Document and Entity Information
Document and Entity Information | 9 Months Ended |
Sep. 30, 2020 | |
Document and Entity Information [Abstract] | |
Entity Registrant Name | BiondVax Pharmaceuticals Ltd. |
Entity Central Index Key | 0001611747 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Document Type | 6-K |
Document Period End Date | Sep. 30, 2020 |
Document Fiscal Period Focus | Q3 |
Document Fiscal Year Focus | 2020 |
Condensed Interim Balance Sheet
Condensed Interim Balance Sheets ₪ in Thousands, $ in Thousands | Sep. 30, 2020ILS (₪) | Sep. 30, 2020USD ($) | Dec. 31, 2019ILS (₪) | Sep. 30, 2019ILS (₪) | |
CURRENT ASSETS: | |||||
Cash and cash equivalents | ₪ | ₪ 24,774 | ₪ 72,467 | ₪ 75,247 | ||
Other receivables | ₪ | 2,930 | 656 | 1,887 | ||
Current assets | ₪ | 27,704 | 73,123 | 77,134 | ||
LONG-TERM ASSETS: | |||||
Property, plant and equipment | ₪ | 39,889 | 34,981 | 34,324 | ||
Right-of-use assets | ₪ | 6,433 | 7,136 | 7,371 | ||
Other long-term assets | ₪ | 891 | 510 | 507 | ||
Non-current assets | ₪ | 47,213 | 42,627 | 42,202 | ||
Total assets | ₪ | 74,917 | 115,750 | 119,336 | ||
CURRENT LIABILITIES: | |||||
Trade payables | ₪ | 8,213 | 17,062 | 1,552 | ||
Operating lease liabilities | ₪ | 653 | 694 | 697 | ||
Other payables | ₪ | 2,289 | 1,203 | 820 | ||
Current liabilities | ₪ | 11,155 | 18,959 | 3,069 | ||
LONG-TERM LIABILITIES: | |||||
Liability in respect of government grants | ₪ | 14,812 | 14,454 | |||
Operating lease liabilities | ₪ | 6,268 | 6,809 | 6,898 | ||
Loan from others | ₪ | 59,242 | 123,780 | 108,353 | ||
Warrants | ₪ | 16,354 | 6,908 | |||
Severance pay liability, net | ₪ | 93 | 89 | 87 | ||
Long-term liabilities | ₪ | 65,603 | 161,844 | 136,700 | ||
SHAREHOLDERS' EQUITY: | |||||
Ordinary shares of no par value: Authorized: 600,000,000 shares at September 30, 2020 and 2019 (unaudited) and December 31, 2019; Issued and outstanding: 461,451,767, 460,822,640 and 402,351,657 shares at September 30, 2020 and 2019 (unaudited) and December 31, 2019, respectively | ₪ | [1] | ||||
Share premium | ₪ | 308,855 | 255,285 | 256,889 | ||
Accumulated deficit | ₪ | (310,696) | (320,338) | (277,322) | ||
Equity | ₪ | (1,841) | (65,053) | (20,433) | ||
Equity and liabilities | ₪ | ₪ 74,917 | ₪ 115,750 | ₪ 119,336 | ||
USD | |||||
CURRENT ASSETS: | |||||
Cash and cash equivalents | $ | $ 7,200 | ||||
Other receivables | $ | 851 | ||||
Current assets | $ | 8,051 | ||||
LONG-TERM ASSETS: | |||||
Property, plant and equipment | $ | 11,592 | ||||
Right-of-use assets | $ | 1,870 | ||||
Other long-term assets | $ | 259 | ||||
Non-current assets | $ | 13,721 | ||||
Total assets | $ | 21,772 | ||||
CURRENT LIABILITIES: | |||||
Trade payables | $ | 2,387 | ||||
Operating lease liabilities | $ | 190 | ||||
Other payables | $ | 665 | ||||
Current liabilities | $ | 3,242 | ||||
LONG-TERM LIABILITIES: | |||||
Liability in respect of government grants | $ | |||||
Operating lease liabilities | $ | 1,821 | ||||
Loan from others | $ | 17,217 | ||||
Warrants | $ | |||||
Severance pay liability, net | $ | 27 | ||||
Long-term liabilities | $ | 19,065 | ||||
SHAREHOLDERS' EQUITY: | |||||
Ordinary shares of no par value: Authorized: 600,000,000 shares at September 30, 2020 and 2019 (unaudited) and December 31, 2019; Issued and outstanding: 461,451,767, 460,822,640 and 402,351,657 shares at September 30, 2020 and 2019 (unaudited) and December 31, 2019, respectively | $ | [1] | ||||
Share premium | $ | 89,757 | ||||
Accumulated deficit | $ | (90,292) | ||||
Equity | $ | (535) | ||||
Equity and liabilities | $ | $ 21,772 | ||||
[1] | Represents less than NIS\USD 1. |
Condensed Interim Balance She_2
Condensed Interim Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 |
Statement of financial position [abstract] | |||
Ordinary shares, par value | $ 0 | $ 0 | $ 0 |
Ordinary shares, authorized | 600,000,000 | 600,000,000 | 600,000,000 |
Ordinary shares, issued | 461,451,767 | 402,351,657 | 460,822,640 |
Ordinary shares, outstanding | 461,451,767 | 402,351,657 | 460,822,640 |
Condensed Interim Statements of
Condensed Interim Statements of Comprehensive Income (Loss) ₪ in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||
Sep. 30, 2020ILS (₪)shares | Sep. 30, 2020$ / shares | Sep. 30, 2019ILS (₪)shares | Sep. 30, 2019$ / shares | Sep. 30, 2020ILS (₪)shares | Sep. 30, 2020USD ($)$ / sharesshares | Sep. 30, 2019ILS (₪)shares | Sep. 30, 2019$ / shares | Dec. 31, 2019ILS (₪)shares | Dec. 31, 2019$ / shares | |
Operating expenses: | ||||||||||
Research and development, net of participations | ₪ | ₪ 12,579 | ₪ 16,133 | ₪ 43,595 | ₪ 37,037 | ₪ 68,645 | |||||
Marketing, general and administrative | ₪ | 7,303 | 2,790 | 12,423 | 8,741 | 9,706 | |||||
Other income | ₪ | 75,485 | 75,485 | ||||||||
Total operating income (expenses) | ₪ | 55,603 | (18,923) | 19,467 | (45,778) | (78,351) | |||||
Operating gain (loss) | ₪ | 55,603 | (18,923) | 19,467 | (45,778) | (78,351) | |||||
Financial income | ₪ | 169 | 5,034 | 193 | 4 | ||||||
Financial expense | ₪ | (288) | (601) | (14,859) | (20,593) | (30,847) | |||||
Net income (loss) | ₪ | ₪ 55,315 | ₪ (19,355) | ₪ 9,642 | ₪ (66,178) | ₪ (109,194) | |||||
Basic net income (loss) per share (NIS) | $ / shares | $ 0.12 | $ (0.05) | $ 0.02 | $ (0.23) | $ (0.33) | |||||
Diluted net income (loss) per share (NIS) | $ / shares | $ 0.1 | $ (0.05) | $ 0.02 | $ (0.23) | $ (0.33) | |||||
Weighted average number of shares outstanding used to compute basic income (loss) per share | shares | 461,046,640 | 377,899,911 | 437,381,202 | 437,381,202 | 290,794,601 | 326,651,721 | ||||
Weighted average number of shares outstanding used to compute diluted income (loss) per share | shares | 538,495,403 | 377,899,911 | 497,489,765 | 497,489,765 | 290,794,601 | 326,651,721 | ||||
USD | ||||||||||
Operating expenses: | ||||||||||
Research and development, net of participations | $ | $ 12,668 | |||||||||
Marketing, general and administrative | $ | 3,610 | |||||||||
Other income | $ | 21,937 | |||||||||
Total operating income (expenses) | $ | 5,657 | |||||||||
Operating gain (loss) | $ | 5,657 | |||||||||
Financial income | $ | 1,463 | |||||||||
Financial expense | $ | (4,318) | |||||||||
Net income (loss) | $ | $ 2,802 | |||||||||
Basic net income (loss) per share (NIS) | $ / shares | $ 0.006 | |||||||||
Diluted net income (loss) per share (NIS) | $ / shares | $ 0.006 | |||||||||
Weighted average number of shares outstanding used to compute basic income (loss) per share | shares | 437,393,465 | 437,393,465 | ||||||||
Weighted average number of shares outstanding used to compute diluted income (loss) per share | shares | 497,489,765 | 497,489,765 |
Condensed Interim Statements _2
Condensed Interim Statements of Changes In Shareholders’ Deficiency Equity ₪ in Thousands, $ in Thousands | Share capitalILS (₪) | Share capitalUSDUSD ($) | [1] | Share premiumILS (₪) | Share premiumUSDUSD ($) | Accumulated deficitILS (₪) | Accumulated deficitUSDUSD ($) | ILS (₪) | Total EquityUSDUSD ($) | ||
Balance at Dec. 31, 2018 | [1] | ₪ 179,929 | ₪ (211,144) | ₪ (30,215) | |||||||
Total comprehensive loss | (66,178) | (66,178) | |||||||||
Issuance of ordinary shares, net of issuance costs | [1] | 70,390 | 70,390 | ||||||||
Exercise of options | [1] | 1,402 | 1,402 | ||||||||
Share-based compensation | 5,168 | 5,168 | |||||||||
Balance at Sep. 30, 2019 | [1] | 256,889 | $ 74,655 | (277,322) | $ (80,593) | (20,433) | $ (5,938) | ||||
Balance at Dec. 31, 2018 | [1] | 179,929 | (211,144) | (30,215) | |||||||
Total comprehensive loss | (109,194) | (109,194) | |||||||||
Issuance of ordinary shares, net of issuance costs | [1] | 70,270 | 70,270 | ||||||||
Exercise of options | 1,402 | 1,402 | |||||||||
Share-based compensation | 3,684 | 3,684 | |||||||||
Balance at Dec. 31, 2019 | [1] | 255,285 | 74,189 | (320,338) | (93,094) | (65,053) | (18,905) | ||||
Balance at Mar. 31, 2019 | [1] | ||||||||||
Total comprehensive loss | |||||||||||
Exercise of options | [1] | ||||||||||
Share-based compensation | |||||||||||
Balance at Sep. 30, 2019 | [1] | 256,889 | 74,655 | (277,322) | (80,593) | (20,433) | (5,938) | ||||
Balance at Jun. 30, 2019 | [1] | 185,454 | (257,967) | (72,513) | |||||||
Total comprehensive loss | (19,355) | (19,355) | |||||||||
Issuance of ordinary shares, net of issuance costs | [1] | 70,390 | 70,390 | ||||||||
Share-based compensation | 1,045 | 1,045 | |||||||||
Balance at Sep. 30, 2019 | [1] | 256,889 | 74,655 | (277,322) | (80,593) | (20,433) | (5,938) | ||||
Balance at Dec. 31, 2019 | [1] | 255,285 | 74,189 | (320,338) | (93,094) | (65,053) | (18,905) | ||||
Total comprehensive loss | 9,642 | 9,642 | |||||||||
Exercise of warrants | 45,274 | 45,274 | |||||||||
Exercise of options | 166 | 166 | |||||||||
Share-based compensation | 8,130 | 8,130 | |||||||||
Balance at Sep. 30, 2020 | [1] | 308,855 | 89,757 | (310,696) | (90,292) | (1,841) | (535) | ||||
Balance at Jun. 30, 2020 | [1] | 304,089 | (366,011) | (61,922) | |||||||
Total comprehensive loss | [1] | 55,315 | 55,315 | ||||||||
Exercise of options | 166 | 166 | |||||||||
Share-based compensation | 4,600 | 4,600 | |||||||||
Balance at Sep. 30, 2020 | [1] | ₪ 308,855 | $ 89,757 | ₪ (310,696) | $ (90,292) | ₪ (1,841) | $ (535) | ||||
[1] | Represents less than NIS\USD 1. |
Condensed Interim Statements _3
Condensed Interim Statements of Cash Flows ₪ in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2020ILS (₪) | Sep. 30, 2019ILS (₪) | Sep. 30, 2020ILS (₪) | Sep. 30, 2020USD ($) | Sep. 30, 2019ILS (₪) | Dec. 31, 2019ILS (₪) | ||
Cash flows from operating activities: | |||||||
Net income (loss) | ₪ | ₪ 55,315 | ₪ (19,355) | ₪ 9,642 | ₪ (66,178) | ₪ (109,194) | ||
Adjustments to profit and loss items: | |||||||
Depreciation of property, plant and equipment and right-of-use assets | ₪ | 626 | 554 | 1,830 | 1,079 | 1,645 | ||
Net financial expenses (income) | ₪ | 285 | 3,207 | 13,347 | 6,586 | 15,902 | ||
Capital gain | ₪ | (160) | ||||||
Increase (decrease) in liability with respect to loans from others | ₪ | (62,799) | (2,618) | (64,538) | 13,993 | 14,083 | ||
Increase (decrease) in liability with respect to government grants | ₪ | (12,686) | (167) | (14,812) | (189) | 169 | ||
Share-based compensation | ₪ | 4,600 | 1,045 | 8,130 | 5,168 | 3,684 | ||
Change in employee benefit liabilities, net | ₪ | 1 | 1 | 4 | 5 | 7 | ||
Total adjustments to profit and loss | ₪ | (69,973) | 2,022 | (56,199) | 26,642 | 35,490 | ||
Decrease (increase) in other receivables | ₪ | (463) | (629) | (2,274) | (922) | 309 | ||
Increase (decrease) in trade payables | ₪ | 4,143 | (6,425) | (8,849) | (19,171) | (3,661) | ||
Increase in other payables | ₪ | 681 | (528) | 1,086 | (256) | 127 | ||
Total changes in asset and liability | ₪ | 4,361 | (7,582) | (10,037) | (20,349) | (3,225) | ||
Interest paid | ₪ | (15) | (11) | (39) | (121) | (131) | ||
Interest received | ₪ | 1 | 1 | 2 | ||||
Total cash paid and received | ₪ | (15) | (11) | (38) | (120) | (129) | ||
Net cash flows used in operating activities | ₪ | (10,312) | (24,926) | (56,632) | (60,005) | (77,058) | ||
Cash Flows from Investing Activities: | |||||||
Purchase of property and equipment | ₪ | (3,348) | (2,164) | (6,035) | (6,441) | (7,429) | ||
Proceeds from sale of property and equipment | ₪ | 160 | ||||||
Increase (decrease) in other long term assets | ₪ | 3 | (381) | 233 | 230 | |||
Net cash used in investing activities | ₪ | (3,348) | (2,161) | (6,256) | (6,208) | (7,199) | ||
Cash Flows from Financing Activities: | |||||||
Proceeds from loan from others | ₪ | 15,337 | ||||||
Repayment of operating lease liabilities | ₪ | (306) | (314) | (928) | (943) | (581) | ||
Proceeds from exercise of warrants to public | ₪ | 14,790 | 188 | |||||
Proceeds from exercise of options | ₪ | 166 | 166 | |||||
Proceeds from issuance of shares and options | ₪ | 70,390 | 70,578 | 70,270 | ||||
Net cash provided by (used in) financing activities | ₪ | (140) | 70,076 | 14,028 | 69,635 | 85,214 | ||
Exchange differences on balances of cash and cash equivalents | ₪ | (178) | (1,658) | 1,168 | (4,058) | (4,373) | ||
Increase (decrease) in cash and cash equivalents | ₪ | (13,978) | 41,331 | (47,692) | (636) | (3,416) | ||
Balance of cash and cash equivalents at the beginning of the period | ₪ | 38,752 | 33,916 | 72,467 | 75,883 | 75,883 | ||
Balance of cash and cash equivalents at the end of the period | ₪ | 24,774 | 75,247 | 24,774 | 75,247 | 72,467 | ||
Non cash financing activities | |||||||
Exercise of warrants to the public | ₪ | ₪ 30,484 | ₪ 1,214 | ₪ 1,214 | ||||
USD | |||||||
Cash flows from operating activities: | |||||||
Net income (loss) | $ | $ 2,802 | ||||||
Adjustments to profit and loss items: | |||||||
Depreciation of property, plant and equipment and right-of-use assets | $ | 532 | ||||||
Net financial expenses (income) | $ | 3,879 | ||||||
Capital gain | $ | (46) | ||||||
Increase (decrease) in liability with respect to loans from others | $ | (18,756) | ||||||
Increase (decrease) in liability with respect to government grants | $ | (4,305) | ||||||
Share-based compensation | $ | 2,363 | ||||||
Change in employee benefit liabilities, net | $ | 1 | ||||||
Total adjustments to profit and loss | $ | (16,332) | ||||||
Decrease (increase) in other receivables | $ | (661) | ||||||
Increase (decrease) in trade payables | $ | (2,572) | ||||||
Increase in other payables | $ | 316 | ||||||
Total changes in asset and liability | $ | (2,917) | ||||||
Interest paid | $ | (11) | ||||||
Interest received | $ | [1] | ||||||
Total cash paid and received | $ | (11) | ||||||
Net cash flows used in operating activities | $ | (16,458) | ||||||
Cash Flows from Investing Activities: | |||||||
Purchase of property and equipment | $ | (1,754) | ||||||
Proceeds from sale of property and equipment | $ | 46 | ||||||
Increase (decrease) in other long term assets | $ | (111) | ||||||
Net cash used in investing activities | $ | (1,819) | ||||||
Cash Flows from Financing Activities: | |||||||
Proceeds from loan from others | $ | |||||||
Repayment of operating lease liabilities | $ | (270) | ||||||
Proceeds from exercise of warrants to public | $ | 4,298 | ||||||
Proceeds from exercise of options | $ | 48 | ||||||
Proceeds from issuance of shares and options | $ | |||||||
Net cash provided by (used in) financing activities | $ | 4,076 | ||||||
Exchange differences on balances of cash and cash equivalents | $ | 341 | ||||||
Increase (decrease) in cash and cash equivalents | $ | (13,860) | ||||||
Balance of cash and cash equivalents at the beginning of the period | $ | 21,060 | ||||||
Balance of cash and cash equivalents at the end of the period | $ | 7,200 | ||||||
Non cash financing activities | |||||||
Exercise of warrants to the public | $ | $ 8,859 | ||||||
[1] | Represents an amount lower than NIS\USD 1. |
General
General | 9 Months Ended |
Sep. 30, 2020 | |
General [Abstract] | |
GENERAL | NOTE 1: GENERAL a. BiondVax Pharmaceuticals Ltd. ("the Company") is focused on developing, manufacturing and ultimately commercializing products for the prevention and treatment of infectious diseases and related illnesses. The Company was incorporated on July 21, 2003 and started its activity on March 31, 2005. The Company's shares are traded on the NASDAQ. b. Going concern: These interim financial statements have been prepared on a going concern basis, which contemplates that the Company will continue in operation for the foreseeable future and be able to realize its assets and discharge its liabilities and commitments in the normal course of business. In the nine months ended September 30, 2020, the Company incurred net income of NIS 9,642 ($2,802) and negative cash flows from operating activities of NIS 56,632 ($ 16,458) and it has an accumulated deficit of NIS 310,696 ($ 90,292) as of that date. Our ability to continue as a going concern and execute on our business plan is dependent upon our ability to raise capital through private or public financings, enter into a commercial agreement or engage in a strategic alternative, among others. We currently intend to finance our activities through any of the above. However, there is no assurance that we will be successful in raising such capital or, in the event of a capital raising, that such capital will be available on terms acceptable to the Company. Though the Company's management and Board of Directors are of the opinion that its current financial resources will be sufficient to continue operating the Company through the second quarter of 2021, the Company will not have the sufficient liquidity resources to continue the development of all or certain aspects of future products. The above circumstances indicate that a material uncertainty exists that may cast significant doubt as to the Company's ability to continue as a going concern. These financial statements do not reflect adjustments to the carrying values of the Company's assets and liabilities, revenue and expenses, and the statement of financial position classifications used, that would be necessary if the going concern assumption were not appropriate. Such adjustments could be material. c. To the report date the Company management commented on the potential impact of the COVID-19 pandemic on the conduct of the Phase 3 trial's second cohort. During the trial's first cohort, because the flu season had a weak beginning, it was decided to increase the size of Cohort 2 by about 2,000 participants leading us to include more sites in the second season. This decision served us well as most of the Cohort 2 swab samples were collected by the end of February 2020, prior to the onset of the COVID-19 pandemic in Eastern Europe. Consequently, overall, we collected more swab samples than originally targeted. To date, the COVID-19 pandemic did not meaningfully impact the timing or conduct of the Phase 3 trial and BiondVax's other ongoing operations. The extent to which the COVID-19 pandemic may impact the Company's operations will depend on future developments, which are highly uncertain and cannot be predicted with confidence. d. On October 23, 2020, the Company announced the Phase 3 clinical trial results of the M-001 universal vaccine product. The results did not demonstrate a statistically significant difference between the vaccinated group and the placebo group in reduction of flu illness and severity. Therefore, the study failed to meet both the primary and secondary efficacy endpoints. However, the study's primary safety endpoint was met. e. As a result of the Phase 3 clinical trial failure, Company's management estimates that there will be no future revenues from the M-001 product. Therefore, most likely, there will be no future royalty payments to the Israel innovation authority ("IIA") & European investment bank ("EIB") (notes 12b, 12d to the annual financial statement). In accordance with the EIB loan agreement, and due to the said above, the Company is required to pay EIB the principal amount of the tranches already loaned by the EIB to the Company, within five years of the date of each tranche of the loan. On September 30, 2020, the Company revalued the loan to a sum of NIS 59,242 ($ 17,217). As a result, the Company recorded an amount of NIS 62,800 ($ 18,250) as revaluation income of the EIB loan and NIS 12,685 ($ 3,686) for the IIA liability and recorded them under the line item of other income in the statement of other comprehensive loss. As for the report date, the outstanding principal amount regarding the EIB loan in nominal terms is NIS 102,192 Under the Finance Contract, the EIB may accelerate all loans extended thereunder if an event of default has occurred, which includes, amongst other things, an event of default arising from the occurrence of a material adverse change, defined as any event or change of condition, which in the opinion of the EIB, has a material adverse effect on: the Company's ability to perform its obligations under the Finance Documents; the Company's business, operations, property, condition (financial or otherwise) or prospects; or the rights or remedies of the EIB under the Finance Contract, amongst other things. If the EIB determines that an event of default has occurred, it could accelerate the amounts outstanding under the Finance Contract, making those amounts immediately due and payable. On January 11, 2021, the Company and EIB entered into an amendment to the Finance Contract, pursuant to which EIB consented to the appointment of Mr. Amir Reichman as chief executive officer of the Company as required under the Finance Contract. On January 26, 2021, the EIB notified us that they welcome our efforts to secure future equity financing in an amount not less than USD 2 million in order to enable us to pursue new business opportunities, strengthen our balance sheet and invest in growth. Thus, within that context, the EIB wrote in their letter that they will not consider the failure of our pivotal phase 3 trial for M-001 to meet the primary and secondary efficacy endpoints as a trigger for prepayment of a loan extended under the Finance Contract. However, the EIB cautioned us that their letter is not a consent, agreement, amendment or waiver in respect of the terms of the Finance Contract, reserving any other right or remedy the EIB may have now or subsequently. There is no guarantee that the decision by the EIB in their letter will not change at any time and without any notice or that the EIB will not determine that an event of default has occurred under the Finance Contract, which could result in all loans extended under the Finance Contract being accelerated and secured creditor remedies being exercised. |
Convenience Translation Into U.
Convenience Translation Into U.S. Dollars | 9 Months Ended |
Sep. 30, 2020 | |
Deferred Tax Asset Operating Loss Carryforwards [Abstract] | |
CONVENIENCE TRANSLATION INTO U.S. DOLLARS | NOTE 2:- CONVENIENCE TRANSLATION INTO U.S. DOLLARS The financial statements as of September 30, 2020 and for the nine months then ended have been translated into dollars using the representative exchange rate as of that date ($ 1 = NIS 3.441). The translation was made solely for the convenience of the reader. The amounts presented in these financial statements should not be construed to represent amounts receivable or payable in dollars or convertible into dollars, unless otherwise indicated in these statements. |
Significant Accounting Policies
Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2020 | |
Significant Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | NOTE 3: SIGNIFICANT ACCOUNTING POLICIES These financial statements have been prepared in a condensed format as of September 30, 2020, and for the three and nine months then ended ("interim financial statements"). These financial statements should be read in conjunction with the Company's annual financial statements as of December 31, 2019, and for the year then ended and accompanying notes ("annual financial statements"). Basis of preparation of the interim financial statements The interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles for the preparation of financial statements for interim periods, as prescribed in IAS 34. The significant accounting policies and methods of computation adopted in the preparation of the interim financial statements are consistent with those followed in the preparation of the Company's annual financial statements. |
Financial Instruments
Financial Instruments | 9 Months Ended |
Sep. 30, 2020 | |
Financial Instruments [Abstract] | |
FINANCIAL INSTRUMENTS | NOTE 4:- FINANCIAL INSTRUMENTS a. Classification of financial liabilities: Convenience translation (Note 2c December 31, September 30, September 30, 2019 2019 2020 2020 N I S N I S U.S. dollars Financial liabilities at amortized costs: Trade payables 17,062 1,552 8,213 2,387 Other payables 1,203 820 2,289 665 Liability in respect of government grants 14,812 14,454 - - Lease liabilities 7,503 7,595 6,921 2,012 Loan from others 123,780 108,353 59,242 17,217 164,360 132,774 76,665 22,281 Financial liabilities at fair value through profit and loss: Warrants measured at fair value 16,354 6,908 - - Total financial liabilities 180,714 139,682 76,665 22,281 Total current 18,959 3,069 11,155 3,243 Total non-current 161,755 136,613 65,510 19,038 b. Fair value measurement: As of September 30, 2020, there are no financial instruments measured at fair value and classified as Level 1 while loans from others and government grants are classified as Level 2. As of September 30, 2020, there were no transfers in respect of fair value measurement of any financial instrument between Level 1 and Level 2, and there were no transfers into or out of Level 3 fair value measurements of any financial instrument. c. Changes in liabilities arising from financing activities: Loans from others Lease liabilities Total liabilities arising from financing activities NIS Balance as of January 1, 2020 123,780 7,503 131,283 Cash flows - (582 ) (582 ) Effect of changes in fair value (64,538 ) - (64,538 ) Balance as of September 30, 2020 (unaudited) 59,242 6,921 66,163 Loans from others Lease liabilities Total liabilities arising from financing activities NIS Balance as of January 1, 2019 94,360 - 94,360 Adoption of IFRS 16 - 8,084 8,084 Cash flows - (489 ) (489 ) Effect of changes in fair value 13,993 - 13,993 Balance as of September 30, 2019 (unaudited) 108,353 7,595 115,948 Loans from others Lease liabilities Total liabilities arising from financing activities NIS Balance as of January 1, 2019 94,360 - 94,360 Adoption of IFRS 16 - 8,084 8,084 Cash flows 15,337 (581 ) 14,756 Effect of changes in fair value 14,083 - 14,083 Balance as of December 31, 2019 123,780 7,503 131,283 |
Equity
Equity | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
EQUITY | NOTE 5: - EQUITY a. On May 15, 2020, 540,639 NASDAQ listed warrants expired. b. On July 8, 2020 6,000 ADS options were exercised into 240,000 Ordinary shares at an exercise price of $7.98 for a total consideration of NIS 166 (approximately $ 48). c. During the nine months ended September 30, 2020, 676,118 NASDAQ listed warrants were exercised into 27,044,720 Ordinary shares at an exercise price of $6.25 for a total consideration of NIS 14,790 (approximately $ 4,298) and 611,565 NASDAQ listed warrants to purchase ADSs at an exercise price of $6.25 were exercised on a cashless basis into 24,462,600 Ordinary shares. |
Share-Based Compensation
Share-Based Compensation | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure of terms and conditions of share-based payment arrangement [abstract] | |
SHARE-BASED COMPENSATION | NOTE 6: - SHARE-BASED COMPENSATION a. On June 11, 2020, the Company's Board of Directors ratified the grant of options to 23 employees to purchase an aggregate 141,400 ADS (5,656,000 Ordinary shares) at an exercise price of $7.28 – $8.076 per ADS. The options were originally approved pursuant to a delegation of authority granted by the Board of Directors to Company management in April 2018 to grant a pool of options with an exercise price of $7.98 and other terms approved by the Board of Directors at the time of delegation. The total value of the grant was NIS 4,190 ($ 1,218) On the same day, the Company's Board of Directors approved a grant to an advisor to purchase 72,000 ADS (2,880,000 Ordinary shares) at an exercise price of $18.06 per ADS in three tranches. The first tranche of 32,400 ADS's was vested on May 31,2020, the second tranche of 25,200 ADS was vested on September 30, 2020 and the third tranche of 14,400 ADS's will be vested on December 31, 2020. The options will expire four years from the commencement vesting date of each tranche. The total value of the grant was NIS 2,783 ($ 809) b. The fair value of the Company's share options granted to employees, directors and service providers for the nine months ended September 2020 was estimated using the binominal option pricing model using the following assumptions: Dividend yield (%) - Expected volatility of the share prices (%) 66 Risk-free interest rate (%) 0. 7-0.8 Expected life of share options (years) 6-7 Share price (NIS) (1) 7.05-18 c. On September 2, 2020, the Company granted fully vested 5,000 RSU's representing 5,000 ADS's to a board member. The total value of the grant was NIS 196 d. On September 2, 2020, the Company amended an option agreement with a board member dated as of May 28, 2019. The vesting date accelerated to September 2, 2020. The total value of the option acceleration was NIS 30 |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Significant Accounting Policies [Abstract] | |
Basis of preparation of the interim financial statements | Basis of preparation of the interim financial statements The interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles for the preparation of financial statements for interim periods, as prescribed in IAS 34. The significant accounting policies and methods of computation adopted in the preparation of the interim financial statements are consistent with those followed in the preparation of the Company's annual financial statements. |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Financial Instruments [Abstract] | |
Schedule of financial liabilities | Convenience translation (Note 2c December 31, September 30, September 30, 2019 2019 2020 2020 N I S N I S U.S. dollars Financial liabilities at amortized costs: Trade payables 17,062 1,552 8,213 2,387 Other payables 1,203 820 2,289 665 Liability in respect of government grants 14,812 14,454 - - Lease liabilities 7,503 7,595 6,921 2,012 Loan from others 123,780 108,353 59,242 17,217 164,360 132,774 76,665 22,281 Financial liabilities at fair value through profit and loss: Warrants measured at fair value 16,354 6,908 - - Total financial liabilities 180,714 139,682 76,665 22,281 Total current 18,959 3,069 11,155 3,243 Total non-current 161,755 136,613 65,510 19,038 |
Schedule of changes in liabilities arising from financing activities | Loans from others Lease liabilities Total liabilities arising from financing activities NIS Balance as of January 1, 2020 123,780 7,503 131,283 Cash flows - (582 ) (582 ) Effect of changes in fair value (64,538 ) - (64,538 ) Balance as of September 30, 2020 (unaudited) 59,242 6,921 66,163 Loans from others Lease liabilities Total liabilities arising from financing activities NIS Balance as of January 1, 2019 94,360 - 94,360 Adoption of IFRS 16 - 8,084 8,084 Cash flows - (489 ) (489 ) Effect of changes in fair value 13,993 - 13,993 Balance as of September 30, 2019 (unaudited) 108,353 7,595 115,948 Loans from others Lease liabilities Total liabilities arising from financing activities NIS Balance as of January 1, 2019 94,360 - 94,360 Adoption of IFRS 16 - 8,084 8,084 Cash flows 15,337 (581 ) 14,756 Effect of changes in fair value 14,083 - 14,083 Balance as of December 31, 2019 123,780 7,503 131,283 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure of terms and conditions of share-based payment arrangement [abstract] | |
Schedule of estimated option pricing model using assumptions | Dividend yield (%) - Expected volatility of the share prices (%) 66 Risk-free interest rate (%) 0. 7-0.8 Expected life of share options (years) 6-7 Share price (NIS) (1) 7.05-18 |
General (Details)
General (Details) ₪ in Thousands, $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Mar. 31, 2005 | Sep. 30, 2020ILS (₪) | Sep. 30, 2019ILS (₪) | Sep. 30, 2020ILS (₪) | Sep. 30, 2020USD ($) | Sep. 30, 2019ILS (₪) | Dec. 31, 2019ILS (₪) | Sep. 30, 2020USD ($) | |
General (Textual) | ||||||||
Date of incorporation | Jul. 21, 2003 | |||||||
Incurred loss | ₪ | ₪ 55,315 | ₪ (19,355) | ₪ 9,642 | ₪ (66,178) | ₪ (109,194) | |||
Accumulated deficit | ₪ | (310,696) | (277,322) | (310,696) | (277,322) | (320,338) | |||
Negative cash flows from operating activities | ₪ | (10,312) | ₪ (24,926) | (56,632) | ₪ (60,005) | ₪ (77,058) | |||
Revalued of loan | ₪ | 59,242 | |||||||
Revaluation income | ₪ | 62,800 | |||||||
Nominal terms | ₪ | 12,685 | |||||||
Outstanding principal amount | ₪ | ₪ 102,192 | ₪ 102,192 | ||||||
USD [Member] | ||||||||
General (Textual) | ||||||||
Incurred loss | $ 2,802 | |||||||
Accumulated deficit | $ (90,292) | |||||||
Negative cash flows from operating activities | (16,458) | |||||||
Revalued of loan | (17,217) | |||||||
Revaluation income | (18,250) | |||||||
Nominal terms | (3,686) | |||||||
Outstanding principal amount | $ (29,698) | |||||||
Equity financing amount | $ 200 |
Convenience Translation Into _2
Convenience Translation Into U.S. Dollars (Details) - 9 months ended Sep. 30, 2020 | ₪ / shares | $ / shares |
Convenience Translation Into U.S. Dollars (Textual) | ||
Translation of exchange rate | ₪ / shares | ₪ 3.441 | |
USD [Member] | ||
Convenience Translation Into U.S. Dollars (Textual) | ||
Translation of exchange rate | $ / shares | $ 1 |
Financial Instruments (Details)
Financial Instruments (Details) ₪ in Thousands, $ in Thousands | Sep. 30, 2020ILS (₪) | Sep. 30, 2020USD ($) | Dec. 31, 2019ILS (₪) | Sep. 30, 2019ILS (₪) |
Financial liabilities at amortized costs: | ||||
Trade payables | ₪ | ₪ 8,213 | ₪ 17,062 | ₪ 1,552 | |
Other payables | ₪ | 2,289 | 1,203 | 820 | |
Liability in respect of government grants | ₪ | 14,812 | 14,454 | ||
Lease Liabilities | ₪ | 6,921 | 7,503 | 7,595 | |
Loan from others | ₪ | 59,242 | 123,780 | 108,353 | |
Financial liabilities at amortized costs | ₪ | 76,665 | 164,360 | 132,774 | |
Financial liabilities at fair value through profit and loss: | ||||
Warrants measured at fair value | ₪ | 16,354 | 6,908 | ||
Total financial liabilities | ₪ | 76,665 | 180,714 | 139,682 | |
Total current | ₪ | 11,155 | 18,959 | 3,069 | |
Total non-current | ₪ | ₪ 65,510 | ₪ 161,755 | ₪ 136,613 | |
USD [Member] | ||||
Financial liabilities at amortized costs: | ||||
Trade payables | $ | $ 2,387 | |||
Other payables | $ | 665 | |||
Liability in respect of government grants | $ | ||||
Lease Liabilities | $ | 2,012 | |||
Loan from others | $ | 17,217 | |||
Financial liabilities at amortized costs | $ | 22,281 | |||
Financial liabilities at fair value through profit and loss: | ||||
Warrants measured at fair value | $ | ||||
Total financial liabilities | $ | 22,281 | |||
Total current | $ | 3,243 | |||
Total non-current | $ | $ 19,038 |
Financial Instruments (Details
Financial Instruments (Details 1) - ILS (₪) ₪ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Beginning Balance | ₪ 131,283 | ₪ 94,360 | ₪ 94,360 |
Adoption of IFRS 16 | 8,084 | 8,084 | |
Cash flows | (582) | (489) | 14,756 |
Effect of changes in fair value | (64,538) | 13,993 | 14,083 |
Ending Balance | 66,163 | 115,948 | 131,283 |
Loans from others [Member] | |||
Beginning Balance | 123,780 | 94,360 | 94,360 |
Adoption of IFRS 16 | |||
Cash flows | 15,337 | ||
Effect of changes in fair value | (64,538) | 13,993 | 14,083 |
Ending Balance | 59,242 | 108,353 | 123,780 |
Lease liabilities [Member] | |||
Beginning Balance | 7,503 | ||
Adoption of IFRS 16 | 8,084 | 8,084 | |
Cash flows | (582) | (489) | (581) |
Effect of changes in fair value | |||
Ending Balance | ₪ 6,921 | ₪ 7,595 | ₪ 7,503 |
Equity (Details)
Equity (Details) $ / shares in Units, ₪ in Thousands, $ in Thousands | Jul. 08, 2020ILS (₪) | Jul. 08, 2020USD ($)$ / sharesshares | May 15, 2020shares | Sep. 30, 2020 |
Equity (Textual) | ||||
Warrants expire, shares | shares | 540,639 | |||
Total consideration | ₪ | ₪ 166 | |||
Ordinary shares | shares | 240,000 | |||
Exercise price | $ / shares | $ 7.98 | |||
USD [Member] | ||||
Equity (Textual) | ||||
Total consideration | $ | $ 48 | |||
ADS [Member] | ||||
Equity (Textual) | ||||
Purchase warrants, description | 676,118 NASDAQ listed warrants were exercised into 27,044,720 Ordinary shares at an exercise price of $6.25 for a total consideration of NIS 14,790 (approximately $ 4,298) and 611,565 NASDAQ listed warrants to purchase ADSs at an exercise price of $6.25 were exercised on a cashless basis into 24,462,600 Ordinary shares. | |||
Total consideration | ₪ | ₪ 6,000 |
Share-Based Compensation (Detai
Share-Based Compensation (Details) | 9 Months Ended |
Sep. 30, 2020₪ / shares | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Dividend yield (%) | |
Expected volatility of the share prices (%) | 66.00% |
Top of range [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Risk-free interest rate (%) | 0.80% |
Expected life of share options (years) | 7 years |
Share price (NIS) | ₪ 18 |
Bottom of range [member] | |
Disclosure of terms and conditions of share-based payment arrangement [line items] | |
Risk-free interest rate (%) | 0.70% |
Expected life of share options (years) | 6 years |
Share price (NIS) | ₪ 7.05 |
Share-Based Compensation (Det_2
Share-Based Compensation (Details Textual) $ / shares in Units, ₪ in Thousands, $ in Thousands | Sep. 02, 2020ILS (₪)shares | Sep. 02, 2020USD ($)shares | Jun. 11, 2020ILS (₪)shares | Jun. 11, 2020USD ($)$ / sharesshares | Jul. 08, 2020$ / shares |
Share-Based Compensation (Textual) | |||||
Exercise price per share | $ / shares | $ 7.98 | ||||
Board of Directors [Member] | |||||
Share-Based Compensation (Textual) | |||||
Grant option of ordinary shares | shares | 141,400 | 141,400 | |||
Exercise price per share | $ / shares | $ 7.98 | ||||
Total value of grant | ₪ | ₪ 4,190 | ||||
Board of Directors [Member] | ADS [Member] | |||||
Share-Based Compensation (Textual) | |||||
Grant option of ordinary shares | shares | 5,656,000 | 5,656,000 | |||
Total value of grant | ₪ | ₪ 2,783 | ||||
Option granted, description | The Company’s Board of Directors approved a grant to an advisor to purchase 72,000 ADS (2,880,000 Ordinary shares) at an exercise price of $18.06 per ADS in three tranches. The first tranche of 32,400 ADS’s was vested on May 31,2020, the second tranche of 25,200 ADS was vested on September 30, 2020 and the third tranche of 14,400 ADS’s will be vested on December 31, 2020. The options will expire four years from the commencement vesting date of each tranche. | The Company’s Board of Directors approved a grant to an advisor to purchase 72,000 ADS (2,880,000 Ordinary shares) at an exercise price of $18.06 per ADS in three tranches. The first tranche of 32,400 ADS’s was vested on May 31,2020, the second tranche of 25,200 ADS was vested on September 30, 2020 and the third tranche of 14,400 ADS’s will be vested on December 31, 2020. The options will expire four years from the commencement vesting date of each tranche. | |||
Board of Directors [Member] | ADS [Member] | Bottom of range [member] | |||||
Share-Based Compensation (Textual) | |||||
Exercise price per share | $ / shares | $ 7.28 | ||||
Board of Directors [Member] | ADS [Member] | Top of range [member] | |||||
Share-Based Compensation (Textual) | |||||
Exercise price per share | $ / shares | $ 8.076 | ||||
Board of Directors [Member] | USD [Member] | |||||
Share-Based Compensation (Textual) | |||||
Total value of grant | $ | $ 1,218 | ||||
Board of Directors [Member] | USD [Member] | ADS [Member] | |||||
Share-Based Compensation (Textual) | |||||
Total value of grant | $ | $ 809 | ||||
Board Member [Member] | |||||
Share-Based Compensation (Textual) | |||||
Total value of grant | ₪ | ₪ 196 | ||||
Total value of the option | ₪ | ₪ 30 | ||||
Board Member [Member] | ADS [Member] | |||||
Share-Based Compensation (Textual) | |||||
Granted of vested shares | shares | 5,000 | 5,000 | |||
Board Member [Member] | RSU’s [Member] | |||||
Share-Based Compensation (Textual) | |||||
Granted of vested shares | shares | 5,000 | 5,000 | |||
Board Member [Member] | USD [Member] | |||||
Share-Based Compensation (Textual) | |||||
Total value of grant | $ | $ 57 | ||||
Total value of the option | $ | $ 9 |