Q BioMed (QBIO) 10-Q 16 Apr 18 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Feb. 28, 2018	Apr. 19, 2018
Document and Entity Information
Entity Registrant Name	Q BIOMED INC.
Document Type	10-Q
Document Period End Date	Feb. 28, 2018
Amendment Flag	false
Entity Central Index Key	1,596,062
Current Fiscal Year End Date	--11-30
Entity Common Stock, Shares Outstanding		13,974,784
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Trading Symbol	QBIO

Condensed Balance Sheets (unaud

Condensed Balance Sheets (unaudited) - USD ($)	Feb. 28, 2018	Nov. 30, 2017
Current assets:
Cash	$ 4,187,009	$ 824,783
Prepaid expenses	2,500	2,500
Total current assets	4,189,509	827,283
Total assets	4,189,509	827,283
Current liabilities:
Accounts payable and accrued expenses	562,812	463,539
Accrued expenses - related party	7,500	7,500
Total current liabilities	570,312	471,039
Total Liabilities	570,312	471,039
Stockholders' Equity:
Preferred stock, $0.001 par value; 100,000,000 shares authorized; no shares issued and outstanding as of February 28, 2018 and November 30, 2017
Common stock, $0.001 par value; 250,000,000 shares authorized; 13,947,784 and 12,206,409 shares issued and outstanding as of February 28, 2018 and November 30, 2017, respectively	13,948	12,206
Additional paid-in capital	28,622,798	23,187,408
Accumulated deficit	(25,017,549)	(22,843,370)
Total stockholders' equity deficit	3,619,197	356,244
Total liabilities and stockholders’ Equity deficit	$ 4,189,509	$ 827,283

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - $ / shares	Feb. 28, 2018	Nov. 30, 2017
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	100,000,000	100,000,000
Preferred stock, issued
Preferred stock, outstanding
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	13,947,784	12,206,409
Common stock, shares outstanding	13,947,784	12,206,409

Condensed Statements of Operati

Condensed Statements of Operations - USD ($)	3 Months Ended
	Feb. 28, 2018	Feb. 28, 2017
Operating expenses:
General and administrative expenses	$ 1,320,769	$ 1,407,570
Research and development expenses	853,425	584,938
Total operating expenses	2,174,194	1,992,508
Other income (expenses):
Interest expense		(216,507)
Interest income	15	92
Loss on conversion of debt		(362,931)
Change in fair value of embedded conversion option		(905,000)
Change in fair value of warrant liability		(59,870)
Total other income (expenses)	(15)	(1,544,216)
Net loss	$ (2,174,179)	$ (3,536,724)
Long-term Liabilities:
Net loss per share - basic and diluted	$ (0.17)	$ (0.37)
Weighted average shares outstanding, basic and diluted	12,727,442	9,472,250

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows (unaudited) - USD ($)	3 Months Ended
	Feb. 28, 2018	Feb. 28, 2017
Cash flows from operating activities:
Net loss	$ (2,174,179)	$ (3,536,724)
Adjustments to reconcile net loss to net cash used in operating activities
Issuance of common stock, warrants and options for services	491,881	803,017
Change in fair value of embedded conversion option		905,000
Change in fair value of warrant liability		59,870
Accretion of debt discount		181,336
Loss on conversion of debt		(362,931)
Changes in operating assets and liabilities:
Prepaid expenses		(4,500)
Accounts payable and accrued expenses	99,273	31,457
Accrued expenses - related party		(63,002)
Accrued interest payable		35,172
Net cash used in operating activities	(1,583,025)	(1,225,443)
Cash flows from financing activities:
Proceeds received from exercise of warrants		70,000
Proceeds received for issuance of common stock and warrants , net of offering costs	4,945,251
Net cash provided by financing activities	4,945,251	70,000
Net increase (decrease) in cash	3,362,226	(1,155,443)
Cash at beginning of period	824,783
Cash at end of period	4,187,009	313,281
Non-cash financing activities:
Issuance of common stock upon conversion of convertible notes		2,227,900
Reclassification of warrant liability to equity
Cash paid for interest
Cash paid for income taxes

Organization of the Company and

Organization of the Company and Description of the Business	3 Months Ended
	Feb. 28, 2018
Accounting Policies [Abstract]
Organization of the Company and Description of the Business	Note 1 - Organization of the Company and Description of the Business Q BioMed Inc. (“Q BioMed” or “the Company”), incorporated in the State of Nevada on November 22, 2013, is a biomedical acceleration and development company focused on licensing, acquiring and providing strategic resources to life sciences and healthcare companies. Q BioMed intends to mitigate risk by acquiring multiple assets over time and across a broad spectrum of healthcare related products, companies and sectors. The Company intends to develop these assets to provide returns via organic growth, revenue production, out-licensing, sale or spinoff new public companies. On December 7, 2016, the Company formed its wholly-owned subsidiary in Cayman Islands, “Q BioMed Cayman SEZC” (the “Subsidiary”). The accompanying condensed consolidated financial statements include the accounts of the Company’s wholly-owned subsidiary. All intercompany balances and transactions have been eliminated in consolidation.

Basis of Presentation

Basis of Presentation	3 Months Ended
	Feb. 28, 2018
Notes to Financial Statements
Basis of Presentation	Note 2 - Basis of Presentation The accompanying interim period unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) and applicable rules and regulations of the Securities and Exchange Commission ("SEC") regarding interim financial reporting. The Condensed Consolidated Balance Sheet as of February 28, 2018, the Condensed Consolidated Statements of Operations for the three months ended February 28, 2018 and 2017, and the Condensed Consolidated Statements of Cash Flows for the three months ended February 28, 2018 and 2017, are unaudited, but include all adjustments, consisting only of normal recurring adjustments, which the Company considers necessary for a fair presentation of its financial position, operating results and cash flows for the periods presented. The Condensed Consolidated Balance Sheet at November 30, 2017 has been derived from audited financial statements included in the Company's Form 10-K, most recently filed with the SEC on February 28, 2018. The results for the three months ended February 28, 2018 and 2017 are not necessarily indicative of the results expected for the full fiscal year or any other period. The accompanying interim period unaudited condensed consolidated financial statements and related financial information included in this Quarterly Report on Form 10-Q should be read in conjunction with the audited financial statements and notes thereto included in the Company’s Form 10-K. The Company currently operates in one business segment focusing on licensing, acquiring and providing strategic resources to life sciences and healthcare companies. The Company is not organized by market and is managed and operated as one business. A single management team reports to the chief operating decision maker, the Chief Executive Officer, who comprehensively manages the entire business. The Company does not currently operate any separate lines of business. Going Concern The accompanying condensed consolidated financial statements are prepared assuming the Company will continue as a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company had a net loss and net cash used in operating activities of approximately $2.2 million and $1.6 million, respectively, during the three months ended February 28, 2018. These matters, amongst others, raise doubt about the Company’s ability to continue as a going concern. As of February 28, 2018, the Company has raised operating funds through contacts, high net-worth individuals and strategic investors. The Company has not generated any revenue from operations since inception and has limited assets upon which to commence its business operations. At February 28, 2018, the Company had cash of approximately $4.2 million. On February 1, 2018, the Company netted approximately $4,945,000 from the registered sale of common stock and warrants to purchase common stock. The Company’s expected monthly burn rate is approximately $528,000. As such, management anticipates that the Company will have to raise additional funds and/or generate revenue from drug sales within twelve months to continue operations. Additional funding will be needed to implement the Company’s business plan that includes various expenses such as fulfilling our obligations under licensing agreements, legal, operational set-up, general and administrative, marketing, employee salaries and other related start-up expenses. Obtaining additional funding will be subject to a number of factors, including general market conditions, investor acceptance of our business plan and initial results from our business operations. These factors may impact the timing, amount, terms or conditions of additional financing available to us. If the Company is unable to raise sufficient funds, management we will be forced to scale back the Company’s operations or cease our operations. Management has determined that there is substantial doubt about the Company's ability to continue as a going concern within one year after the condensed consolidated financial statements are issued. The accompanying condensed consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts and classification of liabilities that might result from this uncertainty.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Feb. 28, 2018
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 3 – Summary of Significant Accounting Policies The Company’s significant accounting policies are disclosed in the audited financial statements for the year ended November 30, 2017 included in the Company’s Form 10-K. Since the date of such financial statements, there have been no changes to the Company’s significant accounting policies. Income Taxes Deferred tax assets and liabilities are computed based upon the difference between the financial statement and income tax basis of assets and liabilities using the enacted marginal tax rate applicable when the related asset or liability is expected to be realized or settled. Deferred income tax expenses or benefits are based on the changes in the asset or liability each period. If available evidence suggests that it is more likely than not that some portion or all of the deferred tax assets will not be realized, a valuation allowance is required to reduce the deferred tax assets to the amount that is more likely than not to be realized. Future changes in such valuation allowance are included in the provision for deferred income taxes in the period of change. In its interim consolidated financial statements, the Company utilizes an expected annual effective tax rate in determining its income tax provisions for the interim periods. That rate differs from U.S. statutory rates primarily as a result of valuation allowance related to the Company’s net operating loss carryforward as a result of the historical losses of the Company. On December 22, 2017, the United States enacted new tax legislation, the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act includes significant changes to corporate taxation, including reduction of the U.S. corporate tax rate from 35% to 21%, effective January 1, 2018, limitation of the tax deduction for interest expense to 30% of earnings (except for certain small businesses), limitation of the deduction for net operating losses to 80% of current year taxable income and elimination of net operating loss carrybacks. The Tax Act states that the 21% U.S. federal corporate tax rate is effective for tax years beginning on or after January 1, 2018. However, existing tax law, which was not amended under the Tax Act, governs when a change in tax rate is effective. Existing tax law provides that if the taxable year includes the effective date of any rate change (unless the change is the first date of the taxable year), taxes should be calculated by applying a blended rate to the taxable income for the year. Management has not yet determined the impact the rate reduction will have on the Company's gross deferred tax asset and liabilities and offsetting valuation allowance. However, the Company has a full allowance against the deferred tax asset and as a result there was no impact to income tax expense for the quarter ended February 28, 2018. In conjunction with the tax law changes, the SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) to address the application of U.S. GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Act. The ultimate impact, which is expected to be recorded by November 30, 2018, may differ from any provisional amounts, due to, among other things, additional analysis, changes in interpretations and assumptions we have made, additional regulatory guidance that may be issued, and actions we may take as a result of the tax Act, and the fact that we cannot definitively predict what our deferred tax balance will ultimately be as of November 30, 2018. Recent accounting pronouncements In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In July 2017, the FASB issued ASU 2017-11, Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): (Part I) Accounting for Certain Financial Instruments with Down Round Features, (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception. Recent adopted pronouncements In May 2017, the FASB issued ASU 2017-09, Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting

Loss per share

Loss per share	3 Months Ended
	Feb. 28, 2018
Earnings Per Share [Abstract]
Loss per share	Note 4 – Loss per share Basic net loss per share was calculated by dividing net loss by the weighted-average common shares outstanding during the period. Diluted net loss per share was calculated by dividing net loss by the weighted-average common shares outstanding during the period using the treasury stock method or the two-class method, whichever is more dilutive. The table below summarizes potentially dilutive securities that were not considered in the computation of diluted net loss per share because they would be anti-dilutive. For the three months ended February 28, Potentially dilutive securities 2018 2017 Warrants (Note 8) 4,877,558 1,027,500 Convertible debt - 616,145 Options (Note 8) 500,000 -

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Feb. 28, 2018
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 5 – Commitments and Contingencies Advisory Agreements The Company entered into customary consulting arrangements with various counterparties to provide consulting services, business development and investor relations services, pursuant to which the Company agreed to issue shares of common stock as services are received. The Company issued an aggregate of approximately 4,500 shares of common stock during the three months ended February 28, 2018. Lease Agreement In December 2016, the Subsidiary entered into a lease agreement for its office space located in Cayman Islands for $30,000 per annum. The initial term of the agreement ends in December 2019 and can be renewed for another three years. Rent expenses was classified within general and administrative expenses and was approximately $7,500 and $5,000 for the three months ended February 28, 2018 and 2017, respectively. License Agreement Mannin On October 29, 2015, the Company entered into a Patent and Technology License and Purchase Option Agreement (“Exclusive License”) with a vendor whereby the Company was granted a worldwide, exclusive, license on, and option to, acquire certain intellectual property (“Mannin IP”) which initially focused on developing a first-in-class eye drop treatment for glaucoma within the four-year term of the Exclusive License. During the three months ended February 28, 2018 and 2017, the Company incurred approximately $619,000 and $421,000, respectively, in research and development expenses to fund the costs of development of the eye drop treatment for glaucoma pursuant to the Exclusive License. Pursuant to the exclusive license from Mannin, we may purchase the Mannin IP within the next four years in exchange for investing a minimum of $4,000,000 into the development of the Mannin IP. Through February 28, 2018, the Company had funded an aggregate of $3.0 million to Mannin under the Exclusive License. Bio-Nucleonics On September 6, 2016, the Company entered into the Patent and Technology License and Purchase Option Agreement (the “BNI Exclusive License”) with Bio-Nucleonics Inc. (“BNI”) whereby the Company was granted a worldwide, exclusive, perpetual, license on, and option to, acquire certain BNI intellectual property (“BNI IP”) within the three-year term of the BNI Exclusive License. During the three months ended February 28, 2018 and 2017, the Company incurred approximately $112,000 and $143,000, respectively, in research and development expenses pursuant to the BNI Exclusive License. As of February 28, 2018, the Company had paid approximately $578,000 to BNI out of the maximum $850,000 cash funding requirement.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Feb. 28, 2018
Related Party Transactions [Abstract]
Related Party Transactions	Note 6 - Related Party Transactions The Company entered into consulting agreements with certain management personnel and stockholders for consulting and legal services. Consulting and legal expenses resulting from such agreements were approximately $60,000 and $105,000 for the three months ended February 28, 2018 and 2017, respectively, and were included within general and administrative expenses in the accompanying Condensed Consolidated Statements of Operations.

Stockholders_ Equity Deficit

Stockholders’ Equity Deficit	3 Months Ended
	Feb. 28, 2018
Disclosure Text Block [Abstract]
Stockholders' Equity (Deficit)	Note 7 - Stockholders’ Equity Deficit As of February 28, 2018, the Company is authorized to issue up to 250,000,000 shares of its $0.001 par value common stock and up to 100,000,000 shares of its $0.001 par value preferred stock. On February 1, 2018, the Company sold an aggregate of 1,711,875 shares of common stock, and 1,711,875 warrants to purchase shares of common stock, in a registered public offering for gross proceeds of approximately $5,478,000. The warrants are exercisable for five years at $3.20 per share. The Company paid placement agent commissions of approximately $438,000 and issued the placement agent five-year warrants to purchase 81,688 shares of common stock at $3.84 per share. After the placement agents’ commissions and other offering expenses, the Company netted approximately $4,945,000 of proceeds. The Company intends to use the net proceeds from the offering to: i) launch our non-opioid FDA approved Strontium Chloride 89 USP Injection (SR89), a therapeutic drug for the treatment of skeletal pain associated with metastatic cancers; ii) focus on the clinical planning and IND filing for a Phase 4 post-marketing study to expand the indication of the approved SR89; iii) complete pre-IND studies and the filing of an IND for a phase II/III clinical program to test the efficacy of QBM-001, our product candidate for the treatment of young children with a rare autistic spectrum disorder that severely inhibits their ability to communicate; iv) continue development work on our novel chemotherapeutic drug for liver cancer; and v) further the optimization and pre-clinical testing of our glaucoma drug Man-01 for the treatment of open angle glaucoma.

Warrants

Warrants	3 Months Ended
	Feb. 28, 2018
Notes to Financial Statements
Warrants	Note 8 – Warrants and Options Summary of warrants The following represents a summary of all outstanding warrants to purchase the Company’s common stock, including warrants issued to vendors for services and warrants issued as part of the units sold in the private placements, at February 28, 2018 and changes during the period then ended: Weighted Average Weighted Average Remaining Contractual Warrants Exercise Price Life (years) Intrinsic Value Outstanding at November 30, 2017 3,083,995 $ 3.67 4.02 $ 2,539,185 Issued 1,793,563 $ 3.23 4.92 Exercised — $ — — $ — Outstanding at February 28, 2018 4,877,558 $ 3.51 4.20 $ 851,000 Exercisable at February 28, 2018 4,844,058 $ 3.50 4.20 $ 851,000 Fair value of all outstanding warrants was calculated with the following key inputs: For the three months ended February 28, 2018 2017 Stock price $2.99 - $4.80 $4.15 - $7.87 Term (years) 3.0 - 5.0 1.75 - 4.5 Volatility 122.78% - 131.37% 137.77% - 140.64% Risk-free rate 1.78% - 2.65% 1.17% - 1.27% Dividend yield 0.00% 0.00% Options issued for services The following represents a summary of all outstanding options to purchase the Company’s common stock at February 28, 2018 and changes during the period then ended: Weighted Average Weighted Average Remaining Contractual Options Exercise Price Life (years) Intrinsic Value Outstanding at November 30, 2017 450,000 $ 4.00 4.51 $ 220,500 Issued 50,000 $ 3.00 4.95 $ — Exercised — $ — — $ — Outstanding at February 28, 2018 500,000 $ 3.90 4.33 $ — Exercisable at February 28, 2018 225,000 $ 4.00 4.26 $ — Fair value of all outstanding warrants was calculated with the following key inputs: For the three months ended February 28, 2018 Exercise price $3.00 Expected term (years) 5.0 Volatility 127.70% Risk-free rate 2.52% Dividend yield 0.00% Stock-based Compensation The Company recognized general and administrative expenses of approximately $402,000 and $672,000 as a result of the shares, outstanding warrants and options issued to consultants and employees during the three months ended February 28, 2018 and 2017, respectively. As of February 28, 2018, the estimated unrecognized stock-based compensation associate with these agreements is approximately $224,000 and will be recognized over the next 0.16 year.

Subsequent Events

Subsequent Events	3 Months Ended
	Feb. 28, 2018
Subsequent Events [Abstract]
Subsequent Events	Note 11 – Subsequent Events Master Service Agreement On March 1, 2018, the Company entered into the master service agreement (“Master Service Agreement”) with Chedwick Marketing Group to have it perform the consulting services for a maximum period of six months, which may be renewed after term at the sole option of the Company. On March 1, 2018, the Company entered into the Statement of Work No. 1 (“Statement of Work”) with Chedwick Marketing Group. The Company agreed to issue Chedwick Marketing Group 20,000 fully paid restricted common shares on signing. The Company agreed to pay additional cash for media spend as invoiced by Chedwick or other service providers. The company agreed to issue 7,000 shares to Chedwick on execution of the agreement and on the first day of each month until the termination or renewal of the contract.

Summary of Significant Accoun15

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Feb. 28, 2018
Disclosure Text Block [Abstract]
Income Taxes	Income Taxes Deferred tax assets and liabilities are computed based upon the difference between the financial statement and income tax basis of assets and liabilities using the enacted marginal tax rate applicable when the related asset or liability is expected to be realized or settled. Deferred income tax expenses or benefits are based on the changes in the asset or liability each period. If available evidence suggests that it is more likely than not that some portion or all of the deferred tax assets will not be realized, a valuation allowance is required to reduce the deferred tax assets to the amount that is more likely than not to be realized. Future changes in such valuation allowance are included in the provision for deferred income taxes in the period of change. In its interim consolidated financial statements, the Company utilizes an expected annual effective tax rate in determining its income tax provisions for the interim periods. That rate differs from U.S. statutory rates primarily as a result of valuation allowance related to the Company’s net operating loss carryforward as a result of the historical losses of the Company. On December 22, 2017, the United States enacted new tax legislation, the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act includes significant changes to corporate taxation, including reduction of the U.S. corporate tax rate from 35% to 21%, effective January 1, 2018, limitation of the tax deduction for interest expense to 30% of earnings (except for certain small businesses), limitation of the deduction for net operating losses to 80% of current year taxable income and elimination of net operating loss carrybacks. The Tax Act states that the 21% U.S. federal corporate tax rate is effective for tax years beginning on or after January 1, 2018. However, existing tax law, which was not amended under the Tax Act, governs when a change in tax rate is effective. Existing tax law provides that if the taxable year includes the effective date of any rate change (unless the change is the first date of the taxable year), taxes should be calculated by applying a blended rate to the taxable income for the year. Management has not yet determined the impact the rate reduction will have on the Company's gross deferred tax asset and liabilities and offsetting valuation allowance. However, the Company has a full allowance against the deferred tax asset and as a result there was no impact to income tax expense for the quarter ended February 28, 2018. In conjunction with the tax law changes, the SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) to address the application of U.S. GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Act. The ultimate impact, which is expected to be recorded by November 30, 2018, may differ from any provisional amounts, due to, among other things, additional analysis, changes in interpretations and assumptions we have made, additional regulatory guidance that may be issued, and actions we may take as a result of the tax Act, and the fact that we cannot definitively predict what our deferred tax balance will ultimately be as of November 30, 2018.
Recent accounting pronouncements	Recent accounting pronouncements In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In July 2017, the FASB issued ASU 2017-11, Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): (Part I) Accounting for Certain Financial Instruments with Down Round Features, (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception.
Recent adopted pronouncements	Recent adopted pronouncements In May 2017, the FASB issued ASU 2017-09, Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting

Loss per share (Table)

Loss per share (Table)	3 Months Ended
	Feb. 28, 2018
Earnings Per Share [Abstract]
Loss per share	For the three months ended February 28, Potentially dilutive securities 2018 2017 Warrants (Note 8) 4,877,558 1,027,500 Convertible debt - 616,145 Options (Note 8) 500,000 -

Warrants (Tables)

Warrants (Tables)	3 Months Ended
	Feb. 28, 2018
Notes to Financial Statements
Fair value of warrant liability	Fair value of all outstanding warrants was calculated with the following key inputs: For the three months ended February 28, 2018 Exercise price $3.00 Expected term (years) 5.0 Volatility 127.70% Risk-free rate 2.52% Dividend yield 0.00%
Summary of outstanding warrants	The following represents a summary of all outstanding warrants to purchase the Company’s common stock, including warrants issued to vendors for services and warrants issued as part of the units sold in the private placements, at February 28, 2018 and changes during the period then ended: Weighted Average Weighted Average Remaining Contractual Warrants Exercise Price Life (years) Intrinsic Value Outstanding at November 30, 2017 3,083,995 $ 3.67 4.02 $ 2,539,185 Issued 1,793,563 $ 3.23 4.92 Exercised — $ — — $ — Outstanding at February 28, 2018 4,877,558 $ 3.51 4.20 $ 851,000 Exercisable at February 28, 2018 4,844,058 $ 3.50 4.20 $ 851,000
Fair value of the warrant	Fair value of all outstanding warrants was calculated with the following key inputs: For the three months ended February 28, 2018 2017 Stock price $2.99 - $4.80 $4.15 - $7.87 Term (years) 3.0 - 5.0 1.75 - 4.5 Volatility 122.78% - 131.37% 137.77% - 140.64% Risk-free rate 1.78% - 2.65% 1.17% - 1.27% Dividend yield 0.00% 0.00%
Fair value of warrant liability	The following represents a summary of all outstanding options to purchase the Company’s common stock at February 28, 2018 and changes during the period then ended: Weighted Average Weighted Average Remaining Contractual Options Exercise Price Life (years) Intrinsic Value Outstanding at November 30, 2017 450,000 $ 4.00 4.51 $ 220,500 Issued 50,000 $ 3.00 4.95 $ — Exercised — $ — — $ — Outstanding at February 28, 2018 500,000 $ 3.90 4.33 $ — Exercisable at February 28, 2018 225,000 $ 4.00 4.26 $ —

Loss per share (Details)

Loss per share (Details) - USD ($)	Feb. 28, 2018	Feb. 28, 2017
Earnings Per Share [Abstract]
Warrants	4,877,558	1,027,500
Conversion option		616,145
Options	$ 500,000

Basis of Presentation (Detail N

Basis of Presentation (Detail Narrative)	3 Months Ended
	Feb. 28, 2018USD ($)
Notes to Financial Statements
Accumulated deficit	$ 1,400,000
Working capital deficit	1,900,000
Net loss	2,200,000
Net cash used in operating activities	$ 1,600,000

Summary of Significant Accoun20

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	3 Months Ended
	Feb. 28, 2018	Nov. 30, 2017
Accounting Policies [Abstract]
Federal depository insurance coverage		$ 250,000
Outstanding convertible notes payable	$ 2,300,000

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative) - USD ($)	3 Months Ended
	Feb. 28, 2018	Feb. 28, 2017
Research and development expenses	$ 619,000	$ 421,000
Common Shares issued	4,500
General and administrative expenses	$ 7,500	5,000
License Agreement Mannin [Member]
Research and development expenses	619,000	421,000
License Agreement Bio Nucleonics [Member]
Research and development expenses	$ 112,000	$ 143,000

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($)	3 Months Ended
	Feb. 28, 2018	Feb. 28, 2017
Related Party Transactions [Abstract]
Related party transaction	$ 60,000	$ 105,000

Stockholders' Equity (Deficit)

Stockholders' Equity (Deficit) (Details Narrative) - $ / shares	Feb. 28, 2018	Nov. 30, 2017
Disclosure Text Block [Abstract]
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	250,000,000	250,000,000
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	100,000,000	100,000,000

Warrants (Details)

Warrants (Details)	3 Months Ended
	Feb. 28, 2018USD ($)$ / sharesshares
Warrants
Outstanding at November 30, 2017 | shares	3,083,995
Issued | shares	1,793,563
Exercised | shares
Outstanding at February 28, 2018 | shares	4,877,558
Exercisable at February 28, 2018 | shares	4,844,058
Weighted Average Exercise Price
Outstanding at November 30, 2017	$ 3.67
Issued	3.23
Exercised
Outstanding at February 28, 2018	3.51
Exercisable at February 28, 2018	3.50
Intrinsic Value
Outstanding at November 30, 2017	2,539,185
Issued
Exercised | $
Outstanding at February 28, 2018	$ 851,000
Exercisable at February 28, 2018	$ 851,000
Weighted Average Remaning Contractual Life (years)
Outstanding at November 30, 2017	4 years 1 month 6 days
Issued	4 years 9 months 20 days
Outstanding at February 28, 2018	4 years 3 months 15 days
Exercisable at February 28, 2018	4 years 2 months 9 days

Warrants (Details 1)

Warrants (Details 1) - $ / shares	3 Months Ended
	Feb. 28, 2018	Feb. 28, 2017
Dividend yield	0.00%	0.00%
Minimum [Member]
Stock price	$ 2.99	$ 4.15
Terms (years)	3 years	1 year 9 months
Volatility	122.78%	137.77%
Risk-free rate	1.78%	1.17%
Maximum [Member]
Stock price	$ 4.80	$ 7.87
Terms (years)	5 years	4 years 5 months
Volatility	131.37%	140.64%
Risk-free rate	2.65%	1.27%

Warrants (Details Narrative)

Warrants (Details Narrative) - USD ($)	3 Months Ended
	Feb. 28, 2018	Feb. 28, 2017
Notes to Financial Statements
General and administrative expenses	$ 402,000	$ 672,000
Unrecognized stock-based compensation	$ 224,000

Subsequent Events (Detail Narra

Subsequent Events (Detail Narrative)	Mar. 01, 2018USD ($)shares
Subsequent Events [Abstract]
Convertible note to a third party | $	$ 20,000
Aggregate shares | shares	7,000