Cover
Cover - USD ($) | 12 Months Ended | |||
Apr. 30, 2022 | Apr. 30, 2021 | May 17, 2023 | Oct. 31, 2022 | |
Cover [Abstract] | ||||
Document Type | 10-K | |||
Amendment Flag | false | |||
Document Annual Report | true | |||
Document Transition Report | false | |||
Document Period End Date | Apr. 30, 2022 | |||
Document Fiscal Period Focus | FY | |||
Document Fiscal Year Focus | 2022 | |||
Current Fiscal Year End Date | --04-30 | |||
Entity File Number | 01-41423 | |||
Entity Registrant Name | CONNEXA SPORTS TECHNOLOGIES INC. | |||
Entity Central Index Key | 0001674440 | |||
Entity Tax Identification Number | 61-1789640 | |||
Entity Incorporation, State or Country Code | DE | |||
Entity Address, Address Line One | 2709 NORTH ROLLING ROAD | |||
Entity Address, Address Line Two | SUITE 138 | |||
Entity Address, City or Town | WINDSOR MILL | |||
Entity Address, State or Province | MD | |||
Entity Address, Postal Zip Code | 21244 | |||
City Area Code | (443) | |||
Local Phone Number | 407-7564 | |||
Title of 12(b) Security | Common Stock, $0.001 par value | |||
Trading Symbol | CNXA | |||
Security Exchange Name | NASDAQ | |||
Entity Well-known Seasoned Issuer | No | |||
Entity Voluntary Filers | No | |||
Entity Current Reporting Status | No | |||
Entity Interactive Data Current | No | |||
Entity Filer Category | Non-accelerated Filer | |||
Entity Small Business | true | |||
Entity Emerging Growth Company | false | |||
Entity Shell Company | false | |||
Entity Public Float | $ 2,594,403 | |||
Entity Common Stock, Shares Outstanding | 13,543,155 | |||
Auditor Firm ID | 5968 | 6258 | ||
Auditor Name | OLAYINKA OYEBOLA & CO. | Mac Accounting Group, LLP | ||
Auditor Location | Lagos, Nigeria | Midvale, Utah |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Apr. 30, 2022 | Apr. 30, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 1,424,360 | $ 928,796 |
Restricted cash | 156,724 | |
Accounts receivable, net | 1,322,370 | 762,487 |
Inventories, net | 8,185,144 | 3,693,216 |
Prepaid inventory | 499,353 | 140,047 |
Operating lease right-of-use asset, current portion | 239,689 | |
Contract assets | 235,526 | |
Prepaid expenses and other current assets | 762,930 | 60,113 |
Total current assets | 12,826,096 | 5,584,659 |
Fixed assets, net | 174,217 | |
Contract assets, net of current portion | 209,363 | |
Finished products used in operations, net | 4,693,575 | |
Goodwill | 32,643,193 | |
Intangible assets, net | 24,316,502 | 112,853 |
Total assets | 74,862,946 | 5,697,512 |
Current liabilities: | ||
Accounts payable | 6,465,373 | 1,041,817 |
Accrued expenses | 5,602,011 | 2,292,123 |
Contract liabilities | 2,656,706 | 99,531 |
Related party purchase obligation payable | 500,000 | |
Operating lease liability, current portion | 237,204 | |
Accrued interest | 708,677 | |
Accrued interest - related party | 908,756 | 747,636 |
Notes payable, net | 4,639,376 | |
Notes payable - related party, net | 6,143,223 | |
Convertible notes payable, net | 10,327,778 | |
Derivative liabilities | 5,443,779 | 13,813,449 |
Contingent consideration | 1,334,000 | |
Other current liabilities | 156,862 | |
Total current liabilities | 38,980,522 | 24,137,779 |
Contract liabilities, net of current portion | 1,370,492 | |
Long-term portion of notes payable - related party, net | 2,000,000 | |
Notes payable, net | 10,477 | |
Total liabilities | 42,351,014 | 24,148,256 |
Commitments and contingencies (Note 15) | ||
Shareholders’ equity (deficit): | ||
Common stock - $.001 par value, 300,000,000 shares authorized, 4,194,836 and 2,764,282 shares issued and outstanding as of April 30, 2022 and 2021, respectively; 412,232 and 692,130 shares issuable as of April 30, 2022 and 2021 | 4,195 | 2,764 |
Additional paid-in capital | 113,049,700 | 10,389,935 |
Accumulated other comprehensive income/(loss) | 54,962 | (20,170) |
Accumulated deficit | (80,596,925) | (28,823,273) |
Total shareholders’ equity (deficit) | 32,511,932 | (18,450,744) |
Total liabilities and shareholders’ equity (deficit) | $ 74,862,946 | $ 5,697,512 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Apr. 30, 2022 | Apr. 30, 2021 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 4,194,836 | 2,764,282 |
Common stock, shares outstanding | 4,194,836 | 2,764,282 |
Shares issuable | 412,232 | 692,130 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Income Statement [Abstract] | ||
Net sales | $ 16,831,477 | $ 10,804,214 |
Cost of sales | 12,346,712 | 7,680,290 |
Gross profit | 4,484,765 | 3,123,924 |
Operating expenses: | ||
Selling and marketing expenses | 3,536,617 | 1,881,434 |
General and administrative expenses | 43,424,105 | 4,629,642 |
Research and development costs | 855,660 | 339,385 |
Impairment loss | 3,486,599 | |
Transaction costs | 5,109,522 | |
Total operating expenses | 56,412,503 | 6,850,461 |
Loss from operations | (51,927,738) | (3,726,537) |
Other expense (income): | ||
Amortization of debt discounts | 8,150,284 | 376,506 |
Loss on extinguishment of debt | 7,096,730 | 3,030,495 |
Loss on issuance of convertible notes | 5,889,369 | |
Gain on change in fair value of derivatives | (18,557,184) | (1,939,639) |
Gain on change in fair value of contingent consideration | (4,847,000) | |
Interest expense - related party | 165,558 | 608,668 |
Interest expense, net | 1,948,157 | 12,792,193 |
Total other (income) expense | (154,086) | 14,868,223 |
Loss before income taxes | (51,773,652) | (18,594,760) |
Provision for income taxes | ||
Net loss | (51,773,652) | (18,594,760) |
Other comprehensive gain (loss), net of tax | ||
Foreign currency translation adjustments | 75,132 | (15,134) |
Total other comprehensive gain (loss), net of tax | 75,132 | (15,134) |
Comprehensive loss | $ (51,698,520) | $ (18,609,894) |
Net loss per share, basic and diluted | $ (13.44) | $ (6.96) |
Weight average number of common shares outstanding, basic and diluted | 3,847,672 | 2,672,304 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity (Deficit) - USD ($) | Common Stock [Member] | Common Stock [Member] Foundation Sports [Member] | Common Stock [Member] Gameface Ltd [Member] | Common Stock [Member] Play Sight Interactive Ltd [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member] Foundation Sports [Member] | Additional Paid-in Capital [Member] Gameface Ltd [Member] | Additional Paid-in Capital [Member] Play Sight Interactive Ltd [Member] | AOCI Attributable to Parent [Member] | AOCI Attributable to Parent [Member] Foundation Sports [Member] | AOCI Attributable to Parent [Member] Gameface Ltd [Member] | AOCI Attributable to Parent [Member] Play Sight Interactive Ltd [Member] | Retained Earnings [Member] | Retained Earnings [Member] Foundation Sports [Member] | Retained Earnings [Member] Gameface Ltd [Member] | Retained Earnings [Member] Play Sight Interactive Ltd [Member] | Total | Foundation Sports [Member] | Gameface Ltd [Member] | Play Sight Interactive Ltd [Member] |
Balance at Apr. 30, 2020 | $ 2,475 | $ 5,237,244 | $ (5,036) | $ (10,228,513) | $ (4,993,830) | |||||||||||||||
Balance, shares at Apr. 30, 2020 | 2,474,935 | |||||||||||||||||||
Shares issued related to note payable | $ 122 | (122) | ||||||||||||||||||
Shares issued related to note payable, shares | 121,656 | |||||||||||||||||||
Warrants issued related to notes payable - related party | 2,157,818 | 2,157,818 | ||||||||||||||||||
Shares issued in connection with conversion of notes payable | $ 77 | 1,749,927 | 1,750,004 | |||||||||||||||||
Shares issued in connection with conversion of notes payable, shares | 77,233 | |||||||||||||||||||
Shares issued for conversion of convertible debt | $ 30 | 238,419 | 238,449 | |||||||||||||||||
Shares issued for conversion of convertible debt, shares | 30,000 | |||||||||||||||||||
Shares issued in connection with purchase of trademark | $ 3 | 35,348 | 35,351 | |||||||||||||||||
Shares issued in connection with purchase of trademark, shares | 3,500 | |||||||||||||||||||
Warrants issued in connection with purchase of trademark | 50,232 | 50,232 | ||||||||||||||||||
Shares and warrants issued in connection with services | $ 57 | 850,072 | 850,129 | |||||||||||||||||
Shares and warrants issued in connection with services, shares | 56,958 | |||||||||||||||||||
Share-based compensation | 70,997 | 70,997 | ||||||||||||||||||
Foreign currency translation | (15,134) | (15,134) | ||||||||||||||||||
Net loss | (18,594,760) | (18,594,760) | ||||||||||||||||||
Balance at Apr. 30, 2021 | $ 2,764 | 10,389,935 | (20,170) | (28,823,273) | (18,450,744) | |||||||||||||||
Balance, shares at Apr. 30, 2021 | 2,764,282 | |||||||||||||||||||
Shares and warrants issued in connection with services | $ 21 | 2,003,362 | 2,003,383 | |||||||||||||||||
Shares and warrants issued in connection with services, shares | 20,719 | |||||||||||||||||||
Share-based compensation | $ 5 | 32,473,597 | 32,473,602 | |||||||||||||||||
Foreign currency translation | 75,132 | 75,132 | ||||||||||||||||||
Net loss | (51,773,652) | (51,773,652) | ||||||||||||||||||
Shares issued for conversion of notes payable - related party | $ 164 | 6,219,838 | 6,220,002 | |||||||||||||||||
Shares issued for conversion of notes payable - related party, shares | 163,684 | |||||||||||||||||||
Elimination of related party derivative liabilities | 8,754,538 | 8,754,538 | ||||||||||||||||||
Shares issued for conversion of common shares issuable | $ 692 | 6,229 | 6,921 | |||||||||||||||||
Shares issued for conversion of common shares issuable, shares | 692,130 | |||||||||||||||||||
Shares issuable in connection with acquisition | $ 54 | 39,950,000 | $ 3,549,946 | $ 9,700,000 | $ 39,950,000 | 39,950,000 | $ 3,550,000 | $ 9,700,000 | $ 39,950,000 | |||||||||||
Shares issued in connection with Foundation acquisition, shares | 54,000 | |||||||||||||||||||
Shares issued for conversion of warrants | $ 495 | 2,255 | 2,750 | |||||||||||||||||
Shares issued for conversion of warrants | 495,000 | |||||||||||||||||||
Share-based compensation, shares | 5,022 | |||||||||||||||||||
Balance at Apr. 30, 2022 | $ 4,195 | $ 113,049,700 | $ 54,962 | $ (80,596,925) | $ 32,511,932 | |||||||||||||||
Balance, shares at Apr. 30, 2022 | 4,194,836 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Cash flows from operating activities: | ||
Net loss | $ (51,773,652) | $ (18,594,760) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization expense | 410,852 | 2,730 |
Gain on change in fair value of derivatives | (18,557,184) | (1,939,639) |
Shares and warrants issued in connection with services | 2,010,304 | 798,351 |
Share-based compensation | 32,473,602 | 70,997 |
Loss on extinguishment of debt | 7,096,730 | 3,030,495 |
Gain on change in fair value of contingent consideration | (4,847,000) | |
Non-cash interest expense | (105,349) | 12,552,590 |
Non-cash transaction costs | 2,355,349 | |
Impairment loss | 3,486,599 | |
Amortization of debt discount | 8,150,284 | 376,506 |
Loss on issuance of convertible notes | 5,889,369 | |
Changes in operating assets and liabilities: | ||
Accounts receivable, net | (210,910) | (760,058) |
Inventories, net | (3,988,800) | (2,764,758) |
Prepaid inventory | (154,428) | |
Contract assets | 51,111 | |
Operating lease right of use asset | 22,311 | |
Prepaid expenses and other current assets | (281,413) | 208,806 |
Accounts payable | 3,667,812 | 946,716 |
Accrued expenses | 1,417,869 | 1,025,734 |
Contract liabilities | 29,241 | (79,835) |
Operating lease liability, current portion | (19,796) | |
Related party purchase obligation - Gameface | 500,000 | |
Other current liabilities | (1,061,000) | |
Accrued interest, net | 1,813,516 | |
Accrued interest - related party | 161,120 | 608,668 |
Net cash used in operating activities | (11,463,464) | (4,517,457) |
Cash flows from investing activities: | ||
Purchase of trademark | (30,000) | |
Cash acquired from acquisition | ||
Note receivable issuance | (2,250,000) | |
Net cash used in investing activities | (1,618,341) | (30,000) |
Cash flows from financing activities: | ||
Proceeds from notes - related party | 2,000,000 | 3,300,000 |
Proceeds from note payable | 5,500,000 | 3,120,000 |
Repayments of notes – related party | (1,000,000) | |
Proceeds from convertible notes | 11,000,000 | |
Debt issuance costs from convertible notes | (800,251) | |
Repayment of note payable | (3,965,463) | |
Net cash provided by financing activities | 13,734,286 | 5,420,000 |
Effect of exchange rate fluctuations on cash and cash equivalents | (193) | (23,594) |
Increase in cash and cash equivalents | 652,288 | 848,949 |
Cash and cash equivalents at beginning of year | 928,796 | 79,847 |
Cash and cash equivalents at end of year | 1,581,084 | 928,796 |
Balances included in the consolidated balance sheets: | ||
Cash and cash equivalents | 1,424,360 | 928,796 |
Restricted cash | 156,724 | |
Cash, cash equivalents and restricted cash at end of year | 1,581,084 | 928,796 |
Supplemental disclosure of cash flow information: | ||
Interest paid | 222,210 | 263,268 |
Income taxes paid | 111,105 | 3,668 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Transfer of convertible note payable to note payable | 1,700,000 | |
Transfer of notes payable to notes payable – related party | 1,820,000 | |
Shares and warrants issued in connection with purchase of trademark | 85,583 | |
Conversion of notes payable and accrued interest into common stock | 1,937,041 | |
Warrants and shares issued with note payable | 158,331 | |
Shares issued for conversion of notes payable – related party | 6,220,000 | |
Shares issuable in connection with acquisition | 39,950,000 | |
Elimination of related party derivative liabilities | 8,754,538 | |
Derivative liabilities recorded as debt discounts of convertible notes | 13,889,116 | |
Game Face Acquisition [Member] | ||
Cash flows from investing activities: | ||
Cash acquired from acquisition | 125,659 | |
Supplemental disclosure of non-cash investing and financing activities: | ||
Shares issuable in connection with acquisition | 9,700,000 | |
Play Sight Acquisition [Member] | ||
Cash flows from investing activities: | ||
Cash acquired from acquisition | 506,000 | |
Supplemental disclosure of non-cash investing and financing activities: | ||
Shares issuable in connection with acquisition | 39,950,000 | |
Foundation Sports [Member] | ||
Supplemental disclosure of non-cash investing and financing activities: | ||
Shares issuable in connection with acquisition | $ 3,550,000 |
ORGANIZATION AND NATURE OF BUSI
ORGANIZATION AND NATURE OF BUSINESS | 12 Months Ended |
Apr. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION AND NATURE OF BUSINESS | Note 1: ORGANIZATION AND NATURE OF BUSINESS Organization Lazex Inc. (“Lazex”) was incorporated under the laws of the State of Nevada on July 12, 2015. On August 23, 2019, the majority owner of Lazex entered into a Stock Purchase Agreement with Slinger Bag Americas Inc., a Delaware corporation (“Slinger Bag Americas”), which was 100 2,000,000 332,239 2,000,000 100 2,000,000 82 On October 31, 2019, Slinger Bag Americas acquired control of Slinger Bag Canada, Inc., (“Slinger Bag Canada”) a Canadian company incorporated on November 3, 2017. There were no assets, liabilities or historical operational activity of Slinger Bag Canada. On February 10, 2020, Slinger Bag Americas became the 100 On June 21, 2021, Slinger Bag Americas entered into a membership interest purchase agreement with Charles Ruddy to acquire a 100 75 3,486,599 On February 2, 2022, the Company entered into a share purchase agreement with Flixsense Pty, Ltd. (“Gameface”). As a result of the share purchase agreement, Gameface would become a wholly owned subsidiary of the Company (refer to Note 5). On February 22, 2022, the Company entered into a merger agreement with PlaySight Interactive Ltd. (“PlaySight”) and Rohit Krishnan (the “Shareholders’ Representative”). As a result of the merger agreement, PlaySight would become a wholly owned subsidiary of the Company (refer to Note 5). In November 2022, the Company sold PlaySight and recorded a loss on the sale. See Note 18 for further details on the sale of PlaySight. In April 2022, the Company changed its domicile from Nevada to Delaware. On April 7, 2022, the Company effected a name change to Connexa Sports Technologies Inc. We also changed our ticker symbol, “CNXA”. Connexa is now the holding company under which Slinger Bag, PlaySight, Gameface and Foundation Sports reside. The operations of Slinger Bag Inc., Slinger Bag Americas, Slinger Bag Canada, Slinger Bag UK, SBL, Foundation Sports and Gameface are collectively referred to as the “Company.” On June 14, 2022, the Company effected a 1-for-10 reverse stock split, where the Company’s common stock began to trade on a reverse split adjusted basis. No fractional shares were issued in connection with the reverse stock split and all such fractional interests were rounded up to the nearest whole number of shares of common stock. All references herein to the outstanding stock have been retrospectively adjusted to reflect this reverse split. The Company also consummated a public offering of shares of its common stock and the listing of its common stock on the Nasdaq Capital Market. The Company operates in the sport equipment and technology business. The Company is the owner of the Slinger Launcher, which is a portable tennis ball launcher as well as other associated tennis accessories and Gameface AI an Australian artificial intelligence sports software company. Basis of Presentation The accompanying consolidated financial statements of the Company are presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”). As a result of the transactions described above, the accompanying consolidated financial statements include the combined results of Slinger Bag Inc., Slinger Bag Americas, Slinger Bag Canada, Slinger Bag UK, SBL, PlaySight, Foundation Sports, and Gameface for the years ended April, 30 2022 and 2021. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The Company reports Gameface on a one-month calendar lag allowing for the timely preparation of financial statements. Gameface operates on fiscal year end periods as of December 31. For the period ended April 30, 2022, the Company reported both Gameface as of the first quarter ended March 31, 2022. As the Company acquired Gameface on February 2, 2022, only the financial data from the acquisition date through March 31, 2022 are included in the Company’s consolidated financial statements. This one-month reporting lag is with the exception of significant transactions or events that occur during the intervening period. The Company did not identify any significant transactions during the one month ended April 30, 2022 at Gameface that would need to be disclosed as not included within the Company’s consolidated financial statements. Impact of COVID-19 Pandemic The Company has been carefully monitoring the COVID-19 pandemic and its impact on its business. In that regard, while the Company has continued to sell its products and grow its business it did experience certain disruptions in its supply chains. The Company expects the significance of the COVID-19 pandemic, including the extent of its effect on the Company’s financial and operational results, to be dictated by, among other things, its duration, the success of efforts to contain it and the impact of actions taken in response. While the Company has not experienced any material disruptions to its business and operations as a result of the COVID-19 pandemic, it is possible such disruptions may occur in the future which may impact its financial and operational results, and which could be material. Impact of Russian and Ukrainian Conflict In February 2022, the Russian Federation and Belarus commenced a military action with the country of Ukraine. We are closely monitoring the unfolding events due to the Russia-Ukraine conflict and its regional and global ramifications. We have one distributor in Russia, which is not material to our overall financial results. We do not have operations in Ukraine or Belarus. We are monitoring any broader economic impact from the current crisis. The specific impact on the Company’s financial condition, results of operations, and cash flows is also not determinable as of the date of these financial statements. However, to the extent that such military action spreads to other countries, intensifies, or otherwise remains active, such action could have a material adverse effect on our financial condition, results of operations, and cash flows. |
GOING CONCERN
GOING CONCERN | 12 Months Ended |
Apr. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GOING CONCERN | Note 2: GOING CONCERN The financial statements have been prepared on a going concern basis, which assumes the Company will be able to realize its assets and discharge its liabilities in the normal course of business for the foreseeable future. The Company has an accumulated deficit of $ 80,596,925 The ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or being able to obtain the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they become due. Management intends to finance operating costs over the next twelve months with existing cash on hand, loans from related parties, and/or private placement of debt and/or common stock. In respect to additional financing, refer to Note 9, Note 10, Note 11, and Note 18. In the event that the Company is unable to successfully raise capital and/or generate revenues, the Company will likely reduce general and administrative expenses, and cease or delay its development plan until it is able to obtain sufficient financing. The Company has begun reducing operating expenses and cash outflows by discontinuing operations of PlaySight, as well as selling 75 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Apr. 30, 2022 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | Note 3: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Accordingly, actual results could differ from those estimates. Financial Statement Reclassification Certain prior year amounts within accounts payable, accrued expenses, and certain operating expenses have been reclassified for consistency with the current year presentation and had no effect on the Company’s balance sheet, net loss, shareholders’ deficit or cash flows. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. The majority of payments due from banks for credit card transactions process within 24 to 48 hours and are accordingly classified as cash and cash equivalents. As of April 30, 2022, the Company had $ 156,724 Accounts Receivable The Company’s accounts receivable are non-interest bearing trade receivables resulting from the sale of products and payable over terms ranging from 15 to 60 days. The Company provides an allowance for doubtful accounts at the point when collection is considered doubtful. Once all collection efforts have been exhausted, the Company charges-off the receivable with the allowance for doubtful accounts. The Company recorded $ 175,000 no Inventory Inventory is valued at the lower of the cost (determined principally on a first-in, first-out basis) or net realizable value. The Company’s valuation of inventory includes inventory reserves for inventory that will be sold below cost and the impact of inventory shrink. Inventory reserves are based on historical information and assumptions about future demand and inventory shrink trends. The Company’s inventory for the years ended April 30, 2022 and 2021 consisted of the following: SUMMARY OF INVENTORY 2022 2021 Finished Goods $ 4,397,098 $ 1,591,826 Component/Replacement Parts 2,559,848 1,777,028 Capitalized Duty/Freight 1,328,198 347,362 Inventory Reserve (100,000 ) (23,000 ) Total $ 8,185,144 $ 3,693,216 Prepaid Inventory Prepaid inventory represents inventory that is in-transit that has been paid for but not received from the Company’s third-party vendors. The Company typically prepays for the purchase of materials and receives the products within three months after making payments. The Company continuously monitors delivery from, and payments to, the vendors. If the Company has difficulty receiving products from a vendor, the Company would cease purchasing products from such vendors in future periods. The Company has not had difficulty receiving products during the reporting periods. Property and equipment Property and equipment acquired through business combinations are stated at the estimated fair value at the date of the acquisition. Purchases of property and equipment are stated at cost, net of accumulated depreciation and impairment losses. Expenditures that materially increase the useful life of the assets are capitalized. Ordinary repairs and maintenance are expensed as incurred. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the related assets, which is an average of 5 Concentration of Credit Risk The Company maintains its cash in bank deposit accounts, the balances of which at times may exceed insured limits. The Company continually monitors its banking relationships and consequently has not experienced any losses in such accounts. While we may be exposed to credit risk, we consider the risk remote and do not expect that any such risk would result in a significant effect on our results of operations or financial condition. See Note 4 for further details on the Company’s concentration of credit risk as well as other risks and uncertainties. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Revenue Recognition The Company recognizes revenue for their continuing operations in accordance with Accounting Standards Codification (“ASC”) 606, the core principle of which is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to receive in exchange for those goods or services. The Company recognizes revenue for its performance obligation associated with its contracts with customers at a point in time once products are shipped. Amounts collected from customers in advance of shipping products ordered are reflected as contract liabilities on the accompanying consolidated balance sheets. The Company’s standard terms are non-cancelable and do not provide for the right-of-return, other than for defective merchandise covered under the Company’s standard warranty. The Company has not historically experienced any significant returns or warranty issues. The Company recognizes revenue under ASC 606, “Revenue from Contracts with Customers”. The core principle of this revenue standard is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The following five steps are applied to achieve that core principle: Step 1: Identify the contract with the customer The Company determines that it has a contract with a customer when each party’s rights regarding the products or services to be transferred can be identified, the payment terms for the services can be identified, the Company has determined the customer has the ability and intent to pay, and the contract has commercial substance. At contract inception, the Company evaluates whether two or more contracts should be combined and accounted for as a single contract and whether the combined or single contract includes more than one performance obligation. Step 2: Identify the performance obligations in the contract The Company’s customers are buying an integrated system. In evaluating whether the equipment is a separate performance obligation, the Company’s management considered the customer’s ability to benefit from the equipment on its own or together with other readily available resources and if so, whether the service and equipment are separately identifiable (i.e., is the service highly dependent on, or highly interrelated with the equipment). Because the Products and Services included in the customer’s contract are integrated and highly interdependent, and because they must work together to deliver the Solution, the Company has concluded that Products installed on customer’s premise and Services contracted for by the customer are generally not distinct within the context of the contract and, therefore, constitute a single, combined performance obligation. Step 3: Determine the transaction price The transaction price is the amount of consideration to which an entity expects to be entitled in exchange for transferring promised goods or services to a customer. The consideration promised in a contract with a customer includes predetermined fixed amounts, variable amounts, or both. The Company’s contracts do not include any rights of returns or refunds. The Company collects each year’s service fees in advance and should therefore consider the existence of a significant financing component. However, due to the fact that the payments are provided for the service of a one-year term, the Company elected to apply the practical expedient under ASC 606 which exempts the adjustment of the consideration for the existence of a significant financing component when the period between the transfer of the services and the payment for such services is one year or less. Step 4: Allocate the transaction price to the performance obligations in the contract Contracts that contain multiple performance obligations require an allocation of the transaction price to each performance obligation based on each performance obligation’s relative standalone selling price (“SSP”). The Company has identified a single performance obligation in the contract, and therefore, the allocation provisions under ASC 606 do not apply to the Company’s contracts. Step 5: Recognize revenue when the Company satisfies a performance obligation Revenues for the Company’s single, combined performance obligation are recognized on a straight-line basis over the customer’s contract term, which is the period in which the parties to the contract have enforceable rights and obligations (Typically 3-4 years). Business Combinations Upon acquisition of a company, we determine if the transaction is a business combination, which is accounted for using the acquisition method of accounting. Under the acquisition method, once control is obtained of a business, the assets acquired, and liabilities assumed, are recorded at fair value. We use our best estimates and assumptions to assign fair value to the tangible and intangible assets acquired and liabilities assumed at the acquisition date. One of the most significant estimates relates to the determination of the fair value of these assets and liabilities. The determination of the fair values is based on estimates and judgments made by management. Our estimates of fair value are based upon assumptions we believe to be reasonable, but which are inherently uncertain and unpredictable. Measurement period adjustments are reflected at the time identified, up through the conclusion of the measurement period, which is the time at which all information for determination of the values of assets acquired and liabilities assumed is received, and is not to exceed one year from the acquisition date. We may record adjustments to the fair value of these tangible and intangible assets acquired and liabilities assumed, with the corresponding offset to goodwill. The Company elected to apply pushdown accounting to all entities acquired during the year ended April 30, 2022. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Additionally, uncertain tax positions and tax-related valuation allowances are initially recorded in connection with a business combination as of the acquisition date. We continue to collect information and reevaluate these estimates and assumptions periodically and record any adjustments to preliminary estimates to goodwill, provided we are within the measurement period. If outside of the measurement period, any subsequent adjustments are recorded to the consolidated statement of operations. Fair Value of Financial Instruments Fair value of financial and non-financial assets and liabilities is defined as an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. The three-tier hierarchy for inputs used in measuring fair value, which prioritizes the inputs used in the methodologies of measuring fair value for assets and liabilities, is as follows: Level 1 — Quoted prices in active markets for identical assets or liabilities Level 2 — Observable inputs other than quoted prices in active markets for identical assets and liabilities Level 3 — Unobservable pricing inputs in the market Financial assets and financial liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurements. Our assessment of the significance of a particular input to the fair value measurements requires judgment and may affect the valuation of the assets and liabilities being measured and their categorization within the fair value hierarchy. The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, and accounts payable. The carrying amount of these financial instruments approximates fair value due to their short-term maturity. The Company’s contingent consideration in connection with the acquisition of Gameface and PlaySight were calculated using Level 3 inputs. The fair value of contingent consideration as of April 30, 2022 was $ 1,334,000 The Company estimates the fair value of its intangible assets using Level 3 assumptions, primarily based on the income approach utilizing the discounted cash flow method. The Company’s derivative liabilities were calculated using Level 2 assumptions on the issuance and balance sheet dates via a Black-Scholes option pricing model and consisted of the following ending balances and gain amounts as of and for the year ended April 30, 2022: SUMMARY OF DERIVATIVE LIABILITIES April 30, 2022 (Gain) loss for year Note derivative is related to ending balance ended April 30, 2022 4/11/21 conversion of 12/24/20 note payable $ 1,061,550 $ (168,301 ) 4/15/21 note payable — (6,014,245 ) 5/26/21 conversion of notes payable – related party — (2,867,749 ) 8/6/21 convertible notes 4,382,229 (9,506,889 ) Total $ 5,443,779 $ (18,557,184 ) The Black-Scholes option pricing model assumptions for the derivative liabilities during the year ended April 30, 2022 and 2021 consisted of the following: SUMMARY OF WARRANTS GRANTED VALUATION USING BLACK-SCHOLES PRICING METHOD 2022 2021 Expected life in years 1.95 4.3 1.7 5.0 Stock price volatility 50 % 50 155 % Risk free interest rate 2.67 2.90 % 0.16 1.56 % Expected dividends 0 % 0 % Refer to Note 10 and Note 11 for more information regarding the derivative instruments. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Income Taxes Income taxes are accounted for in accordance with the provisions of ASC 740, Accounting for Income Taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amounts that are more likely than not to be realized. Intangible Assets Intangible assets relate to the “Slinger” technology trademark, which the Company purchased on November 10, 2020. The trademark is amortized over its expected life of 20 2,730 20 5 15 956 9,499 33,749 Impairment of Long-Lived Assets In accordance with ASC 360-10, the Company evaluates long-lived assets for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. Factors which could trigger impairment review include significant underperformance relative to historical or projected future operating results, significant changes in the manner of use of the assets or the strategy for the overall business, a significant decrease in the market value of the assets or significant negative industry or economic trends. When such factors and circumstances exist, the Company compares the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives against their respective carrying amount. If those net undiscounted cash flows do not exceed the carrying amount, impairment, if any, is based on the excess of the carrying amount over the fair value based on the market value or discounted expected cash flows of those assets and is recorded in the period in which the determination is made. The Company performed this assessment in April 2022, and determined that the long-lived assets related to Foundation Sports were fully impaired as of April 30, 2022, resulting in an impairment loss of $ 1,056,599 no Goodwill The Company accounts for goodwill in accordance with ASC 350, Intangibles - Goodwill and Other (“ASC 350”). ASC 350 requires that goodwill not be amortized, but reviewed for impairment if impairment indicators arise and, at a minimum, annually. The Company records goodwill as the excess purchase price over assets acquired and includes any work force acquired as goodwill. Goodwill is evaluated for impairment on an annual basis. With the adoption of the ASU 2017-04, which eliminates the second step of the goodwill impairment test, the Company tests impairment of goodwill in one step. In this step, the Company compares the fair value of each reporting unit with goodwill to its carrying value. The Company determines the fair value of its reporting units with goodwill using a combination of a discounted cash flow and a market value approach. If the carrying value of the net assets assigned to the reporting unit exceeds the fair value of the reporting unit, the Company will record an impairment charge based on the excess of a reporting unit’s carrying amount over its fair value. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that reporting unit, goodwill is not impaired and the Company will not record an impairment charge. The Company determined in April 2022 that the fair value of the reporting unit was less than the carrying value of the net assets assigned to the reporting unit and therefore goodwill was fully impaired for Foundation Sports at April 30, 2022, resulting in an impairment loss of $ 2,430,000 no CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Share-Based Payment The Company accounts for share-based compensation in accordance with ASC 718, Compensation-Stock Compensation (ASC 718). Under the fair value recognition provisions of this topic, stock-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as an expense on a straight-line basis over the requisite service period, which is the vesting period. Warrants The Company grants warrants to key employees and executives as compensation on a discretionary basis. The Company also grants warrants in connection with certain note payable agreements and other key arrangements. The Company is required to estimate the fair value of share-based awards on the measurement date and recognize as expense that value of the portion of the award that is ultimately expected to vest over the requisite service period. Warrants granted in connection with ongoing arrangements are more fully described in Note 11 and Note 14. The warrants granted during the year ended April 30, 2022 and 2021 were valued using a Black-Scholes option pricing model on the date of grant using the following assumptions: SUMMARY OF WARRANTS GRANTED VALUATION USING BLACK-SCHOLES PRICING METHOD 2022 2021 Expected life in years 5 10 2 10 Stock price volatility 50 148 148 280 Risk free interest rate 0.77 1.63 0.12 1.64 Expected dividends 0 0 Foreign Currency Translation Our functional currency is the U.S. dollar. The functional currency of our foreign operations, generally, is the respective local currency for each foreign subsidiary. Assets and liabilities of foreign operations denominated in local currencies are translated at the spot rate in effect at the applicable reporting date. Our consolidated statements of comprehensive loss are translated at the weighted average rate of exchange during the applicable period. The resulting unrealized cumulative translation adjustment is recorded as a component of accumulated other comprehensive loss in shareholders’ equity. Realized and unrealized transaction gains and losses generated by transactions denominated in a currency different from the functional currency of the applicable entity are recorded in other income (loss) in the period in which they occur. Earnings Per Share Basic earnings per share are calculated by dividing income available to shareholders by the weighted-average number of common shares outstanding during each period. Diluted earnings per share are computed using the weighted average number of common and dilutive common share equivalents outstanding during the period. The Company had 538,947 692,130 10,327,778 No 3,881,364 2,450,311 838,780 21,786 Recent Accounting Pronouncements Recently Adopted In January 2017, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment (“ASU 2017-04”), which simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Under ASU 2017-04, goodwill impairment will be tested by comparing the fair value of a reporting unit with its carrying amount, and recognizing an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The new guidance must be applied on a prospective basis and is effective for periods beginning after December 15, 2022, with early adoption permitted. The Company adopted ASU 2017-04 effective May 1, 2021. The adoption of the new standard did not have a material effect on the Company’s consolidated financial statements. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued Accounting Standards Update (“ASU”), 2019-12, Simplifying the Accounting for Income Taxes Income Taxes In August 2020, the FASB issued ASU No. 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. ASU 2020-06 will simplify the accounting for convertible instruments by reducing the number of accounting models for convertible debt instruments and convertible preferred stock. Limiting the accounting models results in fewer embedded conversion features being separately recognized from the host contract as compared with current GAAP. Convertible instruments that continue to be subject to separation models are (1) those with embedded conversion features that are not clearly and closely related to the host contract, that meet the definition of a derivative, and that do not qualify for a scope exception from derivative accounting and(2) convertible debt instruments issued with substantial premiums for which the premiums are recorded as paid-in capital. ASU 2020-06 also amends the guidance for the derivatives scope exception for contracts in an entity’s own equity to reduce form-over-substance-based accounting conclusions. ASU 2020-06 will be effective for public companies for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Company is currently evaluating the impact that the adoption of ASU 2020-06 will have on the Company’s consolidated financial statement presentation or disclosures. In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASC 326”). The guidance replaces the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (“CECL”) methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credits, financial guarantees, and other similar instruments) and net investments in leases recognized by a lessor in accordance with Topic 842 on leases. ASC 326 requires enhanced disclosures related to the significant estimates and judgments used in estimating credit losses as well as the credit quality and underwriting standards of a company’s portfolio. In addition, ASC 326 made changes to the accounting for available-for-sale debt securities. One such change is to require credit losses to be presented as an allowance rather than as a write-down on available-for-sale debt securities the Company does not intend to sell or believes that it is more likely than not they will be required to sell. The ASU can be adopted no later than January 1, 2020 for SEC filers and January 1, 2023 for private companies and smaller reporting companies. The Company has not yet adopted this ASU as it qualifies as a smaller reporting company. The Company does not expect this ASU will have a material impact on its consolidated financial statements. In October 2021, the FASB issued ASU 2021-08, “Business Combinations - Accounting for Contract Assets and Contract Liabilities (Topic 805)”. The amendments in this Update address diversity and inconsistency related to the recognition and measurement of contract assets and contract liabilities acquired in a business combination. The amendments in this Update require that an acquirer recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. ASU 2021-08 is effective for fiscal years beginning after December 15, 2022, and interim periods within those fiscal years. The Company does not expect the adoption of this ASU to have a material impact on the Company’s financial statements. The FASB has issued ASU 2021-04, Earnings Per Share (Topic 260), Debt—Modifications and Extinguishments (Subtopic 470-50), Compensation—Stock Compensation (Topic 718), and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40). ASU 2021-04 provides guidance that an entity should treat a modification of the terms or conditions or an exchange of a freestanding equity-classified written call option that remains equity classified after modification or exchange as an exchange of the original instrument for a new instrument. The standard also provides guidance on how an entity should measure and recognize the effect of a modification or an exchange of a freestanding equity-classified written call option that remains equity classified. The amendments in this ASU are effective for the Company for fiscal years beginning after December 15, 2021. Early adoption is permitted for all entities, including adoption in an interim period. The Company is currently evaluating the impact that the adoption of ASU 2021-04 will have on the Company’s consolidated financial statement presentation or disclosures. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Other recently issued accounting pronouncements did not, or are not believed by management to, have a material effect on the Company’s present or future consolidated financial statements. |
CONCENTRATION OF CREDIT RISK AN
CONCENTRATION OF CREDIT RISK AND OTHER RISKS AND UNCERTAINTIES | 12 Months Ended |
Apr. 30, 2022 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATION OF CREDIT RISK AND OTHER RISKS AND UNCERTAINTIES | Note 4 CONCENTRATION OF CREDIT RISK AND OTHER RISKS AND UNCERTAINTIES Revenue Concentration For the year ended April 30, 2022, the Company had four customers that accounted for 39.75 %, 12.97 %, 12.77 %, and 10.52 % of the Company’s revenues, respectively. For the year ended April 30, 2021 the Company had one customer that accounted for 12.14 % of revenue. Accounts Receivable Concentration For the year ended April 30, 2022, the Company had two customers that accounted for 24.01 19.11 14.93 14.13 11.89 10.26 Purchases Concentration For the year ended April 30, 2022, the Company had three suppliers that accounted for 15.63 14.93 10.18 18.24 12.58 10.34 Accounts Payable Concentration As of April 30, 2022, the Company had four significant suppliers that accounted for 21.15 13.28 12.78 12.26 22.26 14.57 13.91 |
ACQUISITIONS AND BUSINESS COMBI
ACQUISITIONS AND BUSINESS COMBINATIONS | 12 Months Ended |
Apr. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
ACQUISITIONS AND BUSINESS COMBINATIONS | Note 5: ACQUISITIONS AND BUSINESS COMBINATIONS Foundation Sports Systems, LLC On June 21, 2021, the Company entered into a membership interest purchase agreement (“MIPA”) with Charles Ruddy (the “Seller”) to acquire a 100% ownership stake in Foundation Sports Systems, LLC (“Foundation Sports”) in exchange for 100,000 shares of common stock of the Company to be issued to the Seller and two other Foundation Sports employees in three tranches (the “Purchase Price”): (i) 60,000 shares of common stock on the closing date, (ii) 20,000 shares of common stock on the first anniversary of the closing date and (iii) 20,000 shares of common stock on the second anniversary of the closing date (collectively, the “Shares”), provided that 10 54,000 10 6,000 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The Company accounted for the transaction as a business combination and elected to apply pushdown accounting to the entity. The Company allocated the aggregate purchase price for the acquisition based upon the tangible and intangible assets acquired, as the Company did not acquire any liabilities in this acquisition. The allocation of the purchase price is detailed below: SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED Consideration transferred: Equity consideration $ 3,550,000 Total Purchase Price $ 3,550,000 Description Fair Value Assets acquired: Trade name $ 70,000 Internally developed software 100,000 Customer relationships 950,000 Total assets acquired 1,120,000 Fair value of net assets acquired $ 1,120,000 Goodwill $ 2,430,000 The amounts allocated for internally developed software, customer relationships, and the goodwill were updated since the Company’s third quarter filing upon further review of the fair value of the intangible assets. The fair value of internally developed software and customer relationships decreased by $ 140,000 1,050,000 1,190,000 As a result of the change in fair value of the intangible assets, the amortization expense of the intangible assets acquired from Foundation Sports decreased by $ 154,999 75% Gameface Ltd. On February 2, 2022, the Company entered into a share purchase agreement with Flixsense Pty, Ltd. (“Gameface”). As a result of the share purchase agreement, Gameface became a wholly owned subsidiary of the Company in exchange for 590,327 shares of common stock of the Company, 100,000 earn out shares of common stock of the Company, 66,667 shares of common stock of the Company that will not be issued until the end of the retention period, 478,225 1,334,000 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The Company accounted for the transaction as a business combination and elected to apply pushdown accounting to the entity. The Company allocated the aggregate purchase price for the acquisition based upon the tangible and intangible assets acquired, net of liabilities. The allocation of the purchase price is detailed below: SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED Consideration transferred: Contingent consideration $ 1,334,000 Seller note payable 500,000 Seller’s liability assumed 9,700,000 Total Purchase Price $ 11,534,000 Description Fair Value Assets acquired: Cash and cash equivalents $ 125,659 Prepaid expenses and other receivables 38,972 Property, plant and equipment 39,888 Other non-current assets 81,921 Intangible asset - Tradename 270,000 Intangible asset - Internally developed software 580,000 Intangible asset - Customer relationships 3,930,000 Total assets acquired $ 5,066,440 Liabilities assumed: Accounts payable $ 88,712 Contract liabilities 50,728 Provisions 90,388 Other liabilities 83,805 Total liabilities assumed 313,633 Fair value of net assets acquired $ 4,752,807 Goodwill $ 6,781,193 PlaySight Interactive Ltd. On February 21, 2022, the Company entered into a merger agreement with PlaySight Interactive Ltd. (“PlaySight”) and Rohit Krishnan (the “Shareholders’ Representative”). As a result of the merger agreement, PlaySight became a wholly owned subsidiary of the Company in exchange for 2,537,969 shares of common stock of the Company, and issued to PlaySight employees options to purchase up to 142,858 shares of Company common stock, and used a cash sum equal to 152,490 shares of the Company’s common stock ($2,200,000) to cover certain expenses. The PlaySight employee options vest at issuance, have an exercise price of $ 0.01 10 514,286 4,847,000 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The Company accounted for the transaction as a business combination and elected to apply pushdown accounting to the entity. The Company allocated the aggregate purchase price for the acquisition based upon the tangible and intangible assets acquired, net of liabilities. The allocation of the purchase price is detailed below: SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED Consideration transferred: Contingent consideration $ 4,847,000 Seller’s note 2,200,000 Equity consideration 37,750,000 Total $ 44,797,000 Description Fair Value Assets acquired: Cash and cash equivalents $ 351,000 Restricted cash 155,000 Accounts receivable, net 347,000 Prepaid expenses and other current assets 294,000 Inventories, net 521,000 Contract assets 277,000 Fixed assets, net 129,000 Operating lease right-of-use asset 262,000 Contract assets, net of current portion 219,000 Finished products used in operations, net 4,749,000 Intangible asset - Tradename 1,700,000 Intangible asset - Internally developed software 2,430,000 Intangible asset - Customer relationships 15,590,000 Total assets acquired $ 27,024,000 Liabilities assumed: Accounts payable $ 1,126,000 Accrued expenses 1,800,000 Contract liabilities 2,534,000 Operating lease liability, current portion 257,000 Contract liabilities, net of current portion 1,311,000 Notes payable, net 1,061,000 Total liabilities assumed 8,089,000 Fair value of net assets acquired $ 18,935,000 Goodwill $ 25,862,000 Goodwill balances comprise of synergies recognized from combining operations and brand recognition. Total transaction costs for the three acquisitions were $ 5,109,522 During November 2022, the Company made the decision to dispose of these operations. See Note 18 related to the disposition of this business in November 2022. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Pro Forma Results The following pro forma financial information presents the results of operations of the Company as of the year ended April 30, 2022 and 2021, as if the acquisitions of PlaySight and Gameface had occurred as of the beginning of the first period presented instead of February 2022. The pro forma financial information (in thousands) of the Company as of the years ended April 30, 2022 and 2021 is as follows: SCHEDULE OF PROFORMA FINANCIAL INFORMATION Reported Proforma Reported Proforma For the For the Years Ended April 30, 2022 2021 Reported Proforma Reported Proforma Revenues $ 16,831 $ 21,236 $ 10,804 $ 16,424 Loss from operations (51,928 ) (57,372 ) (3,933 ) (11,350 ) Net loss $ (51,774 ) $ (48,011 ) $ (18,595 ) $ (31,333 ) Basic and diluted earnings (loss) per share $ (13.44 ) $ (12.46 ) $ (6.96 ) $ (11.73 ) |
GOODWILL
GOODWILL | 12 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL | Note 6 GOODWILL The changes in the carrying amount of goodwill for the year ended April 30, 2022 were as follows: SCHEDULE OF GOODWILL Balance as of April 30, 2021 $ — Beginning balance $ — Gameface acquisition (Note 5) 6,781,193 PlaySight acquisition (Note 5) 25,862,000 Foundation Sports acquisition (Note 5) 2,430,000 Goodwill, acquired during period 2,430,000 Less impairment (2,430,000 ) Balance as of April 30, 2022 $ 32,643,193 Ending balance $ 32,643,193 Impairment of Goodwill Year ended April 30, 2022 The Company has assessed the indicators of impairment and concluded on the below for the respective reporting units: Equipment No goodwill was assigned to the Equipment segment as of April 30, 2022 . Technology PlaySight, Gameface, and Foundation Sports were all assigned to the Technology segment as of April 30, 2022. The Company determined in April 2022 that the fair value of Foundation Sports was less than the carrying value of the net assets assigned to this entity and therefore goodwill related to Foundation Sports was fully impaired as of April 30, 2022. Impairment loss relating to Foundation Sports was $ 2,430,000 |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 12 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS | Note 7: INTANGIBLE ASSETS Intangible assets, net consisted of the following: SCHEDULE OF INTANGIBLE ASSETS Weighted Average Period April 30, 2022 Amortization (in years) Carrying Value Accumulated Amortization Impairment L oss Net Carrying Value Tradenames 15.26 $ 2,154,551 $ 24,102 (68,969 ) $ 2,061,480 Customer relationships 9.92 20,412,491 169,070 (892,491 ) 19,350,930 Internally developed software 4.91 3,105,139 105,908 (95,139 ) 2,904,092 Total intangible assets $ 25,672,181 $ 299,080 $ (1,056,599 ) $ 24,316,502 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Weighted Average Amortization April 30, 2021 Period (in years) Carrying Value Accumulated Amortization Net Carrying Value Tradenames 20 $ 115,583 $ 2,730 $ 112,853 Total intangible assets $ 115,583 $ 2,730 $ 112,853 Amortization expense for the years ended April 30, 2022 and 2021 was approximately $ 296,350 2,730 Intangible assets for Foundation Sports have been fully impaired as of April 30, 2022. This resulted in an impairment loss of $ 1,056,599 As of April 30, 2022, the estimated future amortization expense associated with the Company’s intangible assets for each of the five succeeding fiscal years is as follows: SCHEDULE OF ESTIMATED FUTURE AMORTIZATION For the Years Ended April 30, Amortization Expense 2023 $ 1,572,905 2024 1,824,808 2025 2,569,690 2026 3,330,667 2027 3,122,430 Thereafter 11,896,002 Total $ 24,316,502 On November 10, 2020, the Company entered into a Trademark Assignment Agreement to acquire the “Slinger” trademark for $ 30,000 35,000 50,000 0.50 10 years The common stock was valued at the closing stock price on November 10, 2020 and the warrants were valued using a Black-Scholes option pricing model, for a fair value of $ 35,531 50,232 The purchase price of the trademark was determined to be $ 115,583 |
ACCRUED EXPENSES
ACCRUED EXPENSES | 12 Months Ended |
Apr. 30, 2022 | |
Payables and Accruals [Abstract] | |
ACCRUED EXPENSES | Note 8 ACCRUED EXPENSES The composition of accrued expenses is summarized below: SCHEDULE OF ACCRUED EXPENSES 2022 2021 April 30, 2022 2021 Accrued payroll $ 2,041,949 $ 415,264 Accrued bonus 1,114,753 868,200 Accrued professional fees 1,706,560 240,177 Goods received not invoiced 293,413 487,945 Accrued sales taxes 250,000 Other accrued expenses 695,336 280,537 Total $ 5,602,011 $ 2,292,123 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
NOTE PAYABLE - RELATED PARTY
NOTE PAYABLE - RELATED PARTY | 12 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
NOTE PAYABLE - RELATED PARTY | Note 9: NOTE PAYABLE - RELATED PARTY Beginning in October 2019, the Company entered into several loan agreements with a related party entity controlled by the former shareholder of Slinger Bag Canada. Total outstanding borrowings from this related party as of April 30, 2021 amounted to $ 6,220,000 76,777 SCHEDULE OF NOTES PAYABLE - RELATED PARTY Note Date Maturity Date Interest Rate April 30, 2021 6/1/2019 6/1/2021 9.5 % $ 1,700,000 6/30/2020 6/30/2021 9.5 % 120,000 8 notes from 10/2019 - 8/2020 9/1/2021 9.5 % 3,850,000 9/15/2020 9/15/2021 9.5 % 250,000 11/24/2020 11/24/2021 9.5 % 300,000 Total notes payable to related parties $ 6,220,000 On May 26, 2021, the Company and the related party lender entered into a note conversion agreement (the “Note Conversion Agreement”) whereby the related party lender agreed to convert its total outstanding borrowings as of that date of $ 6,220,000 163,684 6,220,000 6,220,000 6,220,000 The Company evaluated the conversion option of the notes payable to shares under the guidance in ASC 815, Derivatives and Hedging (“ASC 815”), and determined the conversion option qualified for equity classification. The Company also evaluated the profit guarantee under ASC 815 and determined it to be a make-whole provision, which is an embedded derivative within the host instrument. As the economic characteristics of the make-whole provision are dissimilar to the host instrument, the profit guarantee was bifurcated from the host instrument and stated as a separate derivative liability, which is marked to market at the end of each reporting period with the non-cash gain or loss recorded in the period as a gain or loss on derivative. On the date of conversion the Company recognized a $ 5,118,435 6,220,000 6,220,003 derivative liability 5,052,934 65,498 11,279 Per the terms of the Note Conversion Agreement the accrued interest related to the notes payable was not converted into shares and is still due to the related party. The Company and the related party agreed that interest will be paid when separately agreed between the related party and the Company. On January 5, 2023, the Company and the related party entered into a forbearance agreement pursuant to which the Company has until December 30, 2023 to pay the outstanding balance of such interest, which is $ 917,957 On July 23, 2021, the Company entered into a loan agreement with its related party lender for borrowings of $ 500,000 12% On August 4, 2021, the Company entered into a loan agreement with its related party lender for borrowings of $ 500,000 12% On August 11, 2021, the Company repaid the outstanding principal and interest to its related party lender for the July 23, 2021 loan of $ 500,000 500,000 On August 31, 2021, the Company’s related party lender cancelled the guarantee in the Note Conversion Agreement that the aggregate gross sales of its converted shares will be no less than $ 6,220,000 2,185,185 2,867,749 2,185,185 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS On January 14, 2022, the Company entered into two loan agreements with related party lenders, each for $ 1,000,000 2,000,000 8% There was $ 2,000,000 165,558 608,668 908,756 747,636 |
CONVERTIBLE NOTES PAYABLE
CONVERTIBLE NOTES PAYABLE | 12 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
CONVERTIBLE NOTES PAYABLE | Note 10: CONVERTIBLE NOTES PAYABLE On June 1, 2019, the Company entered into a convertible note payable agreement with Mont-Saic Investments LLC (“Mont-Saic”) which provided for borrowings of $ 1,700,000 12.6% All outstanding amounts were due on the maturity date 360 days after the loan issue date 50% 75% The convertible note payable agreement, as amended on September 11, 2019, also provided Mont-Saic with a warrant giving them the right to acquire 33% 33% 1,492,188 1,216,560 On June 1, 2020, the Company and Mont-Saic entered into an amendment to the convertible note payable agreement to eliminate the conversion right contained in the original agreement and extend the maturity date to June 1, 2021. The Company evaluated the conversion option under the guidance in ASC 815-10, Derivatives and Hedging, and determined it to have characteristics of a derivative liability. Under this guidance, this derivative liability is marked-to-market at each reporting period with the non-cash gain or loss recorded in the period as a gain or loss on derivatives. The value of the conversion option derivative amounted to $ 566,667 358,855 566,667 The combined discount relating to the warrant and conversion option were amortized over the term of the agreement. Amortization of debt discounts during the year ended April 30, 2020 amounted to $ 1,493,939 206,061 On December 3, 2020, Mont-Saic entered into an Assignment and Conveyance Agreement with the Company’s exiting related party lender wherein Mont-Saic sold its full right, title and interest in its outstanding notes payable amounting to $ 1,820,000 1,700,000 120,000 121,656 692,130 On February 11, 2020, the Company entered into a convertible note payable agreement for borrowings of $ 125,000 12% February 11, 2021 70% On September 4, 2020, the Company and the convertible debtholder entered into an agreement to convert the outstanding convertible note payable balance of $ 125,000 8,466 30,000 51,412 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS At the time of the conversion, the remaining debt discount was fully amortized and the derivative liability amount of $ 53,571 8,127,778 42,872 2,872,222 zero On August 6, 2021, the Company consummated the closing (the “Closing”) of a private placement offering (the “Offering”) pursuant to the terms and conditions of that certain Securities Purchase Agreement, dated as of August 6, 2021 (the “Purchase Agreement”), between the Company and certain accredited investors (the “Purchasers”). At the Closing, the Company sold to the Purchasers (i) 8% 11,000,000 733,333 11,000,000 The Convertible Notes mature on August 6, 2022 8% 3.00 The Warrants are exercisable for five years August 6, 2021 3.00 The Company evaluated the Warrants and the conversion options under the guidance in ASC 815 and determined they represent derivative liabilities given the variability in the exercise and conversion prices upon the event of an up list to the NASDAQ. The Company also evaluated the other embedded features in the agreement and determined the interest make-whole provision and the subsequent financing redemption represent put features that are also accounted for as derivative liabilities. The derivative liabilities are marked to market at the end of each reporting period with the non-cash gain or loss recorded in the period as a gain or loss on derivative (see Note 3). The Warrants were valued at $ 12,026,668 five 1,862,450 As part of the issuance of the Convertible Notes, the Company incurred and capitalized debt issuance costs of $ 800,251 14,689,369 3,689,369 8,127,778 2,872,222 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS On December 31, 2021, the Company entered into an Omnibus Amendment Agreement (the “Omnibus Agreement”) with certain Purchasers who are collectively holders of 67% or more of the Securities outstanding related to the August 6, 2021 Convertible Notes, amending each of (i) the Purchase Agreement and (ii) the Registration Rights Agreement. Simultaneously with the execution of the Omnibus Agreement, the Company issued to each Purchaser a Replacement Note (as defined below) in replacement of the Convertible Note held prior to December 31, 2021 by such Purchaser (each, an “Existing Note”) The Purchase Agreement was amended to, among other things, (i) delete Exhibit A and replace it in its entirety with the 8% Senior Convertible Note (the “Replacement Note”) filed as Exhibit 10.2 to the Company’s current report on Form 8-K dated January 5, 2021, (ii) add a new definition of “Inventory Financing”, (iii) amend Section 4.18 to add at the end of Section 4.18 before the final period “, it being agreed that the provisions of this Section 4.18 shall not apply to the Qualified Subsequent Financing expected to occur after the date hereof”, (iv) delete Section 4.20 and replace it in its entirety with substantially the same text, including the following after the period, replacing the period with a semicolon: “; provided that the provisions of this Section 4.20 shall not apply to (i) in respect of any Holder to the extent that such Holder is an investor or a purchaser of the securities offered pursuant such Subsequent Financing, and (ii) with respect to an Inventory Financing.”, and (v) add a new Section 4.21. Most-Favored Nation provision. The Registration Rights Agreement was amended to, among other things, (i) delete the definition “Effectiveness Date” in Section 1 and replace it in its entirety with substantially the same text but revise the definition of “Effectiveness Date” causing the Initial Registration Statement required to be filed by January 31, 2022, and (ii) delete Section 2(d) and replace it in its entirety with substantially the same text but revised to delete the following “(2) no liquidated damages shall accrue or be payable hereunder with respect to any day on which the high price of the Common Stock on the Trading Market on which the Common Stock is then listed or traded is less than the then-applicable Conversion Price,” resulting in renumbering the text that follows as (2) instead of (3). As consideration for entering into the Omnibus Agreement, the outstanding principal balance of the Existing Note held by each Purchaser was increased by twenty percent ( 20% 2,200,000 The fair value of the derivative liability related to the Convertible Notes was $ 4,382,229 9,506,889 Total outstanding borrowings related to the Convertible Notes as of April 30, 2022 were $ 13,200,000 2,872,222 10,327,778 708,677 |
NOTES PAYABLE
NOTES PAYABLE | 12 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
NOTES PAYABLE | Note 11: NOTES PAYABLE On March 16, 2020, the Company entered into a promissory note payable whereby the Company borrowed $ 500,000 12% March 16, 2022 50,000 40% 112,990 35,542 On December 15, 2020, the debt holder agreed to convert the outstanding note payable of $ 500,000 50,000 70,483 On June 30, 2020, the Company entered into a loan agreement with Mont-Saic to borrow $ 120,000 12.6% CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS On December 24, 2020, the Company entered into a promissory note with a third-party to borrow $ 1,000,000 2.25% On April 11, 2021, the Company and the lender entered into an agreement whereby the lender converted the promissory note into 27,233 20% 1,500,000 1,500,000 1,500,000 The Company evaluated the conversion option of the note payable to shares under the guidance in ASC 815-40, Derivatives and Hedging, and determined the conversion option qualified for equity classification. The Company also evaluated the profit guarantee under ASC 815, Derivatives and Hedging, and determined it to be a make-whole provision, which is an embedded derivative within the host instrument. As the economic characteristics are dissimilar to the host instrument, the profit guarantee was bifurcated from the host instrument and stated as a separate derivative liability, which is marked to market at the end of each reporting period with the non-cash gain or loss recorded in the period as a gain or loss on derivative. On the date of conversion, the Company recognized a $ 1,501,914 1,250,004 1,251,910 The fair value of the derivative liability was $ 1,061,550 168,301 On April 15, 2021, the Company entered into a $ 2,000,000 April 14, 2023 15% The Note is collateralized by all business assets, including patents, trademarks and other intellectual property. It is also collateralized by the ownership of Slinger Bag Americas, Slinger Bag Canada, Slinger Bag Limited, and Slinger Bag International (UK) Limited. In connection with the Note, the Company issued 220,000 0.25 The exercise price has customary anti-dilution protection for stock splits, mergers, etc. Additionally, the warrant contains a stipulation that the Company will guarantee the value of the shares sold will be no less, on average, than $1.50 per share through April 15, 2023. If the value is less than $1.50 per share, the Company will issue additional shares of common stock to compensate for the shortfall, which could result in an infinite number of shares being required to be issued The Company evaluated the warrants and the profit guarantee under the guidance in ASC 815-40, Derivatives and Hedging and determined they represent a derivative liability given the profit guarantee represents a make-whole provision that is not separated from the host instrument. The derivative liability is marked to market at the end of each reporting period with the non-cash gain or loss recorded in the period as a gain or loss on derivative (see Note 3). The fair value of the derivative liability on the date of the execution of the Note was valued using a Black-Scholes option pricing model at $ 14,501,178 2,000,0000 12,501,178 On August 6, 2021, the Company used the net proceeds from the issuance of the Convertible Notes (see Note 10) to pay 100% of the outstanding principal and accrued interest of the Note. Amortization of the debt discount related to the Note during the years ended April 30, 2022 and 2021 was $ 11,228 10,477 1,978,295 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS On August 6, 2021, the Note payable holder exercised its right to convert its 220,000 At the conversion date the Note payable holder also agreed to cancel the guarantee that the value of the shares sold will be no less, on average, than $1.50 per share through April 15, 2023 6,569,353 6,014,245 6,569,353 There were no 106,667 On February 15, 2022, for and in consideration of $ 4,000,000 13,000 a. Prior to March 15, 2022, the Company paid to Consignor $ 557,998 392.68 1,421 b. On March 21, 2022, Consignee paid to Consignor $ 157,465 392.68 401 c. On April 15, 2022, Consignee paid to Consignor $ 250,000 392.68 637 As of April 30, 2022, the Company had repaid $ 965,463 3,034,537 1,104,839 On April 1, 2022, the Company entered into a $ 500,000 July 1, 2022 8% 3,178 |
NOTES RECEIVABLE
NOTES RECEIVABLE | 12 Months Ended |
Apr. 30, 2022 | |
Receivables [Abstract] | |
NOTES RECEIVABLE | Note 12: NOTES RECEIVABLE On July 21, 2021, the Company entered into a Convertible Loan Agreement with PlaySight Interactive Ltd (the “Borrower”) wherein the Company granted the Borrower a line of credit with a six-month maturity date. Any borrowings under the line of credit bear interest at a rate of 15 On July 26, 2021, the Company issued $ 300,000 700,000 400,000 300,000 300,000 250,000 105,349 On February 22, 2022, the Company entered into a merger agreement with PlaySight Interactive Ltd. (“PlaySight”) and Rohit Krishnan (the “Shareholders’ Representative”). As a result of the merger agreement, PlaySight became a wholly owned subsidiary of the Company. As such, the note receivable balance and related interest income was eliminated upon consolidation as of April 30, 2022. For the year ended April 30, 2021, there was no |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Apr. 30, 2022 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | Note 13: RELATED PARTY TRANSACTIONS In support of the Company’s efforts and cash requirements, it may rely on advances from related parties until such time that the Company can support its operations or attain adequate financing through sales of its equity or traditional debt financing. There is no formal written commitment for continued support by officers, directors, or shareholders. Amounts represent advances, amounts paid in satisfaction of liabilities, or accrued compensation that has been deferred. The advances are considered temporary in nature and have not been formalized by a promissory note. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS As of April 30, 2022 and 2021, amounts due to related parties were $ 1,905,792 1,283,464 The Company has outstanding notes payable of $ 2,000,000 and $ 6,220,000 and accrued interest of $ 908,756 and $ 747,636 due to a related party as of April 30, 2022 and 2021, respectively (see Note 9). 500,000 The Company recognized net sales of $ 368,164 615,584 93,535 86,956 |
SHAREHOLDERS_ EQUITY (DEFICIT)
SHAREHOLDERS’ EQUITY (DEFICIT) | 12 Months Ended |
Apr. 30, 2022 | |
Equity [Abstract] | |
SHAREHOLDERS’ EQUITY (DEFICIT) | Note 14: SHAREHOLDERS’ EQUITY (DEFICIT) Common Stock The Company has 300,000,000 0.001 4,194,836 2,764,282 Equity Transactions During the Year Ended April 30, 2022 On May 26, 2021, the Company issued 163,684 6,220,000 On June 23, 2021, the Company issued 54,000 3,550,000 On July 6, 2021, the Company issued 5,022 187,803 On July 11, 2021, the Company issued 1,875 16,875 During the three months ended July 31, 2021, the Company granted an aggregate total of 9,094 6,000 907,042 On August 6, 2021, the Note payable holder (see Note 11) exercised its right to convert its 220,000 495,000 On August 6, 2021, the Company’s related party lender exercised its right to convert its 275,000 692,130 967,130 On October 11, 2021, the Company issued 1,875 16,875 On January 11, 2022, the Company issued 1,875 16,874 During April 2022, the Company granted an aggregate total of 6,000 255,124 Equity Transactions During Year Ended April 30, 2021 On May 6, 2020, the Company issued 121,656 On May 15, 2020, the Company issued 24,380 65,826 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS On September 4, 2020, the Company issued 30,000 238,449 On October 8, 2020, the Company issued 10,000 114,000 On October 28, 2020, the Company granted 40,000 0.75 10 214,552 221,826 On October 29, 2020, the Company and the three members of its advisory board entered into agreements whereby each member will receive an aggregate number of warrants each quarter equal to $ 7,500 0.001 10 43,107 48,502 On November 24, 2020 and on January 11, 2021, the Company issued 4,608 10,000 5,595 30,000 25,278 198,386 39,750 26,500 146,608 On November 10, 2020, the Company issued 3,500 35,351 On December 15, 2020, the Company issued 50,000 500,000 On April 11, 2021, the Company issued 27,233 1,250,004 On April 11, 2021 and on April 13, 2021, the Company issued 1,875 500 43,294 During the three months ended April 30, 2021, the Company granted an aggregate total of 6,000 12,000 0.001 10 50 59,838 98,457 Warrants Issued During the Year Ended April 30, 2022 In accordance with the October 29, 2020 agreement with three members of the advisory board mentioned above, 46,077 87,656 On August 6, 2021, in connection with the Convertible Notes issuance (see Note 10) the Company issued warrants to purchase up to 733,333 On August 6, 2021, in connection with the Convertible Notes issuance the Company also granted the lead placement agent for the Offering 26,667 3.30 376,000 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS On September 3, 2021, the Company granted an aggregate total of 1,010,000 0.001 1,000,000 3.42 10,000 10 32,381,309 On February 2, 2022, in connection with the Gameface acquisition (see Note 5) the Company issued warrants to purchase up to 478,225 Common Stock Issuable As discussed in Note 10, on September 16, 2019, the Company entered into a warrant assignment and conveyance agreement with Mont-Saic, pursuant to which the Company allows Mont-Saic to acquire 33 1,492,188 There were 813,786 121,656 692,130 On February 2, 2022, the Company authorized the issuance of 590,327 9,700,000 none On February 22, the Company authorized the issuance of 2,537,969 39,950,000 Warrants Issued for Compensation On February 9, 2021, the Company issued 600,000 0.001 150,000 3.94 100 0.76 63 70,997 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Apr. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | Note 15: COMMITMENTS AND CONTINGENCIES Leases The Company leases office space under short-term leases with terms under a year. Total rent expense for the years ended April, 30 2022 and 2021 amounted to $ 22,176 8,400 Contingencies In connection with the Gameface acquisition on February 2, 2022, the Company agreed to earn-out consideration of up to 100,000 1,334,000 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS In connection with the PlaySight acquisition on February 22, 2022, the Company agreed to earn-out consideration of up to 514,286 4,847,000 4,847,000 From time to time, the Company may become involved in legal proceedings arising in the ordinary course of business. The Company is not presently a party to any legal proceedings that it currently believes would individually or taken together have a material adverse effect on the Company’s business or financial statements. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Apr. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | Note 16: INCOME TAXES The Company does business in the US through its subsidiaries Slinger Bag Inc. and Slinger Bag Americas. It also does business in Israel through SBL whose operations are reflected in the Company’s consolidated financial statements. The Company’s operations in Canada, Israel, and the UK were immaterial for the years ended April 30, 2022 and 2021. Net deferred tax assets from operations in the US, using an effective tax rate of 21 SCHEDULE OF NET DEFERRED TAX ASSETS 2022 2021 April 30, 2022 2021 Deferred tax assets: Loss carryforwards $ 2,166,000 $ 788,400 Stock options 8,259,000 — Accrued payroll — 333,700 Related party accruals 799,000 194,400 Inventory reserve 100,000 — Interest deferral 191,000 — Start-up costs 84,000 109,600 Other 57,000 17,900 Valuation allowance (11,656,000 ) (1,444,000 ) Net deferred tax assets $ — $ — The income tax provision differs from the amount of income tax determined by applying the applicable statutory income tax rate to pretax loss due to the following for the years ended April, 30 2022 and 2021: SCHEDULE OF INCOME TAX PROVISION 2022 2021 April 30, 2022 2021 Income tax benefit based on book loss at US statutory rate $ (10,259,000 ) $ (3,832,300 ) Share-based compensation and shares for services — 188,100 Debt discount amortization 1,841,000 79,100 Related party accruals 150,000 127,800 Start-up costs 6,815,000 — Interest expense 5,000 2,630,000 Depreciation 21,000 — Inventory reserve 55,000 — Interest deferral 13,000 — Acquisition costs 1,268,000 — Accrued legal 76,000 — Loss on extinguishment of debt — 636,400 Accrued payroll — 215,400 Gain on change in fair value of derivatives (1,298,000 ) (407,300 ) Other (29,000 ) 1,500 Valuation allowance 1,342,000 361,300 Total income tax provision $ — $ — CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The Company had net operating loss carryforwards of $ 12,366,000 3,032,000 Net deferred tax assets from operations in Israel, using an effective tax rate of 23 SCHEDULE OF NET DEFERRED TAX ASSETS 2022 2021 April 30, 2022 2021 Deferred tax assets: Loss carryforwards $ 234,000 $ 178,000 Start-up costs — 13,000 Research and development costs (113,000 ) 113,000 Valuation allowance (121,000 ) (304,000 ) Net deferred tax assets $ — $ — The income tax provision differs from the amount of income tax determined by applying the applicable Israeli statutory income tax rate of 23 SCHEDULE OF INCOME TAX PROVISION 2022 2021 April 30, 2022 2021 Income tax provision (benefit) based on book income (loss) at Israeli statutory rate $ (56,000 ) $ 80,000 Research and development costs — 113,000 Start-up costs — 13,000 Valuation allowance 56,000 — Loss carryforward — (206,000 ) Total income tax provision $ — $ — The Company had net operating loss carryforwards of approximately 1,020,000 774,000 The Company’s policy is to record interest and penalties on uncertain tax positions as income tax expense. There were no interest or penalties recognized in the accompanying consolidated statements of comprehensive loss for the years ended April 30, 2022 and 2021. |
SEGMENTS
SEGMENTS | 12 Months Ended |
Apr. 30, 2022 | |
Segment Reporting [Abstract] | |
SEGMENTS | Note 17 SEGMENTS Reportable Segments Operating segments for our continuing operations are components of the Company that combine similar business activities, with activities group to facilitate the evaluation of business units and allocation of resources by the Company’s board and management. As of April 30, 2022, the Company had two reportable segments: ● Equipment - Production and manufacturing of the Slinger Bag Launcher, marketed to regular tennis players who do not have regular access to state-of-the-art facilities ● Technology - Subscription-based technology such as automated production and live streaming, video replay, pro level coaching tools, live and on-demand sports channel, data analytics, and facilities management systems CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS The results of each segment are regularly reviewed by the Company’s Chief Executive Officer, who is the Company’s chief operating decision maker, to assess the performance of the segment and make decisions regarding the allocation of resources. The Company’s chief operating decision maker uses revenue and EBITDA as measures of segment performance. The accounting policies of each segment are the same as those set out under the summary of significant account policies in Note 3. There are no intersegment sales or transfers. The below table represents revenues and profit or loss by each operating segment for the years ended April 30, 2022 and 2021: SCHEDULE OF REVENUES AND PROFIT LOSS OPERATING SEGMENT 2022 2021 Net Revenues Equipment $ 16,102,672 $ 10,804,214 Technology 728,805 — Total Net Revenues $ 16,831,477 $ 10,804,214 2022 2021 Profit or (Loss) Equipment $ (46,309,228 ) $ (18,594,760 ) Technology (5,464,424 ) — Total Profit or (Loss) $ (51,773,652 ) $ (18,594,760 ) The chief operating decision maker does not receive asset information by segment as the Company does not have this information as discrete financial data, and as such, this information is not included. Goodwill assigned to the Technology segment as of April 30, 2022 was $ 32,643,193 no 24,209,442 no The Company did not have any goodwill assigned to the Equipment segment as of April 30, 2022 and 2021. Intangible assets, net assigned to the Equipment segment as of April 30, 2022 and 2021, was $ 107,060 112,853 Goodwill and intangible assets related to Foundation Sports that was part of the Technology segment were fully impaired on April 30, 2022. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Apr. 30, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | Note 18: SUBSEQUENT EVENTS On May 16, 2022, the Company redomiciled from Nevada to Delaware and changed name from Slinger Bag Inc. to Connexa Sports Technologies Inc. On June 14, 2022, the Company registered their common shares on Form 8-A pursuant to Section 12(b) of the Securities Act of 1933, as amended and effected a 1-10 reverse split On June 15, 2022, the Company finalized a Nasdaq Uplist and the registration statement on Form S-1 was declared effective. On June 29, 2022, Jason Seifert, CFO resigned. On July 29, 2022, the Company entered into two merchant cash advance agreements. The details of the merchant cash advance agreements are as follows: UFS Agreement The Company entered into an agreement (the “UFS Agreement”) with Unique Funding Solutions LLC (“UFS”) pursuant to which the Company sold $ 1,124,250 750,000 60,000 13,491 44,970 855,000 1,124,250 855,000 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS In order to secure payment and performance of the Company’s obligations to UFS under the UFS Agreement, the Company granted to UFS a security interest in the following collateral: all accounts receivable and all proceeds as such term is defined by Article 9 of the UCC. The Company also agreed not to create, incur, assume, or permit to exist, directly or indirectly, any lien on or with respect to any of such collateral. Cedar Agreement The Company entered into an agreement (the “Cedar Agreement”) with Cedar Advance LLC (“Cedar”) pursuant to which the Company sold $ 1,124,250 750,000 60,000 13,491 44,970 855,000 1,124,250 855,000 In order to secure payment and performance of the Company’s obligations to Cedar under the Cedar Agreement, the Company granted to Cedar a security interest in the following collateral: all accounts, including without limitation, all deposit accounts, accounts receivable and other receivables, chattel paper, documents, equipment, instruments and inventory as those terms are defined by Article 9 of the UCC. The Company also agreed not to create, incur, assume, or permit to exist, directly or indirectly, any lien on or with respect to any of such collateral. Since May 1, 2022, the Company has issued an aggregate of 6,063,145 ● On June 15, 2022, the Company issued 4,389,469 ● On June 15, 2022, the Company issued 1,048,750 ● On June 27, 2022, the Company issued 25,000 ● On June 27, 2022, the Company issued 598,396 On August 25, 2022, the Company issued 300,000 On September 28, 2022, the Company entered into a securities purchase agreement with a single institutional investor for the issuance of 1,018,510 11,802,002 4,549,882 On November 27, 2022, the Company entered into a share purchase agreement (the “Agreement”) with PlaySight, Chen Shachar and Evgeni Khazanov (together, the “Buyer”) pursuant to which the Buyer purchased 100% of the issued and outstanding shares of PlaySight from the Company in exchange for (1) releasing the Company from all of PlaySight’s obligations towards its vendors, employees, tax authorities and any other (past, current and future) creditors of PlaySight; (2) waiver by the Buyer of 100% of the personal consideration owed to them under their employment agreements in the total amount of $600,000; and (3) cash consideration of $2,000,000 to be paid to the Company in the form of a promissory note that matures on December 31, 2023. On December 5, 2022, the Company assigned 75% of its membership interest in Foundation Sports to Charles Ruddy, its founder and granted him the right for a period of three years to purchase the remaining 25% of its Foundation Sports membership interests for $ 500,000 500,000 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS On January 6, 2023, the Company entered into a loan and security agreement (the “Loan and Security Agreement”) with one or more institutional investors (the “Lenders”) and Armistice Capital Master Fund Ltd. as agent for the Lenders (the “Agent”) for the issuance and sale of (i) a note in an aggregate principal amount of up to $ 2,000,000 1,400,000 0.221 18,099,548 0.221 600,000 On August 16, 2022, the Company received a letter from the Listing Qualifications Department of the Nasdaq indicating that, since the Company has not yet filed its Annual Report on Form 10-K for the fiscal year ended April 30, 2022, as previously reported by the Company on a Form 12b-25, it no longer complies with Nasdaq Listing Rule 5250(c)(1) for continued listing. On September 26, 2022, the Company announced that it had received a letter from the Nasdaq on September 22, 2022 (“Notice Letter”), notifying the Company that it is not in compliance with the periodic filing requirements for continued listing because the Company’s Form 10-Q for the period ended July 31, 2022 (the “2023 Q1 10-Q”) and Form 10-K for the fiscal year ended April 30, 2022 (the “2022 10-K” and, together with the 2023 Q1 10-Q, the “Periodic Reports”) were not filed with the Securities and Exchange Commission by the required due dates. On October 10, 2022, the Company received a letter from the Listing Qualifications Department of the Nasdaq indicating that the Company’s common stock is subject to potential delisting from Nasdaq because, for a period of 30 consecutive business days, the bid price of the Company’s common stock has closed below the minimum $1.00 per share requirement for continued listing under Nasdaq Listing Rule 5450(a)(1) (the “Bid Price Rule”). The Nasdaq notice indicated that, in accordance with Nasdaq Listing Rule 5810(c)(3)(A), the Company will be provided 180 calendar days, or until April 10, 2023, to regain compliance. If, at any time before April 10, 2023, the bid price of the Company’s common stock closes at $1.00 per share or more for a minimum of 10 consecutive business days, Nasdaq staff will provide written notification that the Company has achieved compliance with the Bid Price Rule. If the Company fails to regain compliance with the Bid Price Rule before April 10, 2023, t he Company may be eligible for an additional 180-calendar day compliance period. To qualify, On November 17, 2022, Gabriel Goldman and Rohit Krishnan resigned from the board of directors of the Company. Gabriel and Rohit were members of the audit and compensation committees. Gabriel Goldman was a member of the Company’s Nominating and Corporate Governance Committee. Neither Gabriel nor Rohit advised the Company of any disagreement with the Company on any matter relating to its operations, policies or practices. As a result, the Company will be required to meet the continued listing requirement for board of directors and committees. On March 21, 2023, the Company Nasdaq Delinquent Filings Staff Determination On January 12, 2023, Nasdaq notified the Company that due to the resignations from the Company’s board, audit committee and compensation committee on November 17, 2022 (“ Corporate Governance Deficiencies On February 21, 2023, consistent with the Company’s previously announced intention to request an appeal of the Staff Determination by requesting a hearing before the Nasdaq Hearings Panel (the “ Panel Hearing On March 30, 2023, the Company had its hearing with the Nasdaq, which indicated that a decision with respect to the Company’s listing status on the Nasdaq would be rendered within two weeks. On April 12, 2023, the Company received a letter from the Listing Qualifications Department of the Nasdaq indicating that the Company had not yet regained compliance with the Bid Price Rule, which serves as an additional basis for delisting the Company’s securities from the Nasdaq. The letter further indicated that the Panel will consider this matter in its decision regarding the Company’s continued listing on the Nasdaq Capital Market. In that regard, the Nasdaq indicated that the Company should present its views with respect to this additional delinquency to the Panel in writing no later than April 19, 2023. The Company offers no assurance that its request to be granted further time to file its Delinquent Filings, regain compliance with the Bid Price Rule and redress its Corporate Governance Deficiencies and to remain listed on the Nasdaq will be granted. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Apr. 30, 2022 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Accordingly, actual results could differ from those estimates. |
Financial Statement Reclassification | Financial Statement Reclassification Certain prior year amounts within accounts payable, accrued expenses, and certain operating expenses have been reclassified for consistency with the current year presentation and had no effect on the Company’s balance sheet, net loss, shareholders’ deficit or cash flows. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. The majority of payments due from banks for credit card transactions process within 24 to 48 hours and are accordingly classified as cash and cash equivalents. As of April 30, 2022, the Company had $ 156,724 |
Accounts Receivable | Accounts Receivable The Company’s accounts receivable are non-interest bearing trade receivables resulting from the sale of products and payable over terms ranging from 15 to 60 days. The Company provides an allowance for doubtful accounts at the point when collection is considered doubtful. Once all collection efforts have been exhausted, the Company charges-off the receivable with the allowance for doubtful accounts. The Company recorded $ 175,000 no |
Inventory | Inventory Inventory is valued at the lower of the cost (determined principally on a first-in, first-out basis) or net realizable value. The Company’s valuation of inventory includes inventory reserves for inventory that will be sold below cost and the impact of inventory shrink. Inventory reserves are based on historical information and assumptions about future demand and inventory shrink trends. The Company’s inventory for the years ended April 30, 2022 and 2021 consisted of the following: SUMMARY OF INVENTORY 2022 2021 Finished Goods $ 4,397,098 $ 1,591,826 Component/Replacement Parts 2,559,848 1,777,028 Capitalized Duty/Freight 1,328,198 347,362 Inventory Reserve (100,000 ) (23,000 ) Total $ 8,185,144 $ 3,693,216 |
Prepaid Inventory | Prepaid Inventory Prepaid inventory represents inventory that is in-transit that has been paid for but not received from the Company’s third-party vendors. The Company typically prepays for the purchase of materials and receives the products within three months after making payments. The Company continuously monitors delivery from, and payments to, the vendors. If the Company has difficulty receiving products from a vendor, the Company would cease purchasing products from such vendors in future periods. The Company has not had difficulty receiving products during the reporting periods. |
Property and equipment | Property and equipment Property and equipment acquired through business combinations are stated at the estimated fair value at the date of the acquisition. Purchases of property and equipment are stated at cost, net of accumulated depreciation and impairment losses. Expenditures that materially increase the useful life of the assets are capitalized. Ordinary repairs and maintenance are expensed as incurred. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the related assets, which is an average of 5 |
Concentration of Credit Risk | Concentration of Credit Risk The Company maintains its cash in bank deposit accounts, the balances of which at times may exceed insured limits. The Company continually monitors its banking relationships and consequently has not experienced any losses in such accounts. While we may be exposed to credit risk, we consider the risk remote and do not expect that any such risk would result in a significant effect on our results of operations or financial condition. See Note 4 for further details on the Company’s concentration of credit risk as well as other risks and uncertainties. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Revenue Recognition | Revenue Recognition The Company recognizes revenue for their continuing operations in accordance with Accounting Standards Codification (“ASC”) 606, the core principle of which is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to receive in exchange for those goods or services. The Company recognizes revenue for its performance obligation associated with its contracts with customers at a point in time once products are shipped. Amounts collected from customers in advance of shipping products ordered are reflected as contract liabilities on the accompanying consolidated balance sheets. The Company’s standard terms are non-cancelable and do not provide for the right-of-return, other than for defective merchandise covered under the Company’s standard warranty. The Company has not historically experienced any significant returns or warranty issues. The Company recognizes revenue under ASC 606, “Revenue from Contracts with Customers”. The core principle of this revenue standard is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The following five steps are applied to achieve that core principle: Step 1: Identify the contract with the customer The Company determines that it has a contract with a customer when each party’s rights regarding the products or services to be transferred can be identified, the payment terms for the services can be identified, the Company has determined the customer has the ability and intent to pay, and the contract has commercial substance. At contract inception, the Company evaluates whether two or more contracts should be combined and accounted for as a single contract and whether the combined or single contract includes more than one performance obligation. Step 2: Identify the performance obligations in the contract The Company’s customers are buying an integrated system. In evaluating whether the equipment is a separate performance obligation, the Company’s management considered the customer’s ability to benefit from the equipment on its own or together with other readily available resources and if so, whether the service and equipment are separately identifiable (i.e., is the service highly dependent on, or highly interrelated with the equipment). Because the Products and Services included in the customer’s contract are integrated and highly interdependent, and because they must work together to deliver the Solution, the Company has concluded that Products installed on customer’s premise and Services contracted for by the customer are generally not distinct within the context of the contract and, therefore, constitute a single, combined performance obligation. Step 3: Determine the transaction price The transaction price is the amount of consideration to which an entity expects to be entitled in exchange for transferring promised goods or services to a customer. The consideration promised in a contract with a customer includes predetermined fixed amounts, variable amounts, or both. The Company’s contracts do not include any rights of returns or refunds. The Company collects each year’s service fees in advance and should therefore consider the existence of a significant financing component. However, due to the fact that the payments are provided for the service of a one-year term, the Company elected to apply the practical expedient under ASC 606 which exempts the adjustment of the consideration for the existence of a significant financing component when the period between the transfer of the services and the payment for such services is one year or less. Step 4: Allocate the transaction price to the performance obligations in the contract Contracts that contain multiple performance obligations require an allocation of the transaction price to each performance obligation based on each performance obligation’s relative standalone selling price (“SSP”). The Company has identified a single performance obligation in the contract, and therefore, the allocation provisions under ASC 606 do not apply to the Company’s contracts. Step 5: Recognize revenue when the Company satisfies a performance obligation Revenues for the Company’s single, combined performance obligation are recognized on a straight-line basis over the customer’s contract term, which is the period in which the parties to the contract have enforceable rights and obligations (Typically 3-4 years). |
Business Combinations | Business Combinations Upon acquisition of a company, we determine if the transaction is a business combination, which is accounted for using the acquisition method of accounting. Under the acquisition method, once control is obtained of a business, the assets acquired, and liabilities assumed, are recorded at fair value. We use our best estimates and assumptions to assign fair value to the tangible and intangible assets acquired and liabilities assumed at the acquisition date. One of the most significant estimates relates to the determination of the fair value of these assets and liabilities. The determination of the fair values is based on estimates and judgments made by management. Our estimates of fair value are based upon assumptions we believe to be reasonable, but which are inherently uncertain and unpredictable. Measurement period adjustments are reflected at the time identified, up through the conclusion of the measurement period, which is the time at which all information for determination of the values of assets acquired and liabilities assumed is received, and is not to exceed one year from the acquisition date. We may record adjustments to the fair value of these tangible and intangible assets acquired and liabilities assumed, with the corresponding offset to goodwill. The Company elected to apply pushdown accounting to all entities acquired during the year ended April 30, 2022. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Additionally, uncertain tax positions and tax-related valuation allowances are initially recorded in connection with a business combination as of the acquisition date. We continue to collect information and reevaluate these estimates and assumptions periodically and record any adjustments to preliminary estimates to goodwill, provided we are within the measurement period. If outside of the measurement period, any subsequent adjustments are recorded to the consolidated statement of operations. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair value of financial and non-financial assets and liabilities is defined as an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. The three-tier hierarchy for inputs used in measuring fair value, which prioritizes the inputs used in the methodologies of measuring fair value for assets and liabilities, is as follows: Level 1 — Quoted prices in active markets for identical assets or liabilities Level 2 — Observable inputs other than quoted prices in active markets for identical assets and liabilities Level 3 — Unobservable pricing inputs in the market Financial assets and financial liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurements. Our assessment of the significance of a particular input to the fair value measurements requires judgment and may affect the valuation of the assets and liabilities being measured and their categorization within the fair value hierarchy. The Company’s financial instruments consist of cash and cash equivalents, accounts receivable, and accounts payable. The carrying amount of these financial instruments approximates fair value due to their short-term maturity. The Company’s contingent consideration in connection with the acquisition of Gameface and PlaySight were calculated using Level 3 inputs. The fair value of contingent consideration as of April 30, 2022 was $ 1,334,000 The Company estimates the fair value of its intangible assets using Level 3 assumptions, primarily based on the income approach utilizing the discounted cash flow method. The Company’s derivative liabilities were calculated using Level 2 assumptions on the issuance and balance sheet dates via a Black-Scholes option pricing model and consisted of the following ending balances and gain amounts as of and for the year ended April 30, 2022: SUMMARY OF DERIVATIVE LIABILITIES April 30, 2022 (Gain) loss for year Note derivative is related to ending balance ended April 30, 2022 4/11/21 conversion of 12/24/20 note payable $ 1,061,550 $ (168,301 ) 4/15/21 note payable — (6,014,245 ) 5/26/21 conversion of notes payable – related party — (2,867,749 ) 8/6/21 convertible notes 4,382,229 (9,506,889 ) Total $ 5,443,779 $ (18,557,184 ) The Black-Scholes option pricing model assumptions for the derivative liabilities during the year ended April 30, 2022 and 2021 consisted of the following: SUMMARY OF WARRANTS GRANTED VALUATION USING BLACK-SCHOLES PRICING METHOD 2022 2021 Expected life in years 1.95 4.3 1.7 5.0 Stock price volatility 50 % 50 155 % Risk free interest rate 2.67 2.90 % 0.16 1.56 % Expected dividends 0 % 0 % Refer to Note 10 and Note 11 for more information regarding the derivative instruments. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Income Taxes | Income Taxes Income taxes are accounted for in accordance with the provisions of ASC 740, Accounting for Income Taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amounts that are more likely than not to be realized. |
Intangible Assets | Intangible Assets Intangible assets relate to the “Slinger” technology trademark, which the Company purchased on November 10, 2020. The trademark is amortized over its expected life of 20 2,730 20 5 15 956 9,499 33,749 |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets In accordance with ASC 360-10, the Company evaluates long-lived assets for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. Factors which could trigger impairment review include significant underperformance relative to historical or projected future operating results, significant changes in the manner of use of the assets or the strategy for the overall business, a significant decrease in the market value of the assets or significant negative industry or economic trends. When such factors and circumstances exist, the Company compares the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives against their respective carrying amount. If those net undiscounted cash flows do not exceed the carrying amount, impairment, if any, is based on the excess of the carrying amount over the fair value based on the market value or discounted expected cash flows of those assets and is recorded in the period in which the determination is made. The Company performed this assessment in April 2022, and determined that the long-lived assets related to Foundation Sports were fully impaired as of April 30, 2022, resulting in an impairment loss of $ 1,056,599 no |
Goodwill | Goodwill The Company accounts for goodwill in accordance with ASC 350, Intangibles - Goodwill and Other (“ASC 350”). ASC 350 requires that goodwill not be amortized, but reviewed for impairment if impairment indicators arise and, at a minimum, annually. The Company records goodwill as the excess purchase price over assets acquired and includes any work force acquired as goodwill. Goodwill is evaluated for impairment on an annual basis. With the adoption of the ASU 2017-04, which eliminates the second step of the goodwill impairment test, the Company tests impairment of goodwill in one step. In this step, the Company compares the fair value of each reporting unit with goodwill to its carrying value. The Company determines the fair value of its reporting units with goodwill using a combination of a discounted cash flow and a market value approach. If the carrying value of the net assets assigned to the reporting unit exceeds the fair value of the reporting unit, the Company will record an impairment charge based on the excess of a reporting unit’s carrying amount over its fair value. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that reporting unit, goodwill is not impaired and the Company will not record an impairment charge. The Company determined in April 2022 that the fair value of the reporting unit was less than the carrying value of the net assets assigned to the reporting unit and therefore goodwill was fully impaired for Foundation Sports at April 30, 2022, resulting in an impairment loss of $ 2,430,000 no CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
Share-Based Payment | Share-Based Payment The Company accounts for share-based compensation in accordance with ASC 718, Compensation-Stock Compensation (ASC 718). Under the fair value recognition provisions of this topic, stock-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as an expense on a straight-line basis over the requisite service period, which is the vesting period. |
Warrants | Warrants The Company grants warrants to key employees and executives as compensation on a discretionary basis. The Company also grants warrants in connection with certain note payable agreements and other key arrangements. The Company is required to estimate the fair value of share-based awards on the measurement date and recognize as expense that value of the portion of the award that is ultimately expected to vest over the requisite service period. Warrants granted in connection with ongoing arrangements are more fully described in Note 11 and Note 14. The warrants granted during the year ended April 30, 2022 and 2021 were valued using a Black-Scholes option pricing model on the date of grant using the following assumptions: SUMMARY OF WARRANTS GRANTED VALUATION USING BLACK-SCHOLES PRICING METHOD 2022 2021 Expected life in years 5 10 2 10 Stock price volatility 50 148 148 280 Risk free interest rate 0.77 1.63 0.12 1.64 Expected dividends 0 0 |
Foreign Currency Translation | Foreign Currency Translation Our functional currency is the U.S. dollar. The functional currency of our foreign operations, generally, is the respective local currency for each foreign subsidiary. Assets and liabilities of foreign operations denominated in local currencies are translated at the spot rate in effect at the applicable reporting date. Our consolidated statements of comprehensive loss are translated at the weighted average rate of exchange during the applicable period. The resulting unrealized cumulative translation adjustment is recorded as a component of accumulated other comprehensive loss in shareholders’ equity. Realized and unrealized transaction gains and losses generated by transactions denominated in a currency different from the functional currency of the applicable entity are recorded in other income (loss) in the period in which they occur. |
Earnings Per Share | Earnings Per Share Basic earnings per share are calculated by dividing income available to shareholders by the weighted-average number of common shares outstanding during each period. Diluted earnings per share are computed using the weighted average number of common and dilutive common share equivalents outstanding during the period. The Company had 538,947 692,130 10,327,778 No 3,881,364 2,450,311 838,780 21,786 |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently Adopted In January 2017, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment (“ASU 2017-04”), which simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Under ASU 2017-04, goodwill impairment will be tested by comparing the fair value of a reporting unit with its carrying amount, and recognizing an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The new guidance must be applied on a prospective basis and is effective for periods beginning after December 15, 2022, with early adoption permitted. The Company adopted ASU 2017-04 effective May 1, 2021. The adoption of the new standard did not have a material effect on the Company’s consolidated financial statements. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued Accounting Standards Update (“ASU”), 2019-12, Simplifying the Accounting for Income Taxes Income Taxes In August 2020, the FASB issued ASU No. 2020-06, Debt - Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. ASU 2020-06 will simplify the accounting for convertible instruments by reducing the number of accounting models for convertible debt instruments and convertible preferred stock. Limiting the accounting models results in fewer embedded conversion features being separately recognized from the host contract as compared with current GAAP. Convertible instruments that continue to be subject to separation models are (1) those with embedded conversion features that are not clearly and closely related to the host contract, that meet the definition of a derivative, and that do not qualify for a scope exception from derivative accounting and(2) convertible debt instruments issued with substantial premiums for which the premiums are recorded as paid-in capital. ASU 2020-06 also amends the guidance for the derivatives scope exception for contracts in an entity’s own equity to reduce form-over-substance-based accounting conclusions. ASU 2020-06 will be effective for public companies for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Company is currently evaluating the impact that the adoption of ASU 2020-06 will have on the Company’s consolidated financial statement presentation or disclosures. In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASC 326”). The guidance replaces the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (“CECL”) methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credits, financial guarantees, and other similar instruments) and net investments in leases recognized by a lessor in accordance with Topic 842 on leases. ASC 326 requires enhanced disclosures related to the significant estimates and judgments used in estimating credit losses as well as the credit quality and underwriting standards of a company’s portfolio. In addition, ASC 326 made changes to the accounting for available-for-sale debt securities. One such change is to require credit losses to be presented as an allowance rather than as a write-down on available-for-sale debt securities the Company does not intend to sell or believes that it is more likely than not they will be required to sell. The ASU can be adopted no later than January 1, 2020 for SEC filers and January 1, 2023 for private companies and smaller reporting companies. The Company has not yet adopted this ASU as it qualifies as a smaller reporting company. The Company does not expect this ASU will have a material impact on its consolidated financial statements. In October 2021, the FASB issued ASU 2021-08, “Business Combinations - Accounting for Contract Assets and Contract Liabilities (Topic 805)”. The amendments in this Update address diversity and inconsistency related to the recognition and measurement of contract assets and contract liabilities acquired in a business combination. The amendments in this Update require that an acquirer recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. ASU 2021-08 is effective for fiscal years beginning after December 15, 2022, and interim periods within those fiscal years. The Company does not expect the adoption of this ASU to have a material impact on the Company’s financial statements. The FASB has issued ASU 2021-04, Earnings Per Share (Topic 260), Debt—Modifications and Extinguishments (Subtopic 470-50), Compensation—Stock Compensation (Topic 718), and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40). ASU 2021-04 provides guidance that an entity should treat a modification of the terms or conditions or an exchange of a freestanding equity-classified written call option that remains equity classified after modification or exchange as an exchange of the original instrument for a new instrument. The standard also provides guidance on how an entity should measure and recognize the effect of a modification or an exchange of a freestanding equity-classified written call option that remains equity classified. The amendments in this ASU are effective for the Company for fiscal years beginning after December 15, 2021. Early adoption is permitted for all entities, including adoption in an interim period. The Company is currently evaluating the impact that the adoption of ASU 2021-04 will have on the Company’s consolidated financial statement presentation or disclosures. CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Other recently issued accounting pronouncements did not, or are not believed by management to, have a material effect on the Company’s present or future consolidated financial statements. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Apr. 30, 2022 | |
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items] | |
SUMMARY OF INVENTORY | SUMMARY OF INVENTORY 2022 2021 Finished Goods $ 4,397,098 $ 1,591,826 Component/Replacement Parts 2,559,848 1,777,028 Capitalized Duty/Freight 1,328,198 347,362 Inventory Reserve (100,000 ) (23,000 ) Total $ 8,185,144 $ 3,693,216 |
SUMMARY OF DERIVATIVE LIABILITIES | The Company’s derivative liabilities were calculated using Level 2 assumptions on the issuance and balance sheet dates via a Black-Scholes option pricing model and consisted of the following ending balances and gain amounts as of and for the year ended April 30, 2022: SUMMARY OF DERIVATIVE LIABILITIES April 30, 2022 (Gain) loss for year Note derivative is related to ending balance ended April 30, 2022 4/11/21 conversion of 12/24/20 note payable $ 1,061,550 $ (168,301 ) 4/15/21 note payable — (6,014,245 ) 5/26/21 conversion of notes payable – related party — (2,867,749 ) 8/6/21 convertible notes 4,382,229 (9,506,889 ) Total $ 5,443,779 $ (18,557,184 ) |
SUMMARY OF WARRANTS GRANTED VALUATION USING BLACK-SCHOLES PRICING METHOD | The Black-Scholes option pricing model assumptions for the derivative liabilities during the year ended April 30, 2022 and 2021 consisted of the following: SUMMARY OF WARRANTS GRANTED VALUATION USING BLACK-SCHOLES PRICING METHOD 2022 2021 Expected life in years 1.95 4.3 1.7 5.0 Stock price volatility 50 % 50 155 % Risk free interest rate 2.67 2.90 % 0.16 1.56 % Expected dividends 0 % 0 % |
Warrant [Member] | |
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Line Items] | |
SUMMARY OF WARRANTS GRANTED VALUATION USING BLACK-SCHOLES PRICING METHOD | The warrants granted during the year ended April 30, 2022 and 2021 were valued using a Black-Scholes option pricing model on the date of grant using the following assumptions: SUMMARY OF WARRANTS GRANTED VALUATION USING BLACK-SCHOLES PRICING METHOD 2022 2021 Expected life in years 5 10 2 10 Stock price volatility 50 148 148 280 Risk free interest rate 0.77 1.63 0.12 1.64 Expected dividends 0 0 |
ACQUISITIONS AND BUSINESS COM_2
ACQUISITIONS AND BUSINESS COMBINATIONS (Tables) | 12 Months Ended |
Apr. 30, 2022 | |
Business Acquisition [Line Items] | |
SCHEDULE OF PROFORMA FINANCIAL INFORMATION | The following pro forma financial information presents the results of operations of the Company as of the year ended April 30, 2022 and 2021, as if the acquisitions of PlaySight and Gameface had occurred as of the beginning of the first period presented instead of February 2022. The pro forma financial information (in thousands) of the Company as of the years ended April 30, 2022 and 2021 is as follows: SCHEDULE OF PROFORMA FINANCIAL INFORMATION Reported Proforma Reported Proforma For the For the Years Ended April 30, 2022 2021 Reported Proforma Reported Proforma Revenues $ 16,831 $ 21,236 $ 10,804 $ 16,424 Loss from operations (51,928 ) (57,372 ) (3,933 ) (11,350 ) Net loss $ (51,774 ) $ (48,011 ) $ (18,595 ) $ (31,333 ) Basic and diluted earnings (loss) per share $ (13.44 ) $ (12.46 ) $ (6.96 ) $ (11.73 ) |
Foundation Sports [Member] | |
Business Acquisition [Line Items] | |
SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED | SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED Consideration transferred: Equity consideration $ 3,550,000 Total Purchase Price $ 3,550,000 Description Fair Value Assets acquired: Trade name $ 70,000 Internally developed software 100,000 Customer relationships 950,000 Total assets acquired 1,120,000 Fair value of net assets acquired $ 1,120,000 Goodwill $ 2,430,000 |
Gameface Ltd [Member] | |
Business Acquisition [Line Items] | |
SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED | SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED Consideration transferred: Contingent consideration $ 1,334,000 Seller note payable 500,000 Seller’s liability assumed 9,700,000 Total Purchase Price $ 11,534,000 Description Fair Value Assets acquired: Cash and cash equivalents $ 125,659 Prepaid expenses and other receivables 38,972 Property, plant and equipment 39,888 Other non-current assets 81,921 Intangible asset - Tradename 270,000 Intangible asset - Internally developed software 580,000 Intangible asset - Customer relationships 3,930,000 Total assets acquired $ 5,066,440 Liabilities assumed: Accounts payable $ 88,712 Contract liabilities 50,728 Provisions 90,388 Other liabilities 83,805 Total liabilities assumed 313,633 Fair value of net assets acquired $ 4,752,807 Goodwill $ 6,781,193 |
Play Sight Interactive Ltd [Member] | |
Business Acquisition [Line Items] | |
SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED | SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED Consideration transferred: Contingent consideration $ 4,847,000 Seller’s note 2,200,000 Equity consideration 37,750,000 Total $ 44,797,000 Description Fair Value Assets acquired: Cash and cash equivalents $ 351,000 Restricted cash 155,000 Accounts receivable, net 347,000 Prepaid expenses and other current assets 294,000 Inventories, net 521,000 Contract assets 277,000 Fixed assets, net 129,000 Operating lease right-of-use asset 262,000 Contract assets, net of current portion 219,000 Finished products used in operations, net 4,749,000 Intangible asset - Tradename 1,700,000 Intangible asset - Internally developed software 2,430,000 Intangible asset - Customer relationships 15,590,000 Total assets acquired $ 27,024,000 Liabilities assumed: Accounts payable $ 1,126,000 Accrued expenses 1,800,000 Contract liabilities 2,534,000 Operating lease liability, current portion 257,000 Contract liabilities, net of current portion 1,311,000 Notes payable, net 1,061,000 Total liabilities assumed 8,089,000 Fair value of net assets acquired $ 18,935,000 Goodwill $ 25,862,000 |
GOODWILL (Tables)
GOODWILL (Tables) | 12 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
SCHEDULE OF GOODWILL | The changes in the carrying amount of goodwill for the year ended April 30, 2022 were as follows: SCHEDULE OF GOODWILL Balance as of April 30, 2021 $ — Beginning balance $ — Gameface acquisition (Note 5) 6,781,193 PlaySight acquisition (Note 5) 25,862,000 Foundation Sports acquisition (Note 5) 2,430,000 Goodwill, acquired during period 2,430,000 Less impairment (2,430,000 ) Balance as of April 30, 2022 $ 32,643,193 Ending balance $ 32,643,193 |
INTANGIBLE ASSETS (Tables)
INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Apr. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
SCHEDULE OF INTANGIBLE ASSETS | Intangible assets, net consisted of the following: SCHEDULE OF INTANGIBLE ASSETS Weighted Average Period April 30, 2022 Amortization (in years) Carrying Value Accumulated Amortization Impairment L oss Net Carrying Value Tradenames 15.26 $ 2,154,551 $ 24,102 (68,969 ) $ 2,061,480 Customer relationships 9.92 20,412,491 169,070 (892,491 ) 19,350,930 Internally developed software 4.91 3,105,139 105,908 (95,139 ) 2,904,092 Total intangible assets $ 25,672,181 $ 299,080 $ (1,056,599 ) $ 24,316,502 CONNEXA SPORTS TECHNOLOGIES INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Weighted Average Amortization April 30, 2021 Period (in years) Carrying Value Accumulated Amortization Net Carrying Value Tradenames 20 $ 115,583 $ 2,730 $ 112,853 Total intangible assets $ 115,583 $ 2,730 $ 112,853 |
SCHEDULE OF ESTIMATED FUTURE AMORTIZATION | As of April 30, 2022, the estimated future amortization expense associated with the Company’s intangible assets for each of the five succeeding fiscal years is as follows: SCHEDULE OF ESTIMATED FUTURE AMORTIZATION For the Years Ended April 30, Amortization Expense 2023 $ 1,572,905 2024 1,824,808 2025 2,569,690 2026 3,330,667 2027 3,122,430 Thereafter 11,896,002 Total $ 24,316,502 |
ACCRUED EXPENSES (Tables)
ACCRUED EXPENSES (Tables) | 12 Months Ended |
Apr. 30, 2022 | |
Payables and Accruals [Abstract] | |
SCHEDULE OF ACCRUED EXPENSES | The composition of accrued expenses is summarized below: SCHEDULE OF ACCRUED EXPENSES 2022 2021 April 30, 2022 2021 Accrued payroll $ 2,041,949 $ 415,264 Accrued bonus 1,114,753 868,200 Accrued professional fees 1,706,560 240,177 Goods received not invoiced 293,413 487,945 Accrued sales taxes 250,000 Other accrued expenses 695,336 280,537 Total $ 5,602,011 $ 2,292,123 |
NOTE PAYABLE - RELATED PARTY (T
NOTE PAYABLE - RELATED PARTY (Tables) | 12 Months Ended |
Apr. 30, 2022 | |
Debt Disclosure [Abstract] | |
SCHEDULE OF NOTES PAYABLE - RELATED PARTY | SCHEDULE OF NOTES PAYABLE - RELATED PARTY Note Date Maturity Date Interest Rate April 30, 2021 6/1/2019 6/1/2021 9.5 % $ 1,700,000 6/30/2020 6/30/2021 9.5 % 120,000 8 notes from 10/2019 - 8/2020 9/1/2021 9.5 % 3,850,000 9/15/2020 9/15/2021 9.5 % 250,000 11/24/2020 11/24/2021 9.5 % 300,000 Total notes payable to related parties $ 6,220,000 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Apr. 30, 2022 | |
SCHEDULE OF NET DEFERRED TAX ASSETS | SCHEDULE OF NET DEFERRED TAX ASSETS 2022 2021 April 30, 2022 2021 Deferred tax assets: Loss carryforwards $ 2,166,000 $ 788,400 Stock options 8,259,000 — Accrued payroll — 333,700 Related party accruals 799,000 194,400 Inventory reserve 100,000 — Interest deferral 191,000 — Start-up costs 84,000 109,600 Other 57,000 17,900 Valuation allowance (11,656,000 ) (1,444,000 ) Net deferred tax assets $ — $ — |
SCHEDULE OF INCOME TAX PROVISION | SCHEDULE OF INCOME TAX PROVISION 2022 2021 April 30, 2022 2021 Income tax benefit based on book loss at US statutory rate $ (10,259,000 ) $ (3,832,300 ) Share-based compensation and shares for services — 188,100 Debt discount amortization 1,841,000 79,100 Related party accruals 150,000 127,800 Start-up costs 6,815,000 — Interest expense 5,000 2,630,000 Depreciation 21,000 — Inventory reserve 55,000 — Interest deferral 13,000 — Acquisition costs 1,268,000 — Accrued legal 76,000 — Loss on extinguishment of debt — 636,400 Accrued payroll — 215,400 Gain on change in fair value of derivatives (1,298,000 ) (407,300 ) Other (29,000 ) 1,500 Valuation allowance 1,342,000 361,300 Total income tax provision $ — $ — |
ISRAEL | |
SCHEDULE OF NET DEFERRED TAX ASSETS | Net deferred tax assets from operations in Israel, using an effective tax rate of 23 SCHEDULE OF NET DEFERRED TAX ASSETS 2022 2021 April 30, 2022 2021 Deferred tax assets: Loss carryforwards $ 234,000 $ 178,000 Start-up costs — 13,000 Research and development costs (113,000 ) 113,000 Valuation allowance (121,000 ) (304,000 ) Net deferred tax assets $ — $ — |
SCHEDULE OF INCOME TAX PROVISION | The income tax provision differs from the amount of income tax determined by applying the applicable Israeli statutory income tax rate of 23 SCHEDULE OF INCOME TAX PROVISION 2022 2021 April 30, 2022 2021 Income tax provision (benefit) based on book income (loss) at Israeli statutory rate $ (56,000 ) $ 80,000 Research and development costs — 113,000 Start-up costs — 13,000 Valuation allowance 56,000 — Loss carryforward — (206,000 ) Total income tax provision $ — $ — |
SEGMENTS (Tables)
SEGMENTS (Tables) | 12 Months Ended |
Apr. 30, 2022 | |
Segment Reporting [Abstract] | |
SCHEDULE OF REVENUES AND PROFIT LOSS OPERATING SEGMENT | The below table represents revenues and profit or loss by each operating segment for the years ended April 30, 2022 and 2021: SCHEDULE OF REVENUES AND PROFIT LOSS OPERATING SEGMENT 2022 2021 Net Revenues Equipment $ 16,102,672 $ 10,804,214 Technology 728,805 — Total Net Revenues $ 16,831,477 $ 10,804,214 2022 2021 Profit or (Loss) Equipment $ (46,309,228 ) $ (18,594,760 ) Technology (5,464,424 ) — Total Profit or (Loss) $ (51,773,652 ) $ (18,594,760 ) |
ORGANIZATION AND NATURE OF BU_2
ORGANIZATION AND NATURE OF BUSINESS (Details Narrative) - USD ($) | 12 Months Ended | ||||||
Sep. 16, 2019 | Aug. 23, 2019 | Apr. 30, 2022 | Apr. 30, 2021 | Dec. 05, 2022 | Jun. 21, 2021 | Feb. 10, 2020 | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Intangible assets of goodwill | $ 3,486,599 | ||||||
Slinger Bag Americas Inc [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Number of shares exchanged | 2,000,000 | ||||||
Slinger Bag Americas Inc [Member] | Stock Purchase Agreement [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Number of shares issued for acquisition | 2,000,000 | ||||||
Number of value issued for acquisition | $ 332,239 | ||||||
Slinger Bag Americas Inc [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Percentage of ownership | 100% | 100% | 100% | ||||
Stock Purchase Agreement [Member] | Sole Shareholder of SBL [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Number of shares owned | 2,000,000 | ||||||
Sole Shareholder of SBL [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Percentage of ownership | 82% | ||||||
Foundation Sports Systems LLC [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Percentage of ownership | 75% | ||||||
Foundation Sports Systems LLC [Member] | Charles Ruddy [Member] | |||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||
Percentage of ownership | 100% |
GOING CONCERN (Details Narrativ
GOING CONCERN (Details Narrative) - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Multiemployer Plan [Line Items] | ||
Accumulated deficit | $ 80,596,925 | $ 28,823,273 |
Play Sight [Member] | Foundation Sports [Member] | ||
Multiemployer Plan [Line Items] | ||
Discontinuing operations percentage | 75% |
SUMMARY OF INVENTORY (Details)
SUMMARY OF INVENTORY (Details) - USD ($) | Apr. 30, 2022 | Apr. 30, 2021 |
Accounting Policies [Abstract] | ||
Finished Goods | $ 4,397,098 | $ 1,591,826 |
Component/Replacement Parts | 2,559,848 | 1,777,028 |
Capitalized Duty/Freight | 1,328,198 | 347,362 |
Inventory Reserve | (100,000) | (23,000) |
Total | $ 8,185,144 | $ 3,693,216 |
SUMMARY OF DERIVATIVE LIABILITI
SUMMARY OF DERIVATIVE LIABILITIES (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Offsetting Assets [Line Items] | ||
Note derivative balance | $ 5,443,779 | |
Note derivative (gain) loss | (18,557,184) | $ (1,939,639) |
Convertible Notes Payable [Member] | ||
Offsetting Assets [Line Items] | ||
Note derivative balance | 1,061,550 | |
Note derivative (gain) loss | (168,301) | |
Notes Payable [Member] | ||
Offsetting Assets [Line Items] | ||
Note derivative balance | ||
Note derivative (gain) loss | (6,014,245) | |
Conversion Notes Payable Related Party [Member] | ||
Offsetting Assets [Line Items] | ||
Note derivative balance | ||
Note derivative (gain) loss | (2,867,749) | |
Convertible Notes [Member] | ||
Offsetting Assets [Line Items] | ||
Note derivative balance | 4,382,229 | |
Note derivative (gain) loss | $ (9,506,889) |
SUMMARY OF WARRANTS GRANTED VAL
SUMMARY OF WARRANTS GRANTED VALUATION USING BLACK-SCHOLES PRICING METHOD (Details) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Property, Plant and Equipment [Line Items] | ||
Warrants measurement input, term | 5 years | |
Measurement Input, Price Volatility [Member] | Valuation Technique, Option Pricing Model [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Derivative liability measurement input | 0.50 | |
Measurement Input, Expected Dividend Rate [Member] | Valuation Technique, Option Pricing Model [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Derivative liability measurement input | 0 | 0 |
Measurement Input, Expected Dividend Rate [Member] | Valuation Technique, Option Pricing Model [Member] | Warrant [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Warrants measurement input, rate | 0 | 0 |
Minimum [Member] | Measurement Input, Expected Term [Member] | Valuation Technique, Option Pricing Model [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Derivative liabilities measurement input | 1 year 11 months 12 days | 1 year 8 months 12 days |
Minimum [Member] | Measurement Input, Expected Term [Member] | Valuation Technique, Option Pricing Model [Member] | Warrant [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Warrants measurement input, term | 5 years | 2 years |
Minimum [Member] | Measurement Input, Price Volatility [Member] | Valuation Technique, Option Pricing Model [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Derivative liability measurement input | 0.50 | |
Minimum [Member] | Measurement Input, Price Volatility [Member] | Valuation Technique, Option Pricing Model [Member] | Warrant [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Warrants measurement input, rate | 0.50 | 1.48 |
Minimum [Member] | Measurement Input, Risk Free Interest Rate [Member] | Valuation Technique, Option Pricing Model [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Derivative liability measurement input | 0.0267 | 0.0016 |
Minimum [Member] | Measurement Input, Risk Free Interest Rate [Member] | Valuation Technique, Option Pricing Model [Member] | Warrant [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Warrants measurement input, rate | 0.0077 | 0.0012 |
Maximum [Member] | Measurement Input, Expected Term [Member] | Valuation Technique, Option Pricing Model [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Derivative liabilities measurement input | 4 years 3 months 18 days | 5 years |
Maximum [Member] | Measurement Input, Expected Term [Member] | Valuation Technique, Option Pricing Model [Member] | Warrant [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Warrants measurement input, term | 10 years | 10 years |
Maximum [Member] | Measurement Input, Price Volatility [Member] | Valuation Technique, Option Pricing Model [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Derivative liability measurement input | 1.55 | |
Maximum [Member] | Measurement Input, Price Volatility [Member] | Valuation Technique, Option Pricing Model [Member] | Warrant [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Warrants measurement input, rate | 1.48 | 2.80 |
Maximum [Member] | Measurement Input, Risk Free Interest Rate [Member] | Valuation Technique, Option Pricing Model [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Derivative liability measurement input | 0.0290 | 0.0156 |
Maximum [Member] | Measurement Input, Risk Free Interest Rate [Member] | Valuation Technique, Option Pricing Model [Member] | Warrant [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Warrants measurement input, rate | 0.0163 | 0.0164 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||
Restricted cash | $ 156,724 | |
Allowance for doubtful accounts | $ 175,000 | 0 |
Property plant and equipment, useful life | 5 years | |
Finite lived intangible asset useful life | 20 years | |
Amortization expense | $ 296,350 | 2,730 |
Impairment of long-lived assets | 1,056,599 | 0 |
Goodwill impairment charges | $ 2,430,000 | $ 0 |
Antidilutive securities earnings per share | 538,947 | 692,130 |
Warrants [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Antidilutive securities earnings per share | 3,881,364 | 2,450,311 |
Make Whole Provisions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Antidilutive securities earnings per share | 838,780 | 21,786 |
Notes Payable [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Antidilutive securities earnings per share | 10,327,778 | 0 |
Trade Names [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Finite lived intangible asset useful life | 20 years | |
Amortization expense | $ 956 | |
Computer Software, Intangible Asset [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Finite lived intangible asset useful life | 5 years | |
Amortization expense | $ 9,499 | |
Customer-Related Intangible Assets [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Finite lived intangible asset useful life | 15 years | |
Customer Relationships [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Amortization expense | $ 33,749 | |
Fair Value, Inputs, Level 3 [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Fair value of contingent consideration | 1,334,000 | |
Play Sight [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restricted cash | $ 156,724 |
CONCENTRATION OF CREDIT RISK _2
CONCENTRATION OF CREDIT RISK AND OTHER RISKS AND UNCERTAINTIES (Details Narrative) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Customer Concentration Risk [Member] | Customer One [Member] | Revenue Benchmark [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 39.75% | 12.14% |
Customer Concentration Risk [Member] | Customer Two [Member] | Revenue Benchmark [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 12.97% | |
Customer Concentration Risk [Member] | Customer Three [Member] | Revenue Benchmark [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 12.77% | |
Customer Concentration Risk [Member] | Customer Four [Member] | Revenue Benchmark [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 10.52% | |
Credit Concentration Risk [Member] | Customer One [Member] | Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 24.01% | 14.93% |
Credit Concentration Risk [Member] | Customer Two [Member] | Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 19.11% | 14.13% |
Credit Concentration Risk [Member] | Customer Three [Member] | Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 11.89% | |
Credit Concentration Risk [Member] | Customer Four [Member] | Accounts Receivable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 10.26% | |
Supplier Concentration Risk [Member] | Customer One [Member] | Purchases Concentration [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 15.63% | 18.24% |
Supplier Concentration Risk [Member] | Customer Two [Member] | Purchases Concentration [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 14.93% | 12.58% |
Supplier Concentration Risk [Member] | Customer Three [Member] | Purchases Concentration [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 10.18% | 10.34% |
Lender Concentration Risk [Member] | Customer One [Member] | Accounts Payable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 21.15% | 22.26% |
Lender Concentration Risk [Member] | Customer Two [Member] | Accounts Payable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 13.28% | 14.57% |
Lender Concentration Risk [Member] | Customer Three [Member] | Accounts Payable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 12.78% | 13.91% |
Lender Concentration Risk [Member] | Customer Four [Member] | Accounts Payable [Member] | ||
Concentration Risk [Line Items] | ||
Concentration risk, percentage | 12.26% |
SCHEDULE OF ASSETS ACQUIRED AND
SCHEDULE OF ASSETS ACQUIRED AND LIABILITY ASSUMED (Details) - USD ($) | Feb. 21, 2022 | Feb. 02, 2022 | Jun. 21, 2021 | Apr. 30, 2022 | Apr. 30, 2021 |
Business Acquisition [Line Items] | |||||
Fair value of net assets acquired | $ 27,024,000 | ||||
Goodwill | $ 32,643,193 | ||||
Foundation Sports [Member] | |||||
Business Acquisition [Line Items] | |||||
Equity consideration | $ 3,550,000 | ||||
Total consideration transferred | 3,550,000 | ||||
Total assets acquired | 1,120,000 | ||||
Goodwill | 2,430,000 | ||||
Foundation Sports [Member] | Trade Names [Member] | |||||
Business Acquisition [Line Items] | |||||
Total assets acquired | 70,000 | ||||
Foundation Sports [Member] | Internally Developed Software [Member] | |||||
Business Acquisition [Line Items] | |||||
Total assets acquired | 100,000 | ||||
Foundation Sports [Member] | Customer Relationships [Member] | |||||
Business Acquisition [Line Items] | |||||
Total assets acquired | 950,000 | ||||
Fair value of net assets acquired | $ 1,120,000 | ||||
Gameface Ltd [Member] | |||||
Business Acquisition [Line Items] | |||||
Total consideration transferred | $ 11,534,000 | ||||
Total assets acquired | 5,066,440 | ||||
Fair value of net assets acquired | 4,752,807 | ||||
Goodwill | 6,781,193 | ||||
Contingent consideration | 1,334,000 | ||||
Seller note payable | 500,000 | ||||
Seller liability assumed | 9,700,000 | ||||
Cash and cash equivalents | 125,659 | ||||
Prepaid expenses and other current assets | 38,972 | ||||
Property plant and equipment | 39,888 | ||||
Other non-current assets | 81,921 | ||||
Account payable | 88,712 | ||||
Contract liabilities | 50,728 | ||||
Provisions | 90,388 | ||||
Other liabilities | 83,805 | ||||
Total liabilities assumed | 313,633 | ||||
Gameface Ltd [Member] | Trade Names [Member] | |||||
Business Acquisition [Line Items] | |||||
Intangible assets | 270,000 | ||||
Gameface Ltd [Member] | Internally Developed Software [Member] | |||||
Business Acquisition [Line Items] | |||||
Intangible assets | 580,000 | ||||
Gameface Ltd [Member] | Customer Relationships [Member] | |||||
Business Acquisition [Line Items] | |||||
Intangible assets | $ 3,930,000 | ||||
Play Sight Interactive Ltd [Member] | |||||
Business Acquisition [Line Items] | |||||
Equity consideration | 37,750,000 | ||||
Total consideration transferred | 44,797,000 | ||||
Fair value of net assets acquired | 18,935,000 | ||||
Goodwill | 25,862,000 | ||||
Contingent consideration | 4,847,000 | ||||
Cash and cash equivalents | 351,000 | ||||
Prepaid expenses and other current assets | 294,000 | ||||
Account payable | 1,126,000 | ||||
Contract liabilities | 2,534,000 | ||||
Total liabilities assumed | 8,089,000 | ||||
Seller's note | 2,200,000 | ||||
Restricted cash | 155,000 | ||||
Accounts receivable, net | 347,000 | ||||
Inventories, net | 521,000 | ||||
Contract assets | 277,000 | ||||
Fixed assets, net | 129,000 | ||||
Operating lease right-of-use asset | 262,000 | ||||
Contract assets, net of current portion | 219,000 | ||||
Finished products used in operations, net | 4,749,000 | ||||
Accrued expenses | 1,800,000 | ||||
Operating lease liability, current portion | 257,000 | ||||
Contract liabilities, net of current portion | 1,311,000 | ||||
Notes payable, net | 1,061,000 | ||||
Play Sight Interactive Ltd [Member] | Trade Names [Member] | |||||
Business Acquisition [Line Items] | |||||
Intangible assets | 1,700,000 | ||||
Play Sight Interactive Ltd [Member] | Internally Developed Software [Member] | |||||
Business Acquisition [Line Items] | |||||
Intangible assets | 2,430,000 | ||||
Play Sight Interactive Ltd [Member] | Customer Relationships [Member] | |||||
Business Acquisition [Line Items] | |||||
Intangible assets | $ 15,590,000 |
SCHEDULE OF PROFORMA FINANCIAL
SCHEDULE OF PROFORMA FINANCIAL INFORMATION (Details) - Play Sight And Game Face [Member] - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Business Acquisition [Line Items] | ||
Revenues | $ 16,831 | $ 10,804 |
Loss from operations | (51,928) | (3,933) |
Net loss | $ (51,774) | $ (18,595) |
Basic and diluted earnings (loss) per share | $ (13.44) | $ (6.96) |
Pro Forma [Member] | ||
Business Acquisition [Line Items] | ||
Revenues | $ 21,236 | $ 16,424 |
Loss from operations | (57,372) | (11,350) |
Net loss | $ (48,011) | $ (31,333) |
Basic and diluted earnings (loss) per share | $ (12.46) | $ (11.73) |
ACQUISITIONS AND BUSINESS COM_3
ACQUISITIONS AND BUSINESS COMBINATIONS (Details Narrative) - USD ($) | 12 Months Ended | |||||||
Feb. 21, 2022 | Feb. 21, 2022 | Feb. 02, 2022 | Jun. 23, 2021 | Jun. 21, 2021 | Jun. 21, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | |
Business Acquisition [Line Items] | ||||||||
Hold back percentage | 10% | |||||||
Amortization of intangible assets | $ 296,350 | $ 2,730 | ||||||
Customer Relationships [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Amortization of intangible assets | $ 33,749 | |||||||
Foundation Sports [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Fair value of goodwill | $ 1,190,000 | |||||||
Amortization of intangible assets | $ 154,999 | |||||||
Disposition percentage | 75% | 75% | ||||||
Foundation Sports [Member] | Internally Developed Software [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Fair value of intangible assets | $ 140,000 | $ 140,000 | ||||||
Foundation Sports [Member] | Customer Relationships [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Fair value of intangible assets | $ 1,050,000 | $ 1,050,000 | ||||||
Gameface Ltd [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Contingent consideration | $ 1,334,000 | |||||||
Play Sight Interactive Ltd [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Contingent consideration | $ 4,847,000 | |||||||
Foundation Sports, Gameface Ltd and Play Sight Interactive Ltd [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Total transactions costs | $ 5,109,522 | |||||||
Membership Interest Purchase Agreement [Member] | Foundation Sports [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Membership interest purchase agreement description | On June 21, 2021, the Company entered into a membership interest purchase agreement (“MIPA”) with Charles Ruddy (the “Seller”) to acquire a 100% ownership stake in Foundation Sports Systems, LLC (“Foundation Sports”) in exchange for 100,000 shares of common stock of the Company to be issued to the Seller and two other Foundation Sports employees in three tranches (the “Purchase Price”): (i) 60,000 shares of common stock on the closing date, (ii) 20,000 shares of common stock on the first anniversary of the closing date and (iii) 20,000 shares of common stock on the second anniversary of the closing date (collectively, the “Shares”), provided that 10% of the Shares of each tranche will be held back by the Company and not delivered to the recipients for a period of 12 months from the date of their issuance. The Shares are subject to a 12-month lock-up from their date of delivery during which time they may not be offered or sold by the Seller or any other recipient thereof without the express written consent of the Company. On June 23, 2021, the Company issued 54,000 shares of its common stock to the receipts under the MIPA, which consisted of 60,000 shares less a hold-back of 10% (i.e., 6,000 shares). | |||||||
Hold back percentage | 10% | 10% | ||||||
Stock issued | 54,000 | |||||||
Hold back shares | 6,000 | |||||||
Share Purchase Agreement [Member] | Gameface Ltd [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Share purchase agreement description | On February 2, 2022, the Company entered into a share purchase agreement with Flixsense Pty, Ltd. (“Gameface”). As a result of the share purchase agreement, Gameface became a wholly owned subsidiary of the Company in exchange for 590,327 shares of common stock of the Company, 100,000 earn out shares of common stock of the Company, 66,667 shares of common stock of the Company that will not be issued until the end of the retention period, 478,225 warrants of the Company, and $500,000 in cash in lieu of 14,259 shares of common stock of the Company. Additionally, the Company recorded contingent consideration with a fair value of $1,334,000 related to the earn out shares of common stock. Financial results of Gameface are allocated to the Company’s technology segment | |||||||
Number of warrants | 478,225 | |||||||
Contingent consideration | $ 1,334,000 | |||||||
Merger Agreement [Member] | Play Sight Interactive Ltd [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Contingent consideration | $ 4,847,000 | |||||||
Merget agreement description | On February 21, 2022, the Company entered into a merger agreement with PlaySight Interactive Ltd. (“PlaySight”) and Rohit Krishnan (the “Shareholders’ Representative”). As a result of the merger agreement, PlaySight became a wholly owned subsidiary of the Company in exchange for 2,537,969 shares of common stock of the Company, and issued to PlaySight employees options to purchase up to 142,858 shares of Company common stock, and used a cash sum equal to 152,490 shares of the Company’s common stock ($2,200,000) to cover certain expenses. The PlaySight employee options vest at issuance, have an exercise price of $0.01 per share, and expire 10 years from issuance. The Company also agreed to earn-out consideration of up to 514,286 shares of common stock of the Company. Additionally, the Company recorded contingent consideration with a fair value of $4,847,000 related to the earn out shares of common stock | |||||||
Exercise price per share | $ 0.01 | |||||||
Expiration period | 10 years | |||||||
Merger Agreement [Member] | Play Sight Interactive Ltd [Member] | Maximum [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Earn-out consideration | $ 514,286 |
SCHEDULE OF GOODWILL (Details)
SCHEDULE OF GOODWILL (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||
Beginning balance | ||
Less impairment | (2,430,000) | $ 0 |
Ending balance | 32,643,193 | |
Game Face Acquisition [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Goodwill, acquired during period | 6,781,193 | |
Play Sight Acquisition [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Goodwill, acquired during period | 25,862,000 | |
Foundation Sports Acquisition [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Goodwill, acquired during period | $ 2,430,000 |
SCHEDULE OF INTANGIBLE ASSETS (
SCHEDULE OF INTANGIBLE ASSETS (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Finite-Lived Intangible Assets [Line Items] | ||
Impairment of Intangible Assets, Finite-Lived | $ 3,486,599 | |
Finite-Lived Intangible Assets, Net, Ending Balance | 24,316,502 | 112,853 |
Trade Names [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | 2,154,551 | 115,583 |
Finite-Lived Intangible Assets, Accumulated Amortization | 24,102 | 2,730 |
Impairment of Intangible Assets, Finite-Lived | (68,969) | |
Finite-Lived Intangible Assets, Net, Ending Balance | $ 2,061,480 | $ 112,853 |
Weighted average amortization | 15 years 3 months 3 days | 20 years |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 20,412,491 | |
Finite-Lived Intangible Assets, Accumulated Amortization | 169,070 | |
Impairment of Intangible Assets, Finite-Lived | (892,491) | |
Finite-Lived Intangible Assets, Net, Ending Balance | $ 19,350,930 | |
Weighted average amortization | 9 years 11 months 1 day | |
Computer Software, Intangible Asset [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 3,105,139 | |
Finite-Lived Intangible Assets, Accumulated Amortization | 105,908 | |
Impairment of Intangible Assets, Finite-Lived | (95,139) | |
Finite-Lived Intangible Assets, Net, Ending Balance | $ 2,904,092 | |
Weighted average amortization | 4 years 10 months 28 days | |
Intangiable Asset [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Gross | $ 25,672,181 | $ 115,583 |
Finite-Lived Intangible Assets, Accumulated Amortization | 299,080 | 2,730 |
Impairment of Intangible Assets, Finite-Lived | (1,056,599) | |
Finite-Lived Intangible Assets, Net, Ending Balance | $ 24,316,502 | $ 112,853 |
GOODWILL (Details Narrative)
GOODWILL (Details Narrative) - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||
Goodwill, impairement loss | $ 2,430,000 | $ 0 |
Foundation Sports [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Goodwill, impairement loss | $ 2,430,000 |
SCHEDULE OF ESTIMATED FUTURE AM
SCHEDULE OF ESTIMATED FUTURE AMORTIZATION (Details) - USD ($) | Apr. 30, 2022 | Apr. 30, 2021 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2023 | $ 1,572,905 | |
2024 | 1,824,808 | |
2025 | 2,569,690 | |
2026 | 3,330,667 | |
2027 | 3,122,430 | |
Thereafter | 11,896,002 | |
Total | $ 24,316,502 | $ 112,853 |
INTANGIBLE ASSETS (Details Narr
INTANGIBLE ASSETS (Details Narrative) - USD ($) | 12 Months Ended | |||
Nov. 10, 2020 | Apr. 30, 2022 | Nov. 10, 2021 | Apr. 30, 2021 | |
Amortization of Intangible Assets | $ 296,350 | $ 2,730 | ||
Impairment loss | (3,486,599) | |||
Payments to Acquire Intangible Assets | 30,000 | |||
Stock Issued During Period, Value, Purchase of Assets | 35,351 | |||
[custom:WarrantsIssuedInConnectionWithPurchaseOfTrademark] | $ 50,232 | |||
Trademark Assignment Agreement [Member] | ||||
Payments to Acquire Intangible Assets | $ 30,000 | |||
Stock Issued During Period, Shares, Purchase of Assets | 35,000 | |||
Class of Warrant or Right, Number of Securities Called by Each Warrant or Right | 50,000 | |||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.50 | |||
contractual life | 10 years | |||
Stock Issued During Period, Value, Purchase of Assets | $ 35,531 | |||
[custom:WarrantsIssuedInConnectionWithPurchaseOfTrademark] | $ 50,232 | |||
Indefinite-lived Intangible Assets Acquired | $ 115,583 | |||
Foundation Sports Systems LLC [Member] | ||||
Impairment loss | $ 1,056,599 |
SCHEDULE OF ACCRUED EXPENSES (D
SCHEDULE OF ACCRUED EXPENSES (Details) - USD ($) | Apr. 30, 2022 | Apr. 30, 2021 |
Payables and Accruals [Abstract] | ||
Accrued payroll | $ 2,041,949 | $ 415,264 |
Accrued bonus | 1,114,753 | 868,200 |
Accrued professional fees | 1,706,560 | 240,177 |
Goods received not invoiced | 293,413 | 487,945 |
Accrued sales taxes | 250,000 | |
Other accrued expenses | 695,336 | 280,537 |
Total | $ 5,602,011 | $ 2,292,123 |
SCHEDULE OF NOTES PAYABLE - REL
SCHEDULE OF NOTES PAYABLE - RELATED PARTY (Details) - USD ($) | 12 Months Ended | ||
Apr. 02, 2022 | Apr. 30, 2021 | Apr. 30, 2022 | |
Short-Term Debt [Line Items] | |||
Debt instrument maturity date | Jul. 01, 2022 | ||
Notes payable related parties, current | $ 6,143,223 | ||
Loan Agreement [Member] | Former Shareholder [Member] | |||
Short-Term Debt [Line Items] | |||
Notes payable related parties, current | $ 6,220,000 | ||
Loan Agreement [Member] | Former Shareholder [Member] | Notes Payable One [Member] | |||
Short-Term Debt [Line Items] | |||
Debt instrument maturity date | Jun. 01, 2019 | ||
Debt instrument extended maturity date | Jun. 01, 2021 | ||
Debt instrument interest rate | 9.50% | ||
Notes payable related parties, current | $ 1,700,000 | ||
Loan Agreement [Member] | Former Shareholder [Member] | Notes Payable Two [Member] | |||
Short-Term Debt [Line Items] | |||
Debt instrument maturity date | Jun. 30, 2020 | ||
Debt instrument extended maturity date | Jun. 30, 2021 | ||
Debt instrument interest rate | 9.50% | ||
Notes payable related parties, current | $ 120,000 | ||
Loan Agreement [Member] | Former Shareholder [Member] | Notes Payable Three [Member] | |||
Short-Term Debt [Line Items] | |||
Debt instrument extended maturity date | Sep. 01, 2021 | ||
Debt instrument interest rate | 9.50% | ||
Notes payable related parties, current | $ 3,850,000 | ||
Debt instrument maturity date | 8 notes from 10/2019 - 8/2020 | ||
Loan Agreement [Member] | Former Shareholder [Member] | Notes Payable Four [Member] | |||
Short-Term Debt [Line Items] | |||
Debt instrument maturity date | Sep. 15, 2020 | ||
Debt instrument extended maturity date | Sep. 15, 2021 | ||
Debt instrument interest rate | 9.50% | ||
Notes payable related parties, current | $ 250,000 | ||
Loan Agreement [Member] | Former Shareholder [Member] | Notes Payable Five [Member] | |||
Short-Term Debt [Line Items] | |||
Debt instrument maturity date | Nov. 24, 2020 | ||
Debt instrument extended maturity date | Nov. 24, 2021 | ||
Debt instrument interest rate | 9.50% | ||
Notes payable related parties, current | $ 300,000 |
NOTE PAYABLE - RELATED PARTY (D
NOTE PAYABLE - RELATED PARTY (Details Narrative) - USD ($) | 12 Months Ended | ||||||||||||
Jan. 05, 2023 | Apr. 30, 2022 | Jan. 14, 2022 | Aug. 31, 2021 | Aug. 11, 2021 | Aug. 04, 2021 | May 26, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | Oct. 31, 2021 | Jul. 31, 2021 | Jul. 23, 2021 | Apr. 15, 2021 | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||||
Borrowings | $ 6,143,223 | ||||||||||||
Unamortized debt discount | 76,777 | ||||||||||||
Extinguishment of debt amount | 5,118,435 | ||||||||||||
Convertible notes payable current | $ 6,220,003 | $ 6,220,003 | |||||||||||
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Derivative liabilities | Derivative liabilities | |||||||||||
Derivative liabilities | $ 5,052,934 | $ 5,052,934 | |||||||||||
Conversion notes | $ 11,279 | ||||||||||||
Repayments of loan | 965,463 | 1,000,000 | |||||||||||
Fair value | $ 14,501,178 | ||||||||||||
Fair value | (18,557,184) | (1,939,639) | |||||||||||
Proceeds from related party debt | 2,000,000 | 3,300,000 | |||||||||||
Outstanding borrowings | 368,164 | 368,164 | 615,584 | ||||||||||
Interest expense - related party | 165,558 | 608,668 | |||||||||||
Accrued interest | 908,756 | 908,756 | 747,636 | ||||||||||
Related Party [Member] | |||||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||||
Repayments of loan | $ 500,000 | $ 500,000 | |||||||||||
Gross sales converted shares | $ 6,220,000 | ||||||||||||
Fair value | $ 2,185,185 | $ 2,185,185 | |||||||||||
Fair value | 2,867,749 | ||||||||||||
Related Party One [Member] | Forecast [Member] | |||||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||||
Repayments of loan | $ 917,957 | ||||||||||||
Loan Agreement [Member] | Former Shareholder [Member] | |||||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||||
Borrowings | 6,220,000 | ||||||||||||
Loan Agreement [Member] | Related Party [Member] | |||||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||||
Borrowings | $ 500,000 | $ 500,000 | |||||||||||
Interest rate | 12% | 12% | |||||||||||
Loan Agreement [Member] | Related Party [Member] | Former Shareholder [Member] | |||||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||||
Borrowings | $ 6,220,000 | ||||||||||||
Note Conversion Agreement [Member] | Related Party Lender [Member] | |||||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||||
Borrowings | $ 6,220,000 | ||||||||||||
Unamortized debt discount | $ 65,498 | $ 65,498 | |||||||||||
Number of stock issued | 163,684 | ||||||||||||
Two Loan Agreements [Member] | |||||||||||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||||||||||||
Interest rate | 8% | 8% | |||||||||||
Loans payable | $ 1,000,000 | ||||||||||||
Proceeds from related party debt | $ 2,000,000 | ||||||||||||
Outstanding borrowings | $ 2,000,000 | $ 2,000,000 |
CONVERTIBLE NOTES PAYABLE (Deta
CONVERTIBLE NOTES PAYABLE (Details Narrative) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||||||||
Apr. 02, 2022 | Dec. 31, 2021 | Aug. 06, 2021 | Apr. 11, 2021 | Dec. 03, 2020 | Sep. 04, 2020 | Feb. 11, 2020 | Sep. 11, 2019 | Jun. 02, 2019 | Oct. 31, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | Apr. 30, 2020 | Jul. 31, 2021 | Apr. 15, 2021 | May 06, 2020 | Sep. 16, 2019 | |
Short-Term Debt [Line Items] | |||||||||||||||||
Derivative, Fair Value, Net | $ 14,501,178 | ||||||||||||||||
Issuance of common stock | 4,194,836 | 2,764,282 | |||||||||||||||
Debt conversion, amount | $ 1,250,004 | ||||||||||||||||
Amortization of debt discount premium | $ 8,150,284 | $ 376,506 | |||||||||||||||
Notes Payable, Current | $ 4,639,376 | ||||||||||||||||
Shares issuable | 412,232 | 692,130 | |||||||||||||||
Convertible notes maturity date | Jul. 01, 2022 | ||||||||||||||||
Accrued interest | $ 1,104,839 | ||||||||||||||||
Induced conversion of convertible debt expense | $ 51,412 | ||||||||||||||||
Amortization of debt | $ 11,279 | ||||||||||||||||
Debt issuance cost | 76,777 | ||||||||||||||||
Gross proceeds from issuance of senior convertible notes | $ 11,000,000 | ||||||||||||||||
Warrants term | 5 years | ||||||||||||||||
Warrants | $ 12,026,668 | ||||||||||||||||
Derivative liabilities | 1,862,450 | ||||||||||||||||
Debt issuance cost | 800,251 | ||||||||||||||||
Convertible debt discount | $ 14,689,369 | ||||||||||||||||
Loss on issuance of convertible notes | $ 3,689,369 | (5,889,369) | |||||||||||||||
Amortization debt | 8,150,284 | 376,506 | |||||||||||||||
Convertible note description | On December 31, 2021, the Company entered into an Omnibus Amendment Agreement (the “Omnibus Agreement”) with certain Purchasers who are collectively holders of 67% or more of the Securities outstanding related to the August 6, 2021 Convertible Notes, amending each of (i) the Purchase Agreement and (ii) the Registration Rights Agreement. Simultaneously with the execution of the Omnibus Agreement, the Company issued to each Purchaser a Replacement Note (as defined below) in replacement of the Convertible Note held prior to December 31, 2021 by such Purchaser (each, an “Existing Note”) | ||||||||||||||||
Fair value of derivative liability | 4,382,229 | ||||||||||||||||
Change in derivative | 9,506,889 | ||||||||||||||||
Convertiable notes | 13,200,000 | ||||||||||||||||
Total discounts | 2,872,222 | ||||||||||||||||
Notes payable - related party, net | 6,143,223 | ||||||||||||||||
Interest expense | 105,349 | ||||||||||||||||
Convertible Notes Payable [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Debt issuance cost | 2,872,222 | ||||||||||||||||
Amortization debt | 8,127,778 | ||||||||||||||||
Notes payable - related party, net | 10,327,778 | ||||||||||||||||
Interest expense | 708,677 | ||||||||||||||||
Convertible Debt Holder [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Amortization of debt | 8,127,778 | 42,872 | |||||||||||||||
Debt issuance cost | 2,872,222 | 0 | |||||||||||||||
Montsaic Investments, LLC [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Derivative amount | $ 358,855 | ||||||||||||||||
Convertible Note Payable Agreement [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Senior convertible notes | $ 125,000 | ||||||||||||||||
Debt interest rate | 12% | ||||||||||||||||
Debt conversion, amount | $ 566,667 | ||||||||||||||||
Loss on extinguishment of debt | 566,667 | ||||||||||||||||
Amortization of debt discount premium | $ 206,061 | $ 1,493,939 | |||||||||||||||
Convertible notes maturity date | Feb. 11, 2021 | ||||||||||||||||
Convertible Note Payable Agreement [Member] | Derivative [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Amortization of debt discount premium | $ 53,571 | ||||||||||||||||
Convertible Note Payable Agreement [Member] | Montsaic Investments, LLC [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Equity Method Investment, Ownership Percentage | 33% | ||||||||||||||||
Convertible Note Payable Agreement [Member] | Debt Holder [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Outstanding share percent | 70% | ||||||||||||||||
Convertible Note Payable Agreement [Member] | Montsaic Investments, LLC [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Senior convertible notes | $ 1,700,000 | ||||||||||||||||
Debt interest rate | 12.60% | ||||||||||||||||
Debt Instrument, Maturity Date, Description | All outstanding amounts were due on the maturity date 360 days after the loan issue date | ||||||||||||||||
Maximum percentage of payment on oustanding debt | 50% | ||||||||||||||||
Convertible Note Payable Agreement [Member] | Montsaic Investments, LLC [Member] | Debt Holder [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Outstanding share percent | 75% | ||||||||||||||||
Warrant Assignment and Conveyance Agreement [Member] | Montsaic Investments, LLC [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Equity Method Investment, Ownership Percentage | 33% | ||||||||||||||||
Warrant Assignment and Conveyance Agreement [Member] | Montsaic Investments, LLC [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Derivative, Fair Value, Net | $ 1,492,188 | ||||||||||||||||
Issuance of common stock | 1,216,560 | ||||||||||||||||
Assignment and Conveyance Agreement [Member] | Montsaic Investments, LLC [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Senior convertible notes | $ 1,700,000 | ||||||||||||||||
Issuance of common stock | 121,656 | ||||||||||||||||
Notes Payable, Current | $ 1,820,000 | ||||||||||||||||
Shares issuable | 692,130 | ||||||||||||||||
Assignment and Conveyance Agreement [Member] | Mont Saic LLC [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Debt conversion, amount | $ 120,000 | ||||||||||||||||
Convertible Note Payable Agreement One [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Senior convertible notes | $ 125,000 | ||||||||||||||||
Accrued interest | $ 8,466 | ||||||||||||||||
Number of shares converted | 30,000 | ||||||||||||||||
Securities Purchase Agreement [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Senior convertible notes | $ 11,000,000 | ||||||||||||||||
Debt interest rate | 8% | ||||||||||||||||
Convertible notes maturity date | Aug. 06, 2022 | ||||||||||||||||
Warrants issued to purchase of common stock, shares | 733,333 | ||||||||||||||||
Gross proceeds from issuance of senior convertible notes | $ 11,000,000 | ||||||||||||||||
Conversion price | $ 3 | ||||||||||||||||
Warrants term | 5 years | ||||||||||||||||
Warrants rights date from which warrants exercisable | Aug. 06, 2021 | ||||||||||||||||
Warrants exercise price | $ 3 | ||||||||||||||||
Omnibus Agreement [Member] | |||||||||||||||||
Short-Term Debt [Line Items] | |||||||||||||||||
Debt interest rate | 20% | ||||||||||||||||
Loss on issuance of convertible notes | $ 2,200,000 |
NOTES PAYABLE (Details Narrativ
NOTES PAYABLE (Details Narrative) | 12 Months Ended | |||||||||||||||
Apr. 30, 2022 USD ($) | Apr. 15, 2022 USD ($) Integer | Apr. 02, 2022 USD ($) | Mar. 21, 2022 USD ($) Integer | Mar. 15, 2022 USD ($) Integer | Feb. 15, 2022 USD ($) Integer | Aug. 06, 2021 USD ($) shares | Apr. 15, 2021 USD ($) $ / shares shares | Apr. 11, 2021 USD ($) shares | Dec. 15, 2020 USD ($) shares | Mar. 16, 2020 USD ($) shares | Apr. 30, 2022 USD ($) | Apr. 30, 2021 USD ($) | Jul. 31, 2021 USD ($) | Dec. 24, 2020 USD ($) | Jun. 30, 2020 USD ($) | |
Short-Term Debt [Line Items] | ||||||||||||||||
Note payable | $ 368,164 | $ 368,164 | $ 615,584 | |||||||||||||
Debt maturity date | Jul. 01, 2022 | |||||||||||||||
Amortized debt discount costs | 8,150,284 | 376,506 | ||||||||||||||
Debt conversion, amount | $ 1,250,004 | |||||||||||||||
Unamortized debt dicount | $ 11,279 | |||||||||||||||
Note payable | 13,200,000 | 13,200,000 | ||||||||||||||
Loss on extinguishment of debt | 1,501,914 | (7,096,730) | (3,030,495) | |||||||||||||
Derivative liability | 5,052,934 | 5,052,934 | ||||||||||||||
Derivative fair value net | $ 14,501,178 | |||||||||||||||
Gain on change in fair value of derivatives | (18,557,184) | (1,939,639) | ||||||||||||||
Interest expense | 105,349 | |||||||||||||||
Fair value derivative liability | 6,569,353 | $ 6,569,353 | 6,569,353 | |||||||||||||
Notes Payable, Current | 4,639,376 | 4,639,376 | ||||||||||||||
Consideration | $ 4,000,000 | |||||||||||||||
Consignment units | Integer | 637 | 401 | 1,421 | 13,000 | ||||||||||||
Consideration | $ 250,000 | $ 157,465 | $ 557,998 | |||||||||||||
Consignment goods per unit | $ 392.68 | $ 392.68 | $ 392.68 | |||||||||||||
Repayments of related | 965,463 | 1,000,000 | ||||||||||||||
Convertible notes payable | 3,034,537 | 3,034,537 | ||||||||||||||
Accrued interest | 1,104,839 | |||||||||||||||
Notes Payable [Member] | ||||||||||||||||
Short-Term Debt [Line Items] | ||||||||||||||||
Interest expense | 106,667 | |||||||||||||||
Notes Payable, Other Payables [Member] | ||||||||||||||||
Short-Term Debt [Line Items] | ||||||||||||||||
Gain on derivative liability | 6,014,245 | |||||||||||||||
Valuation Technique, Option Pricing Model [Member] | ||||||||||||||||
Short-Term Debt [Line Items] | ||||||||||||||||
Derivative liability | $ 1,251,910 | |||||||||||||||
Loan Agreement [Member] | Montsaic Investments, LLC [Member] | ||||||||||||||||
Short-Term Debt [Line Items] | ||||||||||||||||
Note payable | $ 120,000 | |||||||||||||||
Interest rate | 12.60% | |||||||||||||||
Promissory Note Payable [Member] | ||||||||||||||||
Short-Term Debt [Line Items] | ||||||||||||||||
Note payable | $ 500,000 | |||||||||||||||
Interest rate | 12% | |||||||||||||||
Debt maturity date | Mar. 16, 2022 | |||||||||||||||
Outstanding warrants | shares | 50,000 | |||||||||||||||
Interest rate | 40% | |||||||||||||||
Valuation of warrants issued | shares | 112,990 | |||||||||||||||
Amortized debt discount costs | 35,542 | |||||||||||||||
Debt conversion, amount | $ 500,000 | |||||||||||||||
Debt conversion, shares issued | shares | 50,000 | |||||||||||||||
Unamortized debt dicount | 70,483 | |||||||||||||||
Shares issued | shares | 27,233 | |||||||||||||||
Interest rate | 20% | |||||||||||||||
Payables | $ 1,500,000 | |||||||||||||||
Derivative fair value net | 1,061,550 | 1,061,550 | ||||||||||||||
Gain on change in fair value of derivatives | 168,301 | |||||||||||||||
Promissory Note Payable [Member] | Third Party [Member] | ||||||||||||||||
Short-Term Debt [Line Items] | ||||||||||||||||
Interest rate | 2.25% | |||||||||||||||
Note payable | $ 1,000,000 | |||||||||||||||
Notes Payable [Member] | ||||||||||||||||
Short-Term Debt [Line Items] | ||||||||||||||||
Note payable | $ 2,000,000 | |||||||||||||||
Interest rate | 15% | |||||||||||||||
Debt maturity date | Apr. 14, 2023 | |||||||||||||||
Outstanding warrants | shares | 220,000 | 220,000 | ||||||||||||||
Amortized debt discount costs | $ 20,000,000 | 11,228 | $ 10,477 | |||||||||||||
Loss on extinguishment of debt | 1,978,295 | |||||||||||||||
Share price | $ / shares | $ 0.25 | |||||||||||||||
Warrant exercise, description | The exercise price has customary anti-dilution protection for stock splits, mergers, etc. Additionally, the warrant contains a stipulation that the Company will guarantee the value of the shares sold will be no less, on average, than $1.50 per share through April 15, 2023. If the value is less than $1.50 per share, the Company will issue additional shares of common stock to compensate for the shortfall, which could result in an infinite number of shares being required to be issued | |||||||||||||||
Interest expense | $ 12,501,178 | |||||||||||||||
Warrant description | At the conversion date the Note payable holder also agreed to cancel the guarantee that the value of the shares sold will be no less, on average, than $1.50 per share through April 15, 2023 | |||||||||||||||
Notes Payable, Current | $ 0 | 0 | ||||||||||||||
Notes Payable [Member] | ||||||||||||||||
Short-Term Debt [Line Items] | ||||||||||||||||
Note payable | $ 500,000 | |||||||||||||||
Interest rate | 8% | |||||||||||||||
Interest expense | $ 3,178 |
NOTES RECEIVABLE (Details Narra
NOTES RECEIVABLE (Details Narrative) - USD ($) | 12 Months Ended | ||||||||
Jul. 26, 2021 | Apr. 30, 2022 | Apr. 30, 2021 | Jan. 14, 2022 | Dec. 07, 2021 | Nov. 17, 2021 | Oct. 05, 2021 | Aug. 26, 2021 | Jul. 21, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Line of credit | $ 13,200,000 | ||||||||
Interest expense | $ 105,349 | ||||||||
Notes Receivable [Member] | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Interest expense | $ 0 | ||||||||
Loan Agreement [Member] | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Proceeds from line of credit | $ 300,000 | ||||||||
Convertible Loan Agreement [Member] | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Line of credit | $ 250,000 | $ 300,000 | $ 300,000 | $ 400,000 | $ 700,000 | ||||
Play Sight Interactive Ltd [Member] | Loan Agreement [Member] | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Interest rate | 15% |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | Apr. 30, 2022 | Apr. 30, 2021 |
Related Party Transaction [Line Items] | ||
Due to related parties | $ 1,905,792 | $ 1,283,464 |
Notes Payable, Related Parties | 2,000,000 | 6,220,000 |
[custom:InterestPayableToRelatedPartiesCurrent-0] | 908,756 | 747,636 |
Purchase obligation | 500,000 | |
Notes Payable | 368,164 | 615,584 |
Related Party [Member] | ||
Related Party Transaction [Line Items] | ||
Outstanding accounts receivable | $ 93,535 | $ 86,956 |
SHAREHOLDERS_ EQUITY (DEFICIT)
SHAREHOLDERS’ EQUITY (DEFICIT) (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||
Feb. 22, 2022 | Feb. 02, 2022 | Jan. 11, 2022 | Oct. 11, 2021 | Sep. 03, 2021 | Sep. 03, 2021 | Aug. 06, 2021 | Jul. 11, 2021 | Jul. 06, 2021 | Jun. 23, 2021 | May 26, 2021 | Apr. 30, 2021 | Apr. 13, 2021 | Apr. 11, 2021 | Apr. 11, 2021 | Feb. 09, 2021 | Jan. 11, 2021 | Dec. 15, 2020 | Nov. 24, 2020 | Nov. 10, 2020 | Oct. 28, 2020 | Oct. 08, 2020 | Sep. 04, 2020 | May 15, 2020 | May 06, 2020 | Oct. 31, 2021 | Jul. 31, 2021 | Apr. 30, 2021 | Jan. 31, 2021 | Apr. 30, 2022 | Dec. 15, 2021 | Nov. 10, 2021 | Apr. 30, 2021 | Apr. 30, 2020 | Oct. 29, 2020 | Sep. 16, 2019 | |
Common stock, shares authorized | 300,000,000 | 300,000,000 | 300,000,000 | 300,000,000 | ||||||||||||||||||||||||||||||||
Common stock, par value | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | ||||||||||||||||||||||||||||||||
Common shares issuable | 2,764,282 | 2,764,282 | 4,194,836 | 2,764,282 | ||||||||||||||||||||||||||||||||
Common stock, shares outstanding | 2,764,282 | 2,764,282 | 4,194,836 | 2,764,282 | ||||||||||||||||||||||||||||||||
Fair value of common stock | $ 238,449 | |||||||||||||||||||||||||||||||||||
Number of stock issued | 100,000 | |||||||||||||||||||||||||||||||||||
Number of stock issued, value | $ 39,950,000 | |||||||||||||||||||||||||||||||||||
Warrants, term | 5 years | |||||||||||||||||||||||||||||||||||
Losses extinguishment of debt | $ 1,501,914 | $ (7,096,730) | (3,030,495) | |||||||||||||||||||||||||||||||||
Notes payable - related party, net | $ 6,143,223 | $ 6,143,223 | $ 6,143,223 | |||||||||||||||||||||||||||||||||
Discount stock price | 50% | |||||||||||||||||||||||||||||||||||
Operating expenses related | $ 56,412,503 | $ 6,850,461 | ||||||||||||||||||||||||||||||||||
Common Stock [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued | 30,000 | |||||||||||||||||||||||||||||||||||
Fair value of common stock | $ 500,000 | $ 35,351 | $ 30 | |||||||||||||||||||||||||||||||||
Number of stock issued | 514,286 | 121,656 | 54,000 | 50,000 | 3,500 | |||||||||||||||||||||||||||||||
Number of stock issued, value | ||||||||||||||||||||||||||||||||||||
Warrant [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | $ 59,838 | |||||||||||||||||||||||||||||||||||
Market capitalization | 100,000,000 | |||||||||||||||||||||||||||||||||||
Class warrant right exercise price warrants right | $ 3.94 | |||||||||||||||||||||||||||||||||||
Class of warrant or right number of securities called warrants rights | 150,000 | 813,786 | ||||||||||||||||||||||||||||||||||
Number of shares issued | 121,656 | 121,656 | 692,130 | 121,656 | ||||||||||||||||||||||||||||||||
Risk free rate | 0.76% | |||||||||||||||||||||||||||||||||||
Stock price votality | 63% | |||||||||||||||||||||||||||||||||||
Equity Option [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | $ 98,457 | |||||||||||||||||||||||||||||||||||
Warrants [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | 70,997 | |||||||||||||||||||||||||||||||||||
Note Payable Holder [Member] | ||||||||||||||||||||||||||||||||||||
Convetible shares of common stock | 495,000 | |||||||||||||||||||||||||||||||||||
Related Party Lender [Member] | ||||||||||||||||||||||||||||||||||||
Common shares issuable | 692,130 | |||||||||||||||||||||||||||||||||||
Number of warrants issued to purchase common shares | 275,000 | |||||||||||||||||||||||||||||||||||
Convetible shares of common stock | 967,130 | |||||||||||||||||||||||||||||||||||
Note Payable Holder [Member] | ||||||||||||||||||||||||||||||||||||
Number of warrants issued to purchase common shares | 220,000 | |||||||||||||||||||||||||||||||||||
As Compensation [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | 48,502 | |||||||||||||||||||||||||||||||||||
Number of warrants granted | $ 7,500 | |||||||||||||||||||||||||||||||||||
As Compensation [Member] | Maximum [Member] | ||||||||||||||||||||||||||||||||||||
Stock issued | 12,000 | |||||||||||||||||||||||||||||||||||
As Compensation [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||
Stock issued | 6,000 | |||||||||||||||||||||||||||||||||||
As Compensation [Member] | Warrant [Member] | ||||||||||||||||||||||||||||||||||||
Stock issued | 1,010,000 | |||||||||||||||||||||||||||||||||||
Securities Purchase Agreement [Member] | ||||||||||||||||||||||||||||||||||||
Warrants issued to purchase of common stock, shares | 733,333 | |||||||||||||||||||||||||||||||||||
Marketing and Other Services [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued, value | $ 198,386 | |||||||||||||||||||||||||||||||||||
Gain on change in fair value recognized | $ 146,608 | $ 39,750 | ||||||||||||||||||||||||||||||||||
Notes payable - related party, net | $ 26,500 | $ 26,500 | 26,500 | |||||||||||||||||||||||||||||||||
Marketing and Other Services [Member] | Warrant [Member] | ||||||||||||||||||||||||||||||||||||
Shares issued for compensation for services, shares | 600,000 | |||||||||||||||||||||||||||||||||||
Foundation Sports [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued | 54,000 | |||||||||||||||||||||||||||||||||||
Number of stock issued, value | $ 3,550,000 | $ 3,550,000 | ||||||||||||||||||||||||||||||||||
Foundation Sports [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued, value | $ 54 | |||||||||||||||||||||||||||||||||||
Gameface [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued | 590,327 | 0 | ||||||||||||||||||||||||||||||||||
Number of stock issued, value | $ 9,700,000 | |||||||||||||||||||||||||||||||||||
Gameface [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued | 478,225 | |||||||||||||||||||||||||||||||||||
Mont Saic [Member] | ||||||||||||||||||||||||||||||||||||
Acquistion percentage | 33% | |||||||||||||||||||||||||||||||||||
Additional paid-in capital warrant issued | $ 1,492,188 | |||||||||||||||||||||||||||||||||||
Play Sight [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued | 2,537,969 | |||||||||||||||||||||||||||||||||||
Number of stock issued, value | $ 39,950,000 | |||||||||||||||||||||||||||||||||||
Related Party Lender [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued | 163,684 | 27,233 | 10,000 | 30,000 | ||||||||||||||||||||||||||||||||
Fair value of common stock | $ 6,220,000 | $ 1,250,004 | $ 238,449 | |||||||||||||||||||||||||||||||||
Related Party Lender [Member] | Marketing and Other Services [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued | 5,595 | |||||||||||||||||||||||||||||||||||
Two Employees [Member] | Services Rendered in Lieu of Cash [Member] | ||||||||||||||||||||||||||||||||||||
Shares issued for compensation for services, shares | 5,022 | |||||||||||||||||||||||||||||||||||
Shares issued for compensation for services, value | $ 187,803 | |||||||||||||||||||||||||||||||||||
Vendor [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||
Shares issued for compensation for services, value | 114,000 | |||||||||||||||||||||||||||||||||||
Vendor [Member] | Common Stock [Member] | General and Administrative Expense [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | 65,826 | |||||||||||||||||||||||||||||||||||
Vendor [Member] | Marketing and Other Services [Member] | ||||||||||||||||||||||||||||||||||||
Shares issued for compensation for services, shares | 1,875 | 1,875 | 1,875 | 500 | 1,875 | |||||||||||||||||||||||||||||||
Shares issued for compensation for services, value | 16,875 | $ 43,294 | ||||||||||||||||||||||||||||||||||
Six New Brand Ambassadors [Member] | As Compensation [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||
Stock issued | 9,094 | |||||||||||||||||||||||||||||||||||
Six New Brand Ambassadors [Member] | As Compensation [Member] | Share-Based Payment Arrangement, Option [Member] | Maximum [Member] | ||||||||||||||||||||||||||||||||||||
Stock issued | 6,000 | |||||||||||||||||||||||||||||||||||
Brand Ambassadors [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | 907,042 | |||||||||||||||||||||||||||||||||||
Vendor One [Member] | Marketing and Other Services [Member] | ||||||||||||||||||||||||||||||||||||
Shares issued for compensation for services, value | 16,874 | |||||||||||||||||||||||||||||||||||
Key Employees and Officers [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | $ 255,124 | |||||||||||||||||||||||||||||||||||
Market capitalization | 6,000 | |||||||||||||||||||||||||||||||||||
Key Employees and Officers [Member] | Warrant [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | 32,381,309 | |||||||||||||||||||||||||||||||||||
Warrants, term | 10 years | 10 years | ||||||||||||||||||||||||||||||||||
Key Employees and Officers [Member] | Exercise Price One [Member] | Warrant [Member] | ||||||||||||||||||||||||||||||||||||
Class warrant right exercise price warrants right | $ 0.001 | $ 0.001 | $ 0.001 | |||||||||||||||||||||||||||||||||
Key Employees and Officers [Member] | Exercise Price Two [Member] | Warrant [Member] | ||||||||||||||||||||||||||||||||||||
Market capitalization | 10,000 | |||||||||||||||||||||||||||||||||||
Class warrant right exercise price warrants right | $ 3.42 | $ 3.42 | ||||||||||||||||||||||||||||||||||
Vendors [Member] | Common Stock [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued | 24,380 | |||||||||||||||||||||||||||||||||||
Vendors [Member] | Marketing and Other Services [Member] | ||||||||||||||||||||||||||||||||||||
Number of stock issued | 10,000 | 4,608 | ||||||||||||||||||||||||||||||||||
Share based compensation expenses | $ 30,000 | |||||||||||||||||||||||||||||||||||
Losses extinguishment of debt | $ 25,278 | |||||||||||||||||||||||||||||||||||
Service Provider [Member] | ||||||||||||||||||||||||||||||||||||
Class warrant right exercise price warrants right | $ 0.001 | $ 0.75 | $ 0.001 | $ 0.001 | ||||||||||||||||||||||||||||||||
Warrants, term | 10 years | 10 years | 10 years | 10 years | ||||||||||||||||||||||||||||||||
Service Provider [Member] | Warrant [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | 214,552 | $ 221,826 | ||||||||||||||||||||||||||||||||||
Market capitalization | 40,000 | |||||||||||||||||||||||||||||||||||
Three Members [Member] | As Compensation [Member] | ||||||||||||||||||||||||||||||||||||
Share based compensation expenses | $ 87,656 | |||||||||||||||||||||||||||||||||||
Market capitalization | 43,107 | |||||||||||||||||||||||||||||||||||
Class warrant right exercise price warrants right | $ 0.001 | |||||||||||||||||||||||||||||||||||
Warrants, term | 10 years | |||||||||||||||||||||||||||||||||||
Number of warrants granted | $ 46,077 | |||||||||||||||||||||||||||||||||||
Lead Placement Agent [Member] | Warrant [Member] | ||||||||||||||||||||||||||||||||||||
Class warrant right exercise price warrants right | $ 3.30 | |||||||||||||||||||||||||||||||||||
Class of warrant or right number of securities called warrants rights | 26,667 | |||||||||||||||||||||||||||||||||||
Operating expenses related | $ 376,000 | |||||||||||||||||||||||||||||||||||
Lead Placement Agent [Member] | Exercise Price One [Member] | Warrant [Member] | ||||||||||||||||||||||||||||||||||||
Market capitalization | 1,000,000 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) | 12 Months Ended | |||||||||
Feb. 22, 2022 | Feb. 11, 2022 | Feb. 02, 2022 | Dec. 15, 2020 | Nov. 10, 2020 | May 06, 2020 | Apr. 30, 2022 | Dec. 15, 2021 | Nov. 10, 2021 | Apr. 30, 2021 | |
Rent expense | $ 22,176 | $ 8,400 | ||||||||
Number of stock issued | 100,000 | |||||||||
Fair value of common stock | 1,334,000 | |||||||||
Wrote off | 238,449 | |||||||||
Contigent Consideration [Member] | ||||||||||
Wrote off | $ 4,847,000 | |||||||||
Common Stock [Member] | ||||||||||
Number of stock issued | 514,286 | 121,656 | 54,000 | 50,000 | 3,500 | |||||
Fair value of common stock | $ 4,847,000 | |||||||||
Wrote off | $ 500,000 | $ 35,351 | $ 30 |
SCHEDULE OF NET DEFERRED TAX AS
SCHEDULE OF NET DEFERRED TAX ASSETS (Details) - USD ($) | Apr. 30, 2022 | Apr. 30, 2021 |
Loss carryforwards | $ 2,166,000 | $ 788,400 |
Stock options | 8,259,000 | |
Accrued payroll | 333,700 | |
Related party accruals | 799,000 | 194,400 |
Inventory reserve | 100,000 | |
Interest deferral | 191,000 | |
Start-up costs | 84,000 | 109,600 |
Other | 57,000 | 17,900 |
Valuation allowance | (11,656,000) | (1,444,000) |
Net deferred tax assets | ||
ISRAEL | ||
Valuation allowance | (121,000) | (304,000) |
Net deferred tax assets | ||
Loss carryforwards | 234,000 | 178,000 |
Start-up costs | 13,000 | |
Research and development costs | $ (113,000) | $ 113,000 |
SCHEDULE OF INCOME TAX PROVISIO
SCHEDULE OF INCOME TAX PROVISION (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Operating Loss Carryforwards [Line Items] | ||
Income tax provision (benefit) based on book income (loss) at Israeli statutory rate | $ (10,259,000) | $ (3,832,300) |
Share-based compensation and shares for services | 188,100 | |
Debt discount amortization | 1,841,000 | 79,100 |
Related party accruals | 150,000 | 127,800 |
Start-up costs | 6,815,000 | |
Interest expense | 5,000 | 2,630,000 |
Depreciation | 21,000 | |
Inventory reserve | 55,000 | |
Interest deferral | 13,000 | |
Acquisition costs | 1,268,000 | |
Accrued legal | 76,000 | |
Loss on extinguishment of debt | 636,400 | |
Accrued payroll | 215,400 | |
Gain on change in fair value of derivatives | (1,298,000) | (407,300) |
Other | (29,000) | 1,500 |
Valuation allowance | 1,342,000 | 361,300 |
Total income tax provision | ||
Total income tax provision | ||
Israel Tax Authority [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Income tax provision (benefit) based on book income (loss) at Israeli statutory rate | (56,000) | 80,000 |
Valuation allowance | 56,000 | |
Total income tax provision | ||
Research and development costs | 113,000 | |
Start-up costs | 13,000 | |
Loss carryforward | (206,000) | |
Total income tax provision |
SCHEDULE OF NET DEFERRED TAX _2
SCHEDULE OF NET DEFERRED TAX ASSETS (Details) (Parenthetical) | 12 Months Ended |
Apr. 30, 2022 | |
ISRAEL | |
Effective tax rate | 23% |
SCHEDULE OF INCOME TAX PROVIS_2
SCHEDULE OF INCOME TAX PROVISION (Details) (Parenthetical) | 12 Months Ended |
Apr. 30, 2022 | |
ISRAEL | |
Effective tax rate | 23% |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Operating loss carryforwards | $ 1,020,000 | $ 774,000 |
UNITED STATES | ||
Effective tax rate | 21% | |
Operating loss carryforwards | $ 12,366,000 | $ 3,032,000 |
SCHEDULE OF REVENUES AND PROFIT
SCHEDULE OF REVENUES AND PROFIT LOSS OPERATING SEGMENT (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2022 | Apr. 30, 2021 | |
Property, Plant and Equipment [Line Items] | ||
Total Net Revenues | $ 16,831,477 | $ 10,804,214 |
Total Profit or (Loss) | (51,773,652) | (18,594,760) |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total Net Revenues | 16,102,672 | 10,804,214 |
Total Profit or (Loss) | (46,309,228) | (18,594,760) |
Technology [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total Net Revenues | 728,805 | |
Total Profit or (Loss) | $ (5,464,424) |
SEGMENTS (Details Narrative)
SEGMENTS (Details Narrative) - USD ($) | Apr. 30, 2022 | Apr. 30, 2021 |
Segment Reporting Information [Line Items] | ||
Goodwill | $ 32,643,193 | |
Technology Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Goodwill | 32,643,193 | 0 |
Intangibles | 0 | |
Technologys Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Intangibles | 24,209,442 | |
Equipment Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Intangibles | $ 107,060 | $ 112,853 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - USD ($) | 12 Months Ended | ||||||||||||
Jan. 06, 2023 | Dec. 05, 2022 | Nov. 27, 2022 | Sep. 28, 2022 | Aug. 25, 2022 | Jul. 29, 2022 | Jun. 27, 2022 | Jun. 15, 2022 | Jun. 14, 2022 | May 01, 2022 | Apr. 30, 2022 | Apr. 30, 2021 | Sep. 29, 2022 | |
Subsequent Event [Line Items] | |||||||||||||
Convertiable notes | $ 13,200,000 | ||||||||||||
Borrowing from notes payable | $ 5,500,000 | $ 3,120,000 | |||||||||||
Subsequent Event [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Reverse stock split description | 1-10 reverse split | ||||||||||||
Stock issued | 6,063,145 | ||||||||||||
Debt conversion of convertible notes, shares | 4,389,469 | ||||||||||||
Membership interest description | the Company assigned 75% of its membership interest in Foundation Sports to Charles Ruddy, its founder and granted him the right for a period of three years to purchase the remaining 25% of its Foundation Sports membership interests for $500,000 in cash. | ||||||||||||
Cash | $ 500,000 | ||||||||||||
Investment for reserves | $ 500,000 | ||||||||||||
Subsequent Event [Member] | Gameface AI [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Stock issued | 598,396 | ||||||||||||
Subsequent Event [Member] | Midcity Capital Ltd [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Stock issued | 300,000 | ||||||||||||
Subsequent Event [Member] | Armistice Capital Master Fund Ltd [Member] | Loan and Security Agreement [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Borrowing from notes payable | $ 600,000 | ||||||||||||
Shares issued price per share | $ 0.221 | ||||||||||||
Subsequent Event [Member] | Armistice Capital Master Fund Ltd [Member] | Loan and Security Agreement [Member] | Notes [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Borrowing from notes payable | $ 1,400,000 | ||||||||||||
Subsequent Event [Member] | Investor [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Stock issued | 1,048,750 | ||||||||||||
Subsequent Event [Member] | Gabriel Goldman [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Number of common stock, shares for services | 25,000 | ||||||||||||
Subsequent Event [Member] | Maximum [Member] | Armistice Capital Master Fund Ltd [Member] | Loan and Security Agreement [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Convertiable notes | $ 2,000,000 | ||||||||||||
Common stock exercisable, shares | 18,099,548 | ||||||||||||
Subsequent Event [Member] | UFS Agreement [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Sale of consideration received | $ 1,124,250 | ||||||||||||
Payment for exchange received amount | 750,000 | ||||||||||||
Cash less fees | 60,000 | ||||||||||||
Subsequent Event [Member] | UFS Agreement [Member] | Minimum [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Reduced form obligations received amount | 1,124,250 | ||||||||||||
Subsequent Event [Member] | UFS Agreement [Member] | Maximum [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Reduced form obligations received amount | 855,000 | ||||||||||||
Subsequent Event [Member] | UFS Agreement [Member] | Each Week for Next Three Weeks [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Payment for exchange received amount | 13,491 | ||||||||||||
Subsequent Event [Member] | UFS Agreement [Member] | Thereafter Per Week [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Payment for exchange received amount | 44,970 | ||||||||||||
Subsequent Event [Member] | UFS Agreement [Member] | Within Fourty Five Days [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Payment for exchange received amount | 855,000 | ||||||||||||
Subsequent Event [Member] | Cedar Agreement [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Sale of consideration received | 1,124,250 | ||||||||||||
Payment for exchange received amount | 750,000 | ||||||||||||
Cash less fees | 60,000 | ||||||||||||
Subsequent Event [Member] | Cedar Agreement [Member] | Minimum [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Reduced form obligations received amount | 1,124,250 | ||||||||||||
Subsequent Event [Member] | Cedar Agreement [Member] | Maximum [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Reduced form obligations received amount | 855,000 | ||||||||||||
Subsequent Event [Member] | Cedar Agreement [Member] | Each Week for Next Three Weeks [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Payment for exchange received amount | 13,491 | ||||||||||||
Subsequent Event [Member] | Cedar Agreement [Member] | Thereafter Per Week [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Payment for exchange received amount | 44,970 | ||||||||||||
Subsequent Event [Member] | Cedar Agreement [Member] | Within Fourty Five Days [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Payment for exchange received amount | $ 855,000 | ||||||||||||
Subsequent Event [Member] | Securities Purchase Agreement [Member] | Investor [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Stock issued | 1,018,510 | ||||||||||||
Warrants to purchase common stock | 11,802,002 | ||||||||||||
Proceeds from common stock | $ 4,549,882 | ||||||||||||
Subsequent Event [Member] | Share Purchase Agreement [Member] | Buyer [Member] | |||||||||||||
Subsequent Event [Line Items] | |||||||||||||
Purchase agreement description | the Company entered into a share purchase agreement (the “Agreement”) with PlaySight, Chen Shachar and Evgeni Khazanov (together, the “Buyer”) pursuant to which the Buyer purchased 100% of the issued and outstanding shares of PlaySight from the Company in exchange for (1) releasing the Company from all of PlaySight’s obligations towards its vendors, employees, tax authorities and any other (past, current and future) creditors of PlaySight; (2) waiver by the Buyer of 100% of the personal consideration owed to them under their employment agreements in the total amount of $600,000; and (3) cash consideration of $2,000,000 to be paid to the Company in the form of a promissory note that matures on December 31, 2023. |