Quarterly report pursuant to Section 13 or 15(d)

Acquisition (Details)

v3.21.1
Acquisition (Details) - USD ($)
3 Months Ended
Jan. 26, 2021
Mar. 31, 2021
Acquisition [Abstract]    
business acquisition shares percentage 100.00%  
Owned membership interests 28.73%  
Purchase price, description   The purchase price of Purnovate consisted of cash consideration of $350,000 (excludes an $350,000 initial working capital loan to Purnovate, which assumed by Adial at acquisition through its ownership of Purnovate, Purnovate’s liability and Adial’s asset being eliminated in consolidation), the issuance 699,980 shares of Adial common stock ($2.34 at date of closing, less a discount of 35% for a discount for lack of marketability related to the restrictions on the stock-based consideration) and contingent consideration for (i) certain development milestones in an aggregate amount of up to $2,100,000 for the first time any product or compound has achieved the relevant milestone within forty five (45) days after such occurrence (ii) milestones in an aggregate amount of up to $20,000,000 for each compound commercialized, and (iii) royalties of 3.0% of Net Sales (as defined in the Purchase Agreement). The equity consideration has been placed into escrow to secure certain indemnification and other obligations of Purnovate and the Members and will be released, subject to certain terms.
Incurred acquisition costs   $ 46,000
Net loss $ 82,000