Annual report pursuant to Section 13 and 15(d)

Deferred Costs

v3.20.2
Deferred Costs
12 Months Ended
Jun. 30, 2020
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract]  
Deferred costs

1

Deferred costs

The Company has incurred the following deferred costs at June 30, 2020. There were no deferred costs at June 30, 2019.

 

Description

 

June 30,

2020

$

 

Deferred financing costs (note 11)

 

 

84,944

 

Deferred loan costs (i)

 

 

93,701

 

Balance - June 30, 2020

 

 

178,645

 

Short-term

 

 

(93,701

)

Long-term

 

 

84,944

 

 

(i) Deferred loan costs include 125,000 share purchase warrants issued in respect of a loan issued to the Company by National Brain Tumor Society (“NBTS”) and the National Foundation for Cancer Research (“NFCR”) valued at $93,701 (“NBTS Warrants”) (Note 11). The NBTS Warrants are exercisable at a price of $1.09 per common share until June 19, 2025. The NBTS Warrants were valued on a Black-Scholes valuation with a risk-free interest rate of 0.37%, term of 5 years, volatility of 89.82% and a dividend rate of 0%.  The estimated volatility of the Company’s common stock at the date of measurement is based on the historical volatility of the Company. The risk-free interest rate is based on rates published by the government for bonds with a maturity similar to the expected remaining life of the instrument at the valuation date. The expected term has been estimated using the remaining life of the warrant.