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Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Jun. 30, 2012	Aug. 03, 2012
Document and Entity Information [Abstract]
Entity Registrant Name	ARROWHEAD RESEARCH CORP
Entity Central Index Key	0000879407
Document Type	10-Q
Document Period End Date	Jun. 30, 2012
Amendment Flag	false
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--09-30
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		11,310,816

Consolidated Balance Sheets - USD ($)	Jun. 30, 2012	Sep. 30, 2011
CURRENT ASSETS
Cash and cash equivalents	$ 2,282,641	$ 7,507,389
Other receivables	677,447	1,608,382
Prepaid expenses and other current assets	432,379	110,818
Marketable securities	108,965	634,585
Note receivable, net	2,401,602
TOTAL CURRENT ASSETS	5,903,034	9,861,174
PROPERTY AND EQUIPMENT
Computers, office equipment and furniture	508,613	285,266
Research equipment	3,409,693	3,515
Software	105,916	77,020
Leasehold improvements	2,762,737
Property, Plant and Equipment, Gross, Total	6,786,959	365,801
Less: Accumulated depreciation and amortization	(1,421,170)	(340,364)
PROPERTY AND EQUIPMENT, NET	5,365,789	25,437
OTHER ASSETS
Rent deposit	34,891
Patents and other intangible assets, net	4,685,063	1,731,211
Note Receivable, net		2,272,868
Derivative assets	312,250	161,125
Investment in Nanotope Inc., equity basis		1,649,748
Investment in Leonardo Biosystems Inc., at cost	187,000	187,000
TOTAL OTHER ASSETS	5,219,204	6,001,952
TOTAL ASSETS	16,488,027	15,888,563
CURRENT LIABILITIES
Accounts payable	994,372	576,809
Accrued expenses	1,022,734	864,511
Accrued payroll and benefits	1,051,079	195,649
Deferred revenue	71,875
Derivative liabilities	869,766	944,980
Capital lease obligation	213,196
Other current liabilities	1,592,394
TOTAL CURRENT LIABILITIES	5,815,416	2,581,949
LONG-TERM LIABILITIES
Note payable, net of current portion	793,513	606,786
Capital lease obligation, net of current portion	1,336,764
Other non-current liabilities	93,731	135,660
TOTAL LONG-TERM LIABILITIES	2,224,008	742,446
Commitments and contingencies
STOCKHOLDERS' EQUITY
Preferred stock, $0.001 par value; 5,000,000 shares authorized; no shares issued and outstanding
Common stock, $0.001 par value; 145,000,000 shares authorized; 11,310,816 and 8,642,286 shares issued and outstanding as of June 30, 2012 and September 30, 2011, respectively	106,086	86,423
Additional paid-in capital	139,943,181	127,476,435
Subscription receivable	(1,000,000)	(900,000)
Accumulated deficit during the development stage	(129,683,999)	(113,871,752)
Total Arrowhead Research Corporation stockholders' equity	9,365,268	12,791,106
Noncontrolling interest	(916,665)	(226,938)
TOTAL STOCKHOLDERS' EQUITY	8,448,603	12,564,168
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 16,488,027	$ 15,888,563

Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2012	Sep. 30, 2011
Consolidated Balance Sheets [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	145,000,000	145,000,000
Common stock, shares issued	11,310,816	8,642,286
Common stock, shares outstanding	11,310,816	8,642,286

Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended		110 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012
Consolidated Statements of Operations [Abstract]
REVENUE	$ 47,917		$ 103,125	$ 296,139	$ 4,095,084
OPERATING EXPENSES
Salaries and payroll - related costs	1,654,915	$ 354,223	4,992,671	1,087,714	24,969,880
General and administrative expenses	3,137,368	637,145	5,335,191	2,075,853	30,249,083
Research and development	1,219,236	365,618	3,347,002	2,768,130	40,574,287
Stock-based compensation	415,920	346,707	837,188	1,078,951	13,177,252
Depreciation & amortization	423,414	66,472	1,301,806	203,041	6,962,117
TOTAL OPERATING EXPENSES	6,850,853	1,770,165	15,813,858	7,213,689	115,932,619
OPERATING LOSS	(6,802,936)	(1,770,165)	(15,710,733)	(6,917,550)	(111,837,535)
OTHER INCOME (EXPENSE)
Equity in income (loss) of unconsolidated affiliates	(34,573)	(70,366)	(205,361)	(96,367)	(928,614)
Impairment of investment in unconsolidated affiliates	(1,455,775)		(1,455,775)		(1,455,775)
Gain on sale of stock in subsidiary					2,292,800
Gain on purchase of Roche Madison			1,576,107		1,576,107
Gain (loss) on sale of property and equipment, net	(876,277)		(909,761)		(1,036,849)
Realized and unrealized gain (loss) in marketable securities		(498,406)	(58,091)	(138,486)	62,954
Interest income (expense), net	14,436	20,531	27,326	70,815	2,741,804
Change in value of derivatives	915,387	373,734	226,339	1,243,156	3,120,851
Other income					250,000
TOTAL OTHER INCOME (EXPENSE)	(1,436,802)	(174,507)	(799,216)	1,079,118	6,623,278
LOSS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES	(8,239,738)	(1,944,672)	(16,509,949)	(5,838,432)	(105,214,257)
Provision for income taxes
LOSS FROM CONTINUING OPERATIONS	(8,239,738)	(1,944,672)	(16,509,949)	(5,838,432)	(105,214,257)
Income (loss) from discontinued operations	677	(68,742)	(25)	1,373,758	(47,546,587)
Gain on disposal of discontinued operations				3,919,213	4,708,588
NET INCOME (LOSS) FROM DISCONTINUED OPERATIONS	677	(68,742)	(25)	5,292,971	(42,837,999)
NET INCOME (LOSS)	(8,239,061)	(2,013,414)	(16,509,974)	(545,461)	(148,052,256)
Net (income) loss attributable to noncontrolling interests	247,551	193,497	697,727	193,099	18,532,217
NET INCOME (LOSS) ATTRIBUTABLE TO ARROWHEAD	$ (7,991,510.17)	$ (1,819,917)	$ (15,812,247)	$ (352,362)	$ (129,520,039)
Earnings per share - basic:
Loss from continuing operations attributable to Arrowhead common shareholders	$ (0.71)	$ (0.24)	$ (1.48)	$ (0.79)
Income (loss) from discontinued operations attributable to Arrowhead common shareholders		(0.01)		0.74
Net income (loss) attributable to Arrowhead shareholders	$ (0.71)	$ (0.25)	$ (1.48)	$ (0.05)
Weighted average shares outstanding	11,238,291	7,182,628	10,672,390	7,180,403
Earnings per share - diluted:
Income (loss) from continuing operations attributable to Arrowhead common shareholders	$ (0.71)	$ (0.24)	$ (1.48)	$ (0.71)
Income (loss) from discontinued operations attributable to Arrowhead common shareholders		(0.01)		0.67
Net income (loss) attributable to Arrowhead shareholders	$ (0.71)	$ (0.25)	$ (1.48)	$ (0.04)
Weighted average shares outstanding	11,238,291	7,182,628	10,672,390	7,856,795

Consolidated Statement of Stockholders' Equity - USD ($)	Total	Issued For Cash At $10.00 Per Unit	Issued For Marketable Securities At $10.00 Per Unit	Issued For Cash At $15.00 Per Unit	Arrowheads Increase In Proportionate Share Of Calando's Equity	Issued as a Gift for $10.90 Per Share	Issued As Stock Issuance Cost At $15.00 Per Unit	Exercised At $2.00 Per Share	Exercised At $10.00 Per Share	Exercised At $15.00 Per Share	Issued To Purchase Insert Therapeutics Share At $39.80 Per Share	Issued At $48.80 Per Share	Issued At $38.40 Per Share	Issued At $35.00 Per Share	Issued At $59.10 Per Share	Issued At $57.80 Per Share	Issued For Purchase Of Carbon Nanotechnologies Inc At $37.70 Per Share	Issued At $27.20 Per Share To Rice University	Issued At $28.30 Per Share To Purchase Shares Of Unidym Inc	Issued At $29.50 per Share To Purchase MASA Energy LLC	Issued At $21.90 Per Share To Unidym For The Acquisition Of Nanoconduction	Issued At $21.80 Per Share	Issued At $5.50 Per Share To Unidym Stockholder In Exchange For Unidym's Shares	Issued At $5.20 Per Share To TEL Ventures In Exchange For Unidym's Shares	Issued At $6.30 Per Share	Issued At $13.12 Per Share	Issued At $3.80 Per Share	Issued At $3.70 Per Share	Issued at $4.00 Per Share	Issued @ $6.23 per share	Issued @ $5.11 per share	Issued To Unidym Stockholders In Exchange For Unidym's Shares	Issued To Calando Stockholders In Exchange For Calando's Shares	Issued In Acquisition	Preferred Stock Issued At $1,000 Per Share	Common Stock	Common Stock Issued For Marketable Securities At $10.00 Per Unit	Common Stock Issued For Cash At $15.00 Per Unit	Common Stock Issued as a Gift for $10.90 Per Share	Common Stock Issued As Stock Issuance Cost At $15.00 Per Unit	Common Stock Exercised At $2.00 Per Share	Common Stock Exercised At $10.00 Per Share	Common Stock Exercised At $15.00 Per Share	Common Stock Issued To Purchase Insert Therapeutics Share At $39.80 Per Share	Common Stock Issued At $48.80 Per Share	Common Stock Issued At $38.40 Per Share	Common Stock Issued At $35.00 Per Share	Common Stock Issued At $59.10 Per Share	Common Stock Issued To Purchase Calando Pharmaceuticals Inc At $51.70 Per Share	Common Stock Issued At $57.80 Per Share	Common Stock Issued For Purchase Of Carbon Nanotechnologies Inc At $37.70 Per Share	Common Stock Issued At Approximately $18.00 Per Share Net	Common Stock Issued At $27.20 Per Share To Rice University	Common Stock Issued At $28.30 Per Share To Purchase Shares Of Unidym Inc	Common Stock Issued At $29.50 per Share To Purchase MASA Energy LLC	Common Stock Issued At $21.90 Per Share To Unidym For The Acquisition Of Nanoconduction	Common Stock Issued At $21.80 Per Share	Common Stock Issued At $5.50 Per Share To Unidym Stockholder In Exchange For Unidym's Shares	Common Stock Issued At $5.20 Per Share To TEL Ventures In Exchange For Unidym's Shares	Common Stock Issued At $3.00 Per Share	Common Stock Issued At $6.30 Per Share	Common Stock Issued At $13.12 Per Share	Common Stock Issued At $3.80 Per Share	Common Stock Issued At $3.70 Per Share	Common Stock Issued at $4.00 Per Share	Common Stock Issued @ $6.23 per share	Common Stock Issued @ $5.11 per share	Common Stock Issued To Unidym Stockholders In Exchange For Unidym's Shares	Common Stock Issued To Calando Stockholders In Exchange For Calando's Shares	Common Stock Issued In Acquisition	Common Stock Issued Under Committed Capital Agreement	Preferred Stock	Preferred Stock Preferred Stock Issued At $1,000 Per Share	Additional Paid-In Capital	Additional Paid-In Capital Issued For Marketable Securities At $10.00 Per Unit	Additional Paid-In Capital Issued For Cash At $15.00 Per Unit	Additional Paid-In Capital Stock Issuance Cost Charged To Additional Paid In Capital	Additional Paid-In Capital Arrowheads Increase In Proportionate Share Of Insert Therapeutics Equity	Additional Paid-In Capital Arrowheads Increase In Proportionate Share Of Calando's Equity	Additional Paid-In Capital Issued as a Gift for $10.90 Per Share	Additional Paid-In Capital Issued As Stock Issuance Cost At $15.00 Per Unit	Additional Paid-In Capital Exercised At $2.00 Per Share	Additional Paid-In Capital Exercised At $10.00 Per Share	Additional Paid-In Capital Exercised At $15.00 Per Share	Additional Paid-In Capital Issued To Purchase Insert Therapeutics Share At $39.80 Per Share	Additional Paid-In Capital Issued At $48.80 Per Share	Additional Paid-In Capital Issued At $38.40 Per Share	Additional Paid-In Capital Issued At $35.00 Per Share	Additional Paid-In Capital Issued At $59.10 Per Share	Additional Paid-In Capital Issued To Purchase Calando Pharmaceuticals Inc At $51.70 Per Share	Additional Paid-In Capital Issued At $57.80 Per Share	Additional Paid-In Capital Issued For Purchase Of Carbon Nanotechnologies Inc At $37.70 Per Share	Additional Paid-In Capital Issued At Approximately $18.00 Per Share Net	Additional Paid-In Capital Issued At $27.20 Per Share To Rice University	Additional Paid-In Capital Issued At $28.30 Per Share To Purchase Shares Of Unidym Inc	Additional Paid-In Capital Issued At $29.50 per Share To Purchase MASA Energy LLC	Additional Paid-In Capital Issued At $21.90 Per Share To Unidym For The Acquisition Of Nanoconduction	Additional Paid-In Capital Issued At $21.80 Per Share	Additional Paid-In Capital Issued At $5.50 Per Share To Unidym Stockholder In Exchange For Unidym's Shares	Additional Paid-In Capital Issued At $5.20 Per Share To TEL Ventures In Exchange For Unidym's Shares	Additional Paid-In Capital Issued At $3.00 Per Share	Additional Paid-In Capital Issued At $6.30 Per Share	Additional Paid-In Capital Issued At $13.12 Per Share	Additional Paid-In Capital Issued At $3.80 Per Share	Additional Paid-In Capital Issued At $3.70 Per Share	Additional Paid-In Capital Issued at $4.00 Per Share	Additional Paid-In Capital Issued @ $6.23 per share	Additional Paid-In Capital Issued @ $5.11 per share	Additional Paid-In Capital Series D Preferred Stock Issued For Subscription In Unidym	Additional Paid-In Capital Issued To Unidym Stockholders In Exchange For Unidym's Shares	Additional Paid-In Capital Issued To Calando Stockholders In Exchange For Calando's Shares	Additional Paid-In Capital Issued In Acquisition	Additional Paid-In Capital Issued Under Committed Capital Agreement	Additional Paid-In Capital Preferred Stock Issued At $1,000 Per Share	Subscription Receivable	Subscription Receivable Issuance Of Common Stock For Subscription	Subscription Receivable Series D Preferred Stock Issued For Subscription In Unidym	Subscription Receivable Preferred Stock Issued At $1,000 Per Share	Accumulated Deficit During The Development Stage	Accumulated Deficit During The Development Stage Issued To Unidym Stockholders In Exchange For Unidym's Shares	Noncontrolling Interest	Noncontrolling Interest Issued To Unidym Stockholders In Exchange For Unidym's Shares	Noncontrolling Interest Issued To Calando Stockholders In Exchange For Calando's Shares
Beginning Balance Amount at Sep. 30, 2003	$ 1,419,762																																			$ 4,680																																						$ 1,510,320																																													$ (95,238)
Beginning Balance Share at Sep. 30, 2003																																				468,000
Stock issuances		$ 475,000	$ 500,000	$ 9,913,182		$ 162,750	$ 534,344																											$ (150,469)			$ 500	$ 6,609	$ 163	$ 356		$ 475																												$ 706					$ 499,500	$ 9,906,573				$ 162,587	$ 533,988		$ 474,525																													$ (151,175)
Issuance and sold of Common Stock																																					50,000	660,879	15,000	35,623		47,500																												70,553
Stock issuance cost charged to additional paid-in capital	(96,500)																																																																									(991,318)			$ (96,500)
Net loss attributable to Arrowhead	(751,255)																																																																																																																						(2,528,954)		$ 1,777,699
Stock options exercised	15,000							$ 15,000	$ 6,000																											$ 75					$ 75	$ 6																																14,925								$ 14,925	5,994
Stock options exercised																																				7,500					7,500	600
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Total	175,653																																																																									175,653
Ending Balance Amount at Sep. 30, 2004	11,227,149																																			$ 13,645																																						12,059,997																																													(2,624,192)		1,777,699
Ending Balance Share at Sep. 30, 2004																																				1,363,155
Stock issuances	50,000										$ 2,000,000																									$ 12								$ 502																														49,988											$ 1,999,498
Issuance and sold of Common Stock																																				1,250								50,226
Net loss attributable to Arrowhead	(6,733,427)																																																																																																																						(6,854,918)		121,491
Stock options exercised									$ 25,000	$ 20,719,335																																$ 25	$ 13,813																																								$ 24,975	$ 20,705,522
Stock options exercised																																										2,500	1,381,289
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Total	508,513																																																																									508,513
Adjustments to additional paid in capital, reallocation of noncontrolling interest	230,087																																																																									230,087
Ending Balance Amount at Sep. 30, 2005	28,026,657																																			$ 27,997																																						35,578,580																																													(9,479,110)		1,899,190
Ending Balance Share at Sep. 30, 2005																																				2,798,419
Stock issuances	1,077,333											$ 1,000,000	$ 57,600	$ 19,545,000	$ 150,000																														$ 205	$ 15	$ 5,590	$ 25	$ 208																																					$ 999,795	$ 57,585	$ 19,539,410	$ 149,975	$ 1,077,125
Issuance and sold of Common Stock																																													20,485	1,500	559,000	2,536	20,838
Net loss attributable to Arrowhead	(19,961,961)																																																																																																																						(18,997,209)		(964,752)
Stock options exercised	341,537																																			$ 116																																						341,421
Stock options exercised																																				11,579
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Total	1,369,478																																																																									1,369,478
Ending Balance Amount at Sep. 30, 2006	31,605,644																																			$ 34,156																																						59,113,369																																													(28,476,319)		934,438
Ending Balance Share at Sep. 30, 2006																																				3,414,359
Stock issuances																$ 15,152,215	$ 5,400,000																																	$ 2,849	$ 1,431																																								$ 15,149,366	$ 5,398,569
Issuance and sold of Common Stock																																																		284,945	143,122
Net loss attributable to Arrowhead	(30,712,947)																																																																																																																						(29,931,118)		(781,829)
Stock options exercised	434,727																																			$ 186																																						434,541
Stock options exercised																																				18,616
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Total	2,175,544																																																																									2,175,544
Adjustments to additional paid in capital, reallocation of noncontrolling interest	2,401,394																																																																													$ 2,401,394
Ending Balance Amount at Sep. 30, 2007	26,456,577																																			$ 38,622																																						84,672,783																																													(58,407,437)		152,609
Ending Balance Share at Sep. 30, 2007																																				3,861,042
Stock issuances																		$ 136,000	$ 200,000	$ 310,000	$ 250,000	$ 32,700										$ 6,960,585																				$ 3,867	$ 50	$ 71	$ 105	$ 114	$ 15																																				$ 6,956,718	$ 135,950	$ 199,929	$ 309,895	$ 249,886	$ 32,685
Issuance and sold of Common Stock																																																				386,399	5,000	7,055	10,505	11,416	1,500
Net loss attributable to Arrowhead	(27,241,639)																																																																																																																						(27,089,030)		(152,609)
Stock options exercised	290,027																																			$ 106																																						289,921
Stock options exercised																																				10,536
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Total	3,187,397																																																																									3,187,397
Adjustments to additional paid in capital, reallocation of noncontrolling interest	1,720,962																																																																									1,720,962
Ending Balance Amount at Sep. 30, 2008	12,302,609																																			$ 42,950																																						97,756,126																																													(85,496,467)
Ending Balance Share at Sep. 30, 2008																																				4,293,452
Stock issuances	2,758,993																						$ 1,133,676	$ 1,158,333																																		$ 2,059	$ 2,222	$ 9,197																																							$ 1,131,617	$ 1,156,111	$ 2,749,796
Issuance and sold of Common Stock																																																										205,839	222,222	919,664
Reclassification of former Unidym mezzanine debt to equity	2,000,000																																																																									2,000,000
Net loss attributable to Arrowhead	(19,308,392)																																																																																																																						(19,308,392)
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Total	2,676,170																																																																									2,676,170
Adjustments to additional paid in capital, reallocation of noncontrolling interest	16,297				$ 2,120,250																																																																					16,297					$ 2,120,250
Issuance of preferred stock in subsidiary																																																																																																													$ 300,000								$ (300,000)
Amortization of discount on Unidym Series D Preferred Stock																																																																																																														$ 163,960										$ (163,960)
Ending Balance Amount at Sep. 30, 2009	4,857,936																																			$ 56,428																																						110,070,327																																									$ (300,000)				(104,968,819)
Ending Balance Share at Sep. 30, 2009																																				5,641,177
Stock issuances	1,066,051																								$ 3,222,896	$ 3,698,671										$ 2,251																									$ 5,083	$ 6,593						$ 153	$ 1,220					1,063,600																												$ 3,217,813	$ 3,692,078							(1,435)	$ (160,667)										200	$ 1,282	$ 159,447
Issuance and sold of Common Stock																																				225,189																									508,343	659,299						15,318	122,000
Net loss attributable to Arrowhead	(6,957,038)																																																																																																																						(5,774,048)		(1,182,990)
Stock options exercised																																7,631				$ 7																																						7,624
Stock options exercised																																				688
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Total	1,582,149																																																																									1,582,149
Adjustments to additional paid in capital, reallocation of noncontrolling interest																																$ 300,000																																																																														$ 245,345												$ 54,655
Issuance of preferred stock in subsidiary	300,000																																																																																																																				$ 300,000
Ending Balance Amount at Sep. 30, 2010	8,078,296																																			$ 71,735																																						119,716,834																																													(110,742,867)		(967,406)
Ending Balance Share at Sep. 30, 2010																																				7,172,014
Stock issuances	43,279																										$ 4,643,684									$ 87																											$ 14,574											43,192																														$ 5,529,110												$ (900,000)
Issuance and sold of Common Stock																																				8,656																											1,458,917
Net loss attributable to Arrowhead	(3,492,399)																																																																																																																						(3,128,885)		(363,514)
Stock options exercised	$ 13,884																																			$ 27																																						13,857
Stock options exercised	(2,699)																																			2,700
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Total	$ 1,404,640																																																																									1,404,640
Adjustments to additional paid in capital, reallocation of noncontrolling interest																																																																										(849,707)																																															849,707
Issuance of preferred stock in subsidiary	1,618,509																																																																									1,618,509
Divestiture of Unidym	254,275																																																																																																																								254,275
Ending Balance Amount at Sep. 30, 2011	12,564,168																																			$ 86,423																																						127,476,435																																									(900,000)				(113,871,752)		(226,938)
Ending Balance Share at Sep. 30, 2011																																				8,642,286
Stock issuances	40,055																										$ 525,000	$ 2,497,500	$ 400,000	$ 500,001	$ 500,002			$ 6,147,830	$ 915,000	$ 8																											$ 1,382	$ 6,750	$ 1,000	$ 83	$ 98			$ 9,332	$ 689		$ 1	40,047																														$ 523,618	$ 2,490,750	$ 399,000	$ 499,918	$ 499,904				$ 6,138,498	$ (689)	$ 1,014,999				$ (100,000)
Issuance and sold of Common Stock																																				8,011																											138,158	675,000	100,000	83,211	97,831			1,217,159	68,926		1,015
Net loss attributable to Arrowhead	(16,509,974)																																																																																																																						(15,812,247)		(697,727)
Stock options exercised	$ 23,833																																$ 8,000			$ 45																																						23,788																																															8,000
Stock options exercised	(4,583)																																			4,583
Fractional shares redeemed in reverse stock split																																				(131)
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition, Total	$ 837,188																																																																									837,188
Preferred stock converted to common stock																																				$ 276																																				$ (1)		(275)
Preferred stock converted to common stock, shares																																				275,782																																				(1,015)
Net income (loss) attributable to Arrowhead	(15,812,247)
Ending Balance Amount at Jun. 30, 2012	$ 8,448,603																																			$ 106,086																																						$ 139,943,181																																									$ (1,000,000)				$ (129,683,999)		$ 916,665
Ending Balance Share at Jun. 30, 2012																																				11,310,816

Consolidated Statement of Stockholders' Equity (Parenthetical) - $ / shares	Mar. 31, 2012	Sep. 30, 2011	Sep. 30, 2010	Sep. 30, 2009	Sep. 30, 2008	Sep. 30, 2007	Sep. 30, 2006	Sep. 30, 2005	Sep. 30, 2004	Sep. 30, 2003
Issued For Cash At $0.01 Per Unit
Common stock & warrants issued for cash, price per unit										$ 0.01
Issued For Cash At $10.00 Per Unit
Common stock & warrants issued for cash, price per unit									$ 10.00	$ 10.00
Issued For Marketable Securities At $10.00 Per Unit
Common stock & warrants issued for cash, price per unit									10.00
Issued For Cash At $15.00 Per Unit
Common stock & warrants issued for cash, price per unit									15.00
Issued as a Gift for $10.90 Per Share
Common stock & warrants issued for cash, price per unit									10.90
Issued As Stock Issuance Cost At $15.00 Per Unit
Common stock & warrants issued for cash, price per unit									15.00
Exercised At $2.00 Per Share
Exercise of stock options, price per share									2.00
Exercised At $10.00 Per Share
Exercise of stock options, price per share								$ 10.00	$ 10.00
Exercised At $15.00 Per Share
Exercise of stock options, price per share								15.00
Issued To Purchase Insert Therapeutics Share At $39.80 Per Share
Common stock issued, par value per share								$ 39.80
Issued At $48.80 Per Share
Common stock issued, par value per share							$ 48.80
Issued At $38.40 Per Share
Common stock issued, par value per share							38.40
Issued At $35.00 Per Share
Common stock issued, par value per share							35.00
Issued At $59.10 Per Share
Common stock issued, par value per share							59.10
Issued To Purchase Calando Pharmaceuticals Inc At $51.70 Per Share
Common stock issued, par value per share							$ 51.70
Issued At $57.80 Per Share
Common stock issued, par value per share						$ 57.80
Issued For Purchase Of Carbon Nanotechnologies Inc At $37.70 Per Share
Common stock issued, par value per share						$ 37.70
Issued At Approximately $18.00 Per Share Net
Common stock issued, par value per share					$ 18.00
Issued At $27.20 Per Share To Rice University
Common stock issued, par value per share					27.20
Issued At $28.30 Per Share To Purchase Shares Of Unidym Inc
Common stock issued, par value per share					28.30
Issued At $29.50 per Share To Purchase MASA Energy LLC
Common stock issued, par value per share					29.50
Issued At $21.90 Per Share To Unidym For The Acquisition Of Nanoconduction
Common stock issued, par value per share					21.90
Issued At $21.80 Per Share
Common stock issued, par value per share					$ 21.80
Issued At $5.50 Per Share To Unidym Stockholder In Exchange For Unidym's Shares
Common stock issued, par value per share				$ 5.50
Issued At $5.20 Per Share To TEL Ventures In Exchange For Unidym's Shares
Common stock issued, par value per share				5.20
Issued At $3.00 Per Share
Common stock issued, par value per share				$ 3.00
Issued At $6.30 Per Share
Common stock issued, par value per share			$ 6.30
Issued At $13.12 Per Share
Common stock issued, par value per share			$ 13.12
Issued At $3.80 Per Share
Common stock issued, par value per share	$ 3.80	$ 3.80
Issued At $3.70 Per Share
Common stock issued, par value per share	3.70
Issued at $4.00 Per Share
Common stock issued, par value per share	4.00
Issued @ $6.23 per share
Common stock issued, par value per share	6.23
Issued @ $5.11 per share
Common stock issued, par value per share	5.11
Preferred Stock Issued At $1,000 Per Share
Preferred stock issued, par value per share	$ 1,000

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended		101 Months Ended	110 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Sep. 30, 2011	Jun. 30, 2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$ (16,509,974)	$ (545,461)	$ (131,542,282)	$ (148,052,256)
Net (income) loss attributable to noncontrolling interests	697,727	193,099	17,834,490	18,532,217
Net income (loss) attributable to Arrowhead	(15,812,247)	(352,362)	(113,707,792)	(129,520,039)
(Income) loss from discontinued operations	25	(5,292,971)	42,837,974	42,837,999
Realized and unrealized (gain) loss on investments	58,091	138,486	(821,045)	(762,954)
(Gain) loss from sale of subsidiary			(306,344)	(306,344)
(Gain) loss on purchase of Roche Madison	(1,576,107)			(1,576,107)
Loss on disposal of fixed assets	909,761		127,088	1,036,849
Stock issued as gift			298,750	298,750
Stock issued for professional services			442,882	442,882
Stock issued for in-process research and development			13,166,347	13,166,347
Change in value of derivatives	(226,339)	(1,243,156)	(2,894,512)	(3,120,851)
Purchased in-process research and development-Nanoconduction			2,685,208	2,685,208
Stock-based compensation	837,188	1,078,951	12,340,064	13,177,252
Depreciation and amortization	1,301,806	203,041	5,660,311	6,962,117
Amortization (accretion) of note discounts, net	(20,633)	(12,487)	(7,938)	(28,571)
Gain on sale of stock in subsidiary			(2,292,800)	(2,292,800)
Non-cash impairment expense	1,455,775			1,455,775
Equity in income (loss) of unconsolidated affiliates	205,361	96,367	723,253	928,614
Noncontrolling interest	(697,727)	(193,099)	(17,834,490)	(18,532,217)
Changes in operating assets and liabilities:
Receivables	169,150		(62,815)	106,335
Other receivables	1,173,523	(477,770)	(1,604,963)	(431,440)
Prepaid expenses	(152,782)	5,186	(142,568)	(295,350)
Other current assets	(30,286)	18,472	(96,360)	(126,646)
Deposits			(36,795)	(36,795)
Accounts payable	408,263	81,554	206,434	614,697
Accrued expenses	514,117	(91,059)	534,540	1,048,657
Accrued severance and other liabilities	730,771	47,798	247,865	978,636
NET CASH USED IN OPERATING ACTIVITIES OF CONTINUING OPERATIONS	(10,752,290)	(5,993,049)	(60,537,706)	(71,289,996)
CASH FLOWS FROM INVESTING ACTIVITIES OF CONTINUING OPERATIONS:
Purchase of marketable securities-US Treasury Bills			(18,575,915)	(18,575,915)
Purchase of property and equipment	(392,799)	(9,674)	(3,565,599)	(3,958,398)
Purchase of MASA Energy, LLC			(250,000)	(250,000)
Minority equity investment			(2,000,000)	(2,000,000)
Cash paid for interest in Insert			(10,150,000)	(10,150,000)
Cash obtained from interest in Insert			10,529,594	10,529,594
Proceeds from sale of marketable securities-US Treasury Bills			18,888,265	18,888,265
Proceeds from sale of investments	509,009	1,130,307	2,804,600	3,313,609
Proceeds from sale of subsidiaries			359,375	359,375
Proceeds from sale of fixed assets	25,037		142,375	167,412
Payment for patents			(303,440)	(303,440)
Restricted cash			50,773	50,773
Cash transferred in acquisition/divestitures	121,033	(1,700,398)	(1,700,398)	(1,579,365)
NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES OF CONTINUING OPERATIONS	262,280	(579,765)	(3,770,370)	(3,508,090)
CASH FLOWS FROM FINANCING ACTIVITIES OF CONTINUING OPERATIONS:
Principal payments on capital leases	(143,905)			(143,905)
Proceeds from issuance of Calando debt			2,516,467	2,516,467
Proceeds from sale of stock in subsidiary	8,000	1,719,158	20,894,100	20,902,100
Proceeds from issuance of common stock and warrants, net	5,401,392	57,163	95,294,780	100,696,172
NET CASH PROVIDED BY FINANCING ACTIVITIES OF CONTINUING OPERATIONS	5,265,487	1,776,321	118,705,347	123,970,834
Cash flows from discontinued operations:
Operating cash flows	(225)	2,265,639	(46,003,507)	(46,003,732)
Investing cash flows			790,625	790,625
Financing cash flows			(1,677,000)	(1,677,000)
Net cash provided by (used in) discontinued operations	(225)	2,265,639	(46,889,882)	(46,890,107)
NET INCREASE (DECREASE) IN CASH	(5,224,748)	(2,530,854)	7,507,389	2,282,641
CASH AT BEGINNING OF PERIOD	7,507,389	6,847,162
CASH AT END OF PERIOD	2,282,641	4,316,308	7,507,389	2,282,641
Supplementary disclosures:
Cash paid for interest	34,758	105,000	230,419	265,177
Cash paid for income taxes		$ 742,500	$ 742,500	$ 742,500

Statement of Cash Flow (Parenthetical) (Unaudited) - USD ($)	Nov. 30, 2010	Sep. 30, 2010	Sep. 22, 2010	Mar. 31, 2010	Feb. 28, 2010	Nov. 30, 2009	Sep. 28, 2009	Jun. 25, 2009	Jun. 11, 2009	Aug. 08, 2008	Apr. 29, 2008	Apr. 23, 2008	Apr. 20, 2007	Mar. 31, 2006	Mar. 23, 2005
Noncash Investing and Financing Items [Abstract]
Warrants exercised				24,788
Stock issued against warrants				12,870
Calando Pharmaceuticals, Inc [Member]
Noncash Investing and Financing Items [Abstract]
Purchase of common shares					200,000	2,850,000								964,000
Common stock, shares issued					8,000	114,000								20,838
Common stock value						$ 706,800								$ 1,077,333
Value of common stock purchased														1,928,000
Stock puchased by cash														$ 850,667
Warrants issued					2,400	24,000
Warrants purchased					60,000	600,000
Common stock exercise value					$ 5
Calando Pharmaceuticals, Inc [Member] \| Series A Preferred Stock
Noncash Investing and Financing Items [Abstract]
Purchase of common shares		1,562.5
Warrants issued		390,625
Common stock exercise value		$ 5
Carbon Nanotechnologies, Inc \| Series E Preferred Stock
Noncash Investing and Financing Items [Abstract]
Common stock, shares issued													143,122
Common stock value													$ 5,400,000
Unidym, Inc [Member]
Noncash Investing and Financing Items [Abstract]
Purchase of common shares												200,000
Common stock, shares issued							64,227					7,054
Common stock value							$ 398,209
Stock puchased by cash												$ 200,000
Unidym, Inc [Member] \| Series A Preferred Stock
Noncash Investing and Financing Items [Abstract]
Purchase of common shares							5,574
Common stock, shares issued			9,149						132,462
Common stock value			$ 46,662						$ 688,802
Unidym, Inc [Member] \| Series C Preferred Stock
Noncash Investing and Financing Items [Abstract]
Purchase of common shares							636,699
Common stock, shares issued	15,317							194,444
Common stock value	$ 47,485							$ 972,222
Unidym, Inc [Member] \| Series C-1 Preferred Stock
Noncash Investing and Financing Items [Abstract]
Common stock, shares issued						27,777
Common stock value						$ 186,111
Insert Therapeutics, Inc
Noncash Investing and Financing Items [Abstract]
Purchase of common shares															7,375,000
Common stock, shares issued															50,226
Common stock value															$ 2,000,000
MASA Energy LLC
Noncash Investing and Financing Items [Abstract]
Common stock, shares issued											10,504
Common stock value											$ 310,000
Value of common stock purchased											560,000
Stock puchased by cash											$ 250,000
Nanoconduction, Inc
Noncash Investing and Financing Items [Abstract]
Common stock, shares issued										11,411
Common stock value										$ 250,000

Organization and Basis of Presentation

9 Months Ended

Jun. 30, 2012

Organization and Basis of Presentation [Abstract]

ORGANIZATION AND BASIS OF PRESENTATION

NOTE 1. ORGANIZATION AND BASIS OF PRESENTATION

Nature of Business and Going Concern

Arrowhead Research Corporation is a nanomedicine company developing innovative therapies at the interface of biology and nanoengineering to cure disease and improve human health. Arrowhead has one of the most advanced and broadest technology platforms for therapeutics based on RNA interference (RNAi), including access to several different RNAi delivery systems and small interfering RNA (siRNA) structures in commercial development for RNAi therapeutics. This broad technology platform enables optimization of siRNA therapeutic candidates for delivery based on siRNA chemistry, tissue type, disease state, target gene and siRNA type and chemistry on a target-by-target basis. Through its acquisition of Alvos Therapeutics, Arrowhead has access to a large platform of proprietary human-derived homing peptides and the method for their discovery. These targeting peptide sequences can be linked to our siRNA delivery vehicles as well as to traditional small molecule drugs to preferentially shuttle them into target cells. Arrowhead is leveraging its in-house R&D expertise and capabilities, as well as a broad intellectual property portfolio for RNAi therapeutics, and RNAi and peptide delivery vehicles and targeting methods to seek development partnerships with other pharmaceutical and biotech companies committed to bringing RNAi therapeutics to market, as well as continuing the preclinical and clinical development of its own clinical candidates. Arrowhead’s non-RNAi development programs include a unique therapeutic candidate that shows promise in pre-clinical studies for the potential treatment of obesity and advanced bioactive materials for the regeneration of injured tissues.

Arrowhead operates a wholly-owned subsidiary, Arrowhead Madison Inc., which operates a lab facility in Madison, Wisconsin, supporting the company’s initiatives including the development of RNAi therapeutics. In addition to its wholly owned subsidiaries, Arrowhead Madison and Alvos Therapeutics, Arrowhead operates two majority-owned subsidiaries, Calando, a leader in delivering small interfering RNAs for gene silencing, and Ablaris, an anti-obesity therapeutics company, and has minority investments in Nanotope, a regenerative medicine company and Leonardo, a multistage drug delivery company.

Liquidity

Arrowhead has historically financed its operations through the sale of securities of Arrowhead and its Subsidiaries. Development activities have required significant capital investment since the Company’s inception and we expect our current portfolio companies to continue to require cash investment in fiscal 2012 and beyond to continue development.

At June 30, 2012, the Company had $2.3 million in cash to fund operations. During the nine months ended June 30, 2012, the Company’s cash position decreased by $5.2 million. The Company received cash from the issuance of equity of $5.4 million, cash from the sale of its holdings of stock in Wisepower Co. Ltd of $0.5 million, and cash collections from revenue of $0.2 million. The company had cash outflow of $10.6 million related to its continuing operating activities and capital expenditures of $0.4 million.

On August 13, 2012, the Company had received firm commitments for 2.3 million units at a price of $2.76 per unit in a registered offering to institutional and individual investors. Each unit consisted on one share of Arrowhead Common Stock and a warrant to purchase 0.75 share of Common Stock exercisable at $3.25 per share. Gross proceeds from the offering are expected to be approximately $6.2 million, with net proceeds of approximately $5.8 million after deducting commissions and fees.

As a result of the sale of the Company’s subsidiary, Unidym, in January 2011, the Company received $2.5 million in stock of the acquirer, Wisepower Co. Ltd. (“Wisepower”) and a $2.5 million convertible bond from Wisepower, of which approximately $200,000 is owed to a third party who was a minority investor in Unidym. During the quarter ended December 31, 2011, the Company sold its remaining stock in Wisepower. The convertible bond has a face value of $2.5 million, and is convertible into Wisepower common stock at a price of $2.00 per share. The bond can be redeemed for cash on January 17, 2013, and at which time could represent an additional source of liquidity for the company. The Company had Subscriptions Receivable of $1.0 million at June 30, 2012, which are expected to be collected over the next several months. In September 2011, the Company entered into an equity line facility whereby it has the ability to draw capital up to $15 million. Through June 30, 2012, the Company has drawn approximately $1 million from this facility and has issued 181,042 shares of common stock; the Company expects to draw upon the facility from time to time, depending on cash needs and market conditions.

On October 21, 2011, Arrowhead completed the acquisition of certain RNAi assets from Hoffmann-La Roche Inc. and F. Hoffmann-La Roche Ltd., including intellectual property and a research and development facility in Madison, Wisconsin. At the time of the acquisition, the Madison facility had 41 employees. Due to the costs associated with maintaining and operating the facility, including personnel costs, rent, research and development expenses, and other costs, cash expenses have increased, and it is expected that the Company will incur higher cash expenses will continue during the remainder of fiscal 2012 and beyond, relative to periods prior to the acquisition, as the Company accelerates its preclinical and clinical development efforts.

Based upon the Company’s cash on hand, other sources of liquidity, as described above, and based upon the Company’s operating plan, the Company’s management anticipates that the Company will be able to satisfy the cash requirements of its operations through at least the next twelve months. The Company anticipates that further equity financings, and/or asset sales and license agreements will be necessary to continue to fund operations in the future.

Basis of Presentation and Principles of Consolidation

The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, the financial statements do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments, including normal recurring accruals, considered necessary for a fair presentation have been included. Interim results are not necessarily indicative of results for a full year. The September 30, 2011 balance sheet was derived from audited financial statements, but does not include all disclosures required by GAAP. This financial information should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended September 30, 2011.

The consolidated financial statements of the Company include the accounts of Arrowhead and its wholly-owned and majority-owned Subsidiaries. Prior to April 2008, Arrowhead’s Subsidiaries included Insert Therapeutics, Inc. (“Insert”), which was merged with Calando in April 2008. The merged entity is majority-owned by Arrowhead and continues to operate under the name of Calando. Arrowhead sold its interests in Unidym and Tego in 2011 and 2009, respectively. Unidym and Tego results are included in the Income (Loss) from Discontinued Operations. Income (Loss) from Discontinued Operations also includes Aonex Technologies, Inc. (“Aonex”), sold in 2008 and Nanotechnica, Inc. (“Nanotechnica”), dissolved in 2005. All significant intercompany accounts and transactions are eliminated in consolidation, and noncontrolling interests are accounted for in the Company’s financial statements. Certain reclassifications have been made to prior period financial statements to conform to the current period presentation.

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the accompanying financial statements. Actual results could differ from those estimates.

Recently Issued Accounting Standards

In September 2011, the FASB issued ASU 2011-08, Testing Goodwill for Impairment (“ASU 2011-08”), which amends the guidance in ASC 350-20, Intangibles—Goodwill and Other – Goodwill. ASU 2011-08 provides entities with the option of performing a qualitative assessment before calculating the fair value of the reporting unit when testing goodwill for impairment. If the fair value of the reporting unit is determined, based on qualitative factors, to be more likely than not less than the carrying amount of the reporting unit, the entities are required to perform a two-step goodwill impairment test. ASU 2011-08 was effective for us beginning January 1, 2012. The adoption of ASU 2011-08 did not have a material effect on our consolidated financial statements or disclosures.

In May 2011, the Financial Accounting Standards Board (“FASB”) issued ASU 2011-04, Fair Value Measurement (“ASU 2011-04”), which amended ASC 820, Fair Value Measurements (“ASC 820”), providing a consistent definition and measurement of fair value, as well as similar disclosure requirements between U.S. GAAP and International Financial Reporting Standards. ASU 2011-04 changes certain fair value measurement principles, clarifies the application of existing fair value measurement and expands the disclosure requirements. ASU 2011-04 was effective for us beginning January 1, 2012. The adoption of ASU 2011-04 did not have a material effect on our consolidated financial statements or disclosures.

In June 2010, the FASB issued ASU No. 2010-17, Revenue Recognition—Milestone Method (Topic 605): Milestone Method of Revenue Recognition. This ASU codifies the consensus reached in EITF Issue No. 08-9, “Milestone Method of Revenue Recognition.” The amendments to the Codification provide guidance on defining a milestone and determining when it may be appropriate to apply the milestone method of revenue recognition for research or development transactions. Consideration that is contingent on achievement of a milestone in its entirety may be recognized as revenue in the period in which the milestone is achieved only if the milestone is judged to meet certain criteria to be considered substantive. Milestones should be considered substantive in their entirety and may not be bifurcated. An arrangement may contain both substantive and nonsubstantive milestones, and each milestone should be evaluated individually to determine if it is substantive. This guidance was adopted effective October 1, 2010. The adoption of this guidance did not have a material impact on our consolidated financial statements.

In January 2010, the FASB issued Accounting Standards Update ASU No. 2010-06, Fair Value Measurements and Disclosures (Topic 820) – Improving Disclosures about Fair Value Measurements. This guidance requires new disclosures related to recurring and nonrecurring fair value measurements. The guidance requires disclosure of transfers of assets and liabilities between Level 1 and Level 2 of the fair value measurement hierarchy, including the reasons and the timing of the transfers and information on purchases, sales, issuance, and settlements on a gross basis in the reconciliation of the assets and liabilities measured under Level 3 of the fair value measurement hierarchy. The adoption of this guidance is effective for interim and annual reporting periods beginning after December 15, 2009. We have adopted this guidance in the financial statements presented herein, which did not have a material impact on our consolidated financial position or results of operations.

- Definition

The entire disclosure for organization, consolidation and basis of presentation of financial statements disclosure.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Name Accounting Standards Codification
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
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Reference 4: http://www.xbrl.org/2003/role/presentationRef
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Reference 5: http://www.xbrl.org/2003/role/presentationRef
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Reference 6: http://www.xbrl.org/2003/role/presentationRef
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Reference 8: http://www.xbrl.org/2003/role/presentationRef
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Reference 9: http://www.xbrl.org/2003/role/presentationRef
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Reference 10: http://www.xbrl.org/2003/role/presentationRef
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Reference 12: http://www.xbrl.org/2003/role/presentationRef
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-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6359566&loc=d3e326-107755

Reference 13: http://www.xbrl.org/2003/role/presentationRef
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-Name Statement of Position (SOP)
-Number 94-6
-Paragraph 10
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 51
-Paragraph 2-6
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name FASB Interpretation (FIN)
-Number 46R
-Paragraph 4, 14, 15
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name FASB Staff Position (FSP)
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-Paragraph 8, C1, C7
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Acquisitions

9 Months Ended

Jun. 30, 2012

Acquisitions [Abstract]

ACQUISITIONS

NOTE 2. ACQUISITIONS

Roche Madison

On October 21, 2011, the Company entered into a Stock and Asset Purchase Agreement (the “RNAi Purchase Agreement”) with Hoffmann-La Roche Inc. and F Hoffmann-La Roche Ltd (collectively, “Roche”), pursuant to which the Company purchased from Roche (i) all of the outstanding common stock of Roche Madison Inc. (“Roche Madison”) and (ii) the intellectual property rights then held by Roche related to its RNAi business and identified in the RNAi Purchase Agreement (the “Transaction”). In consideration for the purchase of Roche Madison and the Roche RNAi assets, the Company issued to Roche a promissory note with a principal value of $50,000 and 901,702 shares of Common Stock. Additionally, the Company agreed that, subject to stockholder approval under the NASDAQ Marketplace Rules, the Company would issue an additional 146,562 shares of Common Stock, plus a number of additional shares equal to 9.9% of the shares of Common Stock (or common stock equivalents) sold by the Company in capital raising transactions within one year from the closing, but only with respect to the first $3,118,615 of gross offering proceeds (the “Top-up Shares”). The Company received the necessary stockholder approval for these additional issuances on February 16, 2012 at its 2012 Annual Meeting of Stockholders and, as of June 30, 2012, expected to issue a total of approximately 250,000 additional shares to Roche in satisfaction of the obligation to issue the Top-up Shares.

Pursuant to the RNAi Purchase Agreement, Roche has a right of first negotiation on certain product candidates developed by the Company and its affiliates relating to the purchased assets. If the Company proposes to out-license or enters into substantive negotiations to out-license, any Clinical Candidate or Existing Candidate (as such terms are defined in the RNAi Purchase Agreement), the Company must give notice of the Candidate it proposes to out-license and negotiate exclusively and in good faith with Roche for 90 days regarding the applicable out-license. This right of first negotiation applies to all Existing Candidates and the first five Clinical Candidates for which the Company delivers notice to Roche and subsequently enters into an out-license.

In addition to the consideration paid by the Company at the closing of the Transaction, the Company is obligated to make certain royalty and milestone payments to Roche upon the occurrence of certain events. For certain product candidates that are developed by the Company or its affiliates and that are covered by a valid claim by the patent rights transferred in the Transaction for which the Company and Roche do not enter into a licensing arrangement, the Company will be obligated to pay a 3% royalty on Net Sales (as defined in the RNAi Purchase Agreement), provided that the royalty rate may be reduced or offset in certain circumstances. The obligation to pay royalties on such candidates will last until the later of (i) the expiration of the last to expire patent right related to such product candidate that was transferred in the Transaction and (ii) ten years after the first commercial sale of such product candidate.

The Company will also be obligated to make cash payments to Roche upon the achievement of various milestones, including the first regulatory approval of an Existing Candidate in certain jurisdictions and upon certain annual sales milestones for Existing Candidates that may receive regulatory approval. The potential payments range from $2,500,000 to $6,000,000 per milestone.

The following table summarizes the estimated fair values at the date of acquisition:


Current assets	$	432,709
Property and equipment		7,215,206
Intangible assets		1,090,000
Other noncurrent assets		6,264
Current liabilities		(414,122	)
Noncurrent liabilities		(1,570,072	)
Gain on purchase		(1,576,106	)

Total purchase consideration	$	5,183,879

The purchase consideration was composed of the following:


Promissory note due Roche	$	50,000
Shares issued to Roche		4,147,830
Shares to be issued to Roche		674,188
Top-up shares		311,861

Total purchase consideration	$	5,183,879

Alvos Therapeutics

On April 5, 2012, the Company entered into a Stock Purchase Agreement to purchase all of the outstanding shares of Alvos Therapeutics, Inc., (“Alvos”), a privately held company that licensed from MD Anderson Cancer Center a large platform of proprietary human-derived homing peptides and the method for their discovery. In conjunction with the acquisition, Arrowhead hired one employee from Alvos, and retained one employee on a consulting basis. In exchange for all of the outstanding shares of Alvos, Arrowhead issued an upfront payment of 315,467 shares of Arrowhead Common Stock, which shares were issued in a private placement under Section 4(2) of the Securities Act of 1933 and are deemed to be restricted securities. The former Alvos stockholders are also eligible to receive additional issuances of stock valued at up to $23.5 million at the time of issuance based on the future achievement of clinical, regulatory and sales milestones

The following table summarizes the estimated fair values at the date of acquisition:


Current assets	$	29,332
In-process R&D		2,083,701
Current liabilities		(113,033	)

Total purchase consideration	$	2,000,000

The purchase consideration was comprised solely of shares of Arrowhead Common Stock issued to the former shareholders of Alvos Therapeutics, Inc.


Shares issued		315,457
Price per share	$	6.34

Total purchase consideration	$	2,000,000

In-Process Research & Development (IPR&D)

Intangible assets include IPR&D, which represents the estimated fair value assigned to research and development projects acquired in a purchased business combination, which at the time of acquisition have not reached technological feasibility and had no alternative future use. IPR&D assets acquired in a business combination are capitalized as indefinite-lived intangible assets. These assets remain indefinite-lived until the completion or abandonment of the associated research and development efforts.

Impairment of Indefinite-Lived IPR&D

We review amounts capitalized as in-process research and development for impairment at least annually in the fourth quarter, and whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. In the event the carrying value of the assets is not expected to be recovered, the assets are written down to their estimated fair values. We continue to test our indefinite-lived IPR&D assets for potential impairment until the projects are completed or abandoned.

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

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+ Details

Investment in Subsidiaries

9 Months Ended

Jun. 30, 2012

Investment in Subsidiaries [Abstract]

INVESTMENT IN SUBSIDIARIES

NOTE 3. INVESTMENT IN SUBSIDIARIES

In addition to 100% ownership interest in Arrowhead Madison, Inc. and Alvos Therapeutics, Inc., Arrowhead also maintains majority ownership in Calando Pharmaceuticals, Ablaris Therapeutics, Inc., and minority investments in Nanotope, Inc. and Leonardo Biosystems, Inc.

Calando Pharmaceuticals, Inc. (formerly known as Insert Therapeutics, Inc. “Insert”)

Calando is a clinical stage RNAi therapeutics company. On April 17, 2008, Calando merged with and into Insert, with Insert as the surviving company. Prior to the merger, Arrowhead invested an aggregate of $23.2 million in Calando through equity and debt financings. As a condition of the merger, the Preferred Stock of each of Calando and Insert was converted into common stock and the loans were converted to equity. As a result of the merger, shares of Insert common stock were issued to the stockholders of the former Calando, and Insert changed its name to Calando Pharmaceuticals, Inc.

In fiscal 2010, Arrowhead issued 122,000 shares of its Common Stock in exchange for shares of Calando common stock, with several minority stockholders of Calando. In conjunction with this exchange, Arrowhead also issued 26,400 warrants to purchase Arrowhead Common Stock in exchange for warrants to purchase Calando common stock.

In January 2011, Arrowhead invested $9.1 million, through a cash investment of $1.0 million and the conversion of $8.1 million intercompany debt, acquiring newly issued Calando Series B and Series C preferred stock.

As of June 30, 2012, Calando owed to Arrowhead $2,573,403 under a series of 10% simple interest notes and advances. It is expected that these loans will either be repaid or converted to equity in the future. The balance of the notes and advances is eliminated in consolidation.

As of June 30, 2012, Arrowhead owned 79% of the outstanding shares of Calando and 76% on a fully diluted basis.

Ablaris Therapeutics, Inc.

Ablaris was formed and began operations in the first quarter of fiscal 2011, based on the license of certain anti-obesity technology developed at the MD Anderson Cancer Center at the University of Texas. During the year ended September 30, 2011, Ablaris raised $2.9 million in cash, of which $1.3 million was invested by Arrowhead and $1.6 million was invested by outside investors, through the issuance of Series A Preferred stock.

As of June 30, 2012, Arrowhead owned 64% of the outstanding shares of Ablaris and 64% on a fully diluted basis.

Nanotope, Inc.

Nanotope’s primary areas of focus include treatment of spinal cord injuries, cartilage regeneration and wound healing. As of June 30, 2012, Arrowhead owned 23% of the outstanding shares of Nanotope, and 19% on a fully diluted basis. Arrowhead accounts for its investment in Nanotope using the equity method of accounting.

During the quarter ended June 30, 2012, Nanotope moved its R&D operations from its facility in Skokie, Illinois to the laboratories of Northwestern University under the direction of Dr. Samuel Stupp, the company’s founder. Development work will be performed by personnel in Dr. Stupp’s lab, and the Nanotope terminated the employment of its staff. The company’s research equipment was sold to Arrowhead, to be utilized at its research facility in Madison, Wisconsin. Nanotope’s intellectual property portfolio continues to be maintained, potentially allowing Nanotope to benefit from successful developments. These circumstances required Arrowhead to examine its investment in Nanotope, as well as its receivable from Nanotope, for impairment. Upon review, it was determined that the remaining book value of its investment exceeded its fair value as determined by discounted future cash flows. As a result, upon completion of the assessment, management recorded a non-cash impairment charge of $1.4 million during the quarter ended June 30, 2012 to reduce the carrying value of the investment to $0. Additionally, the company recorded a full reserve against its receivable from Nanotope in the amount of $1.9 million.

Summarized financial information for Nanotope, Inc. is as follows:


	June 30, 2012			September 30, 2011
Current assets	$	66,000		$	21,000
Non-current assets		11,000			85,000
Liabilities		2,084,000			1,255,000
Equity		(2,007,000	)		(1,149,000	)


	For the three months ended June 30, 2012			For the three months ended June 30, 2011			For the nine months ended June 30, 2012			For the nine months ended June 30, 2011
Revenue	$	0		$	3,000		$	0		$	515,000
Operating expenses		109,000			283,000			801,000			896,000
Net loss		(115,000	)		(306,000	)		(858,000	)		(419,000	)


	For the nine months ended June 30, 2012			For the nine months ended June 30, 2011
Cash flows used in operating activities	$	(765,000	)	$	(427,000	)
Cash flows provided by (used in) investing activities		61,000			(28,000	)
Cash flows provided by financing activities		753,000			628,000

Leonardo Biosystems, Inc.

Leonardo is developing a drug-delivery platform technology based on novel methods of designing porous silicon microparticles that selectively accumulate in tumor vasculature. Arrowhead accounts for its investment in Leonardo using the cost method of accounting. As of June 30, 2012, Leonardo owed to Arrowhead $420,000, included in other receivables, which is expected to be repaid or converted to equity. As of June 30, 2012, Arrowhead’s ownership interest in Leonardo was 5%.

- Definition

The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group.

+ References + Details

Discontinued Operations

9 Months Ended

Jun. 30, 2012

Discontinued Operations [Abstract]

DISCONTINUED OPERATIONS

NOTE 4. DISCONTINUED OPERATIONS

Unidym, Inc.

Founded by Arrowhead in 2005, Unidym is developing electronic applications of carbon nanotubes. In line with the Company’s strategy to focus on nanomedicine, Arrowhead sold its ownership interest in Unidym to Wisepower in January 2011. The consideration included $5.0 million in Wisepower stock and bonds, a percentage of certain revenue streams, as well as contingent payments up to $140 million based on revenue milestones over a ten-year period.

In conjunction with the disposition of Unidym, the gain on the sale and the results of historical operations are recorded as discontinued operations in the Company’s Statements of Operations. Additionally, the cash flows from Unidym are reflected separately as cash flows from discontinued operations in the Company’s Consolidated Statement of Cash Flows. Any future cash flows as discussed above will also be reflected as a part of cash flows from discontinued operations.

Tego Biosciences, Inc.

On April 20, 2007, Tego, a wholly-owned subsidiary of Arrowhead, acquired the assets of C Sixty, Inc., a Texas-based company developing protective products based on the anti-oxidant properties of fullerenes.

In December 2009, Tego completed the sale of all of its intellectual property assets to Luna Innovations, Inc. The consideration included an upfront purchase price of $350,000 and reimbursements of patent and license expenses of $80,000, as well as contingent payments based on milestones and royalties for each fullerene product developed by Luna and covered by Tego intellectual property. Due to the sale of substantially all of Tego’s assets, the operations of Tego ceased and the gain on the sale and the results of historical operations are recorded as discontinued operation in the Company’s Statements of Operations. Additionally, the cash flows from Tego are reflected separately as cash flows from discontinued operations. Any future cash flows as discussed above will be reflected as a part of cash flows from discontinued operations in the Company’s Consolidated Statements of Cash Flows.

- Definition

The entire disclosure for the facts and circumstances leading to the completed or expected disposal, manner and timing of disposal, the gain (loss) recognized in the income statement and the income statement caption that includes that gain (loss), amounts of revenues and pretax profit or loss reported in discontinued operations, the segment in which the disposal group was reported, and the classification (whether sold or classified as held for sale) and carrying value of the assets and liabilities comprising the disposal group. Includes all disposal groups, including those classified as components of the entity (discontinued operations).

+ References

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+ Details

Notes Payable

9 Months Ended

Jun. 30, 2012

Notes Payable [Abstract]

NOTES PAYABLE

NOTE 5. NOTES PAYABLE

On November 26, 2008, Calando entered into Unsecured Convertible Promissory Note Agreements (“Notes”) for $2.5 million with accredited investors and Arrowhead, which invested $200,000 in the Notes offering. Arrowhead subsequently invested an additional $600,000 in the same offering. Except for one Note in the principal amount of $500,000, all Notes and accrued interest were converted into a total of 2,950 shares of Calando Series A Preferred Stock on June 23, 2009. The remaining Note had a 10% interest rate, matured on November 26, 2010, and was renegotiated and extended until November 26, 2013. The terms of the new note include a 10% interest rate and require two times principal payment upon certain events as defined in the note and at maturity. At June 30, 2012, The Note is reflected on the balance sheet at the maturity amount of $1,000,000 less a discount of $256,487.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References + Details

Stockholders' Equity

9 Months Ended

Jun. 30, 2012

Stockholders' Equity [Abstract]

STOCKHOLDERS' EQUITY

NOTE 6. STOCKHOLDERS’ EQUITY

At June 30, 2012, the Company had a total of 150,000,000 shares of capital stock authorized for issuance, consisting of 145,000,000 shares of Common Stock, par value $0.001, and 5,000,000 shares of Preferred Stock, par value $0.001.

At June 30, 2012, 11,310,816 shares of Common Stock were outstanding; no shares of Preferred Stock were outstanding. At June 30, 2012, 153,200 shares and 1,965,860 shares were reserved for issuance upon exercise of options granted under Arrowhead’s 2000 Stock Option Plan and 2004 Equity Incentive Plan, respectively.

On September 30, 2011, the Company sold 1,458,917 shares of Common Stock at a price of $3.80 per share. Cash proceeds received in fiscal 2011 were $4.5 million; the balance of $1 million is expected to be received in 2012. On October 4, 2011, the Company completed a second closing of the offering in which the Company sold 138,158 shares of Common Stock at a price of $3.80 per share. Cash proceeds were $525,000.

On October 20, 2011, the Company and Lincoln Park Capital Fund, LLC, an Illinois limited liability company (“LPC”) entered into a $15 million purchase agreement (the “Purchase Agreement”), together with a registration rights agreement, whereby LPC agreed to purchase up to $15 million of Common Stock, subject to certain limitations, from time to time during the three-year term of the Purchase Agreement. Additionally, the Company filed a registration statement with the U.S. Securities & Exchange Commission covering the resale of the shares that may be issued to LPC under the Purchase Agreement. On January 30, 2012, the SEC declared the registration statement effective for the resale of such shares. The Company has the right, in its sole discretion, over a 36-month period to sell up to $15 million of Common Stock (subject to certain limitations) to LPC, depending on certain conditions as set forth in the Purchase Agreement. As of June 30, 2012, the Company had drawn approximately $1 million from the facility in consideration for the sale of 181,042 shares of common stock at a weighted average price of $5.52 per share.

On October 21, 2011 and October 24, 2011, the Company entered into Subscription Agreements with certain accredited investors (the “Series A Purchasers”), pursuant to which the Company issued and sold an aggregate of 1,015 shares of Series A Preferred Convertible Stock, $0.001 par value per share, at a purchase price of $1,000 per share. The aggregate purchase price paid for the shares of Series A Preferred was $1,015,000. On February 16, 2012, upon approval by the Company’s shareholders, 1,015 shares of Arrowhead Series A Preferred Convertible Stock, $0.001 par value per share, were converted to 275,782 shares of Common Stock.

On October 21, 2011, the Company entered into a Subscription Agreement with an accredited investor, pursuant to which the Company issued and sold an aggregate of 675,000 shares of Common Stock, $0.001 par value per share, at a purchase price of $3.70 per share. The aggregate purchase price paid by the purchaser for the shares of Common Stock is $2,497,500.

As of November 17, 2011, the Company effected a 1 for 10 reverse stock split. As a result of the reverse stock split, each ten shares of the Company’s Common Stock issued and outstanding immediately prior to the reverse split was combined into one share of Common Stock. Also, as a result of the Reverse Stock Split, the per share exercise price, and the number of shares of Common Stock underlying Company stock options, warrants, and any Common Stock based equity grants outstanding immediately prior to the reverse stock split was proportionally adjusted, based on the one-for-ten split ratio, in accordance with the terms of such options, warrants or other Common Stock based equity grants as the case may be. No fractional shares of Common Stock were issued in connection with the reverse split. Stockholders received a cash payment in lieu of any fractional shares. All share and per share amounts in these financial statements have been retrospectively adjusted to reflect the reverse stock split.

The following table summarizes information about warrants outstanding at June 30, 2012:


Exercise prices	Number of Warrants		Remaining Life in Years
$70.60		94,897	4.9
$20.00		386,400	1.1
$5.00		1,155,023	2.4
$5.09		461,024	2.4
$3.70		329,649	3.5
$4.16		1,000	4.5

Total warrants outstanding		2,427,993

- Definition

The entire disclosure for shareholders' equity, comprised of portions attributable to the parent entity and noncontrolling interest, if any, including other comprehensive income (as applicable). Including, but not limited to: (1) balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings; (2) accumulated balance for each classification of other comprehensive income and total amount of comprehensive income; (3) amount and nature of changes in separate accounts, including the number of shares authorized and outstanding, number of shares issued upon exercise and conversion, and for other comprehensive income, the adjustments for reclassifications to net income; (4) rights and privileges of each class of stock authorized; (5) basis of treasury stock, if other than cost, and amounts paid and accounting treatment for treasury stock purchased significantly in excess of market; (6) dividends paid or payable per share and in the aggregate for each class of stock for each period presented; (7) dividend restrictions and accumulated preferred dividends in arrears (in aggregate and per share amount); (8) retained earnings appropriations or restrictions, such as dividend restrictions; (9) impact of change in accounting principle, initial adoption of new accounting principle and correction of an error in previously issued financial statements; (10) shares held in trust for Employee Stock Ownership Plan (ESOP); (11) deferred compensation related to issuance of capital stock; (12) note received for issuance of stock; (13) unamortized discount on shares; (14) description, terms, and number of warrants or rights outstanding; (15) shares under subscription and subscription receivables, effective date of new retained earnings after quasi-reorganization and deficit eliminated by quasi-reorganization and, for a period of at least ten years after the effective date, the point in time from which the new retained dates; and (16) retroactive effective of subsequent change in capital structure.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(d),(e))
-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB TOPIC 4.E)
-URI http://asc.fasb.org/extlink&oid=6228006&loc=d3e74512-122707

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21488-112644

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.29-31)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SAB TOPIC 4.C)
-URI http://asc.fasb.org/extlink&oid=6959260&loc=d3e187143-122770

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=6959260&loc=d3e187085-122770

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 30
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Preferred Stock
-URI http://asc.fasb.org/extlink&oid=6521494

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21463-112644

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 43
-Section B
-Paragraph 7, 11A
-Chapter 1
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Principles Board Opinion (APB)
-Number 12
-Paragraph 10
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 5
-Paragraph 15
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 17: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Paragraph d
-Article 4

Reference 18: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 29, 30, 31
-Article 5

Reference 19: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section E

Reference 20: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Article 4

Reference 21: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section C

Reference 22: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 129
-Paragraph 2, 3, 4, 5, 6, 7, 8
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 23: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Article 3

+ Details

Leases

9 Months Ended

Jun. 30, 2012

Leases [Abstract]

LEASES

NOTE 7. LEASES

In April 2011, the Company’s corporate headquarters lease expired; the Company is currently leasing temporary offices for its corporate headquarters in Pasadena, California. The temporary offices are expected to be occupied until August 15, 2012 at a rental rate of approximately $8,000 per month. The current rental agreement is on a month-to-month basis. In May 2012, the Company signed a lease for new office space for its corporate headquarters, and expects to move to its new location in August 2012. The rental cost will be approximately $13,000 per month.

The Company’s research facility in Madison, Wisconsin is leased through February 28, 2019. Monthly rental expense is approximately $22,000, and monthly payments under a related capitalized lease are approximately $21,000. Other monthly rental expenses include common area maintenance and real estate taxes totaling approximately $13,000 per month. Utilities costs are approximately $16,000 per month, which increase the total monthly expenditures to approximately $72,000.

Facility and equipment rent expense for the nine months ended June 30, 2012 and 2011 was $345,000 and $141,000, respectively. From inception to date, rent expense was $3,990,057. Rent expense related to Unidym, until its disposal in January 2011, is included as a part of income/loss from discontinued operations.

As of June 30, 2012, future minimum lease payments due in fiscal years under capitalized leases are as follows:


2012	$	64,211
2013		256,846
2014		256,846
2015		256,846
2016		256,846
2017 and thereafter		620,710
Less interest		(162,345	)

Principal		1,549,960
Less current portion		213,196

Noncurrent portion	$	1,336,764

As of June 30, 2012, future minimum lease payments due in fiscal years under operating leases are as follows:


2012	$	78,180
2013		370,328
2014		434,638
2015		446,343
2016		458,396
2017 and thereafter		940,018

Total	$	2,727,903

- Definition

The entire disclosure for lessee entity's leasing arrangements including, but not limited to, all of the following: (a.) The basis on which contingent rental payments are determined, (b.) The existence and terms of renewal or purchase options and escalation clauses, (c.) Restrictions imposed by lease agreements, such as those concerning dividends, additional debt, and further leasing.

+ References + Details

Stock-Based Compensation

9 Months Ended

Jun. 30, 2012

Stock-Based Compensation [Abstract]

STOCK-BASED COMPENSATION

NOTE 8. STOCK-BASED COMPENSATION

Arrowhead has two plans that provide for equity-based compensation. Under the 2000 Stock Option Plan, 153,200 shares of Arrowhead’s Common Stock are reserved for issuance upon exercise of non-qualified stock options. No further grants can be made under the 2000 Stock Option Plan. The 2004 Equity Incentive Plan reserves 1,965,860 shares for the grant of stock options, stock appreciation rights, restricted stock awards and performance unit/share awards by the Board of Directors to employees, consultants and others. As of June 30, 2012, there were options granted and outstanding to purchase 153,200 and 1,201,694 shares of Common Stock under the 2000 Stock Option Plan and the 2004 Equity Incentive Plan, respectively. During the nine months ended June 30, 2012, 660,000 options were granted under the 2004 Equity Incentive Plan. All share and per share data in this footnote has been adjusted to reflect the 1 for 10 reverse stock split effected on November 17, 2011.

The following tables summarize information about stock options:


	Number of Options Outstanding			Weighted- Average Exercise Price Per Share		Weighted- Average Remaining Contractual Term		Aggregate Intrinsic Value
Balance At September 30, 2010		812,334		$	10.62
Granted		20,000			5.86
Cancelled		(100,539	)		21.32
Exercised		(2,699	)		5.10

Balance At September 30, 2011		729,096			9.03
Granted		924,500			4.96
Cancelled		(42,919	)		11.77
Exercised		(4,583	)		5.20

Balance At June 30, 2012		1,606,094		$	6.63		8.1 years	$	0

Exercisable At June 30, 2012		712,283		$	8.25		6.5 years	$	0

Stock-based compensation expense for the nine months ended June 30, 2012 and 2011 was $837,188 and $1,078,951, respectively. For the nine months ended June 30, 2012 and 2011, $0 and $27,519, respectively, of this expense is included in discontinued operations. There is no income tax benefit as the company is currently operating at a loss and an actual income tax benefit may not be realized. The loss creates a timing difference, resulting in a deferred tax asset, which is fully reserved by a valuation allowance.

The fair value of the options granted by Arrowhead for the nine months ended June 30, 2012 and June 30, 2011 is estimated at $3,505,912 and $62,964, respectively. The aggregate fair value of options granted by Calando during the nine months ended June 30, 2012 is estimated at $33,690. No Calando stock options were issued during the nine months ended June 30, 2011.

The intrinsic value of the options exercised during the nine months ended June 30, 2012 was $0; no options were exercised during the nine months ended June 30, 2011.

As of June 30, 2012, the pre-tax compensation expense for all unvested stock options at Arrowhead in the amount of approximately $3,547,601 will be recognized in our results of operations over a weighted average period of 3.2 years. As of June 30, 2012, the pre-tax compensation expense for all unvested stock options at Calando in the amount of approximately $72,876 will be recognized in our results of operations over a weighted average period of 2.7 years.

The fair value of each stock option award is estimated on the date of grant using the Black-Scholes option pricing model. The Black-Scholes option valuation model was developed for use in estimating the fair value of traded options, which do not have vesting restrictions and are fully transferable. The determination of the fair value of each stock option is affected by our stock price on the date of grant, as well as assumptions regarding a number of highly complex and subjective variables. Because the Company’s employee stock options have characteristics significantly different from those of traded options, and because changes in the subjective input assumptions can materially affect the fair value estimate, in management’s opinion, the existing models do not necessarily provide a reliable single measure of the fair value of its employee stock options. The assumptions used to value stock options are as follows:


	Nine months ended June 30,
	2012	2011
Dividend yield	—		—
Risk-free interest rate	0.9% to 1.7%		2.9%
Volatility	90% - 100%		100%
Expected life (in years)	6.25		6.25
Weighted average grant date fair value per share of options granted	$3.79		$5.20

The dividend yield is zero as the Company currently does not pay a dividend.

The risk-free interest rate is based on the U.S. Treasury bond.

Volatility is estimated based on volatility average of the Company’s Common Stock price.

- Definition

Tabular disclosure of components of a stock option or other award plan under which equity-based compensation is awarded to employees, typically comprised of the amount of unearned compensation (deferred compensation cost), compensation expense, and changes in the quantity and fair value of the shares (or other type of equity) granted, exercised, forfeited, and issued and outstanding pertaining to that plan. Disclosure may also include nature and general terms of such arrangements that existed during the period and potential effects of those arrangements on shareholders, effect of compensation cost arising from equity-based payment arrangements on the income statement, method of estimating the fair value of the goods or services received, or the fair value of the equity instruments granted, during the period, cash flow effects resulting from equity-based payment arrangements and, for registrants that accelerate vesting of out of the money share options, reasons for the decision to accelerate.

+ References + Details

Fair Value Measurements & Derivative Instruments

9 Months Ended

Jun. 30, 2012

Fair Value Measurements & Derivative Instruments [Abstract]

FAIR VALUE MEASUREMENTS & DERIVATIVE INSTRUMENTS

NOTE 9. FAIR VALUE MEASUREMENTS & DERIVATIVE INSTRUMENTS

The Company measures its financial assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., exit price) in an orderly transaction between market participants at the measurement date. Additionally, the Company is required to provide disclosure and categorize assets and liabilities measured at fair value into one of three different levels depending on the assumptions (i.e., inputs) used in the valuation. Level 1 provides the most reliable measure of fair value while Level 3 generally requires significant management judgment. Financial assets and liabilities are classified in their entirety based on the lowest level of input significant to the fair value measurement. The fair value hierarchy is defined as follows:

Level 1—Valuations are based on unadjusted quoted prices in active markets for identical assets or liabilities.

Level 2—Valuations are based on quoted prices for similar assets or liabilities in active markets, or quoted prices in markets that are not active for which significant inputs are observable, either directly or indirectly.

Level 3—Valuations are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. Inputs reflect management’s best estimate of what market participants would use in valuing the asset or liability at the measurement date.

The following table summarizes fair value measurements at June 30, 2012 and September 30, 2011 for assets and liabilities measured at fair value on a recurring basis:

June 30, 2012:


	Level I		Level II		Level III		Total
Cash and cash equivalents	$	2,282,641	$	—	$	—	$	2,282,641
Marketable securities	$	108,965	$	—	$	—	$	108,965
Derivative assets	$	—	$	—	$	312,250	$	312,250
Derivative liabilities	$	—	$	—	$	869,766	$	869,766

September 30, 2011:

	Level I		Level II		Level III		Total
Cash and cash equivalents	$	7,507,389	$	—	$	—	$	7,507,389
Marketable securities	$	634,585	$	—	$	—	$	634,585
Derivative assets	$	—	$	—	$	161,125	$	161,125
Derivative liabilities	$	—	$	—	$	944,980	$	944,980

As part of the sale of proceeds from the sale of Unidym in January 2011, Arrowhead received a bond from Wisepower in the face amount of $2.5 million. The bond is convertible to Wisepower common stock at a price of $2.00 per share. The conversion feature is subject to derivative accounting as prescribed under ASC 815. Accordingly, the fair value of the conversion feature on the date of issuance was estimated using an option pricing model and recorded on the Company’s consolidated balance sheet as a derivative asset. The fair value of the conversion feature is estimated at the end of each reporting period and the change in the fair value of the conversion feature is recorded as a nonoperating gain/loss as change in value of derivatives in Company’s Consolidated Statement of Operations. A portion of the bond is owed to a third party, as such the company records a derivative asset for the entire conversion feature and records a derivative liability for the portion related to the third party. The original fair value of the derivative relating to the third party was $26,310; the fair value at September 30, 2011 was $6,854, and the fair value at June 30, 2012 was $13,282. The gain from the change in value of the derivative asset, net of the derivative liability, for the nine months ended June 30, 2012 was $144,697, and is reflected in the change in value of derivatives in the Company’s consolidated statement of operations.

During the nine months ended June 30, 2012, the Company recorded a gain from the change in fair value of the derivative asset, net of $151,125. The assumptions used in valuing the derivative asset as of June 30, 2012 were as follows:


Risk free interest rate	0.33	%
Expected life	1.6 Years
Dividend yield	none
Volatility	72	%

The following is a reconciliation of the derivative asset for the nine months ended June 30, 2012:


Value at October 1, 2011	$	161,125
Receipt of instruments		—
Increase in value		151,125
Net settlements		—

Value at June 30, 2012	$	312,250

As part of the equity financing on June 17, 2010, Arrowhead issued warrants to acquire up to 329,649 shares of Common Stock (the “Warrants”) which contain a mechanism to adjust the strike price upon the issuance of certain dilutive equity securities. If during the term of the Warrants, the Company issues Common Stock at a price lower than the exercise price of the Warrants, the exercise price of the Warrants would be reduced to the amount equal to the issuance price of the Common Stock. As a result of this feature, the Warrants are subject to derivative accounting as prescribed under ASC 815. Accordingly, the fair value of the Warrants on the date of issuance was estimated using an option pricing model and recorded on the Company’s consolidated balance sheet as a derivative liability. The fair value of the Warrants is estimated at the end of each reporting period and the change in the fair value of the Warrants is recorded as a nonoperating gain or loss in the Company’s consolidated statement of operations. During the nine months ended June 30, 2012, the Company recorded a non-cash loss from the change in fair value of the derivative liability of $74,330. The assumptions used in valuing the derivative liability as of June 30, 2012 were as follows:


Risk free interest rate	0.41	%
Expected life	3.5 Years
Dividend yield	none
Volatility	100	%

The following is a reconciliation of the derivative liability related to these warrants through June 30, 2012:


Value at September 30, 2011	$	907,233
Receipt of instruments		—
Change in value		(74,330	)
Net settlements		—

Value at June 30, 2012	$	832,903

In conjunction with the financing of Ablaris during the year ended September 30, 2011, Arrowhead sold exchange rights to certain investors whereby the investors have the right to exchange their shares of Ablaris for a prescribed number of Arrowhead shares based upon a predefined ratio. The exchange rights have a seven-year term. During the first year, the exchange right allows the holder to exchange one Ablaris share for 0.06 Arrowhead shares (as adjusted for a subsequent reverse stock split). This ratio declines to 0.04 in the second year, 0.03 in the third year and 0.02 in the fourth year. In the fifth year and beyond the exchange ratio is 0.01. Exchange rights for 675,000 Ablaris shares were sold during the year ended September 30, 2011, and remain outstanding at June 30, 2012. The exchange rights are subject to derivative accounting as prescribed under ASC 815. Accordingly, the fair value of the exchange rights on the date of issuance was estimated using an option pricing model and recorded on the Company’s consolidated balance sheet as a derivative liability. The fair value of the exchange rights is estimated at the end of each reporting period and the change in the fair value of the exchange rights is recorded as a nonoperating gain or loss in the Company’s Consolidated Statement of Operations. During the nine months ended June 30, 2012, the Company recorded a non-cash gain from the change in fair value of the derivative liability of $7,312. The assumptions used in valuing the derivative liability as of June 30, 2012 were as follows:


Risk free interest rate	0.72	%
Expected life	5.5 Years
Dividend yield	none
Volatility	100	%

The following is a reconciliation of the derivative liability related to these exchange rights through June 30, 2012:


Value at September 30, 2011	$	30,892
Receipt of instruments		—
Change in value		(7,312	)
Net settlements		—

Value at June 30, 2012	$	23,580

The carrying amounts of the Company’s other financial instruments, which include accounts receivable, accounts payable, and accrued expenses approximate their respective fair values due to the relatively short-term nature of these instruments.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=7578670&loc=d3e19207-110258

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 30
-URI http://asc.fasb.org/extlink&oid=6957238&loc=d3e14172-108612

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
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-Paragraph 21
-URI http://asc.fasb.org/extlink&oid=7491637&loc=d3e13537-108611

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Section 50
-Paragraph 28
-URI http://asc.fasb.org/extlink&oid=6957238&loc=d3e14064-108612

Reference 5: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-Paragraph 16
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-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
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-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=7491637&loc=d3e13433-108611

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 15B
-Subparagraph a, b
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 133
-Paragraph 44A, 44B
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 159
-Paragraph 17-22, 27, 28
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 15A
-Subparagraph a-d
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 15C, 15D
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 157
-Paragraph 32, 33, 34
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 3, 10, 14, 15
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Related Party Transactions

9 Months Ended

Jun. 30, 2012

RELATED PARTY TRANSACTIONS

NOTE 10. RELATED PARTY TRANSACTIONS

Christopher Anzalone, Arrowhead’s President and CEO, owns 1,395,900 shares of Nanotope, Inc. common stock or approximately 14.2% of Nanotope’s outstanding voting securities. Dr. Anzalone does not hold options, warrants or any other rights to acquire securities of Nanotope. Dr. Anzalone has the right to appoint a representative to the board of directors of Nanotope. Dr. Anzalone currently serves on the Nanotope board in a seat reserved for Nanotope’s CEO, and another individual holds the seat designated by Dr. Anzalone. Dr. Anzalone has served as President and Chief Executive Officer of Nanotope since its formation and continues to serve in these capacities. Dr. Anzalone has not received any compensation for his work on behalf of Nanotope since joining the Company on December 1, 2007. Dr. Anzalone has also waived his right to any unpaid compensation accrued for work done on behalf of Nanotope before he joined the Company.

In August 2010, the Company retained Vincent Anzalone, the brother of Arrowhead’s Chief Executive Officer, as a consultant for the Company, focusing on business development and market analysis, with a monthly remuneration of $10,000 per month. Vincent Anzalone was paid $20,000 during the fiscal year ended September 30, 2010, $120,000 during the fiscal year ended September 30, 2011, and $90,000 during the nine months ended June 30, 2012.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39603-107864

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39622-107864

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39549-107864

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39678-107864

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(k))
-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39691-107864

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Paragraph b
-Article 3A

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Paragraph k
-Article 4

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 57
-Paragraph 1-4
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Subsequent Events

9 Months Ended

Jun. 30, 2012

Subsequent Events [Abstract]

SUBSEQUENT EVENTS

NOTE 11. SUBSEQUENT EVENTS

Organization and Basis of Presentation (Policies)	9 Months Ended
Organization and Basis of Presentation (Policies)	Jun. 30, 2012
Organization and Basis of Presentation [Abstract]
Nature of Business and Going Concern	Nature of Business and Going Concern Arrowhead Research Corporation is a nanomedicine company developing innovative therapies at the interface of biology and nanoengineering to cure disease and improve human health. Arrowhead has one of the most advanced and broadest technology platforms for therapeutics based on RNA interference (RNAi), including access to several different RNAi delivery systems and small interfering RNA (siRNA) structures in commercial development for RNAi therapeutics. This broad technology platform enables optimization of siRNA therapeutic candidates for delivery based on siRNA chemistry, tissue type, disease state, target gene and siRNA type and chemistry on a target-by-target basis. Through its acquisition of Alvos Therapeutics, Arrowhead has access to a large platform of proprietary human-derived homing peptides and the method for their discovery. These targeting peptide sequences can be linked to our siRNA delivery vehicles as well as to traditional small molecule drugs to preferentially shuttle them into target cells. Arrowhead is leveraging its in-house R&D expertise and capabilities, as well as a broad intellectual property portfolio for RNAi therapeutics, and RNAi and peptide delivery vehicles and targeting methods to seek development partnerships with other pharmaceutical and biotech companies committed to bringing RNAi therapeutics to market, as well as continuing the preclinical and clinical development of its own clinical candidates. Arrowhead’s non-RNAi development programs include a unique therapeutic candidate that shows promise in pre-clinical studies for the potential treatment of obesity and advanced bioactive materials for the regeneration of injured tissues. Arrowhead operates a wholly-owned subsidiary, Arrowhead Madison Inc., which operates a lab facility in Madison, Wisconsin, supporting the company’s initiatives including the development of RNAi therapeutics. In addition to its wholly owned subsidiaries, Arrowhead Madison and Alvos Therapeutics, Arrowhead operates two majority-owned subsidiaries, Calando, a leader in delivering small interfering RNAs for gene silencing, and Ablaris, an anti-obesity therapeutics company, and has minority investments in Nanotope, a regenerative medicine company and Leonardo, a multistage drug delivery company.
Liquidity	Liquidity Arrowhead has historically financed its operations through the sale of securities of Arrowhead and its Subsidiaries. Development activities have required significant capital investment since the Company’s inception and we expect our current portfolio companies to continue to require cash investment in fiscal 2012 and beyond to continue development. At June 30, 2012, the Company had $2.3 million in cash to fund operations. During the nine months ended June 30, 2012, the Company’s cash position decreased by $5.2 million. The Company received cash from the issuance of equity of $5.4 million, cash from the sale of its holdings of stock in Wisepower Co. Ltd of $0.5 million, and cash collections from revenue of $0.2 million. The company had cash outflow of $10.6 million related to its continuing operating activities and capital expenditures of $0.4 million. On August 13, 2012, the Company had received firm commitments for 2.3 million units at a price of $2.76 per unit in a registered offering to institutional and individual investors. Each unit consisted on one share of Arrowhead Common Stock and a warrant to purchase 0.75 share of Common Stock exercisable at $3.25 per share. Gross proceeds from the offering are expected to be approximately $6.2 million, with net proceeds of approximately $5.8 million after deducting commissions and fees. As a result of the sale of the Company’s subsidiary, Unidym, in January 2011, the Company received $2.5 million in stock of the acquirer, Wisepower Co. Ltd. (“Wisepower”) and a $2.5 million convertible bond from Wisepower, of which approximately $200,000 is owed to a third party who was a minority investor in Unidym. During the quarter ended December 31, 2011, the Company sold its remaining stock in Wisepower. The convertible bond has a face value of $2.5 million, and is convertible into Wisepower common stock at a price of $2.00 per share. The bond can be redeemed for cash on January 17, 2013, and at which time could represent an additional source of liquidity for the company. The Company had Subscriptions Receivable of $1.0 million at June 30, 2012, which are expected to be collected over the next several months. In September 2011, the Company entered into an equity line facility whereby it has the ability to draw capital up to $15 million. Through June 30, 2012, the Company has drawn approximately $1 million from this facility and has issued 181,042 shares of common stock; the Company expects to draw upon the facility from time to time, depending on cash needs and market conditions. On October 21, 2011, Arrowhead completed the acquisition of certain RNAi assets from Hoffmann-La Roche Inc. and F. Hoffmann-La Roche Ltd., including intellectual property and a research and development facility in Madison, Wisconsin. At the time of the acquisition, the Madison facility had 41 employees. Due to the costs associated with maintaining and operating the facility, including personnel costs, rent, research and development expenses, and other costs, cash expenses have increased, and it is expected that the Company will incur higher cash expenses will continue during the remainder of fiscal 2012 and beyond, relative to periods prior to the acquisition, as the Company accelerates its preclinical and clinical development efforts. Based upon the Company’s cash on hand, other sources of liquidity, as described above, and based upon the Company’s operating plan, the Company’s management anticipates that the Company will be able to satisfy the cash requirements of its operations through at least the next twelve months. The Company anticipates that further equity financings, and/or asset sales and license agreements will be necessary to continue to fund operations in the future.
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, the financial statements do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments, including normal recurring accruals, considered necessary for a fair presentation have been included. Interim results are not necessarily indicative of results for a full year. The September 30, 2011 balance sheet was derived from audited financial statements, but does not include all disclosures required by GAAP. This financial information should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended September 30, 2011. The consolidated financial statements of the Company include the accounts of Arrowhead and its wholly-owned and majority-owned Subsidiaries. Prior to April 2008, Arrowhead’s Subsidiaries included Insert Therapeutics, Inc. (“Insert”), which was merged with Calando in April 2008. The merged entity is majority-owned by Arrowhead and continues to operate under the name of Calando. Arrowhead sold its interests in Unidym and Tego in 2011 and 2009, respectively. Unidym and Tego results are included in the Income (Loss) from Discontinued Operations. Income (Loss) from Discontinued Operations also includes Aonex Technologies, Inc. (“Aonex”), sold in 2008 and Nanotechnica, Inc. (“Nanotechnica”), dissolved in 2005. All significant intercompany accounts and transactions are eliminated in consolidation, and noncontrolling interests are accounted for in the Company’s financial statements. Certain reclassifications have been made to prior period financial statements to conform to the current period presentation.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the accompanying financial statements. Actual results could differ from those estimates.
Testing Goodwill for Impairment	In September 2011, the FASB issued ASU 2011-08, Testing Goodwill for Impairment (“ASU 2011-08”), which amends the guidance in ASC 350-20, Intangibles—Goodwill and Other – Goodwill. ASU 2011-08 provides entities with the option of performing a qualitative assessment before calculating the fair value of the reporting unit when testing goodwill for impairment. If the fair value of the reporting unit is determined, based on qualitative factors, to be more likely than not less than the carrying amount of the reporting unit, the entities are required to perform a two-step goodwill impairment test. ASU 2011-08 was effective for us beginning January 1, 2012. The adoption of ASU 2011-08 did not have a material effect on our consolidated financial statements or disclosures.
Fair Value Measurement	In May 2011, the Financial Accounting Standards Board (“FASB”) issued ASU 2011-04, Fair Value Measurement (“ASU 2011-04”), which amended ASC 820, Fair Value Measurements (“ASC 820”), providing a consistent definition and measurement of fair value, as well as similar disclosure requirements between U.S. GAAP and International Financial Reporting Standards. ASU 2011-04 changes certain fair value measurement principles, clarifies the application of existing fair value measurement and expands the disclosure requirements. ASU 2011-04 was effective for us beginning January 1, 2012. The adoption of ASU 2011-04 did not have a material effect on our consolidated financial statements or disclosures. In January 2010, the FASB issued Accounting Standards Update ASU No. 2010-06, Fair Value Measurements and Disclosures (Topic 820) – Improving Disclosures about Fair Value Measurements. This guidance requires new disclosures related to recurring and nonrecurring fair value measurements. The guidance requires disclosure of transfers of assets and liabilities between Level 1 and Level 2 of the fair value measurement hierarchy, including the reasons and the timing of the transfers and information on purchases, sales, issuance, and settlements on a gross basis in the reconciliation of the assets and liabilities measured under Level 3 of the fair value measurement hierarchy. The adoption of this guidance is effective for interim and annual reporting periods beginning after December 15, 2009. We have adopted this guidance in the financial statements presented herein, which did not have a material impact on our consolidated financial position or results of operations.
Revenue Recognition	In June 2010, the FASB issued ASU No. 2010-17, Revenue Recognition—Milestone Method (Topic 605): Milestone Method of Revenue Recognition. This ASU codifies the consensus reached in EITF Issue No. 08-9, “Milestone Method of Revenue Recognition.” The amendments to the Codification provide guidance on defining a milestone and determining when it may be appropriate to apply the milestone method of revenue recognition for research or development transactions. Consideration that is contingent on achievement of a milestone in its entirety may be recognized as revenue in the period in which the milestone is achieved only if the milestone is judged to meet certain criteria to be considered substantive. Milestones should be considered substantive in their entirety and may not be bifurcated. An arrangement may contain both substantive and nonsubstantive milestones, and each milestone should be evaluated individually to determine if it is substantive. This guidance was adopted effective October 1, 2010. The adoption of this guidance did not have a material impact on our consolidated financial statements.

- Definition

Disclosure of accounting policy for revenue recognition. If the entity has different policies for different types of revenue transactions, the policy for each material type of transaction is generally disclosed. If a sales transaction has multiple element arrangements (for example, delivery of multiple products, services or the rights to use assets) the disclosure may indicate the accounting policy for each unit of accounting as well as how units of accounting are determined and valued. The disclosure may encompass important judgment as to appropriateness of principles related to recognition of revenue. The disclosure also may indicate the entity's treatment of any unearned or deferred revenue that arises from the transaction.

+ References + Details

Acquisitions (Tables)

9 Months Ended

Jun. 30, 2012

Acquisitions [Abstract]

Summary of estimated fair values at the date of acquisition


Current assets	$	432,709
Property and equipment		7,215,206
Intangible assets		1,090,000
Other noncurrent assets		6,264
Current liabilities		(414,122	)
Noncurrent liabilities		(1,570,072	)
Gain on purchase		(1,576,106	)

Total purchase consideration	$	5,183,879

Purchase consideration


Promissory note due Roche	$	50,000
Shares issued to Roche		4,147,830
Shares to be issued to Roche		674,188
Top-up shares		311,861

Total purchase consideration	$	5,183,879


Shares issued		315,457
Price per share	$	6.34

Total purchase consideration	$	2,000,000

Investment in Subsidiaries (Tables)

9 Months Ended

Jun. 30, 2012

Investment in Subsidiaries [Abstract]

Summary of financial information


	June 30, 2012			September 30, 2011
Current assets	$	66,000		$	21,000
Non-current assets		11,000			85,000
Liabilities		2,084,000			1,255,000
Equity		(2,007,000	)		(1,149,000	)


	For the three months ended June 30, 2012			For the three months ended June 30, 2011			For the nine months ended June 30, 2012			For the nine months ended June 30, 2011
Revenue	$	0		$	3,000		$	0		$	515,000
Operating expenses		109,000			283,000			801,000			896,000
Net loss		(115,000	)		(306,000	)		(858,000	)		(419,000	)


	For the nine months ended June 30, 2012			For the nine months ended June 30, 2011
Cash flows used in operating activities	$	(765,000	)	$	(427,000	)
Cash flows provided by (used in) investing activities		61,000			(28,000	)
Cash flows provided by financing activities		753,000			628,000

Stockholders' Equity (Tables)

9 Months Ended

Jun. 30, 2012

Stockholders' Equity [Abstract]

Summary of information about warrants


Exercise prices	Number of Warrants		Remaining Life in Years
$70.60		94,897	4.9
$20.00		386,400	1.1
$5.00		1,155,023	2.4
$5.09		461,024	2.4
$3.70		329,649	3.5
$4.16		1,000	4.5

Total warrants outstanding		2,427,993

- Definition

Tabular disclosure of warrants or rights issued. Warrants and rights outstanding are derivative securities that give the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue to entice investors by a higher return potential. The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months. Disclose the title of issue of securities called for by warrants and rights outstanding, the aggregate amount of securities called for by warrants and rights outstanding, the date from which the warrants or rights are exercisable, and the price at which the warrant or right is exercisable.

+ References + Details

Leases (Tables)

9 Months Ended

Jun. 30, 2012

Leases [Abstract]

Future minimum lease payments under capitalized leases


2012	$	64,211
2013		256,846
2014		256,846
2015		256,846
2016		256,846
2017 and thereafter		620,710
Less interest		(162,345	)

Principal		1,549,960
Less current portion		213,196

Noncurrent portion	$	1,336,764

Future minimum lease payments under operating leases


2012	$	78,180
2013		370,328
2014		434,638
2015		446,343
2016		458,396
2017 and thereafter		940,018

Total	$	2,727,903

Stock-Based Compensation (Tables)

9 Months Ended

Jun. 30, 2012

Stock-Based Compensation [Abstract]

Summarize information about stock options


	Number of Options Outstanding			Weighted- Average Exercise Price Per Share		Weighted- Average Remaining Contractual Term		Aggregate Intrinsic Value
Balance At September 30, 2010		812,334		$	10.62
Granted		20,000			5.86
Cancelled		(100,539	)		21.32
Exercised		(2,699	)		5.10

Balance At September 30, 2011		729,096			9.03
Granted		924,500			4.96
Cancelled		(42,919	)		11.77
Exercised		(4,583	)		5.20

Balance At June 30, 2012		1,606,094		$	6.63		8.1 years	$	0

Exercisable At June 30, 2012		712,283		$	8.25		6.5 years	$	0

Schedule of Fair Value Option Award


	Nine months ended June 30,
	2012	2011
Dividend yield	—		—
Risk-free interest rate	0.9% to 1.7%		2.9%
Volatility	90% - 100%		100%
Expected life (in years)	6.25		6.25
Weighted average grant date fair value per share of options granted	$3.79		$5.20

Fair Value Measurements & Derivative Instruments (Tables)

9 Months Ended

Jun. 30, 2012

Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]

Fair value measurements for assets and liabilities measured at fair value on a recurring basis

June 30, 2012:


	Level I		Level II		Level III		Total
Cash and cash equivalents	$	2,282,641	$	—	$	—	$	2,282,641
Marketable securities	$	108,965	$	—	$	—	$	108,965
Derivative assets	$	—	$	—	$	312,250	$	312,250
Derivative liabilities	$	—	$	—	$	869,766	$	869,766

September 30, 2011:

	Level I		Level II		Level III		Total
Cash and cash equivalents	$	7,507,389	$	—	$	—	$	7,507,389
Marketable securities	$	634,585	$	—	$	—	$	634,585
Derivative assets	$	—	$	—	$	161,125	$	161,125
Derivative liabilities	$	—	$	—	$	944,980	$	944,980

Assumptions used in valuing the derivative asset


Risk free interest rate	0.33	%
Expected life	1.6 Years
Dividend yield	none
Volatility	72	%

Reconciliation of the derivative asset


Value at October 1, 2011	$	161,125
Receipt of instruments		—
Increase in value		151,125
Net settlements		—

Value at June 30, 2012	$	312,250

Warrant [Member]

Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]

Assumptions used in valuing the derivative liability


Risk free interest rate	0.41	%
Expected life	3.5 Years
Dividend yield	none
Volatility	100	%

Reconciliation of the derivative liability


Value at September 30, 2011	$	907,233
Receipt of instruments		—
Change in value		(74,330	)
Net settlements		—

Value at June 30, 2012	$	832,903

Exchange Rights [Member]

Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]

Assumptions used in valuing the derivative liability


Risk free interest rate	0.72	%
Expected life	5.5 Years
Dividend yield	none
Volatility	100	%

Reconciliation of the derivative liability


Value at September 30, 2011	$	30,892
Receipt of instruments		—
Change in value		(7,312	)
Net settlements		—

Value at June 30, 2012	$	23,580

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

+ References + Details

- Definition

Tabular disclosure of the fair value measurement of liabilities using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets), and gains or losses recognized in other comprehensive income (loss) and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs) by class of liability.

+ References + Details

Organization and Basis of Presentation (Details) $ / shares in Units, Units in Millions	1 Months Ended	6 Months Ended	9 Months Ended		101 Months Ended	110 Months Ended
	Jan. 31, 2011 USD ($)	Jun. 30, 2012 USD ($) Subsidaries $ / shares shares	Jun. 30, 2012 USD ($) Units $ / Unit Subsidaries $ / shares shares	Jun. 30, 2011 USD ($)	Sep. 30, 2011 USD ($) shares	Jun. 30, 2012 USD ($) Subsidaries $ / shares shares	Oct. 21, 2011 Employess	Sep. 30, 2010 USD ($)	May 07, 2003 USD ($)
Organization and Basis of Presentation (Textual) [Abstract]
Number of subsidiaries \| Subsidaries		2	2			2
Cash for fund operation		$ 2,282,641	$ 2,282,641	$ 4,316,308	$ 7,507,389	$ 2,282,641		$ 6,847,162
Cash position decreased during last six months			(5,224,748)	(2,530,854)	7,507,389	2,282,641
Cash from issuance of equity			5,400,000
Proceeds from sale of investments			509,009	1,130,307	2,804,600	3,313,609
Proceeds from Revenue			200,000
Cash outflow from continuing operations			$ (10,752,290)	$ (5,993,049)	(60,537,706)	$ (71,289,996)
Capital Expenditure		$ 400,000
Date of selling units in registered offering			August 13, 2012
Units sold in registered offering to institutional and individual investors \| Units			2.3
Selling price per unit sold in registered offering \| $ / Unit			2.76
Unit sold, description			Each unit consisted on one share of Arrowhead Common Stock and a warrant
Number of shares that can be purchased by a warrant \| shares		0.75	0.75			0.75
Common stock exercisable price \| $ / shares		$ 3.25	$ 3.25			$ 3.25
Gross proceeds from registered offerings			$ 6,200,000
Net proceeds from registered offerings after deducting commissions and fees			$ 5,800,000
Non cash consideration received in sale of interest in subsidiary, shares	$ 2,500,000
Non cash consideration received in sale of interest in subsidiary, bonds	2,500,000
Non cash consideration received in sale of interest in subsidiary owed to third party	$ 200,000
Redemption date of bonds			41291
Subscription Receivable		$ 1,000,000	$ 1,000,000		$ 900,000	$ 1,000,000
Drawing Limit under Equity Line Facility		$ 15,000,000	$ 15,000,000			$ 15,000,000
Common stock issued, Shares \| shares		11,310,816	11,310,816		8,642,286	11,310,816
Number of employees at the time of acquisition \| Employess							41
Wisepower [Member]
Organization and Basis of Presentation (Textual) [Abstract]
Proceeds from sale of investments			$ 500,000
Common stock per share \| $ / shares		$ 2.00	$ 2.00			$ 2.00
Drawing Limit under Equity Line Facility		$ 1,000,000	$ 1,000,000			$ 1,000,000
Common stock issued, Shares \| shares		181,042	181,042			181,042

Acquisitions (Details) - Roche [Member]	Jun. 30, 2012 USD ($)
Summary of estimated fair values at the date of acquisition
Current assets	$ 432,709
Property and equipment	7,215,206
Intangible assets	1,090,000
Other noncurrent assets	6,264
Current liabilities	(414,122)
Noncurrent liabilities	(1,570,072)
Gain on purchase	(1,576,106)
Total purchase consideration	$ 5,183,879

Acquisitions (Details 1) - Roche [Member]	Jun. 30, 2012 USD ($)
Purchase consideration
Promissory note due Roche	$ 50,000
Shares issued to Roche	4,147,830
Shares to be issued to Roche	674,188
Top-up shares	311,861
Total purchase consideration	$ 5,183,879

- Definition

This element represents the acquisition-date fair value of the total consideration transferred which consists of the sum of the acquisition-date fair values of the assets transferred by the acquirer, the liabilities incurred by the acquirer to former owners of the acquiree, and the equity interests issued by the acquirer.

+ References + Details

Acquisitions (Details 2) - Alvos Therapeutics [Member]	Jun. 30, 2012 USD ($)
Summary of estimated fair values at the date of acquisition
Current assets	$ 29,332
In-process R&D	2,083,701
Current liabilities	(113,033)
Total purchase consideration	$ 2,000,000

Acquisitions (Details 3) - Alvos Therapeutics [Member]	Jun. 30, 2012 USD ($) $ / shares
Purchase consideration
Share issued	$ 315,457
Price per share \| $ / shares	$ 6.34
Total purchase consideration	$ 2,000,000

- Definition

+ References + Details

Acquisitions (Details Textual)	9 Months Ended
Acquisitions (Details Textual)	Jun. 30, 2012 USD ($) shares
Acquisitions (Textual) [Abstract]
Obligation to pay royalties	later of (i) the expiration of the last to expire patent right related to such product candidate that was transferred in the Transaction and (ii) ten years after the first commercial sale of such product candidate.
Roche [Member]
Acquisitions (Textual) [Abstract]
Issue of promissory note to Roche	$ 50,000
Issue of common stock \| shares	901,702
Issue of additional shares of Common Stock \| shares	146,562
Percentage of common stock to be issued as additional consideration	9.90%
Gross offering proceeds	$ 3,118,615
Applicable out license term	90 days
Percentage of royalty liability	3.00%
Roche [Member] \| Top-up Shares [Member]
Acquisitions (Textual) [Abstract]
Issue of additional shares of Common Stock \| shares	250,000
Alvos Therapeutics [Member]
Acquisitions (Textual) [Abstract]
Issue of common stock \| shares	315,467
Issue of additional shares of Common Stock,Value	$ 23,500,000
Maximum [Member] \| Roche [Member]
Acquisitions (Textual) [Abstract]
Cash payments to Roche	6,000,000
Minimum [Member] \| Roche [Member]
Acquisitions (Textual) [Abstract]
Cash payments to Roche	$ 2,500,000

Investment in Subsidiaries (Details) - Nanotope, Inc [Member] - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2012	Jun. 30, 2011	Sep. 30, 2011
Summary of financial information
Current assets	$ 66,000		$ 66,000		$ 21,000
Non-current assets	11,000		11,000		85,000
Liabilities	2,084,000		2,084,000		1,255,000
Equity	(2,007,000)		(2,007,000)		$ (1,149,000)
Revenue	0	$ 3,000	0	$ 515,000
Operating Expenses	109,000	283,000	801,000	896,000
Net loss	$ (115,000)	$ (306,000)	(858,000)	(419,000)
Cash flows used in operating activities			(765,000)	(427,000)
Cash flows provided by (used in) investing activities			61,000	(28,000)
Cash flows provided by financing activities			$ 753,000	$ 628,000

Investment in Subsidiaries (Details Textual) - USD ($)	3 Months Ended	9 Months Ended		12 Months Ended		101 Months Ended	110 Months Ended
Investment in Subsidiaries (Details Textual) - USD ($)	Jun. 30, 2012	Jun. 30, 2012	Jun. 30, 2011	Sep. 30, 2011	Sep. 30, 2010	Sep. 30, 2011	Jun. 30, 2012	Jan. 31, 2011	Jun. 23, 2009	Nov. 26, 2008	Apr. 17, 2008
Investment in Subsidiaries (Textual) [Abstract]
Ownership percentage in subsidiary		100.00%
Unsecured Convertible Promissory Note Agreements										$ 2,500,000
Investment in notes offering										200,000
Additional investment in notes offering										600,000
Aggregate purchase price of preferred shares				$ (1,618,509)	$ (300,000)
Non-cash impairment charge		$ (1,455,775)					$ (1,455,775)
Preferred Class B and C [Member]
Investment in Subsidiaries (Textual) [Abstract]
Investment in preferred stock								$ 9,100,000
Calando Pharmaceuticals, Inc [Member]
Investment in Subsidiaries (Textual) [Abstract]
Aggregate investment in subsidiary through equity and debt											$ 23,200,000
Unsecured Convertible Promissory Note Agreements										2,500,000
Investment in notes offering										200,000
Additional investment in notes offering										$ 600,000
Principal amount of note which not converted into shares									$ 500,000
Conversion of notes and accrued interest into share									2,950
Issuance and sold of Common Stock					122,000
Issuance of warrants					26,400
Cash investment in subsidiary								1,000,000
Investment in subsidiary through conversion of intercompany debt								$ 8,100,000
Stated percentage of notes and advances	10.00%	10.00%					10.00%
Percentage of outstanding shares	79.00%	79.00%					79.00%
Percentage of investment ownership	76.00%	76.00%					76.00%
Amount owed by subsidiary	$ 2,573,403	$ 2,573,403					$ 2,573,403
Ablaris Therapeutics, Inc [Member]
Investment in Subsidiaries (Textual) [Abstract]
Investment in preferred stock				1,300,000		1,300,000
Percentage of outstanding shares	64.00%	64.00%					64.00%
Percentage of investment ownership	64.00%	64.00%					64.00%
Aggregate purchase price of preferred shares				2,900,000
Investment in preferred stock by outsider				$ 1,600,000		$ 1,600,000
Nanotope, Inc [Member]
Investment in Subsidiaries (Textual) [Abstract]
Percentage of outstanding shares	23.00%	23.00%					23.00%
Percentage of investment ownership	19.00%	19.00%					19.00%
Non-cash impairment charge	$ 1,400,000
Carrying value of the investment	0
Reserve against receivable	$ 1,900,000
Leonardo Biosystems Inc [Member]
Investment in Subsidiaries (Textual) [Abstract]
Percentage of outstanding shares	5.00%	5.00%					5.00%
Amount owed by subsidiary	$ 420,000	$ 420,000					$ 420,000

Discontinued Operations (Details) - USD ($)	1 Months Ended		9 Months Ended
Discontinued Operations (Details) - USD ($)	Jan. 31, 2011	Dec. 31, 2009	Jun. 30, 2012
Discontinued Operations (Textual) [Abstract]
Non cash consideration received in sale of interest in subsidiary	$ 5,000,000
Period of revenue milestones considered for contingent payment			10 years
Contingent amount to be received under discontinued business	$ 140,000,000
Upfront consideration of discontinued operation			$ 350,000
Reimbursements of patent and license expenses		$ 80,000

Notes Payable (Details) - USD ($)	9 Months Ended
Notes Payable (Details) - USD ($)	Jun. 30, 2012	Nov. 26, 2008
Notes Payable (Textual) [Abstract]
Unsecured Convertible Promissory Note Agreements		$ 2,500,000
Investment in notes offering		200,000
Additional investment in notes offering		600,000
Principal amount of note not converted into shares		$ 500,000
Offering note matured date	Nov. 26, 2013
New note interest rate		10.00%
New note terms	two times principal payment upon certain events
Offering note Maturity amount	$ 1,000,000
Offering note discount	$ 256,487
Series A Preferred Stock [Member] \| Calando [Member]
Notes Payable (Textual) [Abstract]
Conversion of notes and accrued interest in to share	2,950

Stockholders' Equity (Details)	Jun. 30, 2012 $ / Unit shares
Summary of information about warrants
Number of Warrants	2,427,993
Warrant 1 [Member]
Summary of information about warrants
Exercise prices \| $ / Unit	70.60
Number of Warrants	94,897
Remaining life of warrant	4 years 10 months 24 days
Warrant 2 [Member]
Summary of information about warrants
Exercise prices \| $ / Unit	20.00
Number of Warrants	386,400
Remaining life of warrant	1 year 1 month 6 days
Warrant 3 [Member]
Summary of information about warrants
Exercise prices \| $ / Unit	5.00
Number of Warrants	1,155,023
Remaining life of warrant	2 years 4 months 24 days
Warrant 4 [Member]
Summary of information about warrants
Exercise prices \| $ / Unit	5.09
Number of Warrants	461,024
Remaining life of warrant	2 years 4 months 24 days
Warrant 5 [Member]
Summary of information about warrants
Exercise prices \| $ / Unit	3.70
Number of Warrants	329,649
Remaining life of warrant	3 years 6 months
Warrant 6 [Member]
Summary of information about warrants
Exercise prices \| $ / Unit	4.16
Number of Warrants	1,000
Remaining life of warrant	4 years 6 months

Stockholders' Equity (Details Textual) - USD ($)	1 Months Ended			6 Months Ended	9 Months Ended		12 Months Ended			101 Months Ended	110 Months Ended
Stockholders' Equity (Details Textual) - USD ($)	Feb. 29, 2012	Oct. 31, 2011	Sep. 30, 2011	Jun. 30, 2012	Jun. 30, 2012	Jun. 30, 2011	Sep. 30, 2011	Sep. 30, 2010	Sep. 30, 2005	Sep. 30, 2011	Jun. 30, 2012	Oct. 24, 2011	Oct. 21, 2011	Oct. 04, 2011
Stockholders' Equity (Textual) [Abstract]
Preferred Convertible Stock, par value per share			$ 0.001	$ 0.001	$ 0.001		$ 0.001			$ 0.001	$ 0.001
Aggregate purchase price of preferred shares							$ (1,618,509)	$ (300,000)
Proceeds from issuance of common stock and warrants, net					$ 5,401,392	$ 57,163				$ 95,294,780	$ 100,696,172
Common stock issued, Shares			8,642,286	11,310,816	11,310,816		8,642,286			8,642,286	11,310,816
Stockholder's Equity (Additional Textual) [Abstract]
Capital stock authorized for issuance				150,000,000	150,000,000						150,000,000
Common stock, shares authorized			145,000,000	145,000,000	145,000,000		145,000,000			145,000,000	145,000,000
Common stock, par value			$ 0.001	$ 0.001	$ 0.001		$ 0.001			$ 0.001	$ 0.001		$ 0.001
Common stock, shares outstanding			8,642,286	11,310,816	11,310,816		8,642,286			8,642,286	11,310,816
Preferred stock, shares authorized			5,000,000	5,000,000	5,000,000		5,000,000			5,000,000	5,000,000
Preferred stock, par value			$ 0.001	$ 0.001	$ 0.001		$ 0.001			$ 0.001	$ 0.001
Preferred stock, shares outstanding			0	0	0		0			0	0
Reverse stock split					Company effected a 1 for 10 reverse stock split
Subscription Agreement [Member]
Stockholders' Equity (Textual) [Abstract]
Issuance and sold of Common Stock		675,000
Limited Liability Company [Member]
Stockholders' Equity (Textual) [Abstract]
Maximum equity commitment amount under agreement				$ 15,000,000	$ 15,000,000						$ 15,000,000
Equity commitment agreement period				36 months	36 months						36 months
Common stock issued, Shares				181,042	181,042						181,042
Weighted average price of common stock					$ 5.52
Common Stock [Member]
Stockholders' Equity (Textual) [Abstract]
Preferred stock converted to common stock, shares					275,782
Issuance and sold of Common Stock		138,158	1,458,917		8,011		8,656	225,189	1,250
Sale of stock, price per share			$ 3.80	$ 3.70	$ 3.70		$ 3.80			$ 3.80	$ 3.70			$ 3.80
Proceeds from issuance of common stock and warrants, net		$ 525,000					$ 4,500,000
Aggregate purchase price on issuance of common stock to be received		2,497,500
Common Stock [Member] \| Scenario, Forecast [Member]
Stockholders' Equity (Textual) [Abstract]
Proceeds from issuance of common stock and warrants, net				$ 1,000,000
Series A Preferred Stock [Member]
Stockholders' Equity (Textual) [Abstract]
Preferred stock converted to common stock, shares	275,782
Preferred Convertible Stock, par value per share												$ 0.001
Aggregate purchase price of preferred shares		$ 1,015,000
Number of shares converted in common stock					1,015
Sale of stock, price per share												1,000
Stockholder's Equity (Additional Textual) [Abstract]
Preferred stock, par value												$ 0.001
Series A Preferred Stock [Member] \| Subscription Agreement [Member]
Stockholders' Equity (Textual) [Abstract]
Issuance and sold of Common Stock		1,015
2000 Stock Option Plan [Member]
Stockholders' Equity (Textual) [Abstract]
Share reserve for issuance				153,200	153,200						153,200
2004 Equity Incentive Plan [Member]
Stockholders' Equity (Textual) [Abstract]
Share reserve for issuance				1,965,860	1,965,860						1,965,860

Leases (Details)	Jun. 30, 2012 USD ($)
Future minimum lease payments under capitalized leases
2012	$ 64,211
2013	256,846
2014	256,846
2015	256,846
2016	256,846
2017 and thereafter	620,710
Less interest	(162,345)
Principal	1,549,960
Less current portion	213,196
Noncurrent portion	$ 1,336,764

Leases (Details 1)	Jun. 30, 2012 USD ($)
Future minimum lease payments under operating leases
2012	$ 78,180
2013	370,328
2014	434,638
2015	446,343
2016	458,396
2017 and thereafter	940,018
Total	$ 2,727,903

Leases (Details Textual) - USD ($)	1 Months Ended			9 Months Ended
Leases (Details Textual) - USD ($)	Aug. 31, 2012	Jun. 30, 2012	Apr. 30, 2011	Jun. 30, 2012	Jun. 30, 2011
Leases (Textual) [Abstract]
Rental expense	$ 13,000		$ 8,000	$ 3,990,057
Rental expenses include common area maintenance and real estate taxes		$ 13,000
Utilities costs		16,000
Increase in total monthly expenditures				72,000
Facility and equipment rent expense				$ 345,000	$ 141,000
Roche [Member]
Leases (Textual) [Abstract]
Rental expense		22,000
Payments under a capitalized lease		$ 21,000

Stock-Based Compensation (Details) - USD ($)	1 Months Ended	9 Months Ended		12 Months Ended
Stock-Based Compensation (Details) - USD ($)	Jun. 30, 2012	Jun. 30, 2012	Jun. 30, 2011	Sep. 30, 2011
Summarize information about stock options
Number of options outstanding, beginning balance		729,096	812,334	812,334
Number of options outstanding, granted		924,500	0	20,000
Number of options outstanding, cancelled		(42,919)		(100,539)
Number of options outstanding, exercised		(4,583)	0	(2,699)
Number of options outstanding, ending balance	1,606,094	1,606,094		729,096
Weighted average exercise price per share, beginning balance		$ 9.03	$ 10.62	$ 10.62
Weighted average exercise price per share, granted		4.96		5.86
Weighted average exercise price per share, cancelled		11.77		21.32
Weighted average exercise price per share, exercised		5.20		5.10
Weighted average exercise price per share, ending balance	$ 6.63	$ 6.63		$ 9.03
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm2		8 years 1 month 6 days
Aggregate intrinsic value	$ 0	$ 0
Number of option outstanding, exercisable	712,283	712,283
Weighted average exercise price per share, exercisable	$ 8.25	$ 8.25
Weighted average remaining contractual term, exercisable	6 years 6 months
Aggregate intrinsic value, exercisable	$ 0	$ 0

Stock-Based Compensation (Details 1) - $ / shares	9 Months Ended
Stock-Based Compensation (Details 1) - $ / shares	Jun. 30, 2012	Jun. 30, 2011
Schedule of fair value option award
Dividend yield
Risk-free interest rate minimum	0.90%
Risk-free interest rate maximum	1.70%
Risk-free interest rate		2.90%
Volatility minimum	90.00%
Volatility maximum	100.00%
Volatility		100.00%
Expected life (in years)	6 years 3 months	6 years 3 months
Weighted average grant date fair value per share of options granted	$ 3.79	$ 5.20

Stock-Based Compensation (Details Textual) - USD ($)	3 Months Ended		6 Months Ended	9 Months Ended		12 Months Ended	110 Months Ended
Stock-Based Compensation (Details Textual) - USD ($)	Jun. 30, 2012	Jun. 30, 2011	Mar. 31, 2012	Jun. 30, 2012	Jun. 30, 2011	Sep. 30, 2011	Jun. 30, 2012	Sep. 30, 2010
Stock-Based Compensation (Textual) [Abstract]
Options granted and outstanding to purchase	1,606,094			1,606,094		729,096	1,606,094	812,334
Options granted				924,500	0	20,000
Stock-based compensation expense				$ 837,188	$ 1,078,951
Stock-based compensation expense in discontinued operations				0	27,519
Provision for income taxes			$ 0
Fair value of the options granted				3,505,912	$ 62,964
Intrinsic value of the options exercised				$ 0
Stock options exercised				(4,583)	0	(2,699)
Weighted average period to recognize pre-tax compensation expense				3 years 2 months 12 days		2 years 8 months 12 days
Calando Pharmaceuticals, Inc [Member]
Stock-Based Compensation (Textual) [Abstract]
Options granted					0
Fair value of the options granted				$ 33,690
Pre-tax compensation expense	72,876			72,876			72,876
Arrowhead [Member]
Stock-Based Compensation (Textual) [Abstract]
Pre-tax compensation expense	$ 3,547,601			$ 3,547,601			$ 3,547,601
2000 Stock Option Plan [Member]
Stock-Based Compensation (Textual) [Abstract]
Share reserve for issuance	153,200			153,200		0	153,200
Options granted and outstanding to purchase	153,200			153,200			153,200
2004 Equity Incentive Plan [Member]
Stock-Based Compensation (Textual) [Abstract]
Share reserve for issuance	1,965,860			1,965,860			1,965,860
Options granted and outstanding to purchase	1,201,694			1,201,694			1,201,694
Options granted				660,000

Fair Value Measurements & Derivative Instruments (Details) - USD ($)	Jun. 30, 2012	Sep. 30, 2011
Fair value measurements for assets and liabilities measured at fair value on a recurring basis
Derivative assets	$ 312,250	$ 161,125
Fair Value, Measurements, Recurring [Member]
Fair value measurements for assets and liabilities measured at fair value on a recurring basis
Cash and cash equivalents	2,282,641	7,507,389
Marketable securities	108,965	634,585
Derivative assets	312,250	161,125
Derivative liabilities	869,766	944,980
Level 1 [Member] \| Fair Value, Measurements, Recurring [Member]
Fair value measurements for assets and liabilities measured at fair value on a recurring basis
Cash and cash equivalents	2,282,641	7,507,389
Marketable securities	108,965	634,585
Level 2 [Member] \| Fair Value, Measurements, Recurring [Member]
Fair value measurements for assets and liabilities measured at fair value on a recurring basis
Cash and cash equivalents
Marketable securities
Derivative assets
Derivative liabilities
Level 3 [Member] \| Fair Value, Measurements, Recurring [Member]
Fair value measurements for assets and liabilities measured at fair value on a recurring basis
Derivative assets	312,250	161,125
Derivative liabilities	$ 869,766	$ 944,980

- Definition

This element represents the portion of the balance sheet assertion valued at fair value by the entity whether such amount is presented as a separate caption or as a parenthetical disclosure. Additionally, this element may be used in connection with the fair value disclosures required in the footnote disclosures to the financial statements. The element may be used in both the balance sheet and disclosure in the same submission. This item includes currency on hand as well as demand deposits with banks or financial institutions. It also includes other kinds of accounts that have the general characteristics of demand deposits in that the Company may deposit additional funds at any time and also effectively may withdraw funds at any time without prior notice or penalty. Cash equivalents, excluding items classified as marketable securities, include short-term, highly liquid investments that are both readily convertible to known amounts of cash, and so near their maturity that they present minimal risk of changes in value because of changes in interest rates. Generally, only investments with original maturities of three months or less qualify under that definition. Original maturity means original maturity to the entity holding the investment. For example, both a three-month US Treasury bill and a three-year Treasury note purchased three months from maturity qualify as cash equivalents. However, a Treasury note purchased three years ago does not become a cash equivalent when its remaining maturity is three months.

+ References + Details

- Definition

Fair values as of the balance sheet date of all assets resulting from contracts that meet the criteria of being accounted for as derivative instruments which are expected to exist longer than one year or beyond the normal operating cycle, if longer, net of the effects of master netting arrangements.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 10
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=7491637&loc=d3e13433-108611

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 45
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6945355&loc=d3e41271-113958

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 45
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6945355&loc=d3e41228-113958

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=7491637&loc=d3e13495-108611

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name FASB Staff Position (FSP)
-Number FIN39-1
-Paragraph 10A, 10B
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 43
-Section A
-Paragraph 4
-Chapter 3
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 133
-Paragraph 4, 17
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 10
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

- Definition

+ References + Details

Fair Value Measurements & Derivative Instruments (Details 1) - Derivative Assets [Member]	9 Months Ended
	Jun. 30, 2012
Assumptions used in valuing the derivative asset
Risk free interest rate	0.33%
Expected life	1 year 7 months 6 days
Dividend yield
Volatility	72.00%

Fair Value Measurements & Derivative Instruments (Details 2)	9 Months Ended
	Jun. 30, 2012 USD ($)
Reconciliation of the derivative asset
Value at October 1, 2011	$ 161,125
Receipt of instruments
Increase in value	151,125
Net settlements
Value at June 30, 2012	$ 312,250

Fair Value Measurements & Derivative Instruments (Details 3) - Warrant [Member]	9 Months Ended
	Jun. 30, 2012
Assumptions used in valuing the derivative liability
Risk free interest rate	0.41%
Expected life	3 years 6 months
Dividend yield
Volatility	100.00%

Fair Value Measurements & Derivative Instruments (Details 4)	9 Months Ended
	Jun. 30, 2012 USD ($)
Reconciliation of the derivative liability related to these warrants
Change in value	$ (74,330)
Warrant [Member]
Reconciliation of the derivative liability related to these warrants
Value at September 30, 2011	907,233
Receipt of instruments
Change in value	(74,330)
Net settlements
Value at June 30, 2012	$ 832,903

Fair Value Measurements & Derivative Instruments (Details 5) - Exchange Rights [Member]	9 Months Ended
	Jun. 30, 2012
Assumptions used in valuing the derivative liability
Risk free interest rate	0.72%
Expected life	5 years 6 months
Dividend yield
Volatility	100.00%

Fair Value Measurements & Derivative Instruments (Details 6)	9 Months Ended
	Jun. 30, 2012 USD ($)
Reconciliation of the derivative liability
Change in value	$ (74,330)
Exchange Rights [Member]
Reconciliation of the derivative liability
Value at September 30, 2011	30,892
Receipt of instruments
Change in value	(7,312)
Net settlements
Value at June 30, 2012	$ 23,580

Fair Value Measurements & Derivative Instruments (Details Textual)	1 Months Ended	9 Months Ended
	Jan. 31, 2011 USD ($) $ / shares	Jun. 30, 2012 USD ($) shares	Sep. 30, 2011 USD ($)	Jun. 30, 2011 USD ($)	Jun. 17, 2010 shares
Fair Value Measurements & Derivative Instruments (Textual) [Abstract]
Non cash consideration received in sale of interest in subsidiary, bonds	$ 2,500,000
Gain from change in value of the derivative asset		$ 151,125
Warrants issued to acquire common stock \| shares					329,649
Non cash gain (loss) from change in fair value of derivative liability		$ (74,330)
Duration of bond		7 years
Unidym, Inc [Member]
Fair Value Measurements & Derivative Instruments (Textual) [Abstract]
Non cash consideration received in sale of interest in subsidiary, bonds	$ 2,500,000
Bond convertible conversion price \| $ / shares	$ 2.00
Derivative fair value related to third party		$ 13,282	$ 6,854	$ 26,310
Gain from change in value of the derivative asset, net of the derivative liability		144,697
Gain from change in value of the derivative asset		151,125
Ablaris Therapeutics, Inc [Member]
Fair Value Measurements & Derivative Instruments (Textual) [Abstract]
Non cash gain (loss) from change in fair value of derivative liability		$ 7,312
Exchange right convertible conversion ratio for first year		0.0006
Exchange right convertible conversion ratio for two year		0.0004
Exchange right convertible conversion ratio for three year		0.0003
Exchange right convertible conversion ratio for four year		0.0002
Exchange right convertible conversion ratio for five year		0.0001
Number of shares sold, acquired by way of of conversion of bond \| shares		675,000

Related Party Transactions (Details) - USD ($)	1 Months Ended	9 Months Ended	12 Months Ended
Related Party Transactions (Details) - USD ($)	Aug. 31, 2010	Jun. 30, 2012	Sep. 30, 2011	Sep. 30, 2010
Related Party Transactions (Textual) [Abstract]
Remuneration of Vincent Anzalone		$ 90,000	$ 120,000	$ 20,000
Monthly remuneration of employee	$ 10,000
Nanotope, Inc [Member]
Related Party Transaction [Line Items]
Shares owned by Arrowhead's President and CEO		1,395,900
Percentage of outstanding voting securities owned by Arrowhead's President and CEO		14.20%

Subsequent Events (Details) $ / shares in Units, Units in Millions, $ in Millions	9 Months Ended
	Jun. 30, 2012 USD ($) Units $ / Unit $ / shares shares
Subsequent Events [Abstract]
Date of selling units in registered offering	August 13, 2012
Units sold in registered offering to institutional and individual investors \| Units	2.3
Selling price per unit sold in registered offering \| $ / Unit	2.76
Unit sold, description	Each unit consisted on one share of Arrowhead Common Stock and a warrant
Number of shares that can be purchased by a warrant \| shares	0.75
Common stock exercisable price \| $ / shares	$ 3.25
Gross proceeds from registered offerings	$ 6.2
Net proceeds from registered offerings after deducting commissions and fees	$ 5.8

Label	Element	Value
Stock issuance cost charged to additional paid-in capital	us-gaap_AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts	$ 168,000
Retained Earnings [Member]
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest	us-gaap_ProfitLoss	(95,238)
Stock Issuance Cost Charged to Additional Paid in Capital [Member] \| Additional Paid In Capital [Member]
Stock issuance cost charged to additional paid-in capital	us-gaap_AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts	168,000
Issued for Cash at Ten Dollar Per Unit [Member]
Stock issued during period, value, new issues	us-gaap_StockIssuedDuringPeriodValueNewIssues	1,680,000
Issued for Cash at Ten Dollar Per Unit [Member] \| Additional Paid In Capital [Member]
Stock issued during period, value, new issues	us-gaap_StockIssuedDuringPeriodValueNewIssues	$ 1,678,320
Issued for Cash at Ten Dollar Per Unit [Member] \| Common Stock [Member]
Stock issued during period, shares, new issues	us-gaap_StockIssuedDuringPeriodSharesNewIssues	168,000
Stock issued during period, value, new issues	us-gaap_StockIssuedDuringPeriodValueNewIssues	$ 1,680
Issued for Cash at Zero Point Zero One Dollars Per Unit [Member]
Stock issued during period, value, new issues	us-gaap_StockIssuedDuringPeriodValueNewIssues	$ 3,000
Issued for Cash at Zero Point Zero One Dollars Per Unit [Member] \| Common Stock [Member]
Stock issued during period, shares, new issues	us-gaap_StockIssuedDuringPeriodSharesNewIssues	300,000
Stock issued during period, value, new issues	us-gaap_StockIssuedDuringPeriodValueNewIssues	$ 3,000