XML 69 R18.htm IDEA: XBRL DOCUMENT

Share-based Payments

9 Months Ended

Nov. 30, 2019

Share-based Payment Arrangement [Abstract]

Share-based Payments

Stock Options

The following tables summarize the continuity of the Company’s stock options during the nine-month periods ended November 30:

		2019								2018
		Number of stock options				Weighted average exercise price				Number of stock options				Weighted average exercise price
Outstanding, beginning of period			1,962,400			$	7.53				2,374,581			$	7.99
Granted			-				-				13,209				11.52
Exercised			(5,000	)			0.80				(20,000	)			0.80
Forfeited			(39,902	)			9.67				(100,000	)			5.25
Expired			(260,417	)			13.59				(62,500	)			4.80
Outstanding, end of period			1,657,081			$	6.55				2,205,290			$	8.29
Exercisable, end of period			1,007,498			$	6.38				1,065,414			$	7.60

		2019								2018
Exercise price		Number of stock options outstanding				Weighted average remaining life (yrs.)				Number of stock options outstanding				Weighted average remaining life (yrs.)
$0.80			577,081				6.00				582,081				7.00
$3.00			-				-				-				-
$5.25			380,000				7.74				380,000				8.74
$8.75			-				-				-				-
$11.52			-				-				13,209				9.61
$12.00			700,000				7.79				700,000				8.79
$13.49			-				-				250,000				8.88
$13.89			-				-				280,000				0.07
Outstanding, end of period			1,657,081				7.16				2,205,290				7.22
Exercisable, end of period			1,007,498				7.11				1,065,414				7.62

The Company applies the fair value method of accounting for stock-based compensation awards granted. Fair value is calculated based on a Black-Scholes option pricing model. The following table shows key inputs into the valuation model for the nine months ended November 30:

		2018
Exercise price		$	11.52
Risk-free interest rate			2.82	%
Expected dividend yield			0	%
Expected volatility			78	%
Expected life			6.5 years

There were no new issuances of stock options for the nine-month period ended November 30, 2019.

During the three- and nine-month periods ended November 30, 2019, stock-based compensation expense attributable to stock options amounted to $549,810 and $1,628,897, respectively (2018 - $789,260 and $2,591,263, respectively), and is included in operating expenses.

Restricted Stock Units

The following table summarizes the continuity of the restricted stock units (“RSUs”) during the nine-month periods ended November 30, 2019 and 2018:

		2019								2018
		Number of units				Weighted average fair value price				Number of units				Weighted average fair value price
Outstanding, beginning of period			402,868			$	8.77				34,102			$	13.00
Granted			4,114,567				1.06				102,818				11.54
Issued as common stock			(243,932	)			2.52				(35,797	)			13.06
Forfeited			(53,750	)			9.82				(1,625	)			12.31
Outstanding, end of period			4,219,753			$	1.60				99,498			$	11.48
Outstanding vested, end of period			831,684			$	1.19				-			$	-

The Company applies the fair value method of accounting for awards granted through the issuance of restricted stock units. Fair value is calculated based on the closing share price at grant date multiplied by the number of restricted stock unit awards granted.

During the three- and nine-month periods ended November 30, 2019, stock-based compensation attributable to RSUs amounted to $326,983 and $981,914, respectively (2018 - $181,646 and $570,782, respectively), and is included in operating expenses.

During the three- and nine-month periods ended November 30, 2019, stock-based compensation included in research and development expenses amounted to $311,353 and $941,142, respectively (2018 - $249,548 and $910,004, respectively), and in General and administrative expenses amounted to $565,440 and $1,669,669, respectively (2018 - $721,358 and $2,252,041, respectively).