Note 10 - Subsequent Events

9 Months Ended

Sep. 30, 2019

Notes to Financial Statements

Subsequent Events [Text Block]

NOTE

10

– SUBSEQUENT EVENTS

Public Offering

On

October 1, 2019,

the Company entered into a placement agency agreement for a public offering in which the Company sold

633,554

shares of the Company’s common stock. The offering closed on

October 4, 2019.

The common stock was sold at a price of

$5.00

per share, resulting in gross proceeds to the Company of

$3,167,769,

before deducting placement agent fees and estimated offering expenses. The net offering proceeds to the Company, after deducting the placement agents’ fees and other estimated offering expenses payable by the Company, were

$2,811,309.

In addition, the Company granted warrants to the placement agents to purchase up to

63,355

shares of common stock, equal to

10%

of the aggregate number of shares of common stock sold in the offering. The warrants have an exercise price of

$6.25.

Reverse Stock Split

On

October 28, 2019,

the Company completed a

one

-for-

ten

reverse stock split that was effective for trading purposes on

October 29, 2019.

All numbers of shares and per-share amounts in this report have been adjusted to reflect the reverse split.

Equity Line Arrangement

On

October 24, 2019,

the Company entered into an equity purchase agreement with an investor, providing for an equity financing facility. Upon the terms and subject to the conditions in the purchase agreement, the investor is committed to purchase shares having an aggregate value of up to

$15,000,000

of the Company’s common stock for a period of up to

three

years. The Company issued to the investor

104,651

commitment shares for entering into the agreement. From time to time during the

three

-year commitment period, provided that the closing conditions are satisfied, the Company

may

provide the investor with put notices to purchase a specified number of shares subject to certain limitations and conditions and at specified prices, which generally represent discounts to the market price of the common stock.