Common Stock |
9 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Sep. 30, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Common Stock [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Common Stock |
10.Common Stock The following transactions occurred since December 31, 2015: Public Offerings March 2016 On March 2, 2016 the Company closed on a registered direct public offering of 15,625,000 shares of common stock and warrants to purchase up to 11,718,750 shares of common stock. The common stock and warrants were sold in units, consisting of a share of common stock and a warrant to purchase 0.75 shares of common stock, at a price of $0.32 per unit, with an exercise price for the warrants of $0.42 per share. The total gross proceeds of the offering were $5,000,000. The issued warrants issued became exercisable beginning six months after the closing date and will remain exercisable until the five-year anniversary of the initial exercise date and were recorded as liabilities at fair value. A summary of the allocation of the proceeds of the offering is shown below:
The closing costs of $575,751 included 781,250 warrants valued at $155,938 and $419,813 for placement agent and other fees. Based upon the estimated fair value of the stock and warrants in the units, the Company allocated $169,887 to financing expense and $405,864 as stock issuance costs.
September 2016 On September 19, 2016 the Company closed on a registered direct public offering of 24,000,000 shares of common stock and warrants to purchase up to 18,000,000 shares of common stock. The common stock and warrants were sold in units, consisting of a share of common stock and a warrant to purchase 0.75 shares of common stock, at a price of $0.25 per unit, with an exercise price for the warrants of $0.30 per share. The total gross proceeds of the offering were $6,000,000. The warrants issued will become exercisable beginning six months after the closing date and remain exercisable until the five-year anniversary of the initial exercise date and were recorded as liabilities at fair value. A summary of the allocation of the proceeds of the offering is shown below:
The closing costs of $575,094 included 1,440,000 warrants valued at $117,130 and $457,964 for placement agent and other fees. Based upon the estimated fair value of the stock and warrants in the units, the Company allocated $143,203 to financing expense and $431,891 as stock issuance costs. Compensatory Shares During the nine months ended September 30, 2016, the Company issued 330,000 shares to vendors in exchange for investor relations services. The aggregate market value of the stock issued was $97,649.
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