Related Party Transactions

9 Months Ended

Sep. 30, 2013

Related Party Transactions

Note 8.  Related Party Transactions

Investors in the January 2013 Note offering included one member of Opexa’s Board of Directors who was issued a Note with a principal amount of $100,000 (see Note 7).

Investors in the July 2012 Notes included two members of Opexa’s Board of Directors and an entity for which a third director reports beneficial ownership of Opexa securities, and Notes in the aggregate principal amount of $630,000 held by these directors and entity were outstanding at the time of the July 2012 Note Amendment (see Note 7).  On September 24, 2013, such post-modification Notes in an aggregate of $647,605 in principal amount and unpaid interest were converted into an aggregate of 339,170 shares of common stock at a conversion price of $1.91, which was the most recent closing market price of the Company’s common stock on the NASDAQ Stock Market when the Company effected such conversion.

The following table provides a summary of the changes in convertible debt – related parties, net of unamortized discount, during the nine months ended September 30, 2013:

Balance at December 31, 2012	$	58,105
January 2013 Notes, face value		100,000
Discount on beneficial conversion feature of January 2013 Notes at issuance		(21,820	)
Discount on fair value of Series J warrant liability at issuance		(30,149	)
Repayment of January 23, 2013 Notes		(100,000	)
Conversion of July 25, 2012 Notes into common stock		(630,000	)
Unamortized debt discount closed to loss on debt extinguishment		483,678
Amortization of debt discount to interest expense through September 30, 2013		140,186
Balance at September 30, 2013	$	-