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Acquisition of Business | 12 Months Ended
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Jan. 31, 2019
Business Combinations [Abstract] |
Acquisition of Business |
6. | ACQUISITION OF BUSINESS
On August 1, 2018, the Company acquired 100% of the membership interests of 4P Therapeutics pursuant to an agreement dated April 5, 2018, for $2,250,000, consisting of 250,000 shares of common stock, valued at $1,850,000, and $400,000, and a royalty payable to the former owner of 4P Therapeutics, of 6% on all revenue generated by us from the abuse deterrent intellectual property that had been developed by 4P Therapeutics. The primary purpose of the acquisition is to complete the development and seek FDA approval on a number of transdermal pharmaceutical products under development by 4P Therapeutics. As a result of the acquisition of 4P Therapeutics, the Company has a pipeline of potential products. Acquisition costs, which were minimal, have been expensed as incurred in accordance with ASC 350. Details of the net assets acquired are as follows:
|  | Fair Value Recognized |
|  | On Acquisition |
Equipment |  | $ | 160,065 |
Customer base |  |  | 136,500 |
Intellectual Property |  |  | 234,200 |
Goodwill |  |  | 1,719,235 |
Net assets acquired |  |  | 2,250,000 |
Satisfied by: |  |  |  |
Common stock issued |  |  | (1,850,000 | )
Cash outflows on acquisition |  | $ | (400,000 | )
The following unaudited pro forma condensed financial information presents the combined results of operations of the Company and 4P Therapeutics as if the acquisition occurred as of the beginning of each period presented. The unaudited pro forma condensed financial information is not intended to represent or be indicative of the consolidated results of operations of the Company that would have been reported had the acquisition occurred at the beginning of the period presented and should not be taken as being representation of the future consolidated results of operations of the Company.
|  | 2019 |  |  | 2018 |
|  | As Reported |  |  | Pro Forma |  |  | As Reported |  |  | Pro Forma |
Net revenue |  | $ | 245,285 |  |  | $ | 577,149 |  |  | $ | - |  |  | $ | 568,005 |
Net loss |  |  | (3,331,240 | ) |  |  | (3,307,614 | ) |  |  | (2,671,496 | ) |  |  | (2,626,084 | )
Loss per common share - basic and diluted |  | $ | (0.16 | ) |  | $ | (0.16 | ) |  | $ | (0.14 | ) |  | $ | (0.14 | )
Since the date of acquisition, 4P Therapeutics had net revenues of $196,285 and incurred a net loss of $88,298.

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- Definition The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable). + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -URI http://asc.fasb.org/topic&trid=2303972 + Details
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- References No definition available. + Details
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