Annual report pursuant to Section 13 and 15(d)

Intangible Asset License

Intangible Asset License
12 Months Ended
Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Asset License
7. Intangible Asset License
Journey Medical Corporation
In March 2015, JMC entered into a license and supply agreement to acquire the rights to distribute a dermatological product for the treatment of acne. JMC made an upfront payment of $1.3 million and will incur another fee of $0.7 million upon receipt of the product. Further payments will be made based on a revenue sharing arrangement.
The Company recorded the upfront payment as an intangible asset on the Consolidated Balance Sheets and will amortize it over the deemed life of the product or agreement (whichever is shorter) upon the commencement of sales, which the Company expects in mid-2016. The product is fully developed and FDA approved but sales cannot commence until manufacturing regulatory clearance is obtained.