Business Context and Reporting Period
This Form 8-K is a current report filed by AIT Therapeutics, Inc. (not Beyond Air, Inc.) on April 20, 2018, regarding events occurring on April 16, 2018. The registrant is a Delaware corporation and an emerging growth company focused on life sciences.
Key Financial Metrics
The filing does not provide revenue, profit, cash flow, margins, debt, or liquidity metrics. The only financial data disclosed relates to executive compensation arrangements:
- Consulting Rate: $350 per hour for finance, accounting, and administrative services.
- Expense Reimbursement: The company will reimburse the consultant for expenses.
Material Changes
The primary material change is a leadership transition in the finance department:
- Resignation: Hai Aviv resigned as Chief Financial Officer and principal accounting officer, effective April 30, 2018. The resignation is not the result of any disagreement with the company.
- Appointment: Stephen J. DiPalma was appointed as interim Chief Financial Officer and principal accounting officer, effective May 1, 2018.
Outlook, Risks, and Unusual Items
Management Commentary and Arrangements: The company entered into a consulting agreement with Danforth Advisors, LLC, on October 2, 2017, to provide interim CFO services. Mr. DiPalma, a Managing Director at Danforth, brings experience from Forum Pharmaceuticals and other life sciences companies. The agreement runs through October 2, 2018, with provisions for termination with cause (30 days' notice) or without cause (60 days' notice).
Risks: The filing does not explicitly list new risks, though reliance on an interim executive and a third-party consultancy for core financial functions is a notable operational detail.
Investor Verification Checklist
- Verify the effective dates of the CFO transition (Aviv's departure on April 30, 2018; DiPalma's start on May 1, 2018).
- Confirm the terms of the consulting agreement with Danforth Advisors, LLC, specifically the $350 hourly rate and termination clauses.
- Review subsequent filings to determine if the interim CFO role transitions to a permanent appointment.
- Check for any undisclosed disagreements or reasons for the prior CFO's departure beyond the stated "no disagreement" clause.