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Stockholders' deficiency (Tables)
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12 Months Ended |
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Dec. 31, 2013
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| Stockholders' deficiency [Abstract] |
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| Summary of number of shares held in trust |
| | | Number of shares held in Trust | | | | | | | Balance - April 6, 2010 | | | - | | Shares issued to the DelMar Employee Share Purchase Trust | | | 2,000,000 | | Shares transferred to employees and consultants for services | | | (325,000 | ) | Founders shares acquired by the Trust | | | 68,750 | | | | | | | | Balance - December 31, 2010 | | | 1,743,750 | | Shares transferred to employees and consultants for services | | | (200,000 | ) | Founders shares acquired by the Trust | | | 46,875 | | | | | | | | Balance - December 31, 2011 | | | 1,590,625 | | Shares transferred to employees and consultants for services | | | (1,590,625 | ) | | | | | | | Balance - December 31, 2013 and 2012 | | | - | |
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| Schedule of options outstanding under the plan |
| | | Number of stock options outstanding | | | Weighted average exercise price | | | | | | | | | | Balance - December 31, 2011 | | | - | | | | - | | Granted | | | 1,020,000 | | | | 0.47 | | | | | | | | | | | | Balance – December 31, 2012 | | | 1,020,000 | | | | 0.47 | | Granted | | | 2,340,000 | | | | 1.15 | | Cancelled | | | (120,000 | ) | | | 0.47 | | | | | | | | | | | | Balance – December 31, 2013 | | | 3,240,000 | | | | 0.96 | | | | | | | | | | | |
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| Schedule of stock options currently outstanding and exercisable |
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Exercise price
$
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Number
outstanding at
December 31,
2013
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Weighted
average
remaining
contractual
life
(years)
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Weighted
average
exercise
price
$
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Number
exercisable
at
December 31,
2013
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Exercise
price
$
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| |
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0.47 |
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900,000 |
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8.08 |
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0.47 |
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726,333 |
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0.47 |
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1.05 |
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2,040,000 |
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9.62 |
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1.05 |
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584,296 |
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1.05 |
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1.54 |
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180,000 |
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9.25 |
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1.54 |
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180,000 |
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1.54 |
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2.30 |
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120,000 |
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9.42 |
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2.30 |
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70,000 |
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2.30 |
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| |
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3,240,000 |
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0.96 |
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1,560,629 |
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0.89 |
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| Schedule of stock options valuation assumptions using a Black-Scholes pricing model |
| | | December 31, 2013 $ | | | December 31, 2012 $ | | | | | | | | | | Dividend rate | | | 0 | % | | | 0 | % | Volatility | | 73% to 85% | | | | 74 | % | Risk-free rate | | | 1.00 | % | | | 1.25 | % | Term - years | | 1 to 3 | | | | 2.1 | |
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| Schedule of stock-based compensation expense |
| | | Periods ended December 31, | | | | | | | | | | | | | $ | 2013 | | | $ | 2012 | | | | | | | | | | | | Research and development | | | 522,725 | | | | 196,281 | | General and administrative | | | 580,484 | | | | 76,313 | | | | | | | | | | | | | | | | 1,103,209 | | | | 272,594 | |
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| Schedule of unvested stock options |
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Number of
options
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Weighted
average
exercise
price
$
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Weighted
average
grant date
fair value
$
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Unvested at December 31, 2011
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- |
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- |
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- |
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Granted
|
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1,020,000 |
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0.47 |
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0.30 |
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Vested
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(575,500 |
) |
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0.47 |
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0.30 |
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Unvested at December 31, 2012
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444,500 |
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0.47 |
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0.30 |
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Granted
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2,340,000 |
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1.15 |
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0.63 |
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Cancelled
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(120,000 |
) |
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0.47 |
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0.30 |
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Vested
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(985,129 |
) |
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1.05 |
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0.58 |
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Unvested at December 31, 2013
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1,679,371 |
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1.08 |
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0.59 |
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| Schedule of warrants |
| | | Number of warrants | | | Amount $ | | | | | | | | | | Balance - December 31, 2011 | | | - | | | | - | | | | | | | | | | | | Warrants issued for patents (i) | | | 500,000 | | | | 89,432 | | Warrants issued as unit issue costs (ii) | | | 105,000 | | | | 14,295 | | Warrants issued for services (iii) | | | 345,000 | | | | 49,379 | | | | | | | | | | | | Balance - December 31, 2012 | | | 950,000 | | | | 153,106 | | Warrants issued as unit issue costs (iv) | | | 5,250,000 | | | | 6,288,594 | | Warrants exercised on a cashless basis (v) | | | (200,000 | ) | | | (239,600 | ) | | | | | | | | | | | Balance - December 31, 2013 | | | 6,000,000 | | | | 6,202,100 | |
i) | At December 31, 2011, the Company recognized the fair value of the 500,000 contingent Valent warrants (note 4). The contingent warrants were recognized in additional paid in capital at December 31, 2011 and have been reclassified to warrants when the warrants were issued on February 1, 2012. The warrants have an exercise price of CDN $0.50 per warrant and expire February 1, 2017. |
ii) | The Company has issued broker warrants as finder’s fees in relation to the issuance of certain units. All of the warrants were issued on March 1, 2012 and have an exercise price of CDN $0.50 per warrant. Of the total, 100,000 expire March 1, 2015 and 5,000 expire March 1, 2014. |
iii) | The Company has issued 345,000 warrants for investor relations services. The warrants were issued on February 1, 2012 and they vest in 12 equal installments over a 12-month period commencing on March 1, 2012. The warrants have an exercise price of CDN $0.50 per warrant and expire February 1, 2015. |
iv) | As part of the Company’s unit offering the Company has issued 5,250,000 Placement Agent Warrants (note 8(f)). The Placement Agent Warrants have been recognized as non-cash issue costs and the costs have been allocated to common stock and derivative liability. The portion allocated to additional paid in capital was $4,087,586 and the portion allocated to derivative liability was $2,201,008. The Placement Agent warrants have been valued using a simulated probability valuation model using the following assumptions: dividend rate - 0%, volatility - 104%, risk free rate - 1.0% and a term of
five years. |
v) | During the year ended December 31, 2013 200,000 Placement Agent Warrants were exercised on a cashless basis for 123,810 shares of common stock. |
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| Schedule of outstanding warrants |
Description | | Number | | | | | | | CDN $0.50 warrants (note 7) (i) | | | 2,189,000 | | Issued as broker warrants (ii) | | | 105,000 | | Issued for patents (iii) | | | 500,000 | | Issued for services (iv) | | | 345,000 | | Investor Warrants (note 7) (v) | | | 13,125,002 | | Dividend warrants (note
7)(vi) | | | 3,250,007 | | Placement Agent (note 8(f))(vii) | | | 5,050,000 | | Issued for services (viii) | | | 300,000 | | | | | | | | Closing balance - December 31, 2013 | | | 24,864,009 | |
i) | All of the warrants expire on January 25, 2014. They are exercisable at $1.20 per warrant until that date. A total of 20,000 warrants are exercisable for no additional consideration. Subsequent to December 31, 2013 the 20,000 warrants were exercised for no additional consideration and the remaining 2,169,000 expired (note 13). |
ii) | The Company has issued broker warrants as finder’s fees in relation to the issuance of certain of the CDN $0.50 units issued during the years ended December 31, 2011 and 2012. All of the warrants were issued on March 1, 2012 and have an exercise price of CDN $0.50 per warrant. Of the total, 100,000 expire March 1, 2015 and 5,000 expire March 1, 2014. On March 1, 2014, 5,000 warrants expired (note 13). |
iii) | The
Company issued 500,000 warrants to Valent (note 4). The warrants have an exercise price of CDN $0.50 per warrant and expire February 1, 2017. |
iv) | The Company has issued 345,000 warrants for investor relations services. The warrants were issued on February 1, 2012 and they vested in 12 equal installments over a 12-month period commencing on March 1, 2012. The warrants have an exercise price of CDN $0.50 per warrant and expire February 1, 2015. |
v) | The Investor Warrants were issued as part of the Company’s $0.80 unit offering. They were issued in tranches on January 25, 2013, January 31, 2013, February 8, 2013, February 21, 2013, February 28, 2013, March 1, 2013, and March 6, 2013 respectively (note 8(f)). They are exercisable at $0.80 per warrant for five years commencing from their respective issue dates. |
i) | The Dividend Warrants are exercisable at $1.25 per warrant until January 24, 2018. |
ii) | The Placement Agent Warrants are exercisable at $0.80 per warrant until March 6, 2018 but can be exercised on a cashless basis. The Placement Agent Warrants were all issued on March 6, 2013. |
iii) | The warrants are exercisable on a cashless basis at a price of $1.76 per warrant until September 12, 2018. |
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