Annual report pursuant to Section 13 and 15(d)

Stock Warrants

v3.19.1
Stock Warrants
12 Months Ended
Dec. 31, 2018
Stockholders' Equity Note [Abstract]  
Stock Warrants
Note 15 — Stock Warrants
 
The following table shows the various changes in warrants for the years ended:
 
 
 
December 31,

2018
 
 
December 31,

2017
 
 
December 31,

2016
 
 
 
 
 
 
 
 
 
 
 
Warrants Outstanding, Beginning of Year
 
 
1,184,912
 
 
 
401,859
 
 
 
535,091
 
Exercised During the Year
 
 
(113,850
)
 
 
(250,009
)
 
 
(133,232
)
Issued During the Year
 
 
1,200,000
 
 
 
1,033,062
 
 
 
 
Expired During the Year
 
 
(38,000
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Warrants Outstanding, End of Year
 
 
2,233,062
 
 
 
1,184,912
 
 
 
401,859
 
 
Of the outstanding warrants as of December 31, 2018, 1,200,000 expired on January 26, 2019 and the remainder expire on June 18, 2021. The weighted average remaining term of the warrants was 1.2 years. The weighted average exercise price was $8.61 per share. The outstanding warrants as of December 31, 2017 expire from March 21, 2018 to June 18, 2021. The weighted average remaining term of the warrants is 3.1 years. The weighted average exercise price is $6.44 per share. The outstanding warrants as of December 31, 2016 expired from March 21, 2018 to August 5, 2018. The weighted average remaining term of the warrants was 1.3 years. The weighted average exercise price was $2.41 per share.
 
During the year ending December 31, 2018, a total of 96,350 warrants were exercised on a cashless basis resulting in the issuance of 66,710 shares and a total of 17,500 warrants were exercised for cash resulting in the issuance of 17,500 shares and proceeds of $39,373. During the year ended December 31, 2017 a total of 250,009 warrants were exercised on a cashless basis resulting in the issuance of 168,203 shares. During the year ended December 31, 2016 a total of 111,232 warrants were exercised on a cashless basis resulting in the issuance of 74,620 shares and an additional 22,000 warrants were exercised for cash resulting in proceeds of $60,751.
 
Management completed a derivative analysis on the 1,200,000 warrants issued in conjunction with our securities purchase agreement which closed on January 24, 2018 to determine whether or not they met the criteria under ASC 815-10-15-83 to trigger treatment as a derivative instrument. Management concluded that these warrants did not meet the criteria to be treated as a derivative
instrument. These warrants expired on January 26, 2019 and none were exercised
.