMB Warrants 20.70 2,668 March 6, 2020 LMB Warrants 7.50 73,883 August 18, 2020 – March 14, 2021 LMB Warrants 7.50 53,110 March 24, 2022 – April 29, 2022 Financial Advisor Warrants 3.00 25,833 August 15, 2021 2016 Offering Warrants 4.13 140,819 November 23, 2021 – February 27, 2022 2017 Public Offering Warrants 4.13 1,622,989 August 2, 2022 2017 Public Offering Underwriter Warrants 4.54 65,940 February 2, 2023 December 2017 Registered Direct/Private Placement Offering Investor Warrants 4.63 640,180 June 19, 2023 December 2017 Registered Direct/Private Placement Offering Placement Agent Warrants 5.87 89,625 December 19, 2022 March 2018 Registered Direct/Private Placement Offering Investor Warrants 2.86 669,504 October 2, 2023 March 2018 Registered Direct/Private Placement Offering Placement Agent Warrants 3.73 46,866 March 28, 2023 August 2018 Offering Investor Warrants 1.15 7,843,138 August 14, 2023 August 2018 Offering Agent Warrants 1.59 549,020 August 8, 2023 April 2019 Registered Direct/Private Placement Offering Investor Warrants 1.42 3,430,421 April 5, 2021 April 2019 Registered Direct/Private Placement Offering Placement Agent Warrants 1.93 240,130 April 5, 2021 September 2019 Offering Investor Warrants 0.77 7,821,230 September 27, 2024 September 2019 Offering Underwriter Warrants 1.12 547,486 September 27, 2024 24,416,845 During the three months ended December 31, 2018, 1,600,000 of the August 2018 Offering Pre-Funded Unit Warrants were exercised at $0.01 per share for net proceeds of $16,000. During the three months ended December 31, 2019, 1,060,615 of the September 2019 Offering Pre-Funded Unit Warrants were exercised at $0.0001 per share for net proceeds of $106. At December 31, 2019, the weighted average remaining life of the outstanding warrants is 3.49 years, all warrants are exercisable, and the aggregate intrinsic value of the warrants outstanding was $1,955,308. Common Stock Reserved A summary of common stock reserved for future issuances as of December 31, 2019 is as follows: Stock plan options outstanding 2,751,838 Stock plan shares available for future grants 110,000 Warrants outstanding 24,416,845 Unit purchase options outstanding 201,334 Total 27,480,017 |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | 6. RELATED PARTY TRANSACTIONS Our Chairman of the Board, Leonard Mazur, was the cofounder and Vice Chairman of Akrimax Pharmaceuticals, LLC (“Akrimax”), a privately held pharmaceutical company specializing in producing cardiovascular and general pharmaceutical products. The Company leased office space from Akrimax through April 30, 2019 (see Note 7). The Company has outstanding debt due to Leonard Mazur (Chairman of the Board) and Myron Holubiak (Chief Executive Officer) (see Note 4). In connection with the April 2019 registered direct/private placement offering (See Note 5), Mr. Mazur purchased 1,165,048 shares of common stock at $1.545 per share and received 1,165,048 warrants with an exercise price of $1.42 per share, and Mr. Holubiak purchased 129,450 shares of common stock at $1.545 per share and received 129,450 warrants with an exercise price of $1.42 per share. The purchases were made on the same terms as for all other investors. In connection with the September 2019 offering (See Note 5), Mr. Mazur purchased 2,234,700 shares of common stock at $0.8951 per share and received 2,234,700 warrants exercisable at $0.77 per share, and Mr. Holubiak purchased 558,597 shares of common stock at $0.8951 per share and received 558,597 warrants exercisable at $0.77 per share. The purchases were made on the same terms as for all other investors. |
Operating Lease
Operating Lease | 3 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
OPERATING LEASE | 7. OPERATING LEASE LMB leased office space from Akrimax (see Note 6) in Cranford, New Jersey at a monthly rental rate of $2,167 pursuant to an agreement which expired on April 30, 2019. Rent expense for the three months ended December 31, 2018 was $6,501. Effective July 1, 2019, Citius entered into a 76-month lease for office space in Cranford, NJ. As of September 30, 2019, minimum future lease payments under non-cancellable leases (consisting of the Cranford lease only) were as follows: Year Ending September 30, 2020 $ 210,557 2021 234,447 2022 239,306 2023 244,165 2024 249,024 Thereafter 275,343 Total $ 1,452,842 Citius will also pay its proportionate share of real estate taxes and operating expenses in excess of the base year expenses. These costs are considered to be variable lease payments and are not included in the determination of the lease's right-of-use asset or lease liability. The Company identified and assessed the following significant assumptions in recognizing its right-of-use assets and corresponding lease liabilities: ● As the Company's current Cranford lease does not provide an implicit rate, the Company estimated the incremental borrowing rate in calculating the present value of the lease payments. The Company has estimated its incremental borrowing rate based on electing the remaining lease term as of the adoption date. ● Since the Company elected to account for each lease component and its associated non-lease components as a single combined component, all contract consideration was allocated to the combined lease component. ● The expected lease terms include noncancelable lease periods The elements of lease expense are as follows: Lease cost Three Months Operating lease cost $ 57,349 Short-term lease cost — Variable lease cost — Total lease cost $ 57,349 Other information Weighted-average remaining lease term - operating leases 5.8 Years Weighted-average discount rate - operating leases 8.0 % Maturities of lease liabilities due under the Company's current Cranford lease as of December 31, 2019 is as follows: Leases As of 2020 (excluding the 3 months ended December 31, 2019) $ 172,494 2021 234,447 2022 239,306 2023 244,165 2024 249,024 Thereafter 275,343 Total lease payments 1,414,779 Less: interest (292,337 ) Present value of lease liabilities $ 1,122,442 Leases Classification As of Assets Lease asset Operating $ 1,103,155 Total lease assets $ 1,103,155 Liabilities Current Operating $ 146,244 Non-current Operating 976,198 Total lease liabilities $ 1,122,442 Interest expense on the lease liability was $22,780 for the three months ended December 31, 2019. |
Fda Refund
Fda Refund | 3 Months Ended |
Dec. 31, 2019 | |
FDA Refund [Abstract] | |
FDA REFUND | 8. FDA REFUND In November 2019, the Company received an additional $110,207 refund from the FDA for 2016 product and establishment fees because the fees paid by the Company exceeded the costs of the FDA's review of the associated applications. The Company recorded the $110,207 as other income during the three months ended December 31, 2019. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Dec. 31, 2019 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 9. SUBSEQUENT EVENTS Nasdaq Listing On October 30, 2019, Citius had received notice from The Nasdaq Stock Market, ("NASDAQ"), indicating that, because the closing bid price for the common stock had fallen below $1.00 per share for 30 consecutive business days, the Company no longer complied with the $1.00 minimum bid price requirement for continued listing. On January 31, 2020, Citius received notice from NASDAQ stating that because the closing bid price of the Company's common stock was $1.00 per share or greater for 10 consecutive business days, the Company had regained compliance with the Listing Rule requirements of NASDAQ. Warrant Exercises In January 2020, investors who participated in the September 2019 Offering exercised 1,315,715 warrants to purchase 1,315,715 shares of common stock. The exercise price of each warrant was $0.77 per share resulting in net proceeds of $1,013,101 to the Company. Annual Meeting On February 10, 2020, the Company's stockholders approved the 2020 Omnibus Stock Incentive Plan ("2020 Stock Plan"). The 2020 Stock Plan authorizes a maximum of 3,110,000 shares. The 2020 Stock Plan provides incentives to employees, directors, and consultants of the Company in form of granting an option, SAR, dividend equivalent right, restricted stock, restricted stock unit, or other right or benefit under the 2020 Stock Plan. |
Nature of Operations, Basis o_2
Nature of Operations, Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Preparation | Basis of Preparation The accompanying unaudited condensed consolidated financial statements of the Company have been prepared on the same basis as the annual consolidated financial statements and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary to fairly state the condensed consolidated financial position of the Company as of December 31, 2019, the results of its operations and cash flows for the three-month periods ended December 31, 2019 and 2018, and are not necessarily indicative of the results that may be expected for the year ending September 30, 2020. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended September 30, 2019 filed with the Securities and Exchange Commission. |
Recently Adopted Accounting Standards | Recently Adopted Accounting Standards In February 2016, the FASB issued Accounting Standards Update ("ASU") No. 2016-02, Leases (Topic 842). ASU 2016-02 requires a lessee to record a right-of-use asset and a corresponding lease liability, initially measured at the present value of the lease payments, on the balance sheet for all leases with terms longer than 12 months, as well as the disclosure of key information about leasing arrangements. Leases will be classified as either finance leases or operating leases, with classification affecting the pattern of expense recognition in the statement of operations. In January, July and December 2018, the FASB issued ASU No's. 2018-01, 2018-10, 2018-11, 2018-20 and 2019-01, which were targeted improvements to ASU No. 2016-02 (collectively, with ASU No. 2016-02, "ASC 842") and provided entities with an additional (and optional) transition method to adopt the new lease standard, and provided clarifications to address potential narrow-scope implementation issues. The Company adopted ASU 2016- 02 effective October 1, 2019 and elected the optional transition method for adoption. The Company also took advantage of the transition package of practical expedients permitted within ASU 2016-02, which among other things, allowed it to carryforward historical lease classifications. The Company also elected to keep leases with an initial term of 12 months or less off of the balance sheet as a policy election and will recognize those lease payments in the consolidated statements of operations on a straight-line basis over the lease term. As of the adoption date, the Company identified one operating lease arrangement in which it is a lessee. The adoption of this ASU resulted in the recognition of a right-of-use asset and lease liability of $1,137,724. In June 2018, the FASB issued ASU No. 2018-07, Compensation - Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting which is intended to reduce cost and complexity and to improve financial reporting for nonemployee share-based payments. The amendment is effective for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. The Company adopted ASU 2018-07 on October 1, 2019 and it did not have a material effect on the Company's financial position, results of operations or disclosures. There have been no other recently issued accounting pronouncements that have had or are expected to have a material impact on the Company's consolidated financial statements. |
Use of Estimates | Use of Estimates |
Basic and Diluted Net Loss per Common Share | Basic and Diluted Net Loss per Common Share |
Common Stock, Stock Options a_2
Common Stock, Stock Options and Warrants (Tables) | 3 Months Ended |
Dec. 31, 2019 | |
Stockholders' Equity Note [Abstract] | |
Schedule of stock option activity | Option Weighted- Weighted- Aggregate Outstanding at October 1, 2019 1,771,039 $ 4.03 Granted 980,799 0.67 Exercised — — Forfeited or expired — — Outstanding at December 31, 2019 2,751,838 $ 2.831 8.3 years $ 416,892 Exercisable at December 31, 2019 1,199,509 $ 5.18 6.9 years $ 67,461 |
Schedule of warrants outstanding | Exercise Number Expiration Dates Investor Warrants $ 9.00 202,469 March 19, 2020 – September 14, 2020 Investor Warrants 9.00 307,778 November 5, 2020 – April 25, 2021 LMB Warrants 6.15 38,771 November 20, 2020 – March 2, 2021 LMB Warrants 9.90 4,985 January 8, 2020 LMB Warrants 20.70 2,668 March 6, 2020 LMB Warrants 7.50 73,883 August 18, 2020 – March 14, 2021 LMB Warrants 7.50 53,110 March 24, 2022 – April 29, 2022 Financial Advisor Warrants 3.00 25,833 August 15, 2021 2016 Offering Warrants 4.13 140,819 November 23, 2021 – February 27, 2022 2017 Public Offering Warrants 4.13 1,622,989 August 2, 2022 2017 Public Offering Underwriter Warrants 4.54 65,940 February 2, 2023 December 2017 Registered Direct/Private Placement Offering Investor Warrants 4.63 640,180 June 19, 2023 December 2017 Registered Direct/Private Placement Offering Placement Agent Warrants 5.87 89,625 December 19, 2022 March 2018 Registered Direct/Private Placement Offering Investor Warrants 2.86 669,504 October 2, 2023 March 2018 Registered Direct/Private Placement Offering Placement Agent Warrants 3.73 46,866 March 28, 2023 August 2018 Offering Investor Warrants 1.15 7,843,138 August 14, 2023 August 2018 Offering Agent Warrants 1.59 549,020 August 8, 2023 April 2019 Registered Direct/Private Placement Offering Investor Warrants 1.42 3,430,421 April 5, 2021 April 2019 Registered Direct/Private Placement Offering Placement Agent Warrants 1.93 240,130 April 5, 2021 September 2019 Offering Investor Warrants 0.77 7,821,230 September 27, 2024 September 2019 Offering Underwriter Warrants 1.12 547,486 September 27, 2024 24,416,845 |
Summary of common stock reserved for future issuances | Stock plan options outstanding 2,751,838 Stock plan shares available for future grants 110,000 Warrants outstanding 24,416,845 Unit purchase options outstanding 201,334 Total 27,480,017 |
Operating Lease (Tables)
Operating Lease (Tables) | 3 Months Ended |
Dec. 31, 2019 | |
Operating Lease | |
Schedule of minimum future lease payments under non-cancellable leases | Year Ending September 30, 2020 $ 210,557 2021 234,447 2022 239,306 2023 244,165 2024 249,024 Thereafter 275,343 Total $ 1,452,842 |
Shedule of lease expense | Lease cost Three Months Operating lease cost $ 57,349 Short-term lease cost — Variable lease cost — Total lease cost $ 57,349 Other information Weighted-average remaining lease term - operating leases 5.8 Years Weighted-average discount rate - operating leases 8.0 % |
Shedule of maturities of lease liabilities due under the Company’s current Cranford lease | Leases As of 2020 (excluding the 3 months ended December 31, 2019) $ 172,494 2021 234,447 2022 239,306 2023 244,165 2024 249,024 Thereafter 275,343 Total lease payments 1,414,779 Less: interest (292,337 ) Present value of lease liabilities $ 1,122,442 Leases Classification As of Assets Lease asset Operating $ 1,103,155 Total lease assets $ 1,103,155 Liabilities Current Operating $ 146,244 Non-current Operating 976,198 Total lease liabilities $ 1,122,442 |
Nature of Operations, Basis o_3
Nature of Operations, Basis of Presentation and Summary of Significant Accounting Policies (Details) - USD ($) | 1 Months Ended | ||
Mar. 30, 2016 | Dec. 31, 2019 | Oct. 02, 2019 | |
Nature of Operations, Basis of Presentation and Summary of Significant Accounting Policies (Textual) | |||
Right of use asset and lease liability | $ 1,122,442 | ||
Operating Lease Arrangement [Member] | |||
Nature of Operations, Basis of Presentation and Summary of Significant Accounting Policies (Textual) | |||
Right of use asset and lease liability | $ 1,137,724 | ||
Series of Individually Immaterial Business Acquisitions [Member] | |||
Nature of Operations, Basis of Presentation and Summary of Significant Accounting Policies (Textual) | |||
Intangible assets | $ 19,400,000 | ||
Goodwill | $ 1,586,796 | ||
Amortized on straight-line basis period | 8 years |
Going Concern Uncertainty and_2
Going Concern Uncertainty and Management's Plan (Details) - USD ($) | 3 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Going Concern Uncertainty and Management's Plan (Textual) | ||
Cash flows from operations | $ (5,114,260) | $ (2,158,530) |
Working capital deficit | $ 794,467 |
Patent and Technology License_2
Patent and Technology License Agreements (Details) - USD ($) | Jan. 02, 2019 | Dec. 31, 2019 | Jun. 30, 2019 | Jun. 30, 2018 |
Patent and Technology License Agreements (Textual) | ||||
Maintenance fee | $ 90,000 | $ 75,000 | ||
Minimum aggregate annual royalties | $ 100,000 | |||
Increasing annual royalties | 25,000 | |||
Maximum aggregate annual royalties | 150,000 | |||
Payable amount to NAT | $ 1,100,000 | |||
Nonrefundable upfront payment | $ 125,000 | |||
Description of license agreement | We are obligated to pay an annual maintenance fee of $30,000, commencing in January 2020, that increases annually by $15,000 per year up to a maximum of $90,000. | |||
Aggregate of milestone payments | $ 2,100,000 | |||
Annual minimum royalty payment | 100,000 | |||
Increase annual payment | $ 25,000 | |||
Agreement expiration date | Jan. 2, 2034 |
Notes Payable - Related Parti_2
Notes Payable - Related Parties (Details) - USD ($) | 3 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Notes Payable - Related Parties (Textual) | ||
Interest expense on notes payable - related parties | $ 3,991 | $ 4,003 |
Leonard Mazur [Member] | ||
Notes Payable - Related Parties (Textual) | ||
Principal balance | 160,470 | |
Note Payable [Member] | ||
Notes Payable - Related Parties (Textual) | ||
Principal balance | $ 104,000 | |
Percentage of accrued interest | 1.00% | |
Note Payable One [Member] | ||
Notes Payable - Related Parties (Textual) | ||
Principal balance | $ 68,970 | |
Percentage of accrued interest | 12.00% | |
Chief Executive Officer [Member] | ||
Notes Payable - Related Parties (Textual) | ||
Principal balance | $ 12,500 |
Common Stock, Stock Options a_3
Common Stock, Stock Options and Warrants (Details) - Stock Options [Member] | 3 Months Ended |
Dec. 31, 2019USD ($)$ / sharesshares | |
Option Shares | |
Outstanding, beginning balance | shares | 1,771,039 |
Granted | shares | 980,799 |
Exercised | shares | |
Forfeited or expired | shares | |
Outstanding, ending balance | shares | 2,751,838 |
Exercisable, ending balance | shares | 1,199,509 |
Weighted - Average Exercise Price | |
Outstanding, beginning balance | $ / shares | $ 4.03 |
Weighted - Average Exercise Price, Granted | $ / shares | 0.67 |
Weighted - Average Exercise Price, Exercised | $ / shares | |
Weighted - Average Exercise Price, Forfeited or expired | $ / shares | |
Weighted - Average Exercise Price, Outstanding, ending balance | $ / shares | 2.831 |
Weighted - Average Exercise Price, Exercisable, ending balance | $ / shares | $ 5.18 |
Weighted-Average Remaining Contractual Term | |
Weighted-Average Remaining Contractual Term, ending | 8 years 3 months 19 days |
Weighted-average remaining contractual term, exercisable | 6 years 10 months 25 days |
Aggregate Intrinsic Value | |
Aggregate Intrinsic Value, ending balance | $ | $ 416,892 |
Aggregate Intrinsic Value, Exercisable ending balance | $ | $ 67,461 |
Common Stock, Stock Options a_4
Common Stock, Stock Options and Warrants (Details 1) | 3 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number | 24,416,845 |
Investor Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 9 |
Number | 202,469 |
Expiration Dates | March 19, 2020 -September 14, 2020 |
Investor Warrants One [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 9 |
Number | 307,778 |
Expiration Dates | November 5, 2020 - April 25, 2021 |
LMB Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 6.15 |
Number | 38,771 |
Expiration Dates | November 20, 2020 – March 2, 2021 |
LMB Warrants One [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 9.90 |
Number | 4,985 |
Expiration Dates | January 8, 2020 |
LMB Warrants Two [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 20.70 |
Number | 2,668 |
Expiration Dates | March 6, 2020 |
LMB Warrants Three [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 7.50 |
Number | 73,883 |
Expiration Dates | August 18, 2020 - March 14, 2021 |
LMB Warrants Four [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 7.50 |
Number | 53,110 |
Expiration Dates | March 24, 2022 - April 29, 2022 |
Financial Advisor Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 3 |
Number | 25,833 |
Expiration Dates | August 15, 2021 |
2016 Offering Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 4.13 |
Number | 140,819 |
Expiration Dates | November 23, 2021 - February 27, 2022 |
2017 Public Offering Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 4.13 |
Number | 1,622,989 |
Expiration Dates | August 2, 2022 |
2017 Public Offering Underwriter Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 4.54 |
Number | 65,940 |
Expiration Dates | February 2, 2023 |
December 2017 Registered Direct/Private Placement Offering Investor Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 4.63 |
Number | 640,180 |
Expiration Dates | June 19, 2023 |
December 2017 Registered Direct/Private Placement Offering Placement Agent Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 5.87 |
Number | 89,625 |
Expiration Dates | December 19, 2022 |
March 2018 Registered Direct/Private Placement Offering Investor Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 2.86 |
Number | 669,504 |
Expiration Dates | October 2, 2023 |
March 2018 Registered Direct/Private Placement Offering Placement Agent Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 3.73 |
Number | 46,866 |
Expiration Dates | March 28, 2023 |
August 2018 Offering Investor Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 1.15 |
Number | 7,843,138 |
Expiration Dates | August 14, 2023 |
August 2018 Offering Agent Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 1.59 |
Number | 549,020 |
Expiration Dates | August 8, 2023 |
April 2019 Registered Direct/Private Placement Offering Investor Warrants | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 1.42 |
Number | 3,430,421 |
Expiration Dates | April 5, 2021 |
April 2019 Registered Direct/Private Placement Offering Placement Agent Warrants | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 1.93 |
Number | 240,130 |
Expiration Dates | April 5, 2021 |
September 2019 Offering Investor Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 0.77 |
Number | 7,821,230 |
Expiration Dates | September 27, 2024 |
September 2019 Offering Underwriter Warrants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Exercise price | $ / shares | $ 1.12 |
Number | 547,486 |
Expiration Dates | September 27, 2024 |
Common Stock, Stock Options a_5
Common Stock, Stock Options and Warrants (Details 2) | 3 Months Ended |
Dec. 31, 2019shares | |
Stockholders' Equity Note [Abstract] | |
Stock plan options outstanding | 2,751,838 |
Stock plan shares available for future grants | 110,000 |
Warrants outstanding | 24,416,845 |
Unit purchase options outstanding | 201,334 |
Total | 27,480,017 |
Common Stock, Stock Options a_6
Common Stock, Stock Options and Warrants (Details Textual) - USD ($) | Oct. 08, 2019 | Apr. 03, 2019 | Nov. 04, 2019 | Oct. 28, 2019 | Sep. 27, 2019 | Sep. 16, 2019 | Feb. 13, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2019 | Feb. 07, 2018 |
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Sale of stock price | $ 0.895 | ||||||||||
Proceeds from common stock warrant exercises | $ 106 | $ 16,000 | |||||||||
Common stock, shares issued | 30,177,674 | 28,930,493 | |||||||||
Stock option purchase grants | 110,000 | ||||||||||
Stock-based compensation expense | $ 220,384 | $ 171,249 | |||||||||
Unrecognized total compensation cost related to unvested awards | $ 1,208,053 | ||||||||||
Board of Directors [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Shares per unit price | $ 0.67 | $ 0.55 | |||||||||
Stock options to purchase exercised | 705,799 | 25,000 | |||||||||
Stock option purchase grants | 125,000 | ||||||||||
Shares to directors | 125,000 | ||||||||||
Options vest over terms, description | All of these options vest over terms of 12 to 36 months and have a term of 10 years | ||||||||||
Common Stock [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Common stock, par value | 0.0001 | ||||||||||
Shares per unit price | $ 0.77 | ||||||||||
Warrants to purchase common stock | 547,486 | ||||||||||
Estimated fair value of the warrant granted to the placement agent | $ 323,414 | ||||||||||
Sale of stock price | $ 0.8951 | ||||||||||
Warrants sold and issued to investors | $ 6,290,335 | ||||||||||
Exercise price of warrants | $ 1.118875 | ||||||||||
Common stock issued for services | 186,566 | 94,097 | 125,000 | ||||||||
Common stock issued for services fair value | $ 100,000 | $ 94,097 | $ 117,500 | ||||||||
Description of warrants | The estimated fair value of the 1,060,615 pre-funded warrants was $809,145, and the estimated fair value of the 7,821,230 warrants included in the units and the pre-funded units issued to the investors was $4,845,341. | ||||||||||
Offering, Description | (i) 6,760,615 units, each unit consisting of one share of common stock and one immediately exercisable five-year warrant to purchase one share at $0.77 per share, and (ii) 1,060,615 pre-funded units | ||||||||||
Retained Earnings [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Recognized over weighted average period | 3 years 5 months 27 days | ||||||||||
Warrant [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Warrants sold and issued to investors | $ 1,315,715 | ||||||||||
Exercise price of warrants | $ 0.77 | ||||||||||
Stock options to purchase exercised | 1,013,101 | ||||||||||
Aggregate intrinsic value for the warrants outstanding | $ 1,955,308 | ||||||||||
Recognized over weighted average period | 1 year 10 months 25 days | ||||||||||
2018 Public Offering [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Common stock exercise price per share | $ 0.0001 | $ 0.01 | |||||||||
Number of units sold | 1,060,615 | 1,600,000 | |||||||||
Number of units sold for gross proceeds | $ 106 | $ 16,000 | |||||||||
Registered Direct And Private Placement Offering [Member] | Investor [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Other cash expenses related to placements | $ 85,000 | ||||||||||
Sale of common stock | 3,430,421 | ||||||||||
Warrants sold and issued to investors | $ 2,709,467 | ||||||||||
Proceeds from common stock warrant exercises | 4,834,001 | ||||||||||
Other expense | $ 10,000 | ||||||||||
Registered Direct And Private Placement Offering [Member] | Placement Agent [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Sale of common stock | 3,430,421 | ||||||||||
Sale of stock price | $ 1.545 | ||||||||||
Warrants sold and issued to investors | $ 169,854 | ||||||||||
Warrants issued | 240,130 | ||||||||||
Description of warrants | The Company paid the placement agent for the offering a fee of 7% of the gross proceeds totaling $371,000 and issued the placement agent 240,130 immediately exercisable two-year warrants with an exercise price of $1.93125 per share. | ||||||||||
Registered Direct And Private Placement Offering [Member] | Accredited Investors [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Sale of stock price | $ 1.42 | ||||||||||
Warrants sold and issued to investors | $ 5,300,001 | ||||||||||
Stock Options [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Warrants to purchase common stock | 861,838 | ||||||||||
Weighted average period | 10 years | ||||||||||
Common stock, shares issued | 866,667 | ||||||||||
Common stock outstanding | 2,751,838 | 1,771,039 | |||||||||
Stock options to purchase exercised | |||||||||||
Stock option purchase grants | |||||||||||
Financial advisor warrants were exercised | 4,829 | ||||||||||
Aggregate intrinsic value for the warrants outstanding | $ 67,461 | ||||||||||
Omnibus Stock Incentive Plan [Member] | |||||||||||
Common Stock, Stock Options and Warrants (Textual) | |||||||||||
Common stock, shares issued | 2,000,000 | ||||||||||
Common stock outstanding | 1,890,000 | ||||||||||
Stock option purchase grants | 110,000 |
Related Party Transactions (Det
Related Party Transactions (Details) - $ / shares | 1 Months Ended | |
Sep. 30, 2019 | Apr. 30, 2019 | |
Mr. Holubiak [Member] | ||
Related Party Transactions (Textual) | ||
Purchase shares of common stock | 558,597 | |
Shares per unit price | $ 0.8951 | |
Warrants share and received | 558,597 | |
Warrants with an exercise price | $ 0.77 | |
Mr. Holubiak [Member] | Private Placement [Member] | ||
Related Party Transactions (Textual) | ||
Purchase shares of common stock | 129,450 | |
Shares per unit price | $ 1.545 | |
Warrants share and received | 129,450 | |
Warrants with an exercise price | $ 1.42 | |
Mr Mazur [Member] | ||
Related Party Transactions (Textual) | ||
Purchase shares of common stock | 1,165,048 | |
Shares per unit price | $ 1.545 | |
Warrants share and received | 1,165,048 | |
Warrants with an exercise price | $ 1.42 | |
Mr Mazur [Member] | Private Placement [Member] | ||
Related Party Transactions (Textual) | ||
Purchase shares of common stock | 2,234,700 | |
Shares per unit price | $ 0.8951 | |
Warrants share and received | 2,234,700 | |
Warrants with an exercise price | $ 0.77 |
Operating Lease (Details)
Operating Lease (Details) - Non Cancellable Leases [Member] | Sep. 30, 2019USD ($) |
2020 | $ 210,557 |
2021 | 234,447 |
2022 | 239,306 |
2023 | 244,165 |
2024 | 249,024 |
Thereafter | 275,343 |
Total | $ 1,452,842 |
Operating Lease (Details 1)
Operating Lease (Details 1) | 3 Months Ended |
Dec. 31, 2019USD ($) | |
Lease cost | |
Operating lease cost | $ 57,349 |
Short-term lease cost | |
Variable lease cost | |
Total lease cost | $ 57,349 |
Other information | |
Weighted-average remaining lease term - operating leases | 5 years 9 months 18 days |
Weighted-average discount rate - operating leases | 8.00% |
Operating Lease (Details 2)
Operating Lease (Details 2) - Cranford Lease [Member] | 3 Months Ended |
Dec. 31, 2019USD ($) | |
2020 | $ 172,494 |
2021 | 234,447 |
2022 | 239,306 |
2023 | 244,165 |
2024 | 249,024 |
Thereafter | 275,343 |
Total lease payments | 1,414,779 |
Less: interest | (292,337) |
Present value of lease liabilities | $ 1,122,442 |
Operating Lease (Details 3)
Operating Lease (Details 3) - USD ($) | Dec. 31, 2019 | Sep. 30, 2019 |
Assets | ||
Lease asset | $ 1,103,155 | |
Total lease assets | 1,103,155 | |
Liabilities | ||
Current | 146,244 | |
Non-current | 976,198 | |
Total lease liabilities | $ 1,122,442 |
Operating Lease (Details Textua
Operating Lease (Details Textual) - USD ($) | 3 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Operating Lease (Textual) | ||
Monthly rental rate | $ 2,167 | |
Lease agreement expire date | Apr. 30, 2019 | |
Rent expense | $ 6,501 | |
Interest expense | $ 22,780 |
Fda Refund (Details)
Fda Refund (Details) - USD ($) | 3 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Fda Refund (Textual) | ||
Additional refund amount | $ 110,207 | |
Other income | $ 110,207 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | 3 Months Ended | |
Dec. 31, 2019 | Feb. 10, 2020 | |
Subsequent Events (Textual) | ||
Nasdaq Listing, description | On October 30, 2019, Citius had received notice from The Nasdaq Stock Market, (“NASDAQ”), indicating that, because the closing bid price for the common stock had fallen below $1.00 per share for 30 consecutive business days, the Company no longer complied with the $1.00 minimum bid price requirement for continued listing. On January 31, 2020, Citius received notice from NASDAQ stating that because the closing bid price of the Company’s common stock was $1.00 per share or greater for 10 consecutive business days, the Company had regained compliance with the Listing Rule requirements of NASDAQ. | |
Subsequent Event [Member] | ||
Subsequent Events (Textual) | ||
Stock authorizes | 3,110,000 | |
Stock Additional | $ 135,000 | |
Warrant [Member] | ||
Subsequent Events (Textual) | ||
Stock issued Offering exercised | $ 1,315,715 | |
Stock issued per share net proceeds | 1,013,101 | |
Stock warrants issued exercise price | $ 0.77 | |
Stock warrants purchase | $ 1,315,715 |