Quarterly report pursuant to Section 13 or 15(d)

Condensed Consolidated Statements of Cash Flows

v3.8.0.1
Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2017
Sep. 30, 2016
Cash Flows from Operating Activities:    
Net Loss $ (73,818) $ (49,988)
Reconciliation of net loss to net cash used in operating activities:    
Depreciation expense 819 240
Amortization expense of intangible asset 1,235 0
Amortization of debt discount 1,316 586
Amortization of product revenue license fee 401 50
Amortization of forgivable loans to registered representatives 520 0
Amortization of deferred clearing credit (157) 0
Stock-based compensation expense 12,048 8,792
Recovery for doubtful accounts (274) 0
Common shares issuable to NSC interest expense 353 0
Common shares issued to NSC interest expense 189 0
Change in fair value of investments 241 1,800
Change in fair value of derivative liabilities (5,155) 105
Change in fair value of subsidiary convertible note 359 13
Loss on write off of investment 250 0
Research and development-licenses acquired, expense 3,394 3,143
Non-cash research and development expense 50 0
Change in fair value of subsidiaries’ assets and liabilities 1,341 491
Increase (decrease) in cash and cash equivalents resulting from changes in operating assets and liabilities:    
Restricted cash (1,026) 0
Cash deposits with clearing organizations (10) 0
Accounts receivable (3,752) (118)
Receivables from broker-dealers and clearing organizations (4,925) 0
Forgivable loans receivable (77) 0
Securities owned, at fair value 762 0
Inventory (115) (123)
Other receivables - related party 1,152 (1,389)
Prepaid expenses and other current assets (1,426) (797)
Accounts payable and accrued expenses 4,195 5,364
Accrued expense - related party 84 0
Securities sold, but not yet purchased, at fair value (298) 0
Deferred Revenue 680 0
Interest payable 22 41
Interest payable - related party 430 0
Other long-term liabilities (288) 3,948
Net cash used in operating activities (61,480) (27,842)
Cash Flows from Investing Activities:    
Purchase of research and development licenses (965) (3,095)
Purchase of property and equipment (999) (5,756)
Purchase of license 0 (350)
Purchase of short-term investment (certificates of deposit) (44,088) [1] 0
Security deposits refund 42 0
Security deposits collected 0 (5)
Acquisition of business - National (19) 4,626
Collection on notes receivable - disposal of Gilman branches 28 0
Investment in Origo Acquisition Corp. 0 (175)
Net cash used in investing activities (46,001) (4,755)
Cash Flows from Financing Activities:    
Proceeds from subsidiaries' offering 94,645 11,652
Proceeds from at-the-market offering 0 434
Payment of cost related to at-the-market offering 0 (49)
Proceeds from NSC note 28,355 0
Payment of debt issuance costs associated with NSC Note (1,081) 0
Payment of NSC note (3,608) (2,792)
Proceeds from exercise of stock options 27 0
Proceeds from issuance of common stock under ESPP 42 81
Proceeds from subsidiaries' Convertible Note 9,914 3,018
Payment of debt issuance costs associated with subsidiaries' Convertible Note (1,071) (392)
Proceeds from Opus Credit Facility 2,500 5,000
Proceeds from IDB Note 0 920
Transfer of restricted cash 0 (920)
Net cash provided by financing activities 129,723 16,952
Net increase (decrease) in cash and cash equivalents 22,242 (15,645)
Cash and cash equivalents at beginning of period 88,294 98,182
Cash and cash equivalents at end of period 110,536 82,537
Supplemental disclosure of cash flow information:    
Cash paid for interest 345 238
Supplemental disclosure of non-cash financing and investing activities:    
Issuance of restricted stock 2 2
Issuance of warrants by subsidiary in conjunction with NSC debt 750 634
Issuance of warrants in connection with 2017 Subordinated Note Financing 1,784 0
Debt discount related to Opus Credit Facility 201 0
Beneficial conversion feature related to Opus Credit Facility 0 1,881
Unpaid debt offering cost 42 0
Common shares issuable for license acquired 1,682 0
Conversion of subsidiaries notes payable 314 0
Acquisition of NHLD 0 (21,739)
Goodwill 0 (4,889)
Accounts receivable 0 (1,030)
Receivables from broker dealers and clearing organizations 0 (1,607)
Securities owned, at fair value 0 (2,178)
Prepaid expenses and other current assets 0 (1,985)
Property and equipment, net 0 (1,132)
Restricted cash 0 (353)
Accounts payable and accrued expenses 0 6,079
Accrued commissions and payroll payable 0 14,029
Deferred clearing and marketing credits 0 1,007
Other current liabilities   707
Non-controlling interest 0 17,717
Net cash acquired in the acquisition of NHLD 0 4,626
Cash paid 19 0
Business acquired:    
Identifiable intangible asset acquired 211 0
Contingent consideration payable (192) 0
National [Member]    
Supplemental disclosure of cash flow information:    
Cash paid for interest 11 16
Cash paid for income taxes 1,004 76
Business acquired:    
Fixed assets (acquired but not paid) $ 665 $ 0
[1] In connection with Mustang’s manufacturing facility, Mustang incurred $0.1 million related to the design of the facility as of September 30, 2017.