Quarterly report pursuant to Section 13 or 15(d)

WARRANTS

v3.10.0.1
WARRANTS
3 Months Ended
Jun. 30, 2018
Warrants and Rights Note Disclosure [Abstract]  
Shareholders Equity And Share Based Payments Stock Warrant [Text Block]
12.
WARRANTS
 
The following is a continuity schedule of the Company’s common share purchase warrants:
 
   
Number of Warrants
   
Weighted-Average

Exercise Price ($)
 
Outstanding and exercisable, March 31, 2015     10,823,450       1.35  
Issued     7,225,625       1.35  
Exercised     (148,787 )     (0.80 )
Outstanding and exercisable, March 31, 2016     17,900,288       1.35  
Exercised     (262,045 )     (0.80 )
Outstanding and exercisable, March 31, 2017     17,638,243       1.35  
Exercised     (5,000,172 )     0.25  
Issued in connection with anti-dilution provision connected to warrant transaction     83,752       0.749  
Issued in connection with anti-dilution provision connected to warrant transaction     941,191       1.2933  
Issued in connection to the warrant transaction to the broker     400,014       0.25  
Issued in connection with the conversion of loans and interest into common shares     16,006,322       0.0625  
Issued in connection with the conversion of loans and interest into common shares     2,348,587       0.60  
Issued in connection with anti-dilution provision connected to warrant transaction     20,458,058       0.4868  
Issued in connection with anti-dilution provision connected to warrant transaction     2,019,583       0.2952  
Outstanding at June 30, 2018 and March 31, 2018     54,895,578       0.3546  
 
During the year ended March 31, 2018, the Company consummated an offer to amend and exercise its outstanding warrants, enabling the holders of the warrants to exercise such warrants for $0.25 per share. The Company received net proceeds of $1,125,038. The Company also converted loans and interest due.
 
Due to an anti-dilution clause in the warrant agreement for such outstanding warrants, an additional 83,752 warrants were issued to the $0.80 warrant holders and 941,191 warrants were issued to the $1.40 warrant holders. Furthermore, as a result of the anti-dilution clause, the exercise price of the warrants changed from $0.80 to $0.7490 and from $1.40 to $1.2933.
 
Due to the anti-dilution clause in the warrant agreements for such outstanding warrants, an additional 2,019,583 warrants were issued to the $0.7499 warrant holders and 20,458,058 warrants were issued to the $1.2933 warrant holders. Furthermore, as a result of the anti-dilution clause, the exercise price of the warrants changed from $0.749 to $0.2952 and from $1.2933 to $0.4868 as a result of the loan and interest conversion for shares that have been issued at March 31, 2018 and shares that were issued on June 12, 2018.
 
The Company measured the effects of the above two transactions, which triggered anti-dilution clause using the binomial tree model and recorded a loss of $74,086 against the deficit for the year ended March 31, 2018.
 
The Company issued 400,014 warrants at $0.25 for four years expiring June 27, 2020 to the firm who facilitated the warrant offer.
 
The Company issued 2,348,587 warrants at $0.60 which expire in 5 years on March 31, 2023 and 16,006,322 warrants at $0.0625 which also expire March 31, 2023 in connection with the loan and interest conversion transaction.
 
Common share purchase warrants
 
The following is a summary of common share purchase warrants as of June 30, 2018:
 
Exercise
Price ($)
   
Number of
Warrants
   
 
Expiry Date
  0.60       2,348,587     March 31, 2023
  0.4868       15,603,103     February 26, 2019
  0.4868       3,265,093     March 27, 2019
  0.4868       871,813     March 31, 2019
  0.4868       6,759,081     April 21, 2019
  0.4868       3,191,037     May 27,2019
  0.4868       3,117,199     June 30, 2019
  0.2952       3,333,328     February 26, 2019
  0.25       400,014     June 27, 2020
  0.0625       9,603,842     August 14, 2022
  0.0625       6,402,481     March 31, 2022
          54,895,578      
 
The weighted-average remaining contractual term of the outstanding warrants was 2.01 (March 31, 2018 – 2.27).
 
The exercise price and number of underlying shares with respect the $0.4868 and $0.2952 warrants are expected to be further adjusted pursuant to the anti-dilution provisions therein, as a result of any further common share issuances.