Post-effective amendment to a registration statement that is not immediately effective upon filing

Derivative liability (Tables)

v2.4.0.8
Derivative liability (Tables)
 12 Months Ended
Dec. 31, 2013
Derivative liability [Abstract]  
Schedule of Components of Derivative Liabilities

The following tables summarize the components of derivative liabilities:

 

          Measurement  
          Date  
    December 31,     October 16,  
    2013     2013  
Fair value of derivative liability   $ 10,095,000     $ 7,648,000  
                 
Significant assumptions (or ranges):                
Trading market values  (1)   $ 5.75     $ 5.00  
Term (years) (2)     2.08       2.25  
Expected volatility   (1)     41.4 %     35.6 %
Risk-free rate   (2)     0.38 %     0.42 %
Discount rate (3)     1.24 %     1.28 %
Effective Exercise price (2)   $ 5.00     $ 5.00  
Trigger price (2)   $ 6.25     $ 6.25  
Expected months until effective registration (3)     1       3  

 

Fair value hierarchy:

 

  (1) Level 1 inputs are quoted prices in active markets for identical assets and liabilities, or derived therefrom.

 

  (2) Level 2 inputs are inputs other than quoted prices that are observable.

 

  (3) Level 3 inputs are unobservable inputs. Inputs for which any parts are level 3 inputs are classified as level 3 in their entirety.

 

The Company recorded $10,095,000 of derivative expense for the year ended December 31, 2013.