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Subsequent Events
9 Months Ended
Sep. 30, 2017
Subsequent Events  
Subsequent Events

Note 18. Subsequent Events

 

On October 7, 2017, Wilson Lin, Ph.D. notified us of his decision to resign as our Chief Operating Officer, effective October 5, 2017.  In connection with his resignation, Dr. Lin and the Company entered into a Separation Agreement and Release, dated as of October 19, 2017 (the “Separation Agreement”).  The Separation Agreement provides for (i) the release of all claims by Dr. Lin in favor of the Company and other releasees; (ii) cash severance equal to 12 months of Dr. Lin’s base salary, for a total of $300,000, less applicable withholdings; and (iii) up to 12 months of Company-paid insurance premiums (COBRA) to continue Dr. Lin’s group health insurance coverage for himself and his eligible dependents.

 

On November 2, 2017, our consolidated joint venture, Boyu, raised additional capital in the amount of $2 million in cash from a third-party investor through the issuance of shares equivalent to 10% ownership of Boyu. Our ownership of Boyu was diluted from 70% to 63%.  We continued to exercise control over Boyu and accordingly no gain was recognized as a result of this equity transaction.