Annual report pursuant to Section 13 and 15(d)

2014 PRIVATE PLACEMENT FINANCING (Tables)

v3.3.1.900
2014 PRIVATE PLACEMENT FINANCING (Tables) - Private Placement Financing [Member]
 12 Months Ended
Sep. 30, 2015
Private Placement [Line Items]  
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
The change in the estimated fair value was primarily due to the reduction of the exercise prices of the 2014 Warrants, the exercise of 4,000,000 shares of the Series B Warrants. 
 
Fair Value Measurements Using Significant Unobservable
Inputs
 (Level 3)
 
 
 
 
 
 
 
 
 
Warrant Derivative Liability
 
 
 
2015
 
2014
 
Beginning balance at September 30,
 
$
6,270,000
 
$
-
 
 
 
 
 
 
 
 
 
Issuances
 
 
-
 
 
10,391,693
 
 
 
 
 
 
 
 
 
Modification of warrants, net of Inducement Shares
 
 
896,763
 
 
-
 
 
 
 
 
 
 
 
 
Exercises of warrants
 
 
(299,321)
 
 
-
 
 
 
 
 
 
 
 
 
Adjustments to estimated fair value
 
 
(3,603,689)
 
 
(4,121,693)
 
 
 
 
 
 
 
 
 
Reclass of Derivative Liability to Equity
 
 
(3,263,753)
 
 
-
 
 
 
 
 
 
 
 
 
Ending balance at September 30, 2015
 
$
-
 
$
6,270,000
 
Schedule Of Assumptions Used To Value Derivative Liability
The derivative liabilities were valued as of September 30, 2014, December 1, 2014, and March 15, 2015 using Monte Carlo Simulation. The derivative liabilities as of June 22, 2015, June 30, 2015, and September 30, 2015 as well as the exercises during 4th quarter of fiscal 2015 were valued using Black Scholes.
 
 
 
September 30,
2014
 
 
December 1,
2014
 
 
March 15,
 2015
 
 
June 22,
2015
 
Closing price per share of Common Stock
 
$
0.18
 
 
$
0.25
 
 
$
0.21
 
 
$
0.23
 
Exercise price per share
 
$
0.30 - 0.40
 
 
$
0.20 - $0.30
 
 
$
0.20 - $0.30
 
 
$
0.20
 
Expected volatility
 
 
85 - 90
%
 
 
80 – 90
%
 
 
80 – 110
%
 
 
55- 85
%
Risk-free interest rate
 
 
0.02 - 1.55
%
 
 
.01 – 1.39
%
 
 
0.03 – 1.41
%
 
 
0.27 - 1.68
%
Dividend yield
 
 
—
 
 
 
—
 
 
 
—
 
 
 
—
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Remaining expected term of underlying securities (years)
 
 
0.33 - 4.33
 
 
 
0.33 – 4.6
 
 
 
0.22 – 4.3
 
 
 
1.03 – 4.03
 
 
 
 
As of
June 30,
2015
 
 
Exercises during
4th Quarter
2015
 
 
As of
September 30,
2015
 
Closing price per share of Common Stock
 
$
0.26
 
 
$
0.23-0.27
 
 
$
0.27
 
Exercise price per share
 
$
0.20
 
 
$
0.20
 
 
$
0.20
 
Expected volatility
 
 
75-85
%
 
 
75- 85
%
 
 
75-85
%
Risk-free interest rate
 
 
1.63
%
 
 
0.23-1.36
%
 
 
0.21-1.09
%
Dividend yield
 
 
—
 
 
 
—
 
 
 
—
 
Remaining expected term of underlying securities (years)
 
 
1.01
 
 
 
0.80-3.96
 
 
 
0.76-3.76