Note 23 - Subsequent Events	12 Months Ended
Dec. 31, 2019
Notes to Financial Statements
Subsequent Events [Text Block]	Note 23 – Subsequent Events AEROSURF Funding Term Sheet On March 18, 2020, we entered into a binding term sheet (the “Term Sheet”) with Lee’s, pursuant to which the parties agreed that Lee’s would provide financing for the continued development of our product candidate, AEROSURF. The Term Sheet provides that in connection with the development of AEROSURF, Lee’s will make non-refundable payments to us in the amount of (i) $1.0 million no later than April 1, 2020; ( ii) $1.4 million no later than July 1, 2020; and (iii) $1.5 million no later than September 1, 2020; provided, however, that the amount of the last payment will be reduced to $0.4 million if on or prior to August 31, 2020, ( i) we receive net proceeds from the sale of our equity securities of at least $4.5 million and (ii) our common stock becomes listed on the Nasdaq National Market or the Nasdaq Global Market. The parties have agreed that they will negotiate in good faith to determine the terms of a definitive agreement prior to September 1, 2020. The definitive agreement will set forth additional semi-annual, non-refundable payments to fund the continued development of AEROSURF after September 30, 2020. The Term Sheet provides that, until such time as we have repaid 125% of the amounts funded by Lee’s for the development of AEROSURF, we will pay to Lee’s 50% of all revenue amounts and payments received by us for any sale, divestiture, license or other development and/or commercialization of the KL4/AEROSURF patent portfolio, excluding (i) payments for bona fide research and development services; (ii) reimbursement of patent expenses; and (iii) all amounts paid to us under the License, Development and Commercialization Agreement between us and Lee’s (HK) dated as of June 12, 2017 ( as amended, the “License Agreement”), and subject to reduction for any payments made by us with respect to third -party intellectual property not previously funded by Lee’s. The Term Sheet also provides that Lee’s and we will amend existing provisions of the License Agreement to reduce future royalty payments payable to us from Lee’s on net sales of certain licensed products, reducing the range of such royalty payment percentage from a range of high single to low mid-double digits to a range of mid-single to low-double digits. O-Bank Facility In March 2020, the O-Bank Facility was amended including the extension of the maturity date to March 2022. In addition to the extension of the maturity date, the total amount of the O-Bank Facility was decreased to approximately $5.0 million, and the interest rate was changed to the TAIBOR plus 1.17% and the term was changed to 24 -month non-revolving. All amounts due under the O-Bank Facility will be payable upon the earlier of (i) six months after the expiration date or (ii) two years after the drawdown date. As of December 31, 2019, the outstanding principal of the O-Bank Facility was approximately $4.6 million, and has subsequently been refinanced to mature in March 2022, therefore, the outstanding principal has been classified in Loans Payable - Non-current Portion. Coronavirus Outbreak In December 2019, a novel strain of coronavirus, or COVID- 19, was reported to have surfaced in Wuhan, China. As of March 2020, COVID- 19 has spread to other countries, including Europe and the United States, and has been declared to be a pandemic by the World Health Organization. Efforts to contain the spread of COVID- 19 have intensified and the U.S., Europe and Asia have implemented severe travel restrictions, social distancing and delays or cancellations of elective surgeries. As of April 1, 2020, our operations have not been significantly impacted by the COVID- 19 outbreak. However, we cannot at this time predict the specific extent, duration, or full impact that the COVID- 19 outbreak will have on our financial condition, operations, and business plans for 2020, including ongoing and planned clinical trials. Our clinical trials and next expected milestones of our product candidates may be impacted and we may experience delays in anticipated timelines and milestones.

Note

– Subsequent Events

AEROSURF Funding Term Sheet

March 18, 2020,

we entered into a binding term sheet (the “Term Sheet”) with Lee’s, pursuant to which the parties agreed that Lee’s would provide financing for the continued development of our product candidate, AEROSURF.

The Term Sheet provides that in connection with the development of AEROSURF, Lee’s will make non-refundable payments to us in the amount of (i)

$1.0

million

later than

April 1, 2020; (

ii)

$1.4

million

later than

July 1, 2020;

and (iii)

$1.5

million

later than

September 1, 2020;

provided, however, that the amount of the last payment will be reduced to

$0.4

million if on or prior to

August 31, 2020, (

i) we receive net proceeds from the sale of our equity securities of at least

$4.5

million and (ii) our common stock becomes listed on the Nasdaq National Market or the Nasdaq Global Market. The parties have agreed that they will negotiate in good faith to determine the terms of a definitive agreement prior to

September 1, 2020.

The definitive agreement will set forth additional semi-annual, non-refundable payments to fund the continued development of AEROSURF after

September 30, 2020.

The Term Sheet provides that, until such time as we have repaid

125%

of the amounts funded by Lee’s for the development of AEROSURF, we will pay to Lee’s

50%

of all revenue amounts and payments received by us for any sale, divestiture, license or other development and/or commercialization of the

KL4/AEROSURF

patent portfolio, excluding (i) payments for bona fide research and development services; (ii) reimbursement of patent expenses; and (iii) all amounts paid to us under the License, Development and Commercialization Agreement between us and Lee’s (HK) dated as of

June 12, 2017 (

as amended, the “License Agreement”), and subject to reduction for any payments made by us with respect to

third

-party intellectual property

not

previously funded by Lee’s.

The Term Sheet also provides that Lee’s and we will amend existing provisions of the License Agreement to reduce future royalty payments payable to us from Lee’s on net sales of certain licensed products, reducing the range of such royalty payment percentage from a range of high single to low mid-double digits to a range of mid-single to low-double digits.

O-Bank Facility

March 2020,

the O-Bank Facility was amended including the extension of the maturity date to

March 2022.

In addition to the extension of the maturity date, the total amount of the O-Bank Facility was decreased to approximately

$5.0

million, and the interest rate was changed to the TAIBOR plus

1.17%

and the term was changed to

-month non-revolving. All amounts due under the O-Bank Facility will be payable upon the earlier of (i)

six

months after the expiration date or (ii)

two

years after the drawdown date.

As of

December 31, 2019,

the outstanding principal of the O-Bank Facility was approximately

$4.6

million, and has subsequently been refinanced to mature in

March 2022,

therefore, the outstanding principal has been classified in Loans Payable - Non-current Portion.

Coronavirus Outbreak

December 2019,

a novel strain of coronavirus, or COVID-

19,

was reported to have surfaced in Wuhan, China. As of

March 2020,

COVID-

has spread to other countries, including Europe and the United States, and has been declared to be a pandemic by the World Health Organization. Efforts to contain the spread of COVID-

have intensified and the U.S., Europe and Asia have implemented severe travel restrictions, social distancing and delays or cancellations of elective surgeries. As of

April 1, 2020,

our operations have

not

been significantly impacted by the COVID-

outbreak. However, we cannot at this time predict the specific extent, duration, or full impact that the COVID-

outbreak will have on our financial condition, operations, and business plans for

2020,

including ongoing and planned clinical trials. Our clinical trials and next expected milestones of our product candidates

may

be impacted and we

may

experience delays in anticipated timelines and milestones.