Goodwill and Intangible Assets

3 Months Ended

12 Months Ended

Oct. 31, 2019

Jul. 31, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Note 8 – Goodwill and Intangible Assets 

Intangible assets consist of the following at:

	October 31,			July 31,
	2019			2019
In-Process Research & Development	$	8,761,427		$	8,761,427
Non-compete agreements		1,566,700			1,210,000
Developed software/technology		172,500			131,000
Vendor agreements and other intangibles		775,674			51,274
		11,276,301			10,153,701
Less accumulated amortization		(473,859	)		(319,432	)
	$	10,802,442		$	9,834,269

Intangible assets are generally amortized on a straight-line basis over the useful lives of the assets. The Company is currently not amortizing the in-process research and development until it becomes commercially viable and placed in service. At the time when the intangible assets are placed in service the Company will determine a useful life.

Amortization expense amounted to $154,426 and $646 for the three months ended October 31, 2019 and October 31, 2018, respectively.

The remaining estimated amortization expense for the next five years and thereafter is as follows:

Year Ending July 31,	Amount
2020	$	570,708
2021		616,744
2022		246,324
2023		94,511
2024		68,491
Thereafter		444,658
	$	2,041,435

Changes in the value of goodwill:

Balance as of July 31, 2019	$	38,297,573
Acquisition of MediSource and Pantheon		603,553
Balance as of October 31, 2019	$	38,901,126

Note 12 – Goodwill and Intangible Assets 

Intangible assets consist of the following at July 31:

	July 31,			July 31,
	2019			2018
In-Process Research & Development	$	8,761,427		$	2,911,377
Non-compete agreements		1,210,000			—
Developed Software/Technology		131,000			—
Other Intangibles		51,274			327,654
		10,153,701			3,239,031
Less accumulated amortization		(319,432	)		(27,994	)
	$	9,834,269		$	3,211,037

Intangible assets are generally amortized on a straight-line basis over the useful lives of the assets. The Company is currently not amortizing the in-process research and development until it becomes commercially viable and placed in service. At the time when the intangible assets are placed in service the Company will determine a useful life.

Amortization expense amounted to $255,835 and 2,571 for the years ended July 31, 2019 and 2018, respectively.

Estimated amortization expense (in thousands) for the next five years and thereafter is as follows:

Year Ending July 31,	Amount
2020	$	434,117
2021		434,118
2022		164,895
2023		30,787
2024		11,138
Thereafter		7,898
	$	1,082,952

Changes in the value of goodwill:

Balance as of July 31, 2018	$	—
Acquisition of Veneto (revaluation)		15,051,768
Acquisition of Regentys (revaluation)		13,834,581
Acquisition of Olaregen (revaluation)		9,411,224
Balance as of July 31, 2019	$	38,297,573