2.4.0.8005 - Disclosure - The Companytruefalsefalse1falsefalsefalsec4_From1Jan2013To30Jun2013http://www.sec.gov/CIK0001368993duration2013-01-01T00:00:002013-06-30T00:00:001true1us-gaap_DisclosureTextBlockAbstractus-gaap_truenadurationfalsefalsefalsefalsefalsefalsefalsefalse1falsefalsefalse00falsefalsefalsexbrli:stringItemTypestringfalse02false2us-gaap_NatureOfOperationsus-gaap_truenadurationfalsefalsefalsefalsefalsefalsefalsefalseterseLabel1falsefalsefalse00<div style="TEXT-INDENT: 0pt; DISPLAY: block; MARGIN-LEFT: 0pt; MARGIN-RIGHT: 0pt" align="left">
<font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold"><a id="Notes" name="Notes"><!--EFPlaceholder--></a>NOTE
1.  The Company</font>
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<font style="display: inline; font-family: Times New Roman; font-size: 10pt;"><font style="display: inline; font-weight: bold;">General</font> – WaferGen
Bio-systems, Inc. and its subsidiaries (the
“Company”) are engaged in the development,
manufacture and sales of systems for gene expression
quantification, genotyping and stem cell research. Most
recently, the Company’s R&D efforts have been
concentrated on the commercialization of the SmartChip Target
Enrichment System. The Company’s products are aimed at
researchers who perform genetic analysis, primarily at
pharmaceutical and biotech companies, academic and private
research centers and diagnostics companies involved in
biomarker discovery and genetic research. Through its
SmartChip products, the Company plans to provide new
performance standards with significant savings in time and
cost for professionals in the field of gene expression
research and to facilitate biomarker discovery, toxicology,
and clinical research.</font>
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<font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt">Wafergen,
Inc. was incorporated in the State of Delaware on
October 22, 2002, and was acquired by WaferGen
Bio-systems, Inc. in a reverse merger on May 31,
2007.</font>
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<font style="display: inline; font-family: Times New Roman; font-size: 10pt;"><font style="display: inline; font-family: Times New Roman; font-size: 10pt;">On
January 24, 2008, the Company formed a new subsidiary in
Malaysia. This subsidiary, WaferGen Biosystems (M) Sdn. Bhd.
(“WGBM”), supports the Company’s ongoing
development and commercialization goals. The parent company
owns 100% of the common stock and 8.2% (including all shares
that have been assumed by the parent company pursuant to
exercises of exchange rights) of the preference shares of
WGBM. The holders of these preference shares have certain
rights, including the right to exchange such shares for
common stock of the parent company</font></font> <font style="font-family: times new roman,times; font-size: 10pt;">and
to have them redeemed by WGBM from funds legally available
for distribution</font> <font style="display: inline; font-family: Times New Roman; font-size: 10pt;">(see
Note 5), which may be more beneficial than conversion into
common stock of WGBM, but if such conversion were to occur,
the parent company would own 72.8% of WGBM’s common
stock.</font>
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<font style="font-family: times new roman,times; font-size: 10pt;">On
August 30, 2011, the Company formed a new wholly owned
subsidiary in Luxembourg, WaferGen Biosystems Europe
S.a.r.l., to establish a presence for its marketing and
research activities in Europe.</font>
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<font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-WEIGHT: bold">Management’s
Plan.  </font>The Company has incurred operating
losses and negative cash flows from operations since its
inception. Management expects that revenues will increase as
a result of current and future product releases. However, the
Company also expects to incur additional expenses for the
development and expansion of its products, marketing
campaigns, and operating costs as it expands its operations.
Therefore, the Company expects operating losses and negative
cash flows to continue for the foreseeable future. It is
management’s plan to obtain additional working capital
through additional financings. The Company believes that it
will be successful in expanding operations, gaining market
share, and raising additional funds. However, there can be no
assurance that in the event the Company requires additional
financing, such financing will be available at terms which
are favorable, or at all. Failure to generate sufficient cash
flows from operations or raise additional capital could have
a material adverse effect on the Company’s ability to
achieve its intended business objectives. These factors raise
substantial doubt about the Company’s ability to
continue as a going concern.</font>
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<font style="DISPLAY: inline; FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt"><font style="DISPLAY: inline; FONT-WEIGHT: bold">Going
Concern.  </font>The Company’s condensed
consolidated financial statements have been presented on a
basis that contemplates the realization of assets and the
satisfaction of liabilities in the normal course of business.
The Company continues to face significant risks associated
with the successful execution of its strategy given the
current market environment for similar companies and failure
to generate sufficient revenues or raise additional capital
could have a material adverse effect on the Company’s
ability to continue as a going concern and to achieve its
intended business objectives. These facts raise substantial
doubt about the Company’s ability to continue as a
going concern, and there can be no assurance that the Company
will be successful in its efforts to enhance its liquidity
situation. The financial statements do not include any
adjustments that might result from the outcome of this
uncertainty.</font>
</div><br/>falsefalsefalsenonnum:textBlockItemTypenaThe entire disclosure for the nature of an entity's business, the major products or services it sells or provides and its principal markets, including the locations of those markets. If the entity operates in more than one business, the disclosure also indicates the relative importance of its operations in each business and the basis for the determination (for example, assets, revenues, or earnings).Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 275
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6927468&loc=d3e6003-108592
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