Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Sep. 30, 2015 | Nov. 16, 2015 | |
Document And Entity Information | ||
Entity Registrant Name | Algae Dynamics Corp. | |
Entity Central Index Key | 1,607,679 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2015 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --03-31 | |
Is Entity a Well-known Seasoned Issuer? | No | |
Is Entity a Voluntary Filer? | No | |
Is Entity's Reporting Status Current? | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 9,318,910 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2,016 |
Condensed Interim Balance Sheet
Condensed Interim Balance Sheets (Unaudited) - CAD | Sep. 30, 2015 | Mar. 31, 2015 |
Current Assets | ||
Cash | CAD 3,598 | CAD 3,084 |
Prepaid expenses | 71,499 | 5,519 |
Amounts receivable from shareholder (Note 11) | 30,902 | 29,967 |
Amounts receivable | 5,221 | 10,046 |
Total Current Assets | 111,220 | 48,616 |
Equipment and leasehold improvements (Note 3) | 68,623 | 77,500 |
Intangible assets (Note 4) | 15,970 | 15,970 |
Total Assets | 195,813 | 142,086 |
Current Liabilities | ||
Accounts payable and accrued liabilities (Note 11) | 200,628 | 161,877 |
Advances from shareholders (Note 5) | 380,670 | 367,267 |
Term Loan (Note 6) | 30,000 | 0 |
Convertible Note (Note 7) | 8,184 | 0 |
Warrant liability (Note 8b) | 348,665 | 364,878 |
Total Current Liabilities | 968,147 | 894,022 |
STOCKHOLDERS' (DEFICIENCY) | ||
Common stock (Note 8a), $Nil par value, unlimited amount authorized, 9,318,910 issued and outstanding as of September 30, 2015, (March 31, 2015 - 9,256,410) | 626,327 | 542,323 |
Additional paid in capital (Note 8c) | 532,954 | 324,916 |
Warrants (Note 8b) | 190,198 | 190,198 |
Accumulated deficit | (2,121,813) | (1,809,373) |
Total Stockholders' (Deficiency) | (772,334) | (751,936) |
Total Liabilities and Stockholders' (Deficiency) | CAD 195,813 | CAD 142,086 |
Condensed Interim Balance Shee3
Condensed Interim Balance Sheets (Unaudited) (Parenthetical) - CAD / shares | Sep. 30, 2015 | Mar. 31, 2015 |
Statement of Financial Position [Abstract] | ||
Common Stock Par Value | CAD 0 | CAD 0 |
Common Stock Authorized | ||
Common Stock Issued | 9,318,910 | 9,256,410 |
Common Stock Outstanding | 9,318,910 | 9,256,410 |
Condensed Interim Statements of
Condensed Interim Statements of Operations and Comprehensive Loss (Unaudited) - CAD | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
OPERATING EXPENSES | ||||
Accretion expense (Note 7) | CAD 2,076 | CAD 0 | CAD 2,076 | CAD 0 |
Amortization expense (Note 3) | 4,440 | 4,840 | 8,878 | 8,676 |
Business development | 4,960 | 10,711 | 7,665 | 15,813 |
Foreign Exchange loss | 1,046 | 0 | 1,046 | 0 |
Interest | 3,185 | 0 | 5,016 | 0 |
Management and contract fees | 0 | 90,875 | 0 | 119,875 |
Occupancy costs | 8,105 | 10,784 | 15,949 | 21,484 |
Office and general | 1,793 | 10,226 | 2,461 | 15,783 |
Professional fees (Note 8b) | 57,912 | 160,411 | 70,901 | 355,967 |
Research and development | 993 | 8,331 | 1,797 | 14,538 |
Stock based compensation (Note 8c) | 112,976 | 0 | 188,026 | 0 |
Telephone and internet services | 3,444 | 3,359 | 6,801 | 6,324 |
Travel | 6,028 | 1,653 | 9,039 | 8,138 |
Total Operating Expenses | 206,958 | 301,190 | 319,655 | 566,598 |
Operating Loss | 206,958 | 301,190 | 319,655 | 566,598 |
Deferred income tax recovery | (7,215) | 0 | (7,215) | 0 |
Net Loss and Comprehensive Loss for the period | CAD 199,743 | CAD 301,190 | CAD 312,440 | CAD 566,598 |
Net loss per common share - | ||||
Basic and diluted | CAD 0.02 | CAD 0.03 | CAD 0.03 | CAD 0.06 |
Weighted average common shares outstanding - basic and diluted | 9,279,779 | 9,207,010 | 9,268,568 | 8,899,320 |
Condensed Interim Statements o5
Condensed Interim Statements of Stockholders' Equity (Deficiency) (Unaudited) - 6 months ended Sep. 30, 2015 - CAD | Common Stock | Warrants | Additional Paid-In Capital | Accumulated Deficit | Total |
Beginning Balance, Shares at Mar. 31, 2015 | 9,256,410 | ||||
Beginning Balance, Amount at Mar. 31, 2015 | CAD 542,323 | CAD 190,198 | CAD 324,916 | CAD (1,809,373) | CAD (751,936) |
Warrants exercised, Amount | CAD 596 | 596 | |||
Warrants exercised, Shares | 12,500 | ||||
Warrant liability valuation transferredon exercise, Amount | CAD 16,213 | 16,213 | |||
Warrant liability valuation transferredon exercisem, Shares | |||||
Stock options (Note 8c) | CAD 188,026 | 188,026 | |||
Shares issued (Note 12), Amount | CAD 67,195 | 67,195 | |||
Shares issued (Note 12), Shares | 50,000 | ||||
Conversion feature of convertible note, net of deferred income taxes of $7,216 (Note 7) | CAD 20,012 | 20,012 | |||
Net loss and comprehensive lossfor the period | CAD (312,440) | (312,440) | |||
Ending Balance, Amount at Sep. 30, 2015 | CAD 626,327 | CAD 190,198 | CAD 532,954 | CAD (2,121,813) | CAD (772,334) |
Ending Balance, Shares at Sep. 30, 2015 | 9,318,910 |
Condensed Interim Statements o6
Condensed Interim Statements of Stockholders' Equity (Deficiency) (Unaudited) (Parenthetical) - CAD | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Statement of Stockholders' Equity [Abstract] | ||||
Deferred income taxes | CAD 7,215 | CAD 0 | CAD 7,215 | CAD 0 |
Condensed Statements of Cash Fl
Condensed Statements of Cash Flows (Unaudited) - CAD | 6 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Operating activities | ||
Net loss for the period | CAD (312,440) | CAD (566,598) |
Items not affecting cash | ||
Amortization | 8,878 | 8,676 |
Stock based compensation (Notes 8b and 8c) | 188,026 | 256,590 |
Deferred income tax recovery | (7,215) | 0 |
Accretion expense | 2,076 | 0 |
Unrealized foreign exchange loss | 1,046 | 0 |
Change in non-cash operating assets and liabilities | ||
Prepaid expenses | 1,215 | 7,173 |
Accounts receivable | 4,825 | (17,249) |
Accounts payable | 38,751 | 47,451 |
Net cash flows used in operating activities | (74,838) | (263,957) |
Financing activities | ||
Advances from shareholders | 12,468 | (6,469) |
Term Loan | 30,000 | 0 |
Convertible Note | 32,288 | 0 |
Unit subscriptions received | 0 | 319,680 |
Unit issue costs | 0 | (1,500) |
Warrants exercised | 596 | 0 |
Net cash flows from financing activities | 75,352 | 311,711 |
Investing activities | ||
Investment in equipment and leasehold improvements | 0 | (50,322) |
Investment in patents | 0 | (5,893) |
Net cash flows used in investing activities | 0 | (56,215) |
Net change in cash | 514 | (8,461) |
Cash position - beginning of period | 3,084 | 64,674 |
Cash position - end of period | CAD 3,598 | CAD 56,213 |
1. Nature of the Business and G
1. Nature of the Business and Going Concern | 6 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
1. Nature of the Business and Going Concern | Algae Dynamics Corp. (the Company) was incorporated under the Canada Business Corporations Act on October 7, 2008 as Converted Carbon of Canada Corp. On November 19, 2010, the Company amended its Articles of Incorporation to change its name to Converted Carbon Technologies Corp. and a further amendment was approved by the shareholders on August 28, 2014 to change the name to Algae Dynamics Corp. The Company is a nutrient ingredient company and has developed a scalable Pure-BioSilo for sanitary cultivation of microalgae targeted to the functional food and beverage additives and supplement markets. The Companys planned principal operations are the design, engineering and manufacturing of a proprietary algae cultivation system for the high volume production of pure contaminant-free algae biomass. The Company is currently conducting research and development activities to operationalize certain patented technology so it can produce pure contaminate-free algae biomass. During the year ended March 31, 2014, the Company secured a research facility in Mississauga, Ontario, which houses all of its employees and research and development activities. The Company is also in the process of raising additional equity capital to support the completion of its development activities to begin production of pure contaminate-free algae biomass as soon as possible. The Company filed a Form S-1 registration Statement with the U.S Securities and Exchange Commission (SEC) as an initial registration of common shares. The registration was declared effective by the SEC on November 21, 2014. In addition, the Company had an application for a trading symbol cleared by FINRA as ADYNF on July 17, 2015. The Companys activities are subject to significant risks and uncertainties, including failing to obtain patents and failing to secure additional funding to operationalize the Companys current technology before another company develops similar technology. These condensed interim financial statements have been prepared on the basis of a going concern, which contemplates the realization of assets and the settlement of liabilities in the normal course of business. The Company is in the development stage and has not yet realized profitable operations and has relied on non-operational sources to fund operations. The Company has suffered recurring losses and additional future losses are anticipated as the Company has not yet been able to generate revenue. In addition, as of September 30, 2015, the Company has a working capital deficiency of $856,927 (March 31, 2015 - $845,406) and an accumulated deficit of $2,121,813 (March 31, 2015 - $1,809,373). The Companys ability to continue as a going concern is dependent on successfully executing its business plan, which includes the raising of additional funds. The Company will continue to seek additional forms of debt or equity financing, but it cannot provide assurances that it will be successful in doing so. These circumstances raise substantial doubt as to the ability of the Company to meet its obligations as they come due and accordingly, the appropriateness of the use of accounting principles applicable to a going concern. The accompanying condensed interim financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. Such adjustments could be material. |
2. Presentation of Financial St
2. Presentation of Financial Statements | 6 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
2. Presentation of Financial Statements | Basis of Presentation These unaudited condensed interim financial statements should be read in conjunction with the financial statements for the Companys most recently completed fiscal year ended March 31, 2015. These condensed interim financial statements do not include all disclosures required in annual financial statements, but rather are prepared in accordance with recommendations for interim financial statements in conformity with accounting principles generally accepted in the United States of America ("U.S. GAAP"). These unaudited condensed interim financial statements have been prepared using the same accounting policies, and methods as those used by the Company in the annual audited financial statements for the year ended March 31, 2015, except when disclosed below. The unaudited condensed interim financial statements contain all adjustments (consisting of only normal recurring adjustments) which are necessary to present fairly the financial position of the Company as at September 30, 2015, and the results of its operations for the three and six month periods ended September 30, 2015 and 2014 and its cash flows for the six month periods ended September 30, 2015 and 2014. Note disclosures have been presented for material updates to the information previously reported in the annual audited financial statements. In June 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2014-10 ASU 2014-10 to eliminate certain financial reporting requirements for development stage entities. The amendments in ASU 2014-10 remove the incremental financial reporting requirements from US GAAP for development stage entities, including the presentation of inception-to-date information in the statements of income, cash flows and shareholder equity, and disclosure of the financial statements as those of a development stage entity. The Company has chosen to early adopt these amendments effective for its fiscal year ended March 31, 2013 and onwards. Estimates The preparation of these condensed interim financial statements has required management to make estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of the revenues and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including those related to provision for doubtful accounts, accrued liabilities and contingencies and the valuation of income taxes, stock based compensation, warrants, convertible debt and intangible assets. The Company bases its estimates on historical experiences and on various other assumptions believed to be reasonable under the circumstances. Actual results could differ from those estimates. As adjustments become necessary, they are reported in earnings in the period in which they become known. |
3. Equipment and Leasehold Impr
3. Equipment and Leasehold Improvements | 6 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
3. Equipment and Leasehold Improvements | September 30, 2015 March 31, 2015 Cost Accumulated Amortization Cost Accumulated Amortization Computer equipment $ 3,558 $ 1,774 $ 3,558 $ 1,459 Production equipment 67,367 22,784 67,367 17,831 Leasehold improvements 33,649 11,393 33,649 7,784 Total $ 104,574 $ 35,951 $ 104,574 $ 27,074 Net carrying amount $ 68,623 $ 77,500 During the six month periods ended September 30, 2015, the Company recorded total amortization of $8,878 (2014 - $8,676) which was recorded to amortization expense on the statements of operations. |
4. Intangible Assets
4. Intangible Assets | 6 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
4. Intangible Assets | The Company has patents and patents pending with a cost of $15,970 as at September 30, 2015 (March 31, 2015 - $15,970) that are not currently being amortized and accordingly, the Company did not record amortization expense relating to its intangible assets for the six month periods ended September 30, 2015 and 2014. |
5. Advances from Shareholders
5. Advances from Shareholders | 6 Months Ended |
Sep. 30, 2015 | |
Advances From Shareholders | |
5. Advances from Shareholders | As at September 30, 2015, the Company had received cumulative working capital advances in the amount of $380,670 (March 31, 2015 - $367,267) from two shareholders who are also officers and directors of the Company. These advances are unsecured, non-interest bearing and payable upon demand. |
6. Term Loan
6. Term Loan | 6 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
6. Term Loan | On May 6, 2015, the Company agreed to a one year term loan (maturing May 5, 2016). The loan bears interest at 12% per annum paid quarterly. The loan is secured by 40,000 common shares of the Company personally held and equally pledged by two of the founding shareholders. The face value of the loan is $33,000. The carrying value of the loan was recorded net of $3,000 of transaction costs. The resulting fair value is accreted to face value through the recording of accretion expense until maturity using the effective interest rate of 21%. |
7. Convertible Note
7. Convertible Note | 6 Months Ended |
Sep. 30, 2015 | |
Payables and Accruals [Abstract] | |
7. Convertible Note | On September 2, 2015, the Company entered into a convertible note with a principal amount of USD$25,000 ($32,288). The convertible note matures on September 1, 2016 and accrues interest at the rate of 12% per annum. The convertible note is convertible at any time after six months, in whole or in part, at the Holders option into common shares of the Companys capital stock at a variable conversion price equal to a 45% discount from the lowest trading price in the twenty (20) trading days prior to the day that the holders requests conversion. The beneficial conversion feature was recognized separately at issuance by allocating a portion of the proceeds equal to the intrinsic value of that feature to additional paid-in capital in accordance with ASC 470-20. The intrinsic value at issuance was $27,227. The issuance of convertible debt with a beneficial conversion feature results in a tax basis difference. The recognition of deferred taxes for the temporary difference of the convertible debt with a beneficial conversion feature is recorded as an adjustment to additional paid-in capital. A deferred income tax liability of $7,215 was recognized upon the issuance of the convertible note. The discount to the carrying value for the convertible note is being amortized as a non-cash interest expense over the term of the convertible note using the effective interest rate method, at a rate of 93%. During the three and six months periods ended September 30, 2015, the Company accreted $2,076 and $2,076, respectively (2014 - $Nil and $Nil, respectively) in non-cash accretion expense in connection with the convertible note, which is included in accretion expense on the condensed interim statements of operations and comprehensive loss. |
8. Capital Stock
8. Capital Stock | 6 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
8. Capital Stock | (a) Common Shares Authorized The Company is authorized to issue an unlimited number of common shares with no par value. Issued and Outstanding On June 25, 2015, 12,500 common shares purchase warrants were exercised at USD$0.04 ($0.048) per warrant for total cash proceeds of USD$500 ($596). Equity Purchase Agreement On September 10, 2015 the Company entered into an equity purchase agreement (the EPA). The holder of the EPA is committed to purchase up to USD$750,000 worth of the Companys common shares (the Put Shares) over the 12 month term of the EPA. The Company paid to the holder of the EPA a commitment fee for entering into the EPA equal to 50,000 restricted common shares of the Company, valued at $67,195, based on the stock price in the most recent private placement. From time to time over the EPA, commencing on the trading day immediately following the date on which the registration statement covering the resale of the Put Shares (the Registration Statement) is declared effective by the Securities and Exchange Commission (the Commission), the Company may, in its sole discretion, draw upon the EPA periodically during the term by the Companys delivery to the holder of the EPA a written notice requiring the holder to purchase a dollar amount in common shares (the Draw Down Notice). The shares issuable pursuant to a Draw Down Notice, when aggregated with the shares then held by the Holder on the date of the draw Down may not exceed the lessor of (i) 4.99% of the Companys outstanding common shares, (ii) USD$62,500 in any 30 days period or (iii) 100% of the aggregate trading volume for the 10 trading days immediately preceding the date of the Draw down Notice without the prior written consent of the holder. The purchase price per common share purchased under the EPA shall equal 65% of the lowest closing bid for the 10 days immediately preceding the date of the Draw down Notice. The Registration Statement was filed with the Commission on October 1, 2015 and to-date it has not been declared effective by the Commission. (b) Warrants Expiry Date Number of Warrants Grant Date Average Exercise Price Weighted Average Exercise Equity Grant Date Fair Value Equity Fair Value at September 30, 2015 of Vested Warrents - Liability June 6, 2016 300,383 300,383 $ 2.24 * $ 170,908 $ - June 7, 2016 5,000 5,000 $ 1.12 3,180 - June 6, 2017 22,500 22,500 $ 1.12 16,110 - April 1, 2017 587,500 262,500 USD $0.04 - 340,462 $ (0.054 ) October 22, 2016 3,350 3,350 USD $1.50 - 1,990 $ (2.01 ) November 30, 2016 8,850 8,850 USD $2.00 - 6,213 $ (2.68 ) 927,583 $ 602,583 0.83 $ 190,198 $ 348,665 *Exercisable at $1.68 during the first year and at $2.24 during the second year. i) In connection with a consulting agreement (see Note 10), the Company granted 625,000 common share purchase warrants with each warrant entitling the grantee to acquire one common share in the capital of the Company at an exercise price of USD$0.04 ($0.054) at any time prior to April 1, 2017. Of the warrants granted, 300,000 vested on September 3, 2014 with the unvested portion vesting pro-rata for each USD$250,000 ($334,850) raised in an offering, fully vesting upon USD$1,500,000 ($2,009,100) being raised. The fair value of the 625,000 warrants at the date of grant of $500,000 was estimated using the Black-Scholes option pricing model, based on the following assumptions: expected dividend yield of 0%; expected volatility of 159%; risk free interest rate of 1.25%; and expected term of 3 years. For the three and six month periods ended September 30, 2015, the Company recorded $Nil and $Nil, respectively, (2014 - $98,119 and $237,300, respectively) as compensation expense for warrants issued to a consultant for service, net of a market adjustment for the three and six month periods ended September 30, 2015 of $Nil and $Nil, respectively (2014 - $2,526 and $2,700, respectively). This expense was recorded as professional fees on the statements of operations and comprehensive loss. ASC 815 "Derivatives and Hedging" indicates that warrants with exercise prices denominated in a currency other than an entity's functional currency should not be classified as equity. As a result, warrants with a USD exercise price have been treated as derivatives and recorded as liabilities carried at their fair value, with period-to-period changes in the fair value recorded as a gain or loss in the statements of operations and comprehensive loss. As at September 30, 2015, the fair value of the 599,700 warrants exercisable in USD, was $770,191 which was estimated using the Black-Scholes option pricing model based on the following weighted average assumptions: expected dividend yield of 0%; expected volatility of 140%; risk-free interest rate of 0.62% and expected term of 1.49 years. Of this amount, $348,665 was reflected as a liability as at September 30, 2015, representing the percentage of the fair value of the warrants that is equal to the percentage of the requisite service that has been rendered at September 30, 2015. The warrant liability is classified as Level 3 within the fair value hierarchy (See Note 12). The Companys computation of expected volatility during the period ended September 30, 2015 is based on the market close price of comparable public entities over the period equal to the expected life of the warrants. The Companys computation of expected life is calculated using the contractual life. (c) Stock-based compensation The Companys stock-based compensation program (the "Plan") includes stock options in which some options vest based on continuous service. For those equity awards that vest based on continuous service, compensation expense is recorded over the service period from the date of grant. The total number of options outstanding as at September 30, 2015 was 505,000 (March 31, 2015 505,000). The weighted average grant date fair value of options granted during the period ended September 30, 2015 was $n/a (2014 - $Nil). The maximum number of options that may be issued under the Plan is floating at an amount equivalent to 15% of the issued and outstanding common shares, or 1,397,836 as at September 30, 2015 (March 31, 2015 1,388,461). The Companys computation of expected volatility during the period ended September 30, 2015 is based on the market close price of comparable public entities over the period equal to the expected life of the warrants. The Companys computation of expected life is calculated using the contractual life. For the three and six month periods ended September 30, 2015, the Company recorded $112,976 and $188,026, respectively (2014 - $nil and $nil, respectively) as Additional Paid in Capital for options issued to directors, officers and consultants based on continuous service. This expense was recorded as stock based compensation on the statements of operations and comprehensive loss. The activities in options outstanding are as noted below: Number of Options Granted Weighted Average Exercise Price Balance, March 31, 2015 505,000 $ 1.73 Granted - - Balance, September 30, 2015 505,000 $ 1.73 The following table presents information relating to stock options outstanding and exercisable at September 30, 2015. Options Outstanding Options Exercisable Exercise Price Number of Shares Weighted Average Remaining Contractual Life (Years) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) $ 1.73 505,000 4.2 291,667 $ 1.73 4.2 |
9. Income Taxes
9. Income Taxes | 6 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
9. Income Taxes | The Company has no taxable income under Canadian Federal and Provincial tax laws for the six month periods ended September 30, 2015 and 2014. The Company has non-capital loss carryforwards at September 30, 2015 totalling approximately $1,009,000, which may be offset against future taxable income. If not used, the loss carryforwards will expire between 2029 and 2036. |
10. Commitments and Contingenci
10. Commitments and Contingencies | 6 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
10. Commitments and Contingencies | The Company entered into a five (5) year operating lease for office and production facilities. The lease commenced on December 1, 2013 and expires on November 30, 2018. The base monthly rental is $1,362 plus the Companys estimated portion of property taxes and operating expenses which are currently $804 per month. The future commitments pursuant to this lease arrangement, including property taxes and operating expenses for the fiscal periods ending March 31 are: 2016 (remaining) $ 12,997 2017 25,994 2018 26,328 2019 17,552 For the year three and six month periods ended September 30, 2015, rental expenses related to this lease were $6,498 and $12,999 (2014 $6,433 and $12,866). On March 11, 2014, and as amended on July 18, September 3, 2014 and again on September 5, 2014, the Company entered into a consulting agreement with Connectus, Inc. to assist and advise the Company in matters concerning corporate finance and the Companys current and proposed financing activities for the period commencing April 1, 2014 and ending December 31, 2014. The Company and Connectus, Inc. intend to extend the contract until all efforts to complete the capital raise have been completed. Pursuant to this agreement, the Company agreed to issue to this consulting corporation (the Consultant), 625,000 warrants of the Company. Each warrant is exercisable at USD$0.04 ($0.054) per share for a period of three years. Of the warrants granted, 300,000 vested on September 3, 2014 with the unvested portion vesting pro-rata for each USD$250,000 ($334,850) raised in an offering, fully vesting upon USD$1,500,000 ($2,009,100) being raised. On November 21, 2014, 25,000 of the vested warrants were exercised. On June 25, 2015, 12,500 of the vested warrants were exercised. During the year ended March 31, 2015, the President of the Consultant became a director of the Company. On April 23, 2014, the Company entered into employment agreements with three officers of the Company effective July 1, 2014. The initial contracts contain minimum aggregate commitments of approximately $427,000 per year for three years and additional contingent payments of up to approximately $600,000 in aggregate upon the occurrence of a change of control. As a triggering event has not taken place, the contingent payments have not been reflected in these financial statements. If employment is terminated by the Company other than upon a change of control or for just cause, the officers will be entitled to an amount equal to twelve months compensation including benefits, which shall be increased by one month for each full year of service completed. The employment agreements were amended whereby any salary from the commencement of the employment agreements has been waived until such a time when the Company is able to raise additional financing. Salaries will be earned based upon the Companys success in raising future capital in accordance with the following schedule: Cumulative Funds Raised1 Effective Monthly Salary % $ 100,000 10.0 % $ 175,000 15.0 % $ 250,000 25.0 % $ 375,000 37.5 % $ 500,000 50.0 % $ 750,000 62.5 % $ 1,000,000 75.0 % $ 1,250,000 87.5 % $ 1,500,000 100.0 % 1 Cumulative funds raised is inclusive of all sources including without limitation capital raised, grants received, revenue recorded, debt raised, and assets sold. |
11. Related Party Transactions
11. Related Party Transactions | 6 Months Ended |
Sep. 30, 2015 | |
Related Party Transactions [Abstract] | |
11. Related Party Transactions | Included in accounts payable and accrued liabilities as at September 30, 2015 is $52,030 (March 31, 2015 - $52,030) owing to two directors who are also officers and significant shareholders of the Company for unpaid management fees. This balance is unsecured, non-interest bearing and due on demand. Amounts receivable from shareholder as at September 30, 2015 of $30,902 (March 31, 2015 - $29,967) is owing from a shareholder, who is also a director and officer of the Company for funds advanced under the employment agreement (See Note 10). The amount receivable is unsecured, non-interest bearing and repayable upon demand. |
12. Financial Instruments
12. Financial Instruments | 6 Months Ended |
Sep. 30, 2015 | |
Investments, All Other Investments [Abstract] | |
12. Financial Instruments | (a) Liquidity risk Liquidity risk is the risk that the Company will not have sufficient cash resources to meet its financial obligations as they come due. The Companys liquidity and operating results may be adversely affected if its access to the capital market is hindered, whether as a result of a downturn in stock market conditions generally or matters specific to the Company. The Company generates cash flow primarily from its financing activities and advances from shareholders. As at September 30, 2015, the Company had cash of $3,598 (March 31, 2015 - $3,084) to settle current liabilities of $968,147 (March 31, 2015 - $894,022). All of the Company's financial liabilities other than the warrant liability of $348,665, the Term Loan of 30,000 and the Convertible Note of USD$25,000 ($33,485) have contractual maturities of less than 30 days and are subject to normal trade terms. The Company regularly evaluates its cash position to ensure preservation and security of capital as well as liquidity. In the normal course of business, management considers various alternatives to ensure that the Company can meet some of its operating cash flow requirements through financing activities, such as private placements of common stock, preferred stock offerings and offerings of debt and convertible debt instruments as well as through merger or acquisition opportunities. Management may also consider strategic alternatives, including strategic investments and divestitures. As future operations may be financed out of funds generated from financing activities, the ability to do so is dependent on, among other factors, the overall state of capital markets and investor appetite for investments in the green technology industry and the Companys securities in particular. Should the Company elect to satisfy its cash commitments through the issuance of securities, by way of either private placement or public offering or otherwise, there can be no assurance that the efforts to obtain such additional funding will be successful, or achieved on terms favorable to the Company or its existing shareholders. If adequate funds are not available on favorable terms, the Company may have to reduce substantially or eliminate expenditures or obtain funds through other sources such as divestiture or monetization of certain assets or sublicensing (where permitted) of certain rights to certain of the Companys technologies or products. (b) Concentration of credit risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash deposits. Cash deposits with a major Canadian chartered bank are insured by the Canadian Deposit Insurance Corporation up to $100,000. As at September 30, 2015, the Company held $3,598 (March 31, 2015 - $3,084) with a major Canadian chartered bank. (c) Foreign exchange risk The Company principally operates within Canada. The Companys functional currency is the Canadian dollar and major purchases are transacted in Canadian dollars. Management believes the foreign exchange risk derived from currency conversions is negligible and therefore does not hedge its foreign exchange risk. See also Note 12 (e). (d) Interest rate risk The Company does not have any non-fixed interest-bearing debt. The Company invests any cash surplus to its operational needs in investment-grade short-term deposit certificates issued by highly rated Canadian banks. The Company periodically assesses the quality of its investments and is satisfied with the credit rating of the bank. (e) Derivative liability warrant liability In connection with a consulting agreement, the Company granted warrants to purchase up to 625,000 common shares of the Company as disclosed in Note 8(b). The warrants have an exercise price of USD$0.04 ($0.054). The warrants are exercisable at any time prior to April 1, 2017. The warrants are accounted for as derivative liabilities because the exercise price is denominated in a currency other than the Companys functional currency. In connection with the settlement of a vendors account, the Company granted warrants to purchase up to 3,350 common shares of the Company. The warrants have an exercise price of USD$1.50 ($2.04). The warrants are exercisable at any time prior to October 22, 2016. The warrants are accounted for as derivative liabilities because the exercise price is denominated in a currency other than the Companys functional currency. In connection with a private placement, the Company granted warrants to purchase up to 8,850 common shares of the Company. The warrants have an exercise price of USD$2.00 ($2.68). The warrants are exercisable at any time prior to November 30, 2016. The warrants are accounted for as derivative liabilities because the exercise price is denominated in a currency other that the Companys functional currency. The table below summarizes the fair value of the Companys financial liabilities measured at fair value: Fair Value at September 30, Fair Value Measurement Using 2015 Level 1 Level 2 Level 3 Derivative liability Warrants $ 348,665 $ - $ - $ 348,665 The table below sets forth a summary of changes in the fair value of the Companys Level 3 financial liabilities (warrant derivative liability) for the periods ended September 30, 2015 and March 31, 2015: September 30, 2015 March 31, 2015 Balance at beginning of period $ 364,878 $ - Additions to derivative instruments, recognized in earnings as professional fees - 240,000 Additions to derivative instruments as a result of issuance in settlement of debt - 2,060 Additions to derivative instrumentsas a result of issuance of units - 6,213 Derivative instruments exercised (16,213 ) (32,675 ) Change in fair market value, recognized in operations as professional fees - 149,280 Balance at end of period $ 348,665 $ 364,878 These instruments were valued using pricing models that incorporate the price of a share of common stock (based upon the price of the most recent private placement), expected volatility, risk free rate, expected dividend rate and expected estimated life. The Company estimated the value of the warrants using the Black-Scholes model. There were no transfers of assets or liabilities between Level 1, Level 2, or Level 3 during the periods ended September 30, 2015 and March 31, 2015. The following are the key weighted average assumptions used in connection with the estimation of fair value as at September 30, 2015: September 30, 2015 Number of shares underlying the warrants 599,700 Fair market value of the stock $ 1.34 Exercise price USD$0.076 ($0.1032) Expected volatility 140 % Risk-free interest rate 0.62 % Expected dividend yield 0 % Expected warrant life (years) 1.49 |
13. Subsequent Events
13. Subsequent Events | 3 Months Ended |
Sep. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | On October 21 st th |
2. Presentation of Financial 21
2. Presentation of Financial Statements (Policies) | 6 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | These unaudited condensed interim financial statements should be read in conjunction with the financial statements for the Companys most recently completed fiscal year ended March 31, 2015. These condensed interim financial statements do not include all disclosures required in annual financial statements, but rather are prepared in accordance with recommendations for interim financial statements in conformity with accounting principles generally accepted in the United States of America ("U.S. GAAP"). These unaudited condensed interim financial statements have been prepared using the same accounting policies, and methods as those used by the Company in the annual audited financial statements for the year ended March 31, 2015, except when disclosed below. The unaudited condensed interim financial statements contain all adjustments (consisting of only normal recurring adjustments) which are necessary to present fairly the financial position of the Company as at September 30, 2015, and the results of its operations for the three and six month periods ended September 30, 2015 and 2014 and its cash flows for the six month periods ended September 30, 2015 and 2014. Note disclosures have been presented for material updates to the information previously reported in the annual audited financial statements. In June 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2014-10 ASU 2014-10 to eliminate certain financial reporting requirements for development stage entities. The amendments in ASU 2014-10 remove the incremental financial reporting requirements from US GAAP for development stage entities, including the presentation of inception-to-date information in the statements of income, cash flows and shareholder equity, and disclosure of the financial statements as those of a development stage entity. The Company has chosen to early adopt these amendments effective for its fiscal year ended March 31, 2013 and onwards. |
Estimates | The preparation of these condensed interim financial statements has required management to make estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of the revenues and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including those related to provision for doubtful accounts, accrued liabilities, income taxes, stock based compensation and intangible assets. The Company bases its estimates on historical experiences and on various other assumptions believed to be reasonable under the circumstances. Actual results could differ from those estimates. As adjustments become necessary, they are reported in earnings in the period in which they become known. |
3. Equipment and Leasehold Im22
3. Equipment and Leasehold Improvements (Tables) | 6 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
Equipment and Leasehold Improvements | September 30, 2015 March 31, 2015 Cost Accumulated Amortization Cost Accumulated Amortization Computer equipment $ 3,558 $ 1,774 $ 3,558 $ 1,459 Production equipment 67,367 22,784 67,367 17,831 Leasehold improvements 33,649 11,393 33,649 7,784 Total $ 104,574 $ 35,951 $ 104,574 $ 27,074 Net carrying amount $ 68,623 $ 77,500 |
8. Capital Stock (Tables)
8. Capital Stock (Tables) | 6 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Summary of warrants outstanding | Expiry Date Number of Warrants Grant Date Average Exercise Price Weighted Average Exercise Equity Grant Date Fair Value Equity Fair Value at September 30, 2015 of Vested Warrents - Liability June 6, 2016 300,383 300,383 $ 2.24 * $ 170,908 $ - June 7, 2016 5,000 5,000 $ 1.12 3,180 - June 6, 2017 22,500 22,500 $ 1.12 16,110 - April 1, 2017 587,500 262,500 USD $0.04 - 340,462 $ (0.054 ) October 22, 2016 3,350 3,350 USD $1.50 - 1,990 $ (2.01 ) November 30, 2016 8,850 8,850 USD $2.00 - 6,213 $ (2.68 ) 927,583 $ 602,583 0.83 $ 190,198 $ 348,665 |
Schedule of option activity | Number of Options Granted Weighted Average Exercise Price Balance, March 31, 2015 505,000 $ 1.73 Granted - - Balance, September 30, 2015 505,000 $ 1.73 |
Schedule of stock options outstanding and exercisable | Options Outstanding Options Exercisable Exercise Price Number of Shares Weighted Average Remaining Contractual Life (Years) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) $ 1.73 505,000 4.2 291,667 $ 1.73 4.2 |
10. Commitments and Contingen24
10. Commitments and Contingencies (Tables) | 6 Months Ended |
Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | 2016 (remaining) $ 12,997 2017 25,994 2018 26,328 2019 17,552 |
Schedule of Employment Agreements | Cumulative Funds Raised1 Effective Monthly Salary % $ 100,000 10.0 % $ 175,000 15.0 % $ 250,000 25.0 % $ 375,000 37.5 % $ 500,000 50.0 % $ 750,000 62.5 % $ 1,000,000 75.0 % $ 1,250,000 87.5 % $ 1,500,000 100.0 % |
12. Financial Instruments (Tabl
12. Financial Instruments (Tables) | 6 Months Ended |
Sep. 30, 2015 | |
Investments, All Other Investments [Abstract] | |
Fair value of financial liabilities | Fair Value at September 30, Fair Value Measurement Using 2015 Level 1 Level 2 Level 3 Derivative liability Warrants $ 348,665 $ - $ - $ 348,665 |
Changes in the fair value of Level 3 financial liabilities | September 30, 2015 March 31, 2015 Balance at beginning of period $ 364,878 $ - Additions to derivative instruments, recognized in earnings as professional fees - 240,000 Additions to derivative instruments as a result of issuance in settlement of debt - 2,060 Additions to derivative instrumentsas a result of issuance of units - 6,213 Derivative instruments exercised (16,213 ) (32,675 ) Change in fair market value, recognized in operations as professional fees - 149,280 Balance at end of period $ 348,665 $ 364,878 |
Fair value assumptions | September 30, 2015 Number of shares underlying the warrants 599,700 Fair market value of the stock $ 1.34 Exercise price USD$0.076 ($0.1032) Expected volatility 140 % Risk-free interest rate 0.62 % Expected dividend yield 0 % Expected warrant life (years) 1.49 |
1. Nature of the Business and26
1. Nature of the Business and Going Concern (Details Narrative) - CAD | Sep. 30, 2015 | Mar. 31, 2015 |
Nature Of Business And Going Concern Details Narrative | ||
Working capital deficiency | CAD 856,927 | CAD 845,406 |
Accumulated deficit | CAD (2,121,813) | CAD (1,809,373) |
3. Equipment and Leasehold Im27
3. Equipment and Leasehold Improvements (Details) - CAD | Sep. 30, 2015 | Mar. 31, 2015 |
Property and Equipment, cost | CAD 104,574 | CAD 104,574 |
Accumulated Amortization | 35,951 | 27,074 |
Net carrying amount | 68,623 | 77,500 |
Computer equipment | ||
Property and Equipment, cost | 3,558 | 3,558 |
Accumulated Amortization | 1,774 | 1,459 |
Production equipment | ||
Property and Equipment, cost | 67,367 | 67,367 |
Accumulated Amortization | 22,784 | 17,831 |
Leasehold improvements | ||
Property and Equipment, cost | 33,649 | 33,649 |
Accumulated Amortization | CAD 11,393 | CAD 7,784 |
3. Equipment and Leasehold Im28
3. Equipment and Leasehold Improvements (Details Narrative) - CAD | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Property, Plant and Equipment [Abstract] | ||||
Amortization expense | CAD 4,440 | CAD 4,840 | CAD 8,878 | CAD 8,676 |
4. Intangible Assets (Details N
4. Intangible Assets (Details Narrative) - CAD | Sep. 30, 2015 | Mar. 31, 2015 |
Intangible Assets Details Narrative | ||
Intangible assets | CAD 15,970 | CAD 15,970 |
5. Advances from Shareholders (
5. Advances from Shareholders (Details Narrative) - CAD | Sep. 30, 2015 | Mar. 31, 2015 |
Advances From Shareholders Details Narrative | ||
Advances from shareholders | CAD 380,670 | CAD 367,267 |
7. Convertible Note (Details Na
7. Convertible Note (Details Narrative) - CAD | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Payables and Accruals [Abstract] | ||||
Accretion expense | CAD 2,076 | CAD 0 | CAD 2,076 | CAD 0 |
8. Capital Stock (Details)
8. Capital Stock (Details) | 6 Months Ended |
Sep. 30, 2015CADCAD / sharesshares | |
Warrants Expiring June 6, 2016 | |
Number of warrants | shares | 300,383 |
Exercisable warrants | shares | 300,383 |
Weighted average exercise price | CAD / shares | CAD 2.24 |
Grant date fair value equity | CAD 170,908 |
Fair Value at September 30, 2015 of Vested Warrants - Liability | CAD 0 |
Warrants Expiring June 7, 2016 | |
Number of warrants | shares | 5,000 |
Exercisable warrants | shares | 5,000 |
Weighted average exercise price | CAD / shares | CAD 1.12 |
Grant date fair value equity | CAD 3,180 |
Fair Value at September 30, 2015 of Vested Warrants - Liability | CAD 0 |
Warrants Expiring June 6, 2017 | |
Number of warrants | shares | 22,500 |
Exercisable warrants | shares | 22,500 |
Weighted average exercise price | CAD / shares | CAD 1.12 |
Grant date fair value equity | CAD 16,110 |
Fair Value at September 30, 2015 of Vested Warrants - Liability | CAD 0 |
Warrants Expiring April 1, 2017 | |
Number of warrants | shares | 587,500 |
Exercisable warrants | shares | 262,500 |
Weighted average exercise price | CAD / shares | CAD 0.054 |
Grant date fair value equity | CAD 0 |
Fair Value at September 30, 2015 of Vested Warrants - Liability | CAD 340,462 |
Warrants Expiring October 22, 2016 | |
Number of warrants | shares | 3,350 |
Exercisable warrants | shares | 3,350 |
Weighted average exercise price | CAD / shares | CAD 2.01 |
Grant date fair value equity | CAD 0 |
Fair Value at September 30, 2015 of Vested Warrants - Liability | CAD 1,990 |
Warrants Expiring November 30, 2016 | |
Number of warrants | shares | 8,850 |
Exercisable warrants | shares | 8,850 |
Weighted average exercise price | CAD / shares | CAD 2.68 |
Grant date fair value equity | CAD 0 |
Fair Value at September 30, 2015 of Vested Warrants - Liability | CAD 6,213 |
Warrants | |
Number of warrants | shares | 927,583 |
Exercisable warrants | shares | 602,583 |
Weighted average exercise price | CAD / shares | CAD 0.83 |
Grant date fair value equity | CAD 190,198 |
Fair Value at September 30, 2015 of Vested Warrants - Liability | CAD 348,665 |
8. Capital Stock (Details 1)
8. Capital Stock (Details 1) - Options | 6 Months Ended |
Sep. 30, 2015CAD / sharesshares | |
Options, beginning | shares | 505,000 |
Granted | shares | 0 |
Options, ending | shares | 505,000 |
Weighted average exercise price, beginning | CAD 1.73 |
Weighted average exercise price, Granted | 0 |
Weighted average exercise price, ending | CAD 1.73 |
8. Capital Stock (Details 2)
8. Capital Stock (Details 2) - Options - CAD / shares | 6 Months Ended | |
Sep. 30, 2015 | Mar. 31, 2015 | |
Weighted average exercise price | CAD 1.73 | CAD 1.73 |
Options Outstanding | 505,000 | 505,000 |
Weighted Average Remaining Contractual Life (Years) | 4 years 2 months 12 days | |
Options Exercisable | 291,667 | |
Weighted Average Exercise Price | CAD 1.73 | |
Weighted Average Remaining Contractual Life (Years) | 4 years 2 months 12 days |
8. Capital Stock (Details Narra
8. Capital Stock (Details Narrative) - CAD | 3 Months Ended | 6 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Mar. 31, 2015 | |
Additional Paid in Capital | CAD 188,026 | ||||
Maximum | |||||
Option to be issued | 1,397,836 | 1,397,836 | 1,388,461 | ||
Director | |||||
Additional Paid in Capital | CAD 112,976 | CAD 0 | CAD 188,026 | CAD 0 | |
Warrants | Consultant | |||||
Compensation expense | 0 | 98,119 | 0 | 237,300 | |
Market adjustment | CAD 0 | CAD 2,526 | CAD 0 | CAD 2,700 |
9. Income Taxes (Details Narrat
9. Income Taxes (Details Narrative) | 6 Months Ended |
Sep. 30, 2015CAD | |
Income Taxes Details Narrative | |
Non-capital loss carryforwards | CAD 1,009,000 |
Operating loss carryforward, expiry period | Between 2029 and 2036 |
10. Commitments and Contingen37
10. Commitments and Contingencies (Details) | Mar. 31, 2015CAD |
Commitments and Contingencies Disclosure [Abstract] | |
2016 (remaining) | CAD 12,997 |
2,017 | 25,994 |
2,018 | 26,328 |
2,019 | CAD 17,552 |
10. Commitments and Contingen38
10. Commitments and Contingencies (Details 1) | 6 Months Ended | |
Sep. 30, 2015CAD | ||
Funds Raised [Member] | ||
Cumulative Funds Raised | CAD 100,000 | [1] |
Effective Monthly Salary | 10.00% | |
Funds Raised One [Member] | ||
Cumulative Funds Raised | CAD 175,000 | [1] |
Effective Monthly Salary | 15.00% | |
Funds Raised Two [Member] | ||
Cumulative Funds Raised | CAD 250,000 | [1] |
Effective Monthly Salary | 25.00% | |
Funds Raised Three [Member] | ||
Cumulative Funds Raised | CAD 375,000 | [1] |
Effective Monthly Salary | 37.50% | |
Funds Raised Four [Member] | ||
Cumulative Funds Raised | CAD 500,000 | [1] |
Effective Monthly Salary | 50.00% | |
Funds Raised Five [Member] | ||
Cumulative Funds Raised | CAD 750,000 | [1] |
Effective Monthly Salary | 62.50% | |
Funds Raised Six [Member] | ||
Cumulative Funds Raised | CAD 1,000,000 | [1] |
Effective Monthly Salary | 75.00% | |
Funds Raised Seven [Member] | ||
Cumulative Funds Raised | CAD 1,250,000 | [1] |
Effective Monthly Salary | 87.50% | |
Funds Raised Eight [Member] | ||
Cumulative Funds Raised | CAD 1,500,000 | [1] |
Effective Monthly Salary | 100.00% | |
[1] | Cumulative funds raised is inclusive of all sources including without limitation capital raised, grants received, revenue recorded, debt raised, and assets sold. |
10. Commitments and Contingen39
10. Commitments and Contingencies (Details Narrative) - CAD | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Commitments And Contingencies Details Narrative | ||||
Rental expenses | CAD 6,498 | CAD 6,433 | CAD 12,999 | CAD 12,866 |
11. Related Party Transactions
11. Related Party Transactions (Details Narrative) - CAD | Sep. 30, 2015 | Mar. 31, 2015 |
Related Party Transactions Details Narrative | ||
Due from related party | CAD 30,902 | CAD 29,967 |
Due to related party | CAD 52,030 | CAD 52,030 |
12. Financial Instruments (Deta
12. Financial Instruments (Details) | Sep. 30, 2015CAD |
Derivative liability - Warrants | CAD 348,665 |
Level 1 | |
Derivative liability - Warrants | 0 |
Level 2 | |
Derivative liability - Warrants | 0 |
Level 3 | |
Derivative liability - Warrants | CAD 348,665 |
12. Financial Instruments (De42
12. Financial Instruments (Details 1) - CAD | 6 Months Ended | 12 Months Ended |
Sep. 30, 2015 | Mar. 31, 2014 | |
Investments, All Other Investments [Abstract] | ||
Balance at beginning of period | CAD 364,878 | CAD 0 |
Additions to derivative instruments, recognized in earnings as professional fees | 0 | 240,000 |
Additions to derivative instruments as a result of issuance in settlement of debt | 0 | 2,060 |
Additions to derivative instruments as a result of issuance of units | 0 | 6,213 |
Derivative instruments exercised | (16,213) | (32,675) |
Change in fair market value, recognized in operations as professional fees | 0 | 149,280 |
Balance at end of period | CAD 348,665 | CAD 364,878 |
12. Financial Instruments (De43
12. Financial Instruments (Details 2) | 6 Months Ended |
Sep. 30, 2015CAD / sharesshares | |
Investments, All Other Investments [Abstract] | |
Number of shares underlying the warrants | shares | 599,700 |
Fair market value of the stock | CAD 1.34 |
Exercise price | USD$0.076 ($0.1032) |
Expected volatility | 140.00% |
Risk-free interest rate | 0.62% |
Expected dividend yield | 0.00% |
Expected warrant life (years) | 1 year 5 months 27 days |