Quarterly report pursuant to Section 13 or 15(d)

Stock Options

v3.19.3
Stock Options
6 Months Ended
Sep. 30, 2019
Share-based Payment Arrangement [Abstract]  
Stock Options
15. Stock Options

 

The following table summarizes the continuity of stock options:

 

    Number of
options
    Weighted average exercise price
$
    Weighted average remaining contractual life (years)     Aggregate intrinsic value
$
 
                         
Balance, March 31, 2018     537,500       0.01       0.7       478,375  
                                 
Granted     3,065,000       1.59                  
Exercised     (150,000 )     0.01                  
Balance, March 31, 2019     3,452,500       1.41       2.3       5,481,125  
                                 
Granted     50,000       1.86       2.5          
Forfeited     (100,000 )     0.01       2.0          
                                 
Balance, September 30, 2019     3,402,500       1.46       1.9       6,259,875  

 

Additional information regarding stock options outstanding as at September 30, 2019 is as follows:

 

Exercisable     Unvested        
Number of shares    

Weighted

average

remaining

contractual

life (years)

    Range of
Exercise price
$
    Number of shares    

Weighted

Average

Exercise price
$

 
                           
  437,500       0.7       0.01                  
  2,915,000       2.7       1.70       50,000       1.86  
                                     
  3,352,500                       50,000          

 

During the six months ended September 30, 2019, the Company granted 50,000 stock options to an officer of the Company. The stock options are exercisable at a discount to market, estimated at an average of $1.86 per share, and anticipated to vest on August 26, 2020. The options have an estimated fair value of $3.62 per share. The estimated fair value of the stock options are being recorded over the requisite service period to vesting. For the three and six months ended September 30, 2019, the fair value of $36,347 (September 30, 2018 - $174,249) and $50,175 (September 30, 2018 - $174,249), respectively, was recorded as stock-based compensation.

 

On June 30, 2019, the Company agreed to an extension of 312,500 stock options issued to the Company’s President which were due to expire. The stock options have an exercise price of $0.01 per share and were extended to October 31, 2019. The extension of the stock options has not resulted in any material incremental fair value to be recorded.

 

On September 20, 2019, the Company agreed to an extension of 175,000 stock options issued to a company controlled by a director which were due to expire. The stock options have an exercise price of $0.01 per share and were extended to September 28, 2020. The extension of the stock options has not resulted in any material incremental fair value to be recorded.

 

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

 

    Three Months ended
June 30,
 2019
    Three months ended
September 30,
2019
 
             
Risk-free interest rate     2.48 %     1.94 %
Expected life (in years)     2.5       2.5  
Expected volatility     190 %     110 %