☑ |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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☐
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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DELAWARE
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84-1417774
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(State or other jurisdiction of
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(I.R.S. Employer Identification No.)
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incorporation or organization)
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18 East 16th Street, Suite 307, New York, NY
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10003
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(Address of principal executive offices)
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(Zip Code)
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Title of each class
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Trading Symbol(s)
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Name of each exchange on which registered
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Common Stock, par value $0.01 per share
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ATMS
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OTCQB
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Large accelerated filer ☐
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Accelerated filer ☐
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Non-accelerated filer ☒
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Smaller reporting company ☒
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Emerging growth company ☐
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PAGE
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4 | ||
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5 | |
6 | ||
7 | ||
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9
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10 | |
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21 | ||
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24 | ||
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25 | ||
25 | ||
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26 |
PAGE
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5 | |
6 | |
7-8
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9 | |
10-20
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As of
June 30, |
As of
December 31,
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||||||||||
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Note
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2019
(Unaudited)
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2018
(Audited)
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|||||||||
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||||||||||||
ASSETS
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||||||||||||
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||||||||||||
Current assets
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||||||||||||
Cash and cash equivalents
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7
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7
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||||||||||
Other accounts receivable and prepaid expenses
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31
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20
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||||||||||
Total current assets
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38
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27
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||||||||||
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||||||||||||
TOTAL ASSETS
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38
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27
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||||||||||
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||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
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||||||||||||
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||||||||||||
Current liabilities
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||||||||||||
Accrued expenses and other payables
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154
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161
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||||||||||
Derivative warrant liabilities
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7B
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-
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163
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||||||||
Total current liabilities
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154
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324
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||||||||||
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||||||||||||
Long term liabilities
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||||||||||||
Related Parties
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8
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100
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-
|
|||||||||
Total Liabilities
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254
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324
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||||||||||
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||||||||||||
Shareholders’ equity
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||||||||||||
Series A Convertible Preferred stock, $0.01 par value - Authorized: 10,000,000 shares; issued and outstanding: 453 shares as of June 30, 2019 and December 31, 2018
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(*
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)
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(*
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)
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||||||||
Series C Convertible Preferred stock, $0.01 par value - Authorized: 250 shares; issued and outstanding: 250 shares as of June 30, 2019 and December 31, 2018
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(*
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)
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(*
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)
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||||||||
Common stock, $0.01 par value - authorized: 51,000,000; issued and outstanding: 5,153,461 as of June 30, 2019 and December 31, 2018
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52
|
52
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||||||||||
Additional paid in capital
|
7
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1,898
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1,571
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|||||||||
Accumulated deficit
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(2,166
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)
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(1,920
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)
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||||||||
Total stockholders' equity
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(216
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)
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(297
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)
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||||||||
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||||||||||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
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38
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27
|
Six Months Ended
June 30, |
Three Months Ended
June 30,
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|||||||||||||||||||
2019
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2018
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2019
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2018
|
|||||||||||||||||
Note
|
(Unaudited)
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(Unaudited)
|
||||||||||||||||||
Research and development expenses
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-
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129
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-
|
58
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||||||||||||||||
General and administrative
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90
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383
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70
|
154
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||||||||||||||||
Operating (loss)
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(90
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)
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(512
|
)
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(70
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)
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(212
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)
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||||||||||||
Finance income
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-
|
160
|
1
|
71
|
||||||||||||||||
Net loss
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(90
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)
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(352
|
)
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(69
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)
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(141
|
)
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||||||||||||
Net loss per share, basic and diluted
|
6
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(0.01
|
)
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(0.06
|
)
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(0.01
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)
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(0.02
|
)
|
|||||||||||
Weighted average number of common stock used in calculation of net loss per share:
|
||||||||||||||||||||
Basic and diluted
|
5,153,461
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5,153,461
|
5,153,461
|
5,153,461
|
Common Stock
|
Preferred Stock A
|
Preferred Stock C
|
Additional
paid-in Capital
|
Accumulated deficiency
|
Total
stockholders'
Equity
|
|||||||||||||||||||||||||||||||
Number
|
USD
|
Number
|
Amount
|
Number
|
Amount
|
|||||||||||||||||||||||||||||||
Balance as of March 31, 2019
|
5,153,461
|
52
|
453
|
(*
|
)
|
250
|
(*
|
)
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1,894
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(2,097
|
)
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(151
|
)
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|||||||||||||||||||||||
Share based compensation
|
-
|
-
|
-
|
-
|
-
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-
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4
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-
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4
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|||||||||||||||||||||||||||
Net loss
|
-
|
-
|
-
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-
|
-
|
-
|
-
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(69
|
)
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(69
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)
|
|||||||||||||||||||||||||
Balance as of June 30, 2019
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5,153,461
|
52
|
453
|
(*
|
)
|
250
|
(*
|
)
|
1,898
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(2,166
|
)
|
(216
|
)
|
Common Stock
|
Preferred Stock A
|
Preferred Stock C
|
Additional
paid-in Capital
|
Accumulated deficiency
|
Total
stockholders'
Equity
|
|||||||||||||||||||||||||||||||
Number
|
USD
|
Number
|
Amount
|
Number
|
Amount
|
|||||||||||||||||||||||||||||||
Balance as of March 31, 2018
|
5,153,461
|
52
|
453
|
(*
|
)
|
250
|
(*
|
)
|
1,558
|
(1,618
|
)
|
(8
|
)
|
|||||||||||||||||||||||
Share based compensation
|
-
|
-
|
-
|
-
|
-
|
-
|
12
|
-
|
12
|
|||||||||||||||||||||||||||
Net loss
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(141
|
)
|
(141
|
)
|
|||||||||||||||||||||||||
Balance as of June 30, 2018
|
5,153,461
|
52
|
453
|
(*
|
)
|
250
|
(*
|
)
|
1,570
|
(1,759
|
)
|
(137
|
)
|
Common Stock
|
Preferred Stock A
|
Preferred Stock C
|
Additional
paid-in Capital
|
Accumulated deficiency
|
Total
stockholders'
Equity
|
|||||||||||||||||||||||||||||||
Number
|
USD
|
Number
|
Amount
|
Number
|
Amount
|
|||||||||||||||||||||||||||||||
Balance as of December 31, 2018
|
5,153,461
|
52
|
453
|
(*
|
)
|
250
|
(*
|
)
|
1,571
|
(1,920
|
)
|
(297
|
)
|
|||||||||||||||||||||||
Adoption of new accounting Standards
|
-
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-
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-
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-
|
-
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-
|
319
|
(156
|
)
|
163
|
||||||||||||||||||||||||||
Share based compensation
|
-
|
-
|
-
|
-
|
-
|
-
|
8
|
-
|
8
|
|||||||||||||||||||||||||||
Net loss
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(90
|
)
|
(90
|
)
|
|||||||||||||||||||||||||
Balance as of June 30, 2019
|
5,153,461
|
52
|
453
|
(*
|
)
|
250
|
(*
|
)
|
1,898
|
(2,166
|
)
|
(216
|
)
|
Common Stock
|
Preferred Stock A
|
Preferred Stock C
|
Additional
paid-in Capital
|
Accumulated deficiency
|
Total stockholders'
Equity
|
|||||||||||||||||||||||||||||||
Number
|
USD
|
Number
|
Amount
|
Number
|
Amount
|
|||||||||||||||||||||||||||||||
Balance as of December 31, 2017
|
5,153,461
|
52
|
453
|
(*
|
)
|
250
|
(*
|
)
|
1,457
|
(1,407
|
)
|
102
|
||||||||||||||||||||||||
Share based compensation
|
-
|
-
|
-
|
-
|
-
|
-
|
113
|
-
|
113
|
|||||||||||||||||||||||||||
Net loss
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(352
|
)
|
(352
|
)
|
|||||||||||||||||||||||||
Balance as of June 30, 2018
|
5,153,461
|
52
|
453
|
(*
|
)
|
250
|
(*
|
)
|
1,570
|
(1,759
|
)
|
(137
|
)
|
Six Months Ended
June 30, |
||||||||
2019
|
2018
|
|||||||
Net cash used in operating activities
|
||||||||
Net (loss)
|
(90
|
)
|
(352
|
)
|
||||
Share based compensation expenses
|
8
|
113
|
||||||
Decrease (increase) in other accounts receivable and prepaid expenses
|
(11
|
)
|
25
|
|||||
Decrease in accrued expenses and other payables
|
(7
|
)
|
-
|
|||||
Change in the fair value of derivative warrant liability
|
-
|
(163
|
)
|
|||||
Net cash used in operating activities
|
(100
|
)
|
(377
|
)
|
||||
Cash flows from financing activities
|
||||||||
Related party proceeds
|
100
|
-
|
||||||
Cash flows from financing activities
|
100
|
-
|
||||||
Decrease in cash and cash equivalents
|
-
|
(377
|
)
|
|||||
Cash and cash equivalents at the beginning of the period
|
7
|
525
|
||||||
Cash and cash equivalents at the end of the period
|
7
|
148
|
A. |
Description of Business
|
B. |
Establishment of Artemis (the "accounting acquirer"):
|
C. |
Going Concern:
|
A. |
Unaudited Interim Financial Statements
|
B. |
Use of estimates in the preparation of financial statements:
|
C. |
Cash and cash equivalents
|
D. |
Fair value of financial instruments
|
E. |
Basic and diluted net loss per share
|
F. |
Research and development expenses, net
|
G. |
Income Tax
|
H. |
Share-based compensation
|
I. |
Recent Accounting Standards
|
I. |
Recent Accounting Standards (Cont.)
|
A. |
Tax rates applicable to the income
|
B. |
Deferred income taxes
|
As of
June 30,
2019
|
As of
December 31,
2018
|
|||||||
Deferred tax assets:
|
||||||||
Deferred taxes due to carryforward losses
|
2,872
|
2,864
|
||||||
Valuation allowance
|
(2,872
|
)
|
(2,864
|
)
|
||||
Net deferred tax asset
|
-
|
-
|
C. |
Tax loss carry-forwards
|
As of
June 30,
2019
|
As of
December 31,
2018
|
|||||||
Israel
|
4,840
|
4,799
|
||||||
United States (*)
|
8,374
|
8,385
|
||||||
13,214
|
13,184
|
Issuance
date |
Number of warrants
outstanding as
June 30, 2019
|
Exercise
price |
Exercisable
through |
||||||
|
|
||||||||
October 2017
|
275,000
|
$
|
2.00
|
October 2022
|
Six Months
Ended June 30
|
Three Months
Ended June 30
|
|||||||||||||||
2019
|
2018
|
2019
|
2018
|
|||||||||||||
Unaudited
|
Unaudited
|
|||||||||||||||
Net loss available to stockholders of the company
|
(90
|
)
|
(352
|
)
|
(69
|
)
|
(141
|
)
|
||||||||
Net loss attributable to stockholders of preferred shares
|
(13
|
)
|
(52
|
)
|
(10
|
)
|
(21
|
)
|
||||||||
|
||||||||||||||||
Net loss used in the calculation of basic loss per share
|
(77
|
)
|
(300
|
)
|
(59
|
)
|
(120
|
)
|
||||||||
|
||||||||||||||||
Net loss per share
|
(0.01
|
)
|
(0.06
|
)
|
(0.01
|
)
|
(0.02
|
)
|
||||||||
|
||||||||||||||||
Weighted average number of common stock used in the
calculation of net loss per share
|
5,153,461
|
5,153,461
|
5,153,461
|
5,153,461
|
A. |
Stockholders Rights:
|
B. |
Issuance of Shares
|
B. |
Issuance of Shares (Cont.)
|
C. |
Reverse Stock Split
|
D. |
Options issued to employees and consultants
|
D. |
Options issued to employees and consultants (Cont.)
|
For the Six months ended
June 30, 2019
|
||||||||||||
Number of stock options
|
Weighted average exercise price
|
Aggregate intrinsic value
|
||||||||||
Outstanding at beginning of period
|
250,716
|
0.83
|
54,002
|
|||||||||
Granted
|
-
|
-
|
-
|
|||||||||
Exercised
|
-
|
-
|
-
|
|||||||||
Cancelled
|
109,188
|
1.30
|
-
|
|||||||||
Outstanding at end of period
|
141,528
|
0.47
|
15,102
|
|||||||||
Options exercisable at period end
|
109,236
|
0.19
|
15,102
|
|||||||||
For the twelve months ended
December 31, 2018
|
||||||||||||
Number of stock options
|
Weighted average exercise price
|
Aggregate intrinsic value
|
||||||||||
Outstanding at beginning of period
|
334,168
|
0.95
|
||||||||||
Granted
|
98,528
|
1.30
|
||||||||||
Exercised
|
-
|
-
|
||||||||||
Cancelled
|
181,980
|
1.30
|
||||||||||
Outstanding at end of period
|
250,716
|
0.83
|
54,002
|
|||||||||
Options exercisable at period end
|
212,174
|
0.74
|
54,002
|
D. |
Options issued to employees and consultants (Cont.)
|
Exercise price
|
Stock options outstanding as of June 30,
|
Stock options outstanding as of December 31,
|
Weighted average remaining contractual life – years as of June 30,
|
Weighted average remaining contractual life – years as of December 31,
|
Stock options exercisable as of June 30,
|
Stock options exercisable as of December 31,
|
||||||||||||||||||||
$
|
2019
|
2018
|
2019
|
2018
|
2019
|
2018
|
||||||||||||||||||||
0.01
|
91,528
|
91,528
|
7.15
|
7.64
|
91,528
|
91,528
|
||||||||||||||||||||
1.30
|
-
|
60,660
|
-
|
8.61
|
-
|
60,660
|
||||||||||||||||||||
1.30
|
50,000
|
98,528
|
8.72
|
9.21
|
17,708
|
59,986
|
||||||||||||||||||||
0.83
|
141,528
|
250,716
|
7.67
|
8.46
|
109,236
|
212,174
|
EXHIBIT
NUMBER
|
|
DESCRIPTION
|
|
|
|
|
|
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|||
|
|
|
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|||
|
|
|
|
101.1
|
|
The following materials from the Company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2019 formatted in XBRL (eXtensible Business Reporting Language): (i) the Interim Condensed Consolidated Balance Sheets, (ii) the Interim Condensed Consolidated Statements of Comprehensive Loss, (iii) the Condensed Consolidated Statements of
Shareholders Equity, (iv) the Interim Condensed Consolidated Statements of Cash Flows and (v) related notes to these financial statements, tagged as blocks of text and in detail.*
|
|
|
||
|
ARTEMIS THERAPEUTICS, INC.
|
||
|
|
||
Dated: August 19, 2019
|
By: |
/s/ Chanan Morris
|
|
|
Chanan Morris
|
||
|
Chief Financial Officer
|
||
|
(Principal Executive Officer and Principal Financial
and Accounting Officer)
|