Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.19.2
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
May 31, 2019
May 31, 2018
May 31, 2017
Cash flows from operating activities:      
Net loss $ (56,186,660) $ (50,149,681) $ (25,763,801)
Adjustments to reconcile net loss to net cash used in operating activities:      
Amortization and depreciation 1,245,167 356,128 366,385
Amortization of debt issuance costs 459,085 435,609 0
Amortization of discount on convertible notes 1,707,068 1,666,017 0
Loss on extinguishment of convertible notes 1,519,603 0 0
Deferred income tax benefit (2,826,919) 0 0
Inducement interest expense 195,927 0 72,437
Interest expense associated with warrant extension 0 826,252 72,437
Interest expense association with warrant tender offer 195,927 393,685 0
Interest expense associated with conversion of notes 0 2,352,045 0
Interest expense associated with derivative liability 0 0 540,330
Interest expense associated with accretion of convertible notes payable 512,594 0 0
Change in fair value of derivative liability (1,666,469) (1,690,935) (2,164,533)
Stock-based compensation 3,388,095 1,290,777 1,204,791
Changes in current assets and liabilities:      
Decrease (increase) in miscellaneous receivables (90,824) 0 0
Decrease (increase) in prepaid expenses (464,201) 2,256,173 (2,492,789)
Increase (decrease) in accounts payable and accrued expenses 1,741,370 12,365,959 1,504,712
Net cash used in operating activities (50,466,164) (29,897,971) (26,732,468)
Cash flows from investing activities:      
Furniture and equipment purchases (25,731) 0 (11,114)
Intangibles (19,553) 0 0
Net cash used in investing activities (45,284) 0 (11,114)
Cash flows from financing activities:      
Proceeds from sale of common stock and warrants 38,268,839 25,224,212 19,133,755
Proceeds from sale of preferred stock 3,083,700 0 0
Proceeds from warrant exercises 0 3,161,131 397,883
Proceeds from convertible notes payable 15,460,000 4,888,500 1,150,000
Payment of offering costs (4,336,426) (3,558,789) (1,804,249)
Payment of debt issuance costs (583,200) 0 0
Payment of payroll taxes related to tender of common stock for income tax withholding 0 (102,064) 0
Repayment of principal and interest on convertible note 0 (259,157) 0
Proceeds from warrant tender offer in process—held in trust 853,599 0 0
Net cash provided by financing activities 52,746,512 29,353,833 18,877,389
Net change in cash 2,235,064 (544,138) (7,866,193)
Cash, beginning of period 1,231,445 1,775,583 9,641,776
Cash, end of period 3,466,509 1,231,445 1,775,583
Supplemental disclosure of cash flow information:      
Cash paid during the period for interest 0 9,157 0
Non-cash investing and financing transactions:      
Accrued interest converted into note payable 225,245 0 0
Accrued dividends on Series C Convertible Preferred stock 37,351 0 0
Derivative liability associated with convertible notes payable 2,750,006 0 0
Beneficial conversion feature and fair value of warrant issued with note payable 3,534,992 0 0
Debt discount associated with convertible notes payable 3,059,159 1,574,628 91,389
Financing costs associated with investor warrants 0 0 819,200
Common stock issued in connection with an employment agreement 8,342 0 0
Common stock issued for accrued bonus compensation 0 214,263 0
Common stock issued for board compensation 0 260,190 0
Common stock issued for conversion redemption 1,455,000 0 0
Common stock issued upon conversion of convertible debt 0 5,788,500 0
Common stock issued for accrued interest payable 0 242,158 0
Financing costs associated with placement agent warrants 260,636 70,383 0
Derivative liability associated with warrants 0 0 5,179,200
ProstaGene, LLC      
Non-cash investing and financing transactions:      
Common stock issued for acquisition of ProstaGene LLC $ 11,558,000 $ 0 $ 0