Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.19.1
Consolidated Statements of Cash Flows
12 Months Ended
Dec. 31, 2018
USD ($)
Dec. 31, 2017
USD ($)
Operating activities    
Net (loss) income $ (40,052,810) $ 11,869,823
Adjustments to reconcile net (loss) income (used in) provided by to net cash (used in) provided by operating activities:    
Depreciation and amortization 4,554,963 425,476
Impairment of intangible assets 1,861,562 0
Stock-based compensation 2,431,063 1,157,252
Acquired in-process research and development 18,723,952 0
Deferred taxes (16,745) (832,629)
Amortization of inventory fair value adjustment associated with acquisition of TRx and Avadel Pediatric Product 300,573 137,900
Non-cash interest expense 302,882 20,364
Change in fair value of contingent consideration liability 58,366 0
Change in fair value of warrant liability and unit purchase option liability (25,010) 29,624
Changes in assets and liabilities:    
Accounts receivable, net (222,530) (247,195)
Other receivables (2,277,255) (427,241)
Inventory, net (311,199) (24,276)
Prepaid expenses and other assets (241,641) (177,691)
Escrowed cash receivable 3,752,390 (3,752,390)
Accounts payable 82,451 96,065
Income taxes payable (226,890) 2,259,148
Accrued expenses and other liabilities 7,792,259 2,044,548
Other long term liabilities 385,517 0
Net cash (used in) provided by operating activities (3,128,102) 12,578,778
Investing activities    
Net cash acquired from acquisition of Ichorion Therapeutics, Inc. 1,429,877 0
Purchase of property and equipment (564,415) (23,325)
Net cash provided by (used in) investing activities 865,461 (18,912,257)
Financing activities    
Proceeds from exercise of stock options and warrants 1,083,953 0
Proceeds from issuance of Series B convertible preferred stock upon warrant exercise, net 5,685,038 0
Proceeds from sale of shares pursuant to common stock private placement, net 3,857,106 4,649,996
Proceeds from sales of common stock purchased through employee stock purchase plan 72,236 46,861
Proceeds from sale of shares under common stock purchase agreement 0 1,693,498
Payment of contingent consideration (294,435) 0
Principal payments on term debt 0 (2,374,031)
Payment of fractional shares upon conversion of preferred stock to common stock 0 4
Payment of offering costs 0 (279,247)
Net cash provided by financing activities 10,403,898 3,737,081
Increase (decrease) in cash and cash equivalents 8,141,257 (2,596,398)
Cash and cash equivalents at beginning of period 2,605,499 5,201,897
Cash and cash equivalents at end of period 10,746,756 2,605,499
Supplemental disclosures of cash flow information    
Cash paid for interest 525,000 72,526
Cash paid for taxes 354,000 540,000
Debt assumed in Avadel Pediatric Products acquisition (15,075,000) 0
Supplemental disclosures of non-cash investing and financing activities    
Issuance of common stock in TRx acquisition 19,971,554 5,858,955
Contingently issuable shares in TRx acquisition   2,655,464
Cash and cash equivalents 10,646,301 2,472,187
Restricted cash, current 18,730 1,959
Restricted cash, non-current 81,725 131,353
TRx    
Investing activities    
Acquisition of business, net of cash acquired 0 (18,888,932)
Supplemental disclosures of non-cash investing and financing activities    
Issuance of common stock in TRx acquisition 0 5,858,955
Contingently issuable shares in TRx acquisition 0 2,655,464
Avadel    
Investing activities    
Acquisition of business, net of cash acquired $ (1) $ 0