XML 35 R10.htm IDEA: XBRL DOCUMENT v3.23.1
INTANGIBLE ASSETS
 12 Months Ended
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
INTANGIBLE ASSETS

NOTE 4 - INTANGIBLE ASSETS

 

The Company is a party to a license agreement with the SCTC (as amended) (the “SCTC Agreement”). Pursuant to the SCTC Agreement, the Company obtained, among other things, a worldwide, exclusive, royalty-bearing license from the SCTC to utilize or sublicense a certain medical device patent for the administration of specific cells and/or cell products to the disc and/or spine (and other parts of the body) and a worldwide (excluding Asia and Argentina), exclusive, royalty-bearing license to utilize or sublicense a certain method for culturing cells. Pursuant to the license agreement with the SCTC, certain performance milestones (or payouts in lieu of performance milestones) had to be satisfied in order for the Company to maintain its exclusive rights with regard to the disc/spine technology. The Company did not timely satisfy the third of these performance milestones (which needed to be satisfied by February 2022). Accordingly, such rights became non-exclusive. However, the Company entered into an amended agreement under which it paid $175,000 and issued 51,370 warrants, with a fair value of $117,030, in exchange for renewed exclusivity. The consideration transferred to the SCTC in exchange for exclusivity was capitalized to intangible assets on the Company’s consolidated balance sheet as of December 31, 2022.

 

In February 2017, the Company received authorization from the Food and Drug Administration (the “FDA”) to proceed with a Phase 2 clinical trial. In February 2022, the Company announced that the United States Patent and Trademark Office has issued a notice of allowance for a patent application relating to the Company’s BRTX-100 clinical program. This patent was issued in March 2022.

 

Intangible assets consist of the following:

 SCHEDULE OF FINITE LIVED INTANGIBLE ASSETS

   Patents and Trademarks   Licenses   Accumulated Amortization   Total 
Balance as of January 1, 2021   3,676    1,301,500    (640,908)   664,268 
Amortization expense   -    -    (74,528)   (74,528)
Balance as of December 31, 2021   3,676    1,301,500    (715,436)   589,740 
Consideration transferred for license exclusivity   -    292,030    -    292,030 
Amortization expense   -    -    (78,332)   (78,332)
Balance as of December 31, 2022   3,676    1,593,530    (793,768)   803,438 
Weighted average remaining amortization period as of December 31, 2022   -    11.25           

 

 

Amortization of intangible assets consists of the following:

 SCHEDULE OF FINITE LIVED INTANGIBLE ASSETS AMORTIZATION EXPENSES

   Patents and Trademarks   Licenses   Accumulated Amortization 
Balance as of January 1, 2021  $3,676   $637,232   $640,908 
Amortization expense   -    74,528    74,528 
Balance as of December 31, 2021   3,676    711,760    715,436 
Amortization expense   -    78,332    78,332 
Balance as of December 31, 2022  $3,676   $790,092   $793,768 

 

Amortization expense for the next five years is as follows:

 SCHEDULE OF FINITE LIVED INTANGIBLE ASSETS FUTURE AMORTIZATION EXPENSES

      
2023   89,131 
2024   89,131 
2025   89,131 
2026   89,131 
2027   89,131