Quarterly report pursuant to Section 13 or 15(d)

Stock Options

v3.10.0.1
Stock Options
9 Months Ended
Dec. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock Options

12. Stock Options

 

The following table summarizes the continuity of stock options issued and outstanding:

 

      Number of
options
    Weighted average exercise price
$
    Aggregate intrinsic value
$
 
                     
  Balance, March 31, 2018     537,500       0.01       478,375  
                           
  Granted     2,965,000       1.64          
  Exercised     (150,000 )     0.01          
                           
  Balance, December 31, 2018     3,352,500       1.45       3,505,875  

 

Additional information regarding stock options outstanding as at December 31, 2018 is as follows:

 

      Outstanding and exercisable  
  Range of
exercise prices
$
  Number of shares    

Weighted average

remaining contractual

life (years)

    Weighted average
exercise price
$
 
                           
  0.01     487,500       0.6       0.01  
  1.70     2,865,000       2.9       1.70  
                           
        3,352,500       2.6       1.45  

 

On July 17, 2018, the Company extended the life of 312,500 stock options previously granted to the Company’s President and Chief Executive Officer. The expiry date of the stock options was extended from July 18, 2018 to April 30, 2019. The extension of the stock options did not result in any incremental compensation cost. The fair value was estimated using the Black-Scholes option pricing model assuming no expected dividends or forfeitures.

 

During the nine months ended December 31, 2018, the Company granted 2,965,000 (2017 – 175,000) stock options to officers, directors, employees, and consultants to the Company. The stock options are exercisable at $1.70 per share for a three-year term. The stock options were recorded at their estimated fair value of $4,744,382 (2017 - $78,165) or $1.60 per option at the time of grant.

 

The fair values were estimated using the Black-Scholes option pricing model assuming no expected dividends or forfeitures and the following weighted average assumptions:

 

      Nine months ended
December 31,
2018
    Nine months ended December 31,
2017
 
               
  Risk-free interest rate     2.82 %     1.45 %
  Expected life (in years)     3       2  
  Expected volatility     213 %     251 %