Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2021 | Nov. 23, 2021 | |
Document Information Line Items | ||
Entity Registrant Name | Allarity Therapeutics, Inc. | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --12-31 | |
Entity Common Stock, Shares Outstanding | 0 | |
Amendment Flag | false | |
Entity Central Index Key | 0001860657 | |
Entity Current Reporting Status | No | |
Entity Filer Category | Non-accelerated Filer | |
Document Period End Date | Sep. 30, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q3 | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Shell Company | false | |
Entity Ex Transition Period | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Incorporation, State or Country Code | DE | |
Entity File Number | 333-258968 | |
Entity Tax Identification Number | 87-2147982 | |
Entity Address, Address Line One | 210 Broadway | |
Entity Address, Address Line Two | Suite 201 | |
Entity Address, City or Town | Cambridge | |
Entity Address, State or Province | MA | |
Entity Address, Postal Zip Code | 02139 | |
City Area Code | (401) | |
Local Phone Number | 426-4664 | |
Entity Interactive Data Current | Yes |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) $ in Thousands | Sep. 30, 2021USD ($) | Dec. 31, 2020USD ($) |
Current assets: | ||
Cash and cash equivalents | $ 5,584 | $ 298 |
Other current assets | 432 | 335 |
Prepaid expenses | 125 | 174 |
Income tax receivable | 1,494 | 908 |
Total current assets | 7,635 | 1,715 |
Non-current assets: | ||
Investment | 491 | 845 |
Property, plant and equipment, net | 9 | 21 |
Operating lease assets | 108 | 331 |
Intangible assets, net | 28,744 | 30,491 |
Total assets | 36,987 | 33,403 |
Current liabilities: | ||
Line of credit | 84 | |
Accounts payable | 739 | 2,116 |
Accrued liabilities | 2,947 | 1,840 |
Income taxes payable | 54 | 57 |
Lease liabilities | 98 | 109 |
Convertible debt | 1,327 | |
Total current liabilities | 3,838 | 5,533 |
Non-current liabilities | ||
Derivative liabilities | 218 | 149 |
Lease liabilities | 35 | 267 |
Deferred tax | 128 | 603 |
Total liabilities | 4,219 | 6,552 |
Stockholders’ equity | ||
Common stock, par value DKK 0.05; shares issued and outstanding at September 30, 2021 and December 31, 2020 were 403,791,200 and 212,601,044 respectively | 3,157 | 1,624 |
Additional paid-in capital | 73,448 | 61,284 |
Accumulated other comprehensive income (loss) | (419) | 1,375 |
Accumulated Deficit | (43,418) | (37,432) |
Total stockholders’ equity | 32,768 | 26,851 |
Total liabilities & stockholders’ equity | $ 36,987 | $ 33,403 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) - kr / shares | Sep. 30, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in Kroner per share) | kr 0.05 | kr 0.05 |
Common stock, shares issued | 403,791,200 | 212,601,044 |
Common stock, shares outstanding | 403,791,200 | 212,601,044 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Income and (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Operating costs and expenses: | ||||
Research and development | $ 1,574 | $ 1,012 | $ 5,329 | $ 3,233 |
General and administrative | 2,619 | 953 | 6,140 | 3,245 |
Proceeds from sale of IP | (1,000) | (1,000) | ||
Total operating costs and expenses | 3,193 | 1,965 | 10,469 | 6,478 |
Loss from operations | (3,193) | (1,965) | (10,469) | (6,478) |
Other (income) expenses | ||||
Interest (income) | (28) | (221) | ||
Interest expense | 481 | 115 | ||
Loss (gain) on investment | 137 | (243) | 317 | (654) |
Foreign exchange losses (gains), net | (51) | (32) | 29 | (118) |
Fair value adjustment of derivative liabilities | (4,517) | 104 | (4,547) | (957) |
Change in fair value of convertible debt | 78 | 298 | 553 | |
Net other (income) expenses | (4,459) | (314) | (3,422) | (1,061) |
Net (loss) income for the period before tax benefit | 1,266 | (1,651) | (7,047) | (5,417) |
Income tax benefit | 406 | 691 | 1,061 | 1,520 |
Net (loss) income | 1,672 | (960) | (5,986) | (3,897) |
Net loss attributable to non-controlling interests | (15) | |||
Net (loss) income attributable to Allarity A/S common stockholders | $ 1,672 | $ (960) | $ (5,986) | $ (3,882) |
Basic and diluted net income (loss) per common share (in Dollars per share) | $ 0 | $ (0.01) | $ (0.02) | $ (0.03) |
Weighted-average number of common shares outstanding, basic (in Shares) | 387,652,549 | 186,230,830 | 288,984,065 | 150,650,949 |
Weighted-average number of common shares outstanding, diluted (in Shares) | 397,201,067 | 194,948,069 | 299,740,036 | 159,368,188 |
Other comprehensive income (loss), net of tax: | $ 1,672 | $ (960) | $ (5,986) | $ (3,897) |
Change in cumulative translation adjustment | (939) | 1,130 | (1,785) | 1,212 |
Change in fair value attributable to instrument specific credit risk | (9) | 6 | ||
Total comprehensive gain (loss) | 733 | 170 | (7,780) | (2,679) |
Less comprehensive gain (loss) attributable to non-controlling interests | (15) | |||
Comprehensive income (loss) attributable to Allarity A/S common stockholders | $ 733 | $ 170 | $ (7,780) | $ (2,664) |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Shares | Additional Paid in Capital | Obligation to Issue Shares | Accumulated Other Comprehensive Loss | Retained Earnings (Accumulated Deficit) | Stockholders' Equity | Non-Controlling Interest (net of OCI) | Total |
Balance at Dec. 31, 2019 | $ 924 | $ 50,623 | $ (1,086) | $ (32,374) | $ 18,087 | $ 2,816 | $ 20,903 | |
Balance (in Shares) at Dec. 31, 2019 | 121,336,079 | |||||||
Settlement of Financing Facility | $ 67 | 2,437 | 2,504 | 2,504 | ||||
Settlement of Financing Facility (in Shares) | 9,330,000 | |||||||
Share issuance costs | (105) | (105) | (105) | |||||
Share based compensation | 188 | 188 | 188 | |||||
Cumulative translation adjustment | (229) | (229) | (229) | |||||
Net income (loss) | (974) | (974) | (1) | (975) | ||||
Balance at Mar. 31, 2020 | $ 991 | 53,143 | (1,315) | (33,348) | 19,471 | 2,815 | 22,286 | |
Balance (in Shares) at Mar. 31, 2020 | 130,666,079 | |||||||
Balance at Dec. 31, 2019 | $ 924 | 50,623 | (1,086) | (32,374) | 18,087 | 2,816 | 20,903 | |
Balance (in Shares) at Dec. 31, 2019 | 121,336,079 | |||||||
Balance at Sep. 30, 2020 | $ 1,467 | 59,320 | 132 | (36,256) | 24,663 | 24,663 | ||
Balance (in Shares) at Sep. 30, 2020 | 193,294,093 | |||||||
Balance at Mar. 31, 2020 | $ 991 | 53,143 | (1,315) | (33,348) | 19,471 | 2,815 | 22,286 | |
Balance (in Shares) at Mar. 31, 2020 | 130,666,079 | |||||||
Debt conversion | $ 95 | 1,826 | 1,921 | 1,921 | ||||
Debt conversion (in Shares) | 12,638,305 | |||||||
Acquisition of NCI | $ 196 | 1,907 | 2,103 | (2,103) | ||||
Acquisition of NCI (in Shares) | 25,936,599 | |||||||
Fair value of instrument specific Credit risk | 6 | 6 | 6 | |||||
Share issuance costs | (79) | (79) | (79) | |||||
Share based compensation | 204 | 204 | 204 | |||||
Cumulative translation adjustment | 311 | 311 | 60 | 371 | ||||
Net income (loss) | (1,948) | (1,948) | (14) | (1,962) | ||||
Balance at Jun. 30, 2020 | $ 1,282 | 57,001 | (998) | (35,296) | 21,989 | 758 | 22,747 | |
Balance (in Shares) at Jun. 30, 2020 | 169,240,983 | |||||||
Debt conversion | $ 92 | 1,493 | 1,585 | 1,585 | ||||
Debt conversion (in Shares) | 11,669,340 | |||||||
Acquisition of NCI | $ 93 | 665 | 758 | (758) | ||||
Acquisition of NCI (in Shares) | 12,383,770 | |||||||
Share issuance costs | (75) | (75) | (75) | |||||
Share based compensation | 236 | 236 | 236 | |||||
Cumulative translation adjustment | 1,130 | 1,130 | 1,130 | |||||
Net income (loss) | (960) | (960) | (960) | |||||
Balance at Sep. 30, 2020 | $ 1,467 | 59,320 | 132 | (36,256) | 24,663 | 24,663 | ||
Balance (in Shares) at Sep. 30, 2020 | 193,294,093 | |||||||
Balance at Dec. 31, 2020 | $ 1,624 | 61,284 | 1,375 | (37,432) | 26,851 | 26,851 | ||
Balance (in Shares) at Dec. 31, 2020 | 212,601,044 | |||||||
Debt conversion | $ 215 | 2,169 | 2,384 | 2,384 | ||||
Debt conversion (in Shares) | 26,440,475 | |||||||
Fair value of instrument specific Credit risk | (6) | (6) | (6) | |||||
Share based compensation | 195 | 195 | 195 | |||||
Cumulative translation adjustment | (542) | (542) | (542) | |||||
Net income (loss) | (2,965) | (2,965) | (2,965) | |||||
Balance at Mar. 31, 2021 | $ 1,839 | 63,648 | 827 | (40,397) | 25,917 | 25,917 | ||
Balance (in Shares) at Mar. 31, 2021 | 239,041,519 | |||||||
Debt conversion | $ 40 | 456 | 496 | 496 | ||||
Debt conversion (in Shares) | 4,969,135 | |||||||
Shares issued for cash | $ 972 | 11,153 | 12,125 | 12,125 | ||||
Shares issued for cash (in Shares) | 121,162,817 | |||||||
Fair value of investor warrants | (5,151) | (5,151) | (5,151) | |||||
Fair value of instrument specific Credit risk | (3) | (3) | (3) | |||||
Share issuance costs | (2,606) | 2,606 | ||||||
Share based compensation | 433 | 433 | 433 | |||||
Cumulative translation adjustment | (304) | (304) | (304) | |||||
Net income (loss) | (4,693) | (4,693) | (4,693) | |||||
Balance at Jun. 30, 2021 | $ 2,851 | 67,933 | 2,606 | 520 | (45,090) | 28,820 | 28,820 | |
Balance (in Shares) at Jun. 30, 2021 | 365,173,471 | |||||||
Shares issued for cash | $ 114 | 3,132 | 3,246 | 3,246 | ||||
Shares issued for cash (in Shares) | 14,505,206 | |||||||
Units issued for share issuance costs | $ 192 | 2,192 | (2,384) | |||||
Units issued for share issuance costs (in Shares) | 24,112,523 | |||||||
Share issuance costs | (386) | (222) | (608) | (608) | ||||
Share based compensation | 577 | 577 | 577 | |||||
Cumulative translation adjustment | (939) | (939) | (939) | |||||
Net income (loss) | 1,672 | 1,672 | 1,672 | |||||
Balance at Sep. 30, 2021 | $ 3,157 | $ 73,448 | $ (419) | $ (43,418) | $ 32,768 | $ 32,768 | ||
Balance (in Shares) at Sep. 30, 2021 | 403,791,200 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss for the period | $ (5,986) | $ (3,897) |
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ||
Depreciation and amortization | 90 | 110 |
Share-based compensation | 1,205 | 628 |
Non-cash lease expense | 87 | 30 |
Non-cash interest | 391 | 115 |
Loss (gain) on investment | 317 | (654) |
Foreign currency loss (gain), net | 29 | (118) |
Fair value adjustment of convertible debt | 298 | 553 |
Fair value adjustment of derivative liabilities | (4,547) | (957) |
Deferred income taxes | (475) | (948) |
Changes in operating assets and liabilities: | ||
Accounts receivable | 95 | |
Other current assets | (97) | 623 |
Income taxes | (589) | 211 |
Prepaid expenses | 49 | (168) |
Accounts payable | (1,377) | (395) |
Accrued liabilities | 1,107 | 6 |
Operating lease liability | (243) | (46) |
Net cash used in operating activities | (9,741) | (4,812) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Bank debt | (84) | 110 |
Proceeds from share issuance | 14,874 | 2,908 |
Share issuance costs | (620) | (156) |
Proceeds from convertible loan | 1,200 | 1,007 |
Loan proceeds | 2,945 | |
Repayment of loan (Note 9) | (2,934) | (536) |
Net cash provided by financing activities | 15,381 | 3,333 |
Net increase (decrease) in cash | 5,640 | (1,479) |
Effect of exchange rate changes on cash | (354) | (15) |
Cash, beginning of period | 298 | 1,524 |
Cash, end of period | 5,584 | 30 |
Supplemental information | ||
Cash paid for income taxes | 49 | 20 |
Cash paid for interest | 471 | 78 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Conversion of convertible debt to equity | 2,825 | 2,499 |
Conversion of debt to equity | 55 | |
Conversion of derivative liability to equity | 483 | 1,412 |
Non-cash share issuance costs | $ 2,531 | $ 103 |
Nature of Business and Summary
Nature of Business and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2021 | |
Accounting Policies [Abstract] | |
Nature of Business and Summary of Significant Accounting Policies | 1. Nature of Business and Summary of Significant Accounting Policies (a) Organization Allarity Therapeutics A/S (the “Company”) is a limited liability company domiciled in Denmark. The Company was incorporated under the laws of Denmark on 9 September 2004. The Company’s principal operations are located at Venlighedsvej 1, 2970 Horsholm, Denmark. The Company’s United States operations are located at 210 Broadway #201, Cambridge, MA 012139, United States of America. (b) Principal Activities Allarity Therapeutics A/S develops drugs for the personalized treatment of cancer using drug specific companion diagnostics (cDx) generated by its proprietary drug response predictor technology, DRP ® Allarity Therapeutics A/S (Nasdaq First North Growth Market Stockholm: ALLR) develops drugs for the personalized treatment of cancer using drug-specific companion diagnostics (cDx) generated by its proprietary drug response predictor technology, DRP ® (c) Liquidity and Going Concern The accompanying consolidated financial statements have been prepared on the basis of continuity of operations, realization of assets and the satisfaction of liabilities and commitments in the ordinary course of business. The accompanying financial statements do not reflect any adjustments relating to the recoverability and reclassifications of assets and liabilities that might be necessary if the Company is unable to continue as a going concern. Pursuant to the requirements of Accounting Standard Codification (ASC) 205-40, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern, management must evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that the financial statements are issued. This evaluation initially does not take into consideration the potential mitigating effect of management’s plans that have not been fully implemented as of the date of these financial statements, and (1) is probable that the plan will be effectively implemented within one year after the date the financial statements are issued, and (2) it is probable that the plan, when implemented, will mitigate the relevant condition or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date the financials are issued. Certain elements of the Company’s operating plan to alleviate the conditions that raise substantial doubt are outside of the Company’s control and cannot be included in management’s evaluation under the requirements of Accounting Standard Codification (ASC) 205-40. Since inception, the Company has devoted substantially all of its efforts to business planning, research and development, clinical expenses, recruiting management and technical staff, and securing funding via collaborations. The Company has historically funded its operations with proceeds received from its collaboration arrangements, sale of equity capital and proceeds from sales of convertible notes. The Company has incurred significant losses and has an accumulated deficit of $43.4 million as of September 30, 2021. As of the date of these financial statements our cash is insufficient to fund our current operating plan and planned capital expenditures for at least the next 12 months. These conditions give rise to a substantial doubt over the Company’s ability to continue as a going concern. Management’s plans to mitigate the conditions or events that raise substantial doubt include additional funding through public equity, private equity, debt financing, collaboration partnerships, or other sources. There are no assurances, however, that the Company will be successful in raising additional working capital, or if it is able to raise additional working capital, it may be unable to do so on commercially favorable terms. The Company’s failure to raise capital or enter into other such arrangements if and when needed would have a negative impact on its business, results of operations and financial condition and its ability to develop its product candidates. The Company has entered into a Securities Purchase Agreement with 3i, LP, a Delaware limited partnership that provides for a $20 million equity investment in the Company. Please refer to the subsequent event disclosures in note 18 for further information. Although management continues to pursue its funding plans, there is no assurance that the Company will be successful in obtaining sufficient funding to fund continuing operations on terms acceptable to the Company, if at all. Further, at the date of this filing the above noted 3i $20 million equity investment cannot be asserted as probable and is subject to close of the transaction. Accordingly, based upon cash on hand at the issuance date of these financial statements the Company does not have sufficient funds to finance its operations for at least twelve months from the issuance date and therefore has concluded that substantial doubt exists about the Company’s ability to continue as a going concern. (d) Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”). The accompanying interim financial statements as of September 30, 2021 and for the three and nine months ended September 30, 2021 and 2020, and related interim information contained within the notes to the financial statements, are unaudited. In management’s opinion, the unaudited interim consolidated financial statements have been prepared on the same basis as the Company’s audited financial statements and include all adjustments (including normal recurring adjustments) necessary for a fair statement of the financial statements. The condensed balance sheet at December 31, 2020, was derived from audited annual financial statements but does not contain all of the footnote disclosures from the annual financial statements. These interim financial statements should be read in conjunction with the Company’s audited financial statements and accompanying notes included in its Form S-4 for the year ended December 31, 2020 filed on August 20, 2021 and as amended. The results for the three and nine months ended September 30, 2021 are not necessarily indicative of the results expected for the full fiscal year or any interim period. (f) Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries: Name Country of Incorporation Oncology Venture Product Development ApS Denmark OV-SPV2 ApS Denmark MPI Inc. United States Oncology Venture US Inc. United States Allarity Therapeutics, Inc. United States Allarity Acquisition Subsidiary, Inc. United States All intercompany transactions and balances, including unrealized profits from intercompany sales, have been eliminated upon consolidation. (g) Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting years. Significant estimates and assumptions reflected in these consolidated financial statements include, but are not limited to, the fair value of the convertible loan, the accrual for research and development expenses, revenue recognition, fair values of acquired intangible assets and impairment review of those assets, the useful life of property, plant and equipment, share based compensation expense, provisions for contingencies and litigation, and income tax uncertainties and valuation allowances. The Company bases its estimates on historical experience, known trends and other market-specific or other relevant factors that it believes to be reasonable under the circumstances. Estimates are periodically reviewed in light of reasonable changes in circumstances, facts and experience. Changes in estimates are recorded in the period in which they become known and if material, their effects are disclosed in the notes to the consolidated financial statements. Actual results could differ from those estimates or assumptions. (h) Computation of Earnings (Loss) per Share The Company computes net (loss) income per share in accordance with ASC Topic 260, “Earnings Per Share” (“ASC 260”) and related guidance, which requires two calculations of net (loss) income attributable to the Company’s shareholders per share to be disclosed: basic and diluted. Basic loss per share is derived by dividing net loss applicable to common stockholders by the weighted average number of shares of common stock outstanding during each period. Diluted loss per share includes the effect, if any, from the potential exercise or conversion of securities, such as warrants, and convertible debt, which would result in the issuance of incremental shares of common stock unless such effect is anti-dilutive. In calculating the basic and diluted net loss per share applicable to common stockholders, the weighted average number of shares remained the same for both calculations due to the fact that when a net loss exists, dilutive shares are not included in the calculation. (i) Conversion of foreign currencies The functional currency is the currency of the primary economic environment in which an entity’s operations are conducted. The Company and its subsidiaries operate mainly in Denmark and the United States. The functional currencies of the Company’s subsidiaries are their local currency. The Company’s reporting currency is the U.S dollar. The Company translates the assets and liabilities of its Denmark subsidiaries into the U.S. dollar at the exchange rate in effect on the balance sheet date. Revenues and expenses are translated at the average exchange rate in effect during each monthly period. Unrealized translation gains and losses are recorded as a cumulative translation adjustment, which is included in the consolidated statements of shareholders’ equity as a component of accumulated other comprehensive (loss) income. Monetary assets and liabilities denominated in currencies other than the functional currency are re-measured into the functional currency at rates of exchange prevailing at the balance sheet dates. Non-monetary assets and liabilities denominated in foreign currencies are re-measured into the functional currency at the exchange rates prevailing at the date of the transaction. Exchange gains or losses arising from foreign currency transactions are included in the determination of net profit or loss for the respective periods. Adjustments that arise from exchange rate changes on transactions denominated in a currency other than the local currency are included in other comprehensive income (loss) in the consolidated statements of operations and comprehensive loss as incurred. (j) Accumulated other comprehensive income (loss) Accumulated other comprehensive income (loss) includes all changes in equity except those resulting from investments by owners and distributions to owners, including accumulated foreign currency translation, and changes in instrument specific credit risk. During the three months ended September 30, 2021 and 2020 the Company recorded accumulated foreign currency translation losses of ($939) and gains of $1,130 respectively. During the nine months ended September 30, 2021 and 2020 the Company recorded accumulated foreign currency translation losses of ($1,785) and gains of $1,212 and instrument specific credit risk losses of ($9) and gains of $6 respectively. These amounts have been recorded as a separate component of stockholders’ equity (deficit). (k) Contingencies Liabilities for loss contingencies arising from claims, assessments, litigation, fines, penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. At each reporting date, the Company evaluates whether or not a potential loss amount or a potential loss range is probable and reasonably estimable under the provisions of the authoritative guidelines that address accounting for contingencies. The Company expenses costs as incurred in relation to such legal proceedings as general and administrative expense within the consolidated statements of operations and comprehensive loss. (l) JOBS Act accounting election The Company is an “emerging growth company”, as defined in the Jumpstart Our Business Startups Act of 2012 (JOBS Act). Under the JOBS Act, emerging growth companies can delay adopting new or revised accounting standards issued subsequent to the enactment of the JOBS Act until such time as those standards apply to private companies. The Company has elected to use this extended transition period for complying with new or revised accounting standards that have different effective dates for public and private companies; however, the Company may adopt new or revised accounting standards early if the standard allows for early adoption. (m) Recently Issued Accounting Pronouncements Changes to GAAP are established by the Financial Accounting Standards Board (the “FASB”) in the form of accounting standards updates (“ASUs”) to the FASB’s Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. ASUs not listed below were assessed and determined not to be applicable or are expected to have minimal impact on the Company’s consolidated financial position and results of operations. Adopted In December 2019, the FASB issued ASU 2019-12, “Income Taxes — Simplifying the Accounting for Income Taxes”. The ASU simplifies the accounting for income taxes by removing certain exceptions to the general principles as well as clarifying and amending existing guidance to improve consistent application. The amendments to this ASU are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020, with early adoption permitted. Depending on the amendment, adoption may be applied on the retrospective, modified retrospective or prospective basis. The Company has adopted this standard on a prospective basis with no significant impact upon its consolidated financial statements. In August 2020, the FASB issued ASU No. 2020-06, Debt — Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging — Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity, which simplifies accounting for convertible instruments by removing major separation models required under current U.S. GAAP. ASU No. 2020-06 removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception and it also simplifies the diluted earnings per share calculation in certain areas. ASU No. 2020-06 is effective for public companies for annual periods beginning after December 15, 2021, including interim periods within those fiscal years. Early adoption is permitted for annual periods beginning after December 15, 2020, and interim periods within those fiscal years. The Company has early adopted this standard as of January 1, 2021 on a modified retrospective basis with no significant impact on its consolidated financial statements. Not Yet Adopted In May 2021, the FASB issued ASU No. 2021-04 — Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options — to clarify the accounting by issuers for modifications or exchanges of equity-classified warrants. The framework applies to freestanding written call options, such as warrants, that were and remain equity classified by the issuer after the modification and are not in the scope of another Codification Topic. The framework applies regardless of whether the modification is through an amendment to the existing terms or issuance of a replacement warrant. The effect of the modification of the warrant is measured as the difference in its fair value immediately before and after the modification. The effect is recognized in the same manner as if cash had been paid as consideration. Additionally, other modifications may need to be accounted for as a cost to the issuing entity based on the substance of the transaction. The Update is effective prospectively for fiscal years beginning after December 15, 2021 including interim periods therein, with early adoption permitted. The Company is currently evaluating the impact of this standard on its consolidated financial statements and related disclosures. |
Other Current Assets
Other Current Assets | 9 Months Ended |
Sep. 30, 2021 | |
Disclosure of Other Current Assets [Abstract] | |
Other Current Assets | 2. Other Current Assets The Company’s other current assets are comprised of the following: September 30, December 31, Deposits 54 68 Grant receivable — 50 Salary deposit 65 51 Value added tax (“VAT”) receivable 312 166 Other 1 — Net other current assets 432 335 |
Prepaid Expenses
Prepaid Expenses | 9 Months Ended |
Sep. 30, 2021 | |
Other Income and Expenses [Abstract] | |
Prepaid Expenses | 3. Prepaid Expenses September 30, December 31, Prepaid insurance 15 152 Other prepayments 110 22 125 174 |
Investment
Investment | 9 Months Ended |
Sep. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment | 4. Investment The Company owns 43,898 common shares in Lantern Pharma Inc. (NasdaqCM) (“Lantern” or “Lantern shares”) as a result of a prior license agreement made with Lantern Pharma in 2017. During June 2020 Lantern Pharma became publicly listed. As at September 30, 2021 the fair market value of the shares was $491. Accordingly, for the three months ended September 30, 2021 the Company has recognized a finance loss on the Lantern shares of $137 and a foreign exchange loss of $13 (2020: finance gain of $243 and foreign exchange gain of $28. For the nine months ended September 30, 2021 the Company has recognized a finance loss on the Lantern shares of $317 and a $37 foreign exchange loss (2020: finance gain of $654 and foreign exchange gain of $36. |
Property, plant and equipment,
Property, plant and equipment, net | 9 Months Ended |
Sep. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property, plant and equipment, net | 5. Property, plant and equipment, net Property, plant and equipment, net consisted of the following (in thousands): September 30, December 31, Laboratory equipment 338 338 Less: accumulated depreciation (329 ) (317 ) 9 21 Depreciation expense for the three months ended September 30, 2021 and 2020 was $22 and $38 respectively; and for the nine months ended September 30, 2021 and 2020 was $90 and $110 and respectively. |
Intangible assets
Intangible assets | 9 Months Ended |
Sep. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible assets | 6. Intangible assets Intangible assets, net of accumulated amortization, impairment charges and adjustments are summarized as follows: As of September 30, 2021 As of December 31, 2020 Cost Accumulated Amortization Net Cost Accumulated Amortization Net IPR&D Assets $ 38,876 $ (10,132 ) $ 28,744 $ 38,876 $ (8,399 ) $ 30,477 Acquired patents 99 (99 ) — 99 (85 ) 14 Total intangible assets $ 38,975 $ (10,231 ) $ 28,744 $ 38,975 $ (8,484 ) $ 30,491 The Company’s IPR&D assets have been classified as indefinite-lived intangible assets. Individually material development projects in progress are as follows: September 30, December 31, Stenoparib 25,957 27,522 Dovitinib 2,787 2,955 28,744 30,477 Sale of Irofulven On July 23, 2021, the Company and Lantern Pharma Inc. (“Lantern”) entered into an exclusive agreement under which Lantern will reacquire global rights to Irofulven (“LP-100”) and assume full authority to manage and guide future clinical development and commercialization. The Company received an upfront payment of $1,000 from Lantern. The agreement voids all prior obligations from the original 2015 in-license agreement and provides for additional development and regulatory milestone fees, and tiered royalties on future sales of Irofulven. If all milestones are achieved, then we will be entitled to receive up to $16 million in milestone payments under the Asset Purchase Agreement. In addition to the milestone payments, Lantern Pharma has agreed to pay us royalties in the low mid-digits based on annual incremental net sales of product derived from Irofulven, on a country-by-country basis, in an amount equal to percentages of annual sales based on a tiered progression. |
Accrued liabilities
Accrued liabilities | 9 Months Ended |
Sep. 30, 2021 | |
Payables and Accruals [Abstract] | |
Accrued liabilities | 7. Accrued liabilities The Company’s accrued liabilities are comprised of the following: September 30, December 31, Development cost liability 1,123 1,191 Accrued audit and legal 411 84 Share capital cost accrual 557 — Payroll accruals 337 316 Accrued Director fees 100 119 Accrued liabilities 419 130 2,947 1,840 |
Line of credit
Line of credit | 9 Months Ended |
Sep. 30, 2021 | |
Line Of Credit [Abstract] | |
Line of credit | 8. Line of credit Effective July 1, 2016 the Company established a line of credit with Nordea Bank in the amount of $84 bearing interest at 8.75%. The Company’s assets, up to an amount of $84 have been provided as security against the line of credit. As at September 30, 2021 the Company’s bank debt was zero (December 31, 2020 – $84). |
Loan
Loan | 9 Months Ended |
Sep. 30, 2021 | |
Loan [Abstract] | |
Loan | 9. Loan 2021 Loan Effective March 22, 2021 the Company received a loan of up to $2.9 million (SEK 25 million), net of a 3% loan origination fee of $87 (SEK 750 thousand), bearing interest at 3% per month, and due on June 23, 2021. In exchange for the loan, the Company committed to complete a rights offering and issue common shares. The rights offering was completed before June 23, 2021 as described in these financial statements. As of June 23, 2021, the loan balance of $2,817 and interest of $284 were paid to the lender. 2019 Loan Effective September 24, 2019 the Company received a loan of $512 bearing interest at 3% per month and due on November 30, 2019. The lender agreed to extend the due date of the loan with no penalty and the balance of the loan, including interest of $62 was paid as of January 7, 2020. The loan agreement included the Company’s commitment to carry out a common share subscription which was cancelled upon repayment of the loan on January 7, 2020. |
Convertible debt
Convertible debt | 9 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
Convertible debt | 10. Convertible debt On 31 March 2020 the Company entered into an agreement to issue up to $10,100 (SEK 100,000) (the “Commitment”) to be funded in tranches (“Tranches”) of ten non-interest-bearing notes (“Notes”) convertible into new shares of the Company, each with a value of $1,010 (SEK 10,000); 95% of each Tranche is received in cash, net of a 5% fee, and the conversion price of the Notes is 95% of the lowest closing volume weighted average price as reported by Bloomberg (“VWAP”). The Company accounted for the Notes issued under the FVO election whereby the financial instrument is initially measured at its issue-date estimated fair value and subsequently re-measured at estimated fair value on a recurring basis at each reporting date. The estimated fair value adjustment is presented as a single line item within other income (expense) in the accompanying consolidated statements of operations under the caption “change in fair value of convertible notes and derivative liabilities. We determined the fair value of the Notes using a discounted cash flow valuation technique with a weighted average cost of capital of 15%. The Company estimates the change in fair value attributable to the instrument specific credit risk of the Notes at 1% under the fair value option and accordingly has recognized a loss of $Nil and $9 in other comprehensive income during the three and nine month periods ended September 30, 2021 (2020: $Nil). Finance costs of $Nil related to the Notes have been recognized in the Company’s statement of operations for the three months ended September 30, 2021 and $298 for the nine months ended September 30, 2021 (three months and nine months ended September 30, 2020 – $475). The roll forward of the Notes as of September 30, 2021 and December 31, 2020 is as follows: September 30, December 31, Opening fair value 1,327 — Convertible debt issued in the period 1,200 4,670 Change in fair value (loss) reported in statement operations 298 (681 ) Conversion of notes to common shares (2,825 ) (2,662 ) Ending fair value balance — 1,327 An effective interest rate determines the fair value of the Notes. The notes are unlisted and therefore, they are categorized as Level 3 in accordance with ASC 820, “Fair Value Measurements and Disclosures.” The notes were fully converted to shares during the period ended June 30, 2021. The estimated fair value of the neet carrying amount of liability component of the Notes as of September 30, 2021 and December 31, 2020 was $Nil and $1,327 respectively. |
Derivative Liabilities
Derivative Liabilities | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Liabilities | 11. Derivative Liabilities (a) Investor Warrants The exercise price of our investor warrants described below is denominated in SEK; however, the functional currency of the Company is DKK. Consequently, the value of the proceeds on exercise is not fixed and will vary based on foreign exchange rate movements. The investor warrants when issued other than as compensation for goods and services are therefore a derivative for accounting purposes and are required to be recognized as a derivative liability and measured at fair value at each reporting period. Any changes in fair value from period to period are recorded as non-cash gain or loss in the consolidated statements of comprehensive loss. Upon exercise, the holders will pay the Company the respective exercise price for each investor warrant exercised in exchange for one common share of the Company and the fair value at the date of exercise and the associated non-cash liability will be reclassified to share capital. The non-cash liability associated with any investor warrants that expire unexercised will be recorded as a gain in the consolidated statements of comprehensive loss. There are no circumstances in which the Company would be required to pay any cash upon exercise or expiry of the investor warrants. In connection with subscriptions of Offer Units in the rights issue carried out April/May 2019, 20,166,221 investor warrants (“TO1 warrants”) have been granted to investors. All Warrants were vested as per the grant date. A warrant gives the right, during a fixed period to subscribe for nominal $0.01 (DKK 0.05) common share in the Company at $0.9 (SEK 7.5) (the “Exercise Price”), converted into DKK using the official exchange rate between DKK and SEK on the exercise day. All TO1 warrants expired unexercised in the period ended December 31, 2020. In connection with subscriptions of Offer Units in the rights issue carried out October — December 2019, 50,341,080 investor warrants (“TO2 warrants”) have been granted to investors. All Warrants were vested as per the grant date. A warrant gives the right, during a fixed period to subscribe for nominal $0.01 (DKK 0.05) common share in the Company $0.69 (SEK 6,0 In connection with subscriptions of Offer Units in the rights issue carried out in June 2021, 121,162,817 investor warrants (“TO3 warrants”) have been granted to investors. All Warrants were vested as per the grant date. In accordance with the terms of the Company’s outstanding TO 3 Warrants, exercisable for $0.20 (SEK 1.7) per share, the Company’s Board of Directors can determine an extraordinary and final exercise window of 10 trading days in which warrants shall be exercised provided, however, that the price of the Company’s shares increases to SEK 2.0 or more calculated as average volume weighted price (VWAP) over 10 trading days. On August 26, 2021, the Board of Directors set an extraordinary and final exercise period for the Company’s TO 3 Warrants, starting on August 30, 2021, and ending on September 13, 2021. Any TO 3 warrants unexercised after September 13, 2021, expired without compensation or payment of any kind to the warrant holders. During the three month period ended September 30, 2021, 13,719,266 warrants of series TO 3 were exercised for total proceeds of $2,679. The table below summarizes the number of investor warrants that were outstanding, their weighted average exercise price (“WAEP”) as at September 30, 2021 and December 31, 2020, as well as the movements during the respective periods: Nine months ended September 30, 2021 Year ended Number Weighted Average Exercise Price Number Weighted Average Exercise Price Outstanding, opening 54,337,944 $ 0.71 70,507,301 $ 0.69 Granted 120,891,157 0.19 3,996,864 $ 0.36 Exercised (13,728,086 ) 0.19 — — Expired (157,504,151 ) 0.33 (20,166,221 ) $ 0.82 Outstanding, ending 3,996,864 $ 0.38 54,337,944 $ 0.71 Exercisable, ending 3,996,864 $ 0.38 54,337,944 $ 0.71 (b) Financing Facility Effective November 29, 2018 the Company established a convertible debt facility (the “Facility”) for funding of up to SEK 200 million to be funded in up to 20 tranches of SEK 10 million each over a 24 month term and bearing interest at 2% per annum. Five of the tranches were receivable under the Facility at the discretion of the investor and the Facility was convertible into shares and warrants at 50% of the nominal amount of the notes. The Company has evaluated the terms of the Financing Facility in accordance with ASC 815-40-15 and ASC 815-40-25 and determined that the instrument is a derivative. Accordingly, the accounting treatment is the same as that described in Note 12(a) above. On June 3 , All Settlement Warrants immediately vested on the grant date. A warrant gives the right, during a fixed period to subscribe for nominal $0.01 (DKK 0.05) common share in the Company at $0.4 (SEK 3,3 As at September 30, 2021, the weighted average contractual life of all of the investor warrants described in this Note 11 (a) and (b) is 1.40 years. The weighted average exercise price for the warrants as at the end of September 30, 2021, is $0.38 each. (c) Valuation of Derivative Liabilities The derivative liabilities are measured at fair value at each reporting period and the reconciliation of changes in fair value is presented in the following tables: T01 Warrants T02 Warrants T03 Warrants Financing Facility* Warrants issued Warrants Warrants September 30, December 31, 2020 December 31, September 30, December 31, 2020 September 30, Balance beginning 102 2,138 14 47 1,641 — Issued during the period — — — — — 5,151 Change in fair value 124 (524 ) (14 ) (45 ) (1,594 ) (4,626 ) Amount transferred to Equity — (1,412 ) — — — (483 ) Translation effect (8 ) (100 ) — (2 ) — (42 ) Balance – end of period 218 102 — — 47 — Fair value per warrant issuable at period end 0.03 0.026 — — 0.0009 — The fair value of the Company’s derivative warrant liabilities were estimated using the Black-Scholes option pricing model and based on the following assumptions: Warrants issued Settlement Warrants for the September 30, December 31, Exercise price $ 0.38 – (SEK3.3 ) $ 0.40 – (SEK3.3 ) Share price $ 0.20 – (SEK1.7 ) $ 0.10 – (SEK0.80 ) Risk-free interest (0.52 )% (0.41 )% Expected dividend yield (0 )% (0 )% Contractual life (years) 1.40 2.17 Expected volatility 104.20 % 106.50 % The Company measured its derivative warrant liabilities on a recurring basis using level 3 inputs (see Note 17). |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2021 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | 12. Stockholders’ Equity (a) Share Issuances On September 30, 2021 the share capital consists of 403,791,200 common shares of par value $0.01 (DKK 0.05) each (December 31, 2020: 212,601,044 shares of par value $0.01 (DKK 0.05 each)). The shares are fully paid in. The shares are not divided into classes, and no shares enjoy special rights. During the three months ended September 30, 2021 the Company issued: i. 14,505,206 common shares valued at $3,232 upon the exercise of common stock purchase warrants; and ii. Units consisting of 24,112,523 common shares and 24,112,523 common share purchase warrants valued at $2,384 upon the issuance of Units on July 14, 2021 to the financial advisors of the May 14, 2021 rights issue. The attached warrants are exercisable for $0.20 (SEK 1,70) each with an original expiration date of September 13, 2023, subsequently amended to September 13, 2021 (Note 11(a)). During the nine months ended September 30, 2021 the Company issued: iii. 14,776,866 common shares valued at $3,232 upon the exercise of common stock purchase warrants; iv. Units consisting of 145,003,680 common shares and 145,003,680 common share purchase warrants for $0.10 (SEK 0.85) per unit; valued at $12,125. The attached warrants are exercisable for $0.20 (SEK 1,70) each with an original expiration date of September 13, 2023, subsequently amended to September 13, 2021 (Note 11(a)); and v. 31,409,610 common shares valued at $2,880 upon conversion of debt. During the three months ended September 30, 2020 the Company issued: vi. 11,669,340 common shares valued at $1,585 on conversion of debt; and vii. 12,383,770 common shares valued at $758 in exchange for 16.09% of the NCI in OV US Inc. During the nine months ended September 30, 2020 the Company issued: viii. 9,330,000 common shares and 3,996,864 warrants in exchange for $1,092 in cash in settlement of the Financing Facility dated February 23, 2020; the fair value of the common shares of $2,504 was recorded in equity and the $625 fair value of the warrants was recorded as a derivative liability which was adjusted to market at the end of every period and as at September 30, 2021 the fair value of the warrants is $218; ix. 24,307,645 common shares valued at $3,506 on conversion of debt; x. 25,936,599 common shares valued at $2,103 in exchange for 37% of the NCI in OV SPV2 ApS; and xi. 12,383,770 common shares valued at $758 in exchange for 16.09% of the NCI in OV US Inc. |
Share-based payments
Share-based payments | 9 Months Ended |
Sep. 30, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Share-based payments | 13. Share-based payments Share based payments in the legal form of warrants have been granted to members of the executive management, members of the board of directors, employees and external consultants. All share-based payment warrant plans During the three months ended September 30, 2021, the total expenses recorded in profit or loss were $577 (2020: $237) and are recognized as general and administrative expenses. During the nine months ended September 30, 2021 expenses of $1,205 (2020: $629) are recognized as general and administrative expenses. Total compensation cost of $119 for non-vested warrants as at September 30, 2021 will be recognized through October 31, 2023. The table below summarizes the number of options that were outstanding, their weighted average exercise price (“WAEP”) as at September 30, 2021 and December 31, 2020, as well as the movements during the periods. September 30, 2021 December 31, 2020 Number Weighted Average Exercise Price Number Weighted Average Exercise Price Opening balance 10,755,971 $ 0.20 8,717,239 $ 0.18 Granted — — 3,389,550 $ 0.22 Exercised (1,048,780 ) 0.06 — — Forfeited (2,030,260 ) 0.06 (1,350,818 ) $ 0.26 Ending balance outstanding 7,676,931 $ 0.24 10,775,971 $ 0.20 Ending balance, exercisable 4,657,456 $ 0.23 6,008,140 $ 0.18 No warrants were granted in the nine month period ended September 30, 2021. The weighted average remaining contractual life for the warrants outstanding as at September 30, 2021 was 7.75 years (December 31, 2020: 9.3 years). |
Segments
Segments | 9 Months Ended |
Sep. 30, 2021 | |
Segment Reporting [Abstract] | |
Segments | 14. Segments The Company is domiciled in Denmark and operates as one operating segment. Our Chief Executive Officer (CEO), as the chief operating decision-maker, manages and allocates resources to the operations of our Company on a total Company basis. Managing and allocating resources on a total company basis enables our CEO to assess the overall level of resources available and how to best deploy these resources across functions, therapeutic areas and research and development projects that are in line with our long-term company-wide strategic goals. Consistent with this decision-making process, our CEO uses consolidated, single-segment financial information for purposes of evaluating performance, forecasting future period financial results, allocating resources and setting incentive targets. The Company has neither revenues from external customers outside Denmark, nor non-current assets in other geographical areas than Denmark. |
Basic and diluted net loss per
Basic and diluted net loss per share | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
Basic and diluted net loss per share | 15. Basic and diluted net loss per share Basic net income loss per share is computed based on the weighted average number of ordinary shares outstanding during each period. Diluted net income per share is computed based on the weighted average number of ordinary shares outstanding during the period plus potential shares (deriving from warrants and convertible notes) considered outstanding during the period, in accordance with ASC 260-10 as determined under the treasury stock method. Three month period ended September 30, Nine month period ended September 30, 2021 2020 2021 2020 Numerator: Net income (loss) attributable to common shareholders $ 1,672 $ (960 ) (5,986 ) (3,897 ) Denominator: Weighted average common shares outstanding – basic 387,652,549 186,230,830 288,984,065 150,650,949 Weighted average common shares outstanding – diluted 397,201,067 194,948,069 299,740,036 159,368,188 Net income (loss) per share attributable to common shareholders – basic and diluted $ 0.00 $ (0.01 ) $ (0.02 ) $ (0.03 ) In the three month period ended September 30, 2021 the Company’s diluted weighted shares outstanding includes outstanding warrants however the basic and diluted income per share amounts were the same. In the three month period ended September 30, 2020 and the nine month periods ended September 30, 2021 and 2020, the Company’s unvested restricted shares and restricted share units have been excluded from the computation of basic net loss per share attributable to common shareholders. The Company’s potentially dilutive securities, which include warrants and shares issuable upon conversion of convertible debt, have been excluded from the computation of diluted net loss per share attributable to common shareholders as the effect would be to reduce the net loss per share attributable to common shareholders. Therefore, the weighted average number of common shares outstanding used to calculate both basic and diluted net loss per share attributable to common shareholders is the same. The Company excluded the following potential common shares, presented based on amounts outstanding at each period end, from the computation of diluted net loss per share attributable to common shareholders for the periods indicated because including them would have had an anti-dilutive effect: Three month period ended Nine month period ended 2021 2020 2021 2020 Warrants 9,548,518 8,717,239 10,755,971 8,717,239 |
Financial Instruments
Financial Instruments | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments | 16. Financial Instruments The following tables present information about the Company’s financial instruments measured at fair value on a recurring basis and indicate the level of the fair value hierarchy used to determine such fair values: Fair Value Measurements as of September 30, 2021 Using: Level 1 Level 2 Level 3 Total Assets: Investment $ 491 $ — $ — $ 491 Liabilities: Derivative warrants $ — $ — $ (218 ) $ (218 ) $ — $ — $ (218 ) $ (218 ) Fair Value Measurements as of December 31, 2020 Using: Level 1 Level 2 Level 3 Total Assets: Investment $ 845 $ — $ — $ 845 Liabilities: Convertible debt $ — $ — $ (1,327 ) $ (1,327 ) Financing Facility — — (102 ) (102 ) Derivative warrants — — (47 ) (47 ) $ — $ — $ (1,476 ) $ (1,476 ) The following method was used to estimate the fair values of our financial instruments: The carrying amount of level 1 financial instruments are recorded at fair market value based upon market prices. Financial assets and liabilities are considered Level 3 when their fair values are determined using pricing models, discounted cash flow methodologies, or similar techniques, and at least one significant model assumption or input is unobservable. Level 3 financial assets also include investment securities in 2020 for which there is limited market activity such that the determination of fair value requires significant judgment or estimation. The Company reviews the fair value hierarchy classification on a quarterly basis. Changes in the ability to observe valuation inputs may result in a reclassification of levels for certain securities within the fair value hierarchy. The Company’s policy is to recognize transfers into and out of levels within the fair value hierarchy at the date the actual event or change in circumstances that caused the transfer occurs. When a determination is made to classify an asset or liability within Level 3, the determination is based upon the significance of the unobservable inputs to the overall fair value measurement. There were no transfers between level 1 or level 2 during the nine months ended September 30, 2021 and the year ended December 31, 2020. The following table provides a reconciliation of the beginning and ending balances of the item measured at fair value on a recurring basis in the table above that used significant unobservable inputs (Level 3): Level 3 September 30, December 31, Beginning balance $ 1,476 $ 3,793 Gains included in net loss — 845 Transfers out of level 3 — (845 ) Issuance of convertible debt 1,200 4,670 Issuance of investor warrants (TO3) 5,151 — 7,827 8,463 Financing Facility: Fair value adjustment 124 (524 ) Translation effect (8 ) (100 ) Converted to equity on settlement — (1,412 ) Fair value adjustments: TO1 Warrants — (14 ) TO2 Warrants (45 ) (1,594 ) TO3 Warrants (4,524 ) — Translation effect (TO2 and TO3 Warrants) (44 ) — Convertible debt 298 (681 ) Converted to equity on settlement: Exercise of TO2 and TO3 warrants (585 ) — Debt conversion (2,825 ) (2,662 ) Ending balance $ 218 $ 1,476 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 17. Commitments and Contingencies a) Development costs The Company is contingently liable for development costs of Smerud Medical Research International (“Smerud”) in the approximate amount of $1,191 which has been accrued as of September 30, 2021 and will be payable only if Smerud is unable to identify investors to fund development of in licensed products from the Company by December 31, 2021; as extended from October 1, 2021 during the period ended September 30, 2021. On November 10, 2020 the Company entered into a cost sharing agreement with Smerud for the development of Ixempra whereby Smerud will be entitled to 7.5% royalties on future revenue in exchange for funding half of the development costs. As of September 30, 2021 Smerud has performed work valued at $139 and is entitled to a very low amount of future royalties. b) License Agreement with Eisai for Stenoparib During the period ended September 30, 2021, the terms of our agreement with Eisai have been revised to provide Eisai the right to terminate the agreement if we do not complete a Phase 2 clinical trial before December 31, 2022, unless we elect to pay a very low seven digit extension payment. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | 18. Subsequent Events For its interim consolidated financial statements as of September 30, 2021 and for the nine months then ended, the Company evaluated subsequent events through the date on which those financial statements were issued. (a) Plan of Reorganization and US Nasdaq Listing On April 6, 2021, the Company incorporated Allarity Therapeutics, Inc., a Delaware corporation, (“Allarity Delaware”) as a direct wholly owned subsidiary of the Company for the sole purpose of entering into a Plan of Reorganization and Asset Purchase Agreement with Allarity Delaware in order to reorganize the Company as a holding company listed on the US Nasdaq Stock Market and complete a 50 to 1 share reverse split, resulting in an immediate decrease in the outstanding shares used to calculate the weighted average common shares outstanding for basic and diluted net income per share. The reorganization is a common control transaction and there will be no change in control over the assets of the ultimate parent. Consequently, Allarity Delaware will record all assets and liabilities acquired from Allarity Therapeutics A/S at historical cost. The recapitalization share exchange is conditioned upon the approval of the Company’s shareholders and an effective registration statement filed with the US Securities and Exchange Commission. Our Form S-4 registration statement was effective on November 5, 2021; and the recapitalization was approved by our shareholders at our Extraordinary General Meeting held on November 22, 2021. As of the date of these financial statements, the Company anticipates that approximately 8,075,824 shares of Delaware common stock will be issued in the recapitalization share exchange to the Company’s shareholders. (b) PIPE Investment On May 20, 2021, the Company entered into an Investment Agreement (the “Investment Agreement”) with 3i, LP, a Delaware Limited Partnership (the “Investor”) whereby the Company agreed to issue and sell the Investor 20,000 shares of Allarity Delaware Series A Convertible Preferred Stock (the “Preferred Stock”) and common stock purchase warrants (the “Warrants”) for an additional $20 million (the “PIPE Investment”). The PIPE Investment is conditioned upon, and will occur simultaneously with, the consummation of the Recapitalization Share Exchange and the approval of Allarity Delaware’s application to list its common stock on the US Nasdaq Stock Market. The Preferred Stock may convert over time into at approximately 20% of the Company’s issued and outstanding shares however, conversion of the Preferred Shares and exercise of the Warrants; is limited to 4.99% of the Company’s issued and outstanding shares. As of the date of these financial statements the Company expects the conversion price of the Preferred Stock to be $9.91 per share. However, if the volume weighted average price for Allarity Delaware common stock on the US Nasdaq Stock Market falls below the fixed conversion price for the preferred stock, then the preferred stock would be entitled to convert at an alternate conversion price between 80% to 90% of the volume weighted average price at the time of conversion with a similar adjustment for the exercise price for the warrants. Lastly, in the event that the average daily US dollar volume of share of Allarity Delaware common stock traded on the US Nasdaq Stock Market falls below $2.5 million, then holders of the convertible preferred stock will be entitled to a one-time special dividend of 8% of the stated value of the preferred stock ($1.6 million) payable in shares of common stock upon conversion of the convertible preferred stock. The Company is in the process of assessing the accounting treatment of the special dividend. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 9 Months Ended |
Sep. 30, 2021 | |
Accounting Policies [Abstract] | |
Organization | (a) Organization Allarity Therapeutics A/S (the “Company”) is a limited liability company domiciled in Denmark. The Company was incorporated under the laws of Denmark on 9 September 2004. The Company’s principal operations are located at Venlighedsvej 1, 2970 Horsholm, Denmark. The Company’s United States operations are located at 210 Broadway #201, Cambridge, MA 012139, United States of America. |
Principal Activities | (b) Principal Activities Allarity Therapeutics A/S develops drugs for the personalized treatment of cancer using drug specific companion diagnostics (cDx) generated by its proprietary drug response predictor technology, DRP ® Allarity Therapeutics A/S (Nasdaq First North Growth Market Stockholm: ALLR) develops drugs for the personalized treatment of cancer using drug-specific companion diagnostics (cDx) generated by its proprietary drug response predictor technology, DRP ® |
Liquidity and Going Concern | (c) Liquidity and Going Concern The accompanying consolidated financial statements have been prepared on the basis of continuity of operations, realization of assets and the satisfaction of liabilities and commitments in the ordinary course of business. The accompanying financial statements do not reflect any adjustments relating to the recoverability and reclassifications of assets and liabilities that might be necessary if the Company is unable to continue as a going concern. Pursuant to the requirements of Accounting Standard Codification (ASC) 205-40, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern, management must evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that the financial statements are issued. This evaluation initially does not take into consideration the potential mitigating effect of management’s plans that have not been fully implemented as of the date of these financial statements, and (1) is probable that the plan will be effectively implemented within one year after the date the financial statements are issued, and (2) it is probable that the plan, when implemented, will mitigate the relevant condition or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date the financials are issued. Certain elements of the Company’s operating plan to alleviate the conditions that raise substantial doubt are outside of the Company’s control and cannot be included in management’s evaluation under the requirements of Accounting Standard Codification (ASC) 205-40. Since inception, the Company has devoted substantially all of its efforts to business planning, research and development, clinical expenses, recruiting management and technical staff, and securing funding via collaborations. The Company has historically funded its operations with proceeds received from its collaboration arrangements, sale of equity capital and proceeds from sales of convertible notes. The Company has incurred significant losses and has an accumulated deficit of $43.4 million as of September 30, 2021. As of the date of these financial statements our cash is insufficient to fund our current operating plan and planned capital expenditures for at least the next 12 months. These conditions give rise to a substantial doubt over the Company’s ability to continue as a going concern. Management’s plans to mitigate the conditions or events that raise substantial doubt include additional funding through public equity, private equity, debt financing, collaboration partnerships, or other sources. There are no assurances, however, that the Company will be successful in raising additional working capital, or if it is able to raise additional working capital, it may be unable to do so on commercially favorable terms. The Company’s failure to raise capital or enter into other such arrangements if and when needed would have a negative impact on its business, results of operations and financial condition and its ability to develop its product candidates. The Company has entered into a Securities Purchase Agreement with 3i, LP, a Delaware limited partnership that provides for a $20 million equity investment in the Company. Please refer to the subsequent event disclosures in note 18 for further information. Although management continues to pursue its funding plans, there is no assurance that the Company will be successful in obtaining sufficient funding to fund continuing operations on terms acceptable to the Company, if at all. Further, at the date of this filing the above noted 3i $20 million equity investment cannot be asserted as probable and is subject to close of the transaction. Accordingly, based upon cash on hand at the issuance date of these financial statements the Company does not have sufficient funds to finance its operations for at least twelve months from the issuance date and therefore has concluded that substantial doubt exists about the Company’s ability to continue as a going concern. |
Basis of Presentation | (d) Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”). The accompanying interim financial statements as of September 30, 2021 and for the three and nine months ended September 30, 2021 and 2020, and related interim information contained within the notes to the financial statements, are unaudited. In management’s opinion, the unaudited interim consolidated financial statements have been prepared on the same basis as the Company’s audited financial statements and include all adjustments (including normal recurring adjustments) necessary for a fair statement of the financial statements. The condensed balance sheet at December 31, 2020, was derived from audited annual financial statements but does not contain all of the footnote disclosures from the annual financial statements. These interim financial statements should be read in conjunction with the Company’s audited financial statements and accompanying notes included in its Form S-4 for the year ended December 31, 2020 filed on August 20, 2021 and as amended. The results for the three and nine months ended September 30, 2021 are not necessarily indicative of the results expected for the full fiscal year or any interim period. |
Principles of Consolidation | (f) Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries: Name Country of Incorporation Oncology Venture Product Development ApS Denmark OV-SPV2 ApS Denmark MPI Inc. United States Oncology Venture US Inc. United States Allarity Therapeutics, Inc. United States Allarity Acquisition Subsidiary, Inc. United States All intercompany transactions and balances, including unrealized profits from intercompany sales, have been eliminated upon consolidation. |
Use of Estimates | (g) Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting years. Significant estimates and assumptions reflected in these consolidated financial statements include, but are not limited to, the fair value of the convertible loan, the accrual for research and development expenses, revenue recognition, fair values of acquired intangible assets and impairment review of those assets, the useful life of property, plant and equipment, share based compensation expense, provisions for contingencies and litigation, and income tax uncertainties and valuation allowances. The Company bases its estimates on historical experience, known trends and other market-specific or other relevant factors that it believes to be reasonable under the circumstances. Estimates are periodically reviewed in light of reasonable changes in circumstances, facts and experience. Changes in estimates are recorded in the period in which they become known and if material, their effects are disclosed in the notes to the consolidated financial statements. Actual results could differ from those estimates or assumptions. |
Computation of Earnings (Loss) per Share | (h) Computation of Earnings (Loss) per Share The Company computes net (loss) income per share in accordance with ASC Topic 260, “Earnings Per Share” (“ASC 260”) and related guidance, which requires two calculations of net (loss) income attributable to the Company’s shareholders per share to be disclosed: basic and diluted. Basic loss per share is derived by dividing net loss applicable to common stockholders by the weighted average number of shares of common stock outstanding during each period. Diluted loss per share includes the effect, if any, from the potential exercise or conversion of securities, such as warrants, and convertible debt, which would result in the issuance of incremental shares of common stock unless such effect is anti-dilutive. In calculating the basic and diluted net loss per share applicable to common stockholders, the weighted average number of shares remained the same for both calculations due to the fact that when a net loss exists, dilutive shares are not included in the calculation. |
Conversion of foreign currencies | (i) Conversion of foreign currencies The functional currency is the currency of the primary economic environment in which an entity’s operations are conducted. The Company and its subsidiaries operate mainly in Denmark and the United States. The functional currencies of the Company’s subsidiaries are their local currency. The Company’s reporting currency is the U.S dollar. The Company translates the assets and liabilities of its Denmark subsidiaries into the U.S. dollar at the exchange rate in effect on the balance sheet date. Revenues and expenses are translated at the average exchange rate in effect during each monthly period. Unrealized translation gains and losses are recorded as a cumulative translation adjustment, which is included in the consolidated statements of shareholders’ equity as a component of accumulated other comprehensive (loss) income. Monetary assets and liabilities denominated in currencies other than the functional currency are re-measured into the functional currency at rates of exchange prevailing at the balance sheet dates. Non-monetary assets and liabilities denominated in foreign currencies are re-measured into the functional currency at the exchange rates prevailing at the date of the transaction. Exchange gains or losses arising from foreign currency transactions are included in the determination of net profit or loss for the respective periods. Adjustments that arise from exchange rate changes on transactions denominated in a currency other than the local currency are included in other comprehensive income (loss) in the consolidated statements of operations and comprehensive loss as incurred. |
Accumulated other comprehensive income (loss) | (j) Accumulated other comprehensive income (loss) Accumulated other comprehensive income (loss) includes all changes in equity except those resulting from investments by owners and distributions to owners, including accumulated foreign currency translation, and changes in instrument specific credit risk. During the three months ended September 30, 2021 and 2020 the Company recorded accumulated foreign currency translation losses of ($939) and gains of $1,130 respectively. During the nine months ended September 30, 2021 and 2020 the Company recorded accumulated foreign currency translation losses of ($1,785) and gains of $1,212 and instrument specific credit risk losses of ($9) and gains of $6 respectively. These amounts have been recorded as a separate component of stockholders’ equity (deficit). |
Contingencies | (k) Contingencies Liabilities for loss contingencies arising from claims, assessments, litigation, fines, penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. At each reporting date, the Company evaluates whether or not a potential loss amount or a potential loss range is probable and reasonably estimable under the provisions of the authoritative guidelines that address accounting for contingencies. The Company expenses costs as incurred in relation to such legal proceedings as general and administrative expense within the consolidated statements of operations and comprehensive loss. |
JOBS Act accounting election | (l) JOBS Act accounting election The Company is an “emerging growth company”, as defined in the Jumpstart Our Business Startups Act of 2012 (JOBS Act). Under the JOBS Act, emerging growth companies can delay adopting new or revised accounting standards issued subsequent to the enactment of the JOBS Act until such time as those standards apply to private companies. The Company has elected to use this extended transition period for complying with new or revised accounting standards that have different effective dates for public and private companies; however, the Company may adopt new or revised accounting standards early if the standard allows for early adoption. |
Recently Issued Accounting Pronouncements | (m) Recently Issued Accounting Pronouncements Changes to GAAP are established by the Financial Accounting Standards Board (the “FASB”) in the form of accounting standards updates (“ASUs”) to the FASB’s Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. ASUs not listed below were assessed and determined not to be applicable or are expected to have minimal impact on the Company’s consolidated financial position and results of operations. |
Adopted | Adopted In December 2019, the FASB issued ASU 2019-12, “Income Taxes — Simplifying the Accounting for Income Taxes”. The ASU simplifies the accounting for income taxes by removing certain exceptions to the general principles as well as clarifying and amending existing guidance to improve consistent application. The amendments to this ASU are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020, with early adoption permitted. Depending on the amendment, adoption may be applied on the retrospective, modified retrospective or prospective basis. The Company has adopted this standard on a prospective basis with no significant impact upon its consolidated financial statements. In August 2020, the FASB issued ASU No. 2020-06, Debt — Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging — Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity, which simplifies accounting for convertible instruments by removing major separation models required under current U.S. GAAP. ASU No. 2020-06 removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception and it also simplifies the diluted earnings per share calculation in certain areas. ASU No. 2020-06 is effective for public companies for annual periods beginning after December 15, 2021, including interim periods within those fiscal years. Early adoption is permitted for annual periods beginning after December 15, 2020, and interim periods within those fiscal years. The Company has early adopted this standard as of January 1, 2021 on a modified retrospective basis with no significant impact on its consolidated financial statements. |
Not Yet Adopted | Not Yet Adopted In May 2021, the FASB issued ASU No. 2021-04 — Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options — to clarify the accounting by issuers for modifications or exchanges of equity-classified warrants. The framework applies to freestanding written call options, such as warrants, that were and remain equity classified by the issuer after the modification and are not in the scope of another Codification Topic. The framework applies regardless of whether the modification is through an amendment to the existing terms or issuance of a replacement warrant. The effect of the modification of the warrant is measured as the difference in its fair value immediately before and after the modification. The effect is recognized in the same manner as if cash had been paid as consideration. Additionally, other modifications may need to be accounted for as a cost to the issuing entity based on the substance of the transaction. The Update is effective prospectively for fiscal years beginning after December 15, 2021 including interim periods therein, with early adoption permitted. The Company is currently evaluating the impact of this standard on its consolidated financial statements and related disclosures. |
Other Current Assets (Tables)
Other Current Assets (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Other Current Assets [Abstract] | |
Schedule of other current assets | September 30, December 31, Deposits 54 68 Grant receivable — 50 Salary deposit 65 51 Value added tax (“VAT”) receivable 312 166 Other 1 — Net other current assets 432 335 |
Prepaid Expenses (Tables)
Prepaid Expenses (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Other Income and Expenses [Abstract] | |
Schedule of prepaid expenses | September 30, December 31, Prepaid insurance 15 152 Other prepayments 110 22 125 174 |
Property, plant and equipment_2
Property, plant and equipment, net (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property, plant and equipment | September 30, December 31, Laboratory equipment 338 338 Less: accumulated depreciation (329 ) (317 ) 9 21 |
Intangible assets (Tables)
Intangible assets (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of intangible assets, net of accumulated amortization | As of September 30, 2021 As of December 31, 2020 Cost Accumulated Amortization Net Cost Accumulated Amortization Net IPR&D Assets $ 38,876 $ (10,132 ) $ 28,744 $ 38,876 $ (8,399 ) $ 30,477 Acquired patents 99 (99 ) — 99 (85 ) 14 Total intangible assets $ 38,975 $ (10,231 ) $ 28,744 $ 38,975 $ (8,484 ) $ 30,491 |
Schedule of individually material development projects in progress | September 30, December 31, Stenoparib 25,957 27,522 Dovitinib 2,787 2,955 28,744 30,477 |
Accrued liabilities (Tables)
Accrued liabilities (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Payables and Accruals [Abstract] | |
Schedule of accrued liabilities | September 30, December 31, Development cost liability 1,123 1,191 Accrued audit and legal 411 84 Share capital cost accrual 557 — Payroll accruals 337 316 Accrued Director fees 100 119 Accrued liabilities 419 130 2,947 1,840 |
Convertible debt (Tables)
Convertible debt (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of roll forward of notes | September 30, December 31, Opening fair value 1,327 — Convertible debt issued in the period 1,200 4,670 Change in fair value (loss) reported in statement operations 298 (681 ) Conversion of notes to common shares (2,825 ) (2,662 ) Ending fair value balance — 1,327 |
Derivative Liabilities (Tables)
Derivative Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of number of investor warrants outstanding weighted average exercise price | Nine months ended September 30, 2021 Year ended Number Weighted Average Exercise Price Number Weighted Average Exercise Price Outstanding, opening 54,337,944 $ 0.71 70,507,301 $ 0.69 Granted 120,891,157 0.19 3,996,864 $ 0.36 Exercised (13,728,086 ) 0.19 — — Expired (157,504,151 ) 0.33 (20,166,221 ) $ 0.82 Outstanding, ending 3,996,864 $ 0.38 54,337,944 $ 0.71 Exercisable, ending 3,996,864 $ 0.38 54,337,944 $ 0.71 |
Schedule of derivative liabilities reconciliation of changes in fair value | T01 Warrants T02 Warrants T03 Warrants Financing Facility* Warrants issued Warrants Warrants September 30, December 31, 2020 December 31, September 30, December 31, 2020 September 30, Balance beginning 102 2,138 14 47 1,641 — Issued during the period — — — — — 5,151 Change in fair value 124 (524 ) (14 ) (45 ) (1,594 ) (4,626 ) Amount transferred to Equity — (1,412 ) — — — (483 ) Translation effect (8 ) (100 ) — (2 ) — (42 ) Balance – end of period 218 102 — — 47 — Fair value per warrant issuable at period end 0.03 0.026 — — 0.0009 — |
Schedule of derivative warrant liabilities estimated initially and quarterly basis | Warrants issued Settlement Warrants for the September 30, December 31, Exercise price $ 0.38 – (SEK3.3 ) $ 0.40 – (SEK3.3 ) Share price $ 0.20 – (SEK1.7 ) $ 0.10 – (SEK0.80 ) Risk-free interest (0.52 )% (0.41 )% Expected dividend yield (0 )% (0 )% Contractual life (years) 1.40 2.17 Expected volatility 104.20 % 106.50 % |
Share-based payments (Tables)
Share-based payments (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of weighted average exercise price | September 30, 2021 December 31, 2020 Number Weighted Average Exercise Price Number Weighted Average Exercise Price Opening balance 10,755,971 $ 0.20 8,717,239 $ 0.18 Granted — — 3,389,550 $ 0.22 Exercised (1,048,780 ) 0.06 — — Forfeited (2,030,260 ) 0.06 (1,350,818 ) $ 0.26 Ending balance outstanding 7,676,931 $ 0.24 10,775,971 $ 0.20 Ending balance, exercisable 4,657,456 $ 0.23 6,008,140 $ 0.18 |
Basic and diluted net loss pe_2
Basic and diluted net loss per share (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of basic and diluted net loss per share | Three month period ended September 30, Nine month period ended September 30, 2021 2020 2021 2020 Numerator: Net income (loss) attributable to common shareholders $ 1,672 $ (960 ) (5,986 ) (3,897 ) Denominator: Weighted average common shares outstanding – basic 387,652,549 186,230,830 288,984,065 150,650,949 Weighted average common shares outstanding – diluted 397,201,067 194,948,069 299,740,036 159,368,188 Net income (loss) per share attributable to common shareholders – basic and diluted $ 0.00 $ (0.01 ) $ (0.02 ) $ (0.03 ) |
Schedule of anti-dilutive effect | Three month period ended Nine month period ended 2021 2020 2021 2020 Warrants 9,548,518 8,717,239 10,755,971 8,717,239 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of financial instruments measured at fair value on a recurring basis and indicate the level of the fair value | Fair Value Measurements as of September 30, 2021 Using: Level 1 Level 2 Level 3 Total Assets: Investment $ 491 $ — $ — $ 491 Liabilities: Derivative warrants $ — $ — $ (218 ) $ (218 ) $ — $ — $ (218 ) $ (218 ) Fair Value Measurements as of December 31, 2020 Using: Level 1 Level 2 Level 3 Total Assets: Investment $ 845 $ — $ — $ 845 Liabilities: Convertible debt $ — $ — $ (1,327 ) $ (1,327 ) Financing Facility — — (102 ) (102 ) Derivative warrants — — (47 ) (47 ) $ — $ — $ (1,476 ) $ (1,476 ) |
Schedule of fair value measurement | Level 3 September 30, December 31, Beginning balance $ 1,476 $ 3,793 Gains included in net loss — 845 Transfers out of level 3 — (845 ) Issuance of convertible debt 1,200 4,670 Issuance of investor warrants (TO3) 5,151 — 7,827 8,463 Financing Facility: Fair value adjustment 124 (524 ) Translation effect (8 ) (100 ) Converted to equity on settlement — (1,412 ) Fair value adjustments: TO1 Warrants — (14 ) TO2 Warrants (45 ) (1,594 ) TO3 Warrants (4,524 ) — Translation effect (TO2 and TO3 Warrants) (44 ) — Convertible debt 298 (681 ) Converted to equity on settlement: Exercise of TO2 and TO3 warrants (585 ) — Debt conversion (2,825 ) (2,662 ) Ending balance $ 218 $ 1,476 |
Nature of Business and Summar_2
Nature of Business and Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Aug. 21, 2018 | |
Nature of Business and Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Financial term | 1 year | ||||
Accumulated deficit | $ 43,400 | $ 43,400 | |||
Equity investment | 20,000 | 20,000 | |||
Accumulated foreign currency translation gain (loss) | (939) | $ 1,130 | (1,785) | $ 1,212 | |
Instrument specific credit risk gain (loss) | (9) | $ 6 | |||
Merger [Member] | |||||
Nature of Business and Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Percentage of voting interest | 100.00% | ||||
Securities Purchase Agreement [Member] | |||||
Nature of Business and Summary of Significant Accounting Policies (Details) [Line Items] | |||||
Equity investment | $ 20,000 | $ 20,000 |
Other Current Assets (Details)
Other Current Assets (Details) - Schedule of other current assets - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Schedule of other current assets [Abstract] | ||
Deposits | $ 54 | $ 68 |
Grant receivable | 50 | |
Salary deposit | 65 | 51 |
Value added tax (“VAT”) receivable | 312 | 166 |
Other | 1 | |
Net other current assets | $ 432 | $ 335 |
Prepaid Expenses (Details) - Sc
Prepaid Expenses (Details) - Schedule of prepaid expenses - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Schedule of prepaid expenses [Abstract] | ||
Prepaid insurance | $ 15 | $ 152 |
Other prepayments | 110 | 22 |
Total | $ 125 | $ 174 |
Investment (Details)
Investment (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Investment (Details) [Line Items] | ||||
Fair market value | $ 491 | |||
Recognized finance gain (loss) | $ 137 | $ 243 | 317 | $ 654 |
Foreign exchange gain (loss) | $ 13 | $ 28 | $ 37 | $ 36 |
Lantern Pharma Inc [Member] | ||||
Investment (Details) [Line Items] | ||||
Common shares (in Shares) | 43,898 |
Property, plant and equipment_3
Property, plant and equipment, net (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 22 | $ 38 | $ 90 | $ 110 |
Property, plant and equipment_4
Property, plant and equipment, net (Details) - Schedule of property, plant and equipment - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Schedule of property, plant and equipment [Abstract] | ||
Laboratory equipment | $ 338 | $ 338 |
Less: accumulated depreciation | (329) | (317) |
Total | $ 9 | $ 21 |
Intangible assets (Details)
Intangible assets (Details) $ in Thousands | 1 Months Ended |
Jul. 23, 2021USD ($) | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Payment received from related parties | $ 1,000 |
Milestone payments | $ 16,000 |
Intangible assets (Details) - S
Intangible assets (Details) - Schedule of intangible assets, net of accumulated amortization - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Finite-Lived Intangible Assets [Line Items] | ||
Cost | $ 38,975 | $ 38,975 |
Accumulated Amortization | (10,231) | (8,484) |
Net | 28,744 | 30,491 |
Acquired patents [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 99 | 99 |
Accumulated Amortization | (99) | (85) |
Net | 14 | |
IPR&D Assets [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 38,876 | 38,876 |
Accumulated Amortization | (10,132) | (8,399) |
Net | $ 28,744 | $ 30,477 |
Intangible assets (Details) -_2
Intangible assets (Details) - Schedule of individually material development projects in progress - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Intangible assets (Details) - Schedule of individually material development projects in progress [Line Items] | ||
Indefinite-lived intangible assets | $ 28,744 | $ 30,477 |
Stenoparib [Member] | ||
Intangible assets (Details) - Schedule of individually material development projects in progress [Line Items] | ||
Indefinite-lived intangible assets | 25,957 | 27,522 |
Dovitinib [Member] | ||
Intangible assets (Details) - Schedule of individually material development projects in progress [Line Items] | ||
Indefinite-lived intangible assets | $ 2,787 | $ 2,955 |
Accrued liabilities (Details) -
Accrued liabilities (Details) - Schedule of accrued liabilities - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Schedule of accrued liabilities [Abstract] | ||
Development cost liability | $ 1,123 | $ 1,191 |
Accrued audit and legal | 411 | 84 |
Share capital cost accrual | 557 | |
Payroll accruals | 337 | 316 |
Accrued Director fees | 100 | 119 |
Accrued liabilities | 419 | 130 |
Total | $ 2,947 | $ 1,840 |
Line of credit (Details)
Line of credit (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Jul. 01, 2016 |
Line Of Credit [Abstract] | |||
Line of credit | $ 84 | ||
Derivative, Fixed Interest Rate | 8.75% | ||
Line of credit | $ 84 | ||
indebted amount | $ 0 | $ 84 |
Loan (Details)
Loan (Details) - Loan [Member] kr in Thousands, $ in Thousands | Jun. 23, 2021USD ($) | Mar. 22, 2021USD ($) | Mar. 22, 2021SEK (kr) | Sep. 24, 2019USD ($) | Mar. 22, 2021SEK (kr) |
Loan (Details) [Line Items] | |||||
Loan received | $ 2,900 | $ 512 | kr 25,000 | ||
Debt percentage | 3.00% | 3.00% | |||
Loan origination fee | $ 87 | kr 750 | |||
Bearing interest per month percentage | 3.00% | 3.00% | 3.00% | ||
Maturity date | Jun. 23, 2021 | Jun. 23, 2021 | Nov. 30, 2019 | ||
Payment of loan balance | $ 2,817 | ||||
Payment of loan interest | $ 284 | ||||
Payment of loan including interest | $ 62 |
Convertible debt (Details)
Convertible debt (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||
Mar. 31, 2020USD ($) | Mar. 31, 2020SEK (kr) | Sep. 30, 2021USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2021USD ($) | Sep. 30, 2020USD ($) | Dec. 31, 2020USD ($) | Mar. 31, 2020SEK (kr) | |
Debt Disclosure [Abstract] | ||||||||
Stock issued | $ 10,100 | $ 3,157 | $ 3,157 | $ 1,624 | kr 100,000 | |||
Share value | $ 1,010 | kr 10,000 | ||||||
Cash percentage | 95.00% | 95.00% | ||||||
Percentage of principal notes | 5.00% | 5.00% | ||||||
Conversion price percentage | 95.00% | 95.00% | ||||||
Weighted average cost of capital percentage | 15.00% | 15.00% | ||||||
Credit risk percentage | 1.00% | 1.00% | ||||||
Fair value recognized gain | 9 | |||||||
Finance cost amount | $ 298 | $ 475 | $ 298 | $ 475 | ||||
Net carrying amount of liability | $ 1,327 |
Convertible debt (Details) - Sc
Convertible debt (Details) - Schedule of roll forward of notes - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Schedule of roll forward of notes [Abstract] | ||
Opening fair value | $ 1,327 | |
Convertible debt issued in the period | 1,200 | 4,670 |
Change in fair value (loss) reported in statement operations | 298 | (681) |
Conversion of notes to common shares | (2,825) | (2,662) |
Ending fair value balance | $ 1,327 |
Derivative Liabilities (Details
Derivative Liabilities (Details) kr / shares in Units, $ / shares in Units, kr in Thousands, $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||||||
Jun. 30, 2021$ / shareskr / sharesshares | Feb. 29, 2020USD ($)$ / sharesshares | Feb. 23, 2020USD ($) | May 31, 2019kr / sharesshares | Nov. 29, 2018SEK (kr) | Sep. 30, 2021USD ($)$ / sharesshares | Sep. 30, 2021SEK (kr)shares | Dec. 31, 2019kr / sharesshares | Sep. 30, 2021kr / shares$ / sharesshares | Sep. 30, 2021$ / sharesshares | Sep. 30, 2021kr / sharesshares | Jun. 30, 2021kr / shares | Dec. 31, 2019$ / shares | Dec. 31, 2019kr / shares | May 31, 2019$ / shares | May 31, 2019kr / shares | |
Derivative Liabilities (Details) [Line Items] | ||||||||||||||||
Investor warrants shares (in Shares) | 3,996,864 | |||||||||||||||
Common stock, par value | kr / shares | kr 33 | |||||||||||||||
Average volume weighted price (in Kronor per share) | kr / shares | kr 2 | |||||||||||||||
Convertible debt (in Kronor) | kr | kr 200,000 | |||||||||||||||
Bearing interest rate | 2.00% | |||||||||||||||
Convertible shares and warrants percentage | 50.00% | |||||||||||||||
Committed tranches settled receipt (in Dollars) | $ | $ 1,000 | |||||||||||||||
Committed tranches settled receipt, description | (SEK 10,5 million) from the investor in cash | |||||||||||||||
Common stock shares (in Shares) | 9,330,000 | |||||||||||||||
Settlement Shares amount (in Dollars) | $ | $ 2,500 | |||||||||||||||
Warrants excercise price | $ / shares | $ 0.38 | |||||||||||||||
Settlement warrants amount (in Dollars) | $ | $ 600 | |||||||||||||||
Rights of warrants | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | |||||||||||||
Exercise price per share | (per share) | $ 0.05 | $ 0.4 | ||||||||||||||
Weighted average contractual life | 1 year 4 months 24 days | 1 year 4 months 24 days | ||||||||||||||
Weighted average exercise price | $ / shares | $ 0.38 | |||||||||||||||
TO1 Warrants [Member] | ||||||||||||||||
Derivative Liabilities (Details) [Line Items] | ||||||||||||||||
Investor warrants shares (in Shares) | 20,166,221 | |||||||||||||||
Common stock, par value | (per share) | kr 0.05 | $ 0.01 | ||||||||||||||
Exercise Price | (per share) | $ 0.9 | kr 7.5 | ||||||||||||||
TO2 Warrants [Member] | ||||||||||||||||
Derivative Liabilities (Details) [Line Items] | ||||||||||||||||
Investor warrants shares (in Shares) | 50,341,080 | |||||||||||||||
Common stock, par value | (per share) | kr 0.05 | $ 0.01 | ||||||||||||||
Exercise Price | (per share) | $ 0.69 | kr 60 | ||||||||||||||
Total of warrants (in Shares) | 8,820 | 8,820 | ||||||||||||||
Shares subscription (in Shares) | 8,820 | 8,820 | ||||||||||||||
Total proceeds | $ | $ 6 | |||||||||||||||
TO3 Warrants [Member] | ||||||||||||||||
Derivative Liabilities (Details) [Line Items] | ||||||||||||||||
Investor warrants shares (in Shares) | 121,162,817 | |||||||||||||||
Common stock, par value | (per share) | kr 0.2 | kr 1.7 | ||||||||||||||
Total proceeds | kr | kr 2,679 | |||||||||||||||
Warrants exercised (in Shares) | 13,719,266 | 13,719,266 | 13,719,266 | 13,719,266 | ||||||||||||
Amount 20 tranches [Member] | ||||||||||||||||
Derivative Liabilities (Details) [Line Items] | ||||||||||||||||
Funded each over amount (in Kronor) | kr | kr 10,000 |
Derivative Liabilities (Detai_2
Derivative Liabilities (Details) - Schedule of number of investor warrants outstanding weighted average exercise price - $ / shares | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Schedule of number of investor warrants outstanding weighted average exercise price [Abstract] | ||
Number of Outstanding, Beginning | 54,337,944 | 70,507,301 |
Weighted Average Exercise Price, Beginning | $ 0.71 | $ 0.69 |
Number Granted | 120,891,157 | 3,996,864 |
Weighted Average Exercise Price, Granted | $ 0.19 | $ 0.36 |
Number Exercised | (13,728,086) | |
Weighted Average Exercise Price, Exercised | $ 0.19 | |
Number Expired | (157,504,151) | (20,166,221) |
Weighted Average Exercise Price, Expired | $ 0.33 | $ 0.82 |
Number of Outstanding, Ending | 3,996,864 | 54,337,944 |
Weighted Average Exercise Price, Ending | $ 0.38 | $ 0.71 |
Number of Exercisable | 3,996,864 | 54,337,944 |
Weighted Average Exercise Price, Exercisable | $ 0.38 | $ 0.71 |
Derivative Liabilities (Detai_3
Derivative Liabilities (Details) - Schedule of derivative liabilities reconciliation of changes in fair value - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Financing Facility [Member] | ||
Derivative Liabilities (Details) - Schedule of derivative liabilities reconciliation of changes in fair value [Line Items] | ||
Balance beginning | $ 102 | $ 2,138 |
Issued during the period | ||
Change in fair value | 124 | (524) |
Amount transferred to Equity | (1,412) | |
Translation effect | (8) | (100) |
Balance – end of period | $ 218 | $ 102 |
Fair value per warrant issuable at period end (in Dollars per share) | $ 0.03 | $ 0.026 |
T01 Warrants [Member] | ||
Derivative Liabilities (Details) - Schedule of derivative liabilities reconciliation of changes in fair value [Line Items] | ||
Balance beginning | $ 14 | |
Issued during the period | ||
Change in fair value | (14) | |
Amount transferred to Equity | ||
Translation effect | ||
Balance – end of period | ||
Fair value per warrant issuable at period end (in Dollars per share) | ||
T02 Warrants Warrants [Member] | ||
Derivative Liabilities (Details) - Schedule of derivative liabilities reconciliation of changes in fair value [Line Items] | ||
Balance beginning | 47 | $ 1,641 |
Issued during the period | ||
Change in fair value | (45) | (1,594) |
Amount transferred to Equity | ||
Translation effect | (2) | |
Balance – end of period | $ 47 | |
Fair value per warrant issuable at period end (in Dollars per share) | $ 0.0009 | |
T03 Warrants [Member] | ||
Derivative Liabilities (Details) - Schedule of derivative liabilities reconciliation of changes in fair value [Line Items] | ||
Balance beginning | ||
Issued during the period | 5,151 | |
Change in fair value | (4,626) | |
Amount transferred to Equity | (483) | |
Translation effect | (42) | |
Balance – end of period | ||
Fair value per warrant issuable at period end (in Dollars per share) |
Derivative Liabilities (Detai_4
Derivative Liabilities (Details) - Schedule of derivative warrant liabilities estimated initially and quarterly basis - Settlement Warrants for the Termination of Financing Facility [Member] | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2021$ / shares | Dec. 31, 2020$ / shares | Sep. 30, 2021kr / shares | Dec. 31, 2020kr / shares | |
Derivative Liabilities (Details) - Schedule of derivative warrant liabilities estimated initially and quarterly basis [Line Items] | ||||
Risk-free interest | (0.52%) | (0.41%) | ||
Expected dividend yield | 0.00% | 0.00% | ||
Contractual life (years) | 1 year 4 months 24 days | 2 years 2 months 1 day | ||
Expected volatility | 104.20% | 106.50% | ||
Minimum [Member] | ||||
Derivative Liabilities (Details) - Schedule of derivative warrant liabilities estimated initially and quarterly basis [Line Items] | ||||
Exercise price (in Dollars per share and Kronor per share) | $ / shares | $ 0.38 | $ 0.4 | ||
Share price (in Dollars per share and Kronor per share) | $ / shares | $ 0.2 | $ 0.1 | ||
Maximum [Member] | ||||
Derivative Liabilities (Details) - Schedule of derivative warrant liabilities estimated initially and quarterly basis [Line Items] | ||||
Exercise price (in Dollars per share and Kronor per share) | kr / shares | kr 3.3 | kr 3.3 | ||
Share price (in Dollars per share and Kronor per share) | kr / shares | kr 1.7 | kr 0.8 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2021 | Jun. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Stockholders' Equity (Details) [Line Items] | |||||||
Description of share capital | the share capital consists of 403,791,200 common shares of par value $0.01 (DKK 0.05) each (December 31, 2020: 212,601,044 shares of par value $0.01 (DKK 0.05 each)). The shares are fully paid in. The shares are not divided into classes, and no shares enjoy special rights. | ||||||
Common shares | 14,505,206 | 14,505,206 | |||||
Common share purchase warrants | 3,232,000 | ||||||
Stockholders' Equity Note, Changes in Capital Structure, Subsequent Changes to Number of Common Shares | 24,112,523 | ||||||
Purchase of common stock | 24,112,523 | ||||||
Amount of warrant in units (in Dollars) | $ 2,384 | ||||||
warrants exercisable (in Dollars per share) | $ 0.2 | ||||||
Common shares | 14,776,866 | ||||||
Exercise of common stock purchase warrants (in Dollars) | $ 3,232 | ||||||
Warrants, description | 145,003,680 common shares and 145,003,680 common share purchase warrants for $0.10 (SEK 0.85) per unit; valued at $12,125. | 9,330,000 common shares and 3,996,864 warrants in exchange for $1,092 in cash in settlement of the Financing Facility dated February 23, 2020; the fair value of the common shares of $2,504 was recorded in equity and the $625 fair value of the warrants was recorded as a derivative liability which was adjusted to market at the end of every period and as at September 30, 2021 the fair value of the warrants is $218; | |||||
Exercisable price (in Dollars per share) | $ 0.2 | ||||||
Common shares conversion of debt | 11,669,340 | 31,409,610 | 24,307,645 | ||||
Conversion of debt value (in Dollars) | $ 2,880 | ||||||
Conversion of debt value (in Dollars) | $ 1,585 | $ 3,506 | |||||
Common shares value (in Dollars) | $ (608) | $ (75) | $ (79) | $ (105) | |||
NCI in OV US [Member] | |||||||
Stockholders' Equity (Details) [Line Items] | |||||||
Common shares exchange | 12,383,770 | 12,383,770 | |||||
Common shares value (in Dollars) | $ 758 | $ 758 | |||||
Exchange rate percentage | 16.09% | 16.09% | |||||
NCI in OV SPV2 ApS [Member] | |||||||
Stockholders' Equity (Details) [Line Items] | |||||||
Common shares exchange | 25,936,599 | ||||||
Common shares value (in Dollars) | $ 2,103 | ||||||
Exchange rate percentage | 37.00% |
Share-based payments (Details)
Share-based payments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |||||
Total expenses in profit or loss | $ 577 | $ 237 | $ 1,205 | $ 629 | |
Total compensation cost | $ 119 | $ 119 | |||
Warrants outstanding | 7 years 9 months | 7 years 9 months | 9 years 3 months 18 days |
Share-based payments (Details)
Share-based payments (Details) - Schedule of weighted average exercise price - $ / shares | 3 Months Ended | |
Sep. 30, 2021 | Dec. 31, 2020 | |
Schedule of weighted average exercise price [Abstract] | ||
Number Opening balance | 10,755,971 | 8,717,239 |
Weighted Average Exercise Price Opening balance | $ 0.2 | $ 0.18 |
Number Granted | 3,389,550 | |
Weighted Average Exercise Price Granted | $ 0.22 | |
Number Exercised | (1,048,780) | |
Weighted Average Exercise Price Exercised | $ 0.06 | |
Number Forfeited | (2,030,260) | (1,350,818) |
Weighted Average Exercise Price Forfeited | $ 0.06 | $ 0.26 |
Number Ending balance outstanding | 7,676,931 | 10,775,971 |
Weighted Average Exercise Price Ending balance outstanding | $ 0.24 | $ 0.2 |
Number Ending balance, exercisable | 4,657,456 | 6,008,140 |
Weighted Average Exercise Price Ending balance, exercisable | $ 0.23 | $ 0.18 |
Basic and diluted net loss pe_3
Basic and diluted net loss per share (Details) - Schedule of basic and diluted net loss per share - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Numerator: | ||||
Net income (loss) attributable to common shareholders (in Dollars) | $ 1,672 | $ (960) | $ (5,986) | $ (3,897) |
Denominator: | ||||
Weighted average common shares outstanding – basic | 387,652,549 | 186,230,830 | 288,984,065 | 150,650,949 |
Weighted average common shares outstanding – diluted | 397,201,067 | 194,948,069 | 299,740,036 | 159,368,188 |
Net income (loss) per share attributable to common shareholders – basic and diluted (in Dollars per share) | $ 0 | $ (0.01) | $ (0.02) | $ (0.03) |
Basic and diluted net loss pe_4
Basic and diluted net loss per share (Details) - Schedule of anti-dilutive effect - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Schedule of anti-dilutive effect [Abstract] | ||||
Warrants | 9,548,518 | 8,717,239 | 10,755,971 | 8,717,239 |
Financial Instruments (Details)
Financial Instruments (Details) - Schedule of financial instruments measured at fair value on a recurring basis and indicate the level of the fair value - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 |
Assets: | ||
Investment | $ 491 | $ 845 |
Liabilities: | ||
Convertible debt | (1,327) | |
Financing Facility | (102) | |
Derivative warrants | (218) | (47) |
Total | (218) | (1,476) |
Level 1 [Member] | ||
Assets: | ||
Investment | 491 | 845 |
Liabilities: | ||
Convertible debt | ||
Financing Facility | ||
Derivative warrants | ||
Total | ||
Level 2 [Member] | ||
Assets: | ||
Investment | ||
Liabilities: | ||
Convertible debt | ||
Financing Facility | ||
Derivative warrants | ||
Total | ||
Level 3 [Member] | ||
Assets: | ||
Investment | ||
Liabilities: | ||
Convertible debt | (1,327) | |
Financing Facility | (102) | |
Derivative warrants | (218) | (47) |
Total | $ (218) | $ (1,476) |
Financial Instruments (Detail_2
Financial Instruments (Details) - Schedule of fair value measurement - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2021 | Dec. 31, 2020 | |
Schedule of fair value measurement [Abstract] | ||
Beginning balance | $ 1,476 | $ 3,793 |
Gains included in net loss | 845 | |
Transfers out of level 3 | (845) | |
Issuance of convertible debt | 1,200 | 4,670 |
Issuance of investor warrants (TO3) | 5,151 | |
Total value | 7,827 | 8,463 |
Financing Facility: | ||
Fair value adjustment | 124 | (524) |
Translation effect | (8) | (100) |
Converted to equity on settlement | (1,412) | |
Fair value adjustments: | ||
TO1 Warrants | (14) | |
TO2 Warrants | (45) | (1,594) |
TO3 Warrants | (4,524) | |
Translation effect (TO2 and TO3 Warrants) | (44) | |
Convertible debt | 298 | (681) |
Converted to equity on settlement: | ||
Exercise of TO2 and TO3 warrants | (585) | |
Debt conversion | (2,825) | (2,662) |
Ending balance | $ 218 | $ 1,476 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - Smerud Medical Research International [Member] - USD ($) $ in Thousands | Nov. 10, 2020 | Sep. 30, 2021 |
Commitments and Contingencies (Details) [Line Items] | ||
Development costs | $ 1,191 | |
Royalties on future revenue percentage | 7.50% | |
Future royalties | $ 139 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 9 Months Ended |
May 20, 2021 | Sep. 30, 2021 | |
Subsequent Events (Details) [Line Items] | ||
Shares issued (in Shares) | 14,505,206 | |
Additional purchase of warrants (in Dollars) | $ 20 | |
Percentage of issued and outstanding shares | 20.00% | |
Conversion price of preferred stock (in Dollars per share) | $ 9.91 | |
Subsequent event, description | Lastly, in the event that the average daily US dollar volume of share of Allarity Delaware common stock traded on the US Nasdaq Stock Market falls below $2.5 million, then holders of the convertible preferred stock will be entitled to a one-time special dividend of 8% of the stated value of the preferred stock ($1.6 million) payable in shares of common stock upon conversion of the convertible preferred stock. The Company is in the process of assessing the accounting treatment of the special dividend. | |
Minimum [Member] | ||
Subsequent Events (Details) [Line Items] | ||
Percentage of weighted average price | 80.00% | |
Maximum [Member] | ||
Subsequent Events (Details) [Line Items] | ||
Percentage of weighted average price | 90.00% | |
Common Stock [Member] | ||
Subsequent Events (Details) [Line Items] | ||
Shares issued (in Shares) | 8,075,824 | |
Series A Convertible Preferred Stock [Member] | ||
Subsequent Events (Details) [Line Items] | ||
Shares issued (in Shares) | 20,000 | |
Preferred Shares [Member] | ||
Subsequent Events (Details) [Line Items] | ||
Percentage of issued and outstanding shares | 4.99% |