Replies to post #23528 on Intellipharmaceutics International Inc. (IPCI)

[cysonic]

Revised Prior Quarter Amounts

While preparing its November 30, 2016 year-end financial statements, the Company identified and corrected a non-cash error related to the accounting for the modification of performance-based stock options. In April 2016, the Company’s shareholders approved a two- year extension of the expiry date of the performance-based options from September 2016 to September 2018. The Company has determined that this modification resulted in a non-cash expense that should have been reflected in the Company’s 2016 second quarter results. As stock-based compensation is a non-cash item, this error did not impact net cash provided from operations in the second quarter, nor does it have any impact on the Company’s annual financial statements for the year ended November 30, 2016. This error resulted in an understatement of second quarter stock-based compensation charged to R&D expense, with a corresponding understatement of additional paid in capital, of $1,177,782. The Company has determined to record the expense in the 2016 fourth quarter ended November 30, 2016.

[Tekterra]

I don't think we can simply look at burn rate this way. They stated that if they pursue human trails and development on PODRAS they will likely spend more money and may dilute to get cash. So this is a risk here although, it's unclear what will happen yet. There are too many variables such as a Rexista deal, additional ADAN approvals under MNK.