v3.25.2
Stock-Based Compensation
 12 Months Ended
May 31, 2025
Stock-Based Compensation [Abstract]  
Stock-based Compensation

NOTE 13. Stock-based Compensation

 

In August 2022, the Company established a Stock Option Plan, superseded by the 2023 Equity Incentive Plan (the “Option Plan”), under which the Company’s Board of Directors may, from time-to-time, in its discretion, grant stock options to directors, officers, consultants and employees of the Company.

 

Stock options outstanding vest in equal tranches over a period of three years. During the year-ended May 31, 2025, the Company granted 1,520,000 stock options (May 31, 2024 – 100,000). The Company estimated the fair value of the stock options on the date of grant using the Black-Scholes option-pricing model with the following assumptions:

 

   May 31,
2025		   May 31,
2024		 
Stock price  USD$0.27 - 0.61   USD$0.85  
Risk-free interest rate   3.8% - 4.5%   4.5%
Term (years)   5    5 
Volatility   76%   85%
Forfeiture rate   0%   0%
Dividend yield   0%   0%

 

A summary of stock option activity for the Company is as follows: 

 

   Number of Shares   Weighted Average
Exercise Price (USD)		   Weighted Average
Remaining
Contractual Life
(years)		   Aggregate Intrinsic
Value		 
Outstanding stock options May 31, 2024   685,230   $0.60    6.5   $139 
Issued October 4, 2024   180,000   $0.27    9.6   $196 
Issued February 3, 2025   1,340,000   $0.61    9.9   $830 
Outstanding stock options May 31, 2025   2,205,230   $0.58    8.4   $1,340 
Exercisable as of May 31, 2025   425,820   $0.57    5.5   $289 

 

During the year-ended May 31, 2025, the Company recorded stock-based compensation expenses of $253 (May 31, 2024 - $66) relating to stock options and $677 relating to shares issued for services (May 31, 2024 – nil). The weighted average grant date fair value of the stock options issued was $0.61 USD (May 31, 2024 - $0.59 USD).

 

On February 3, 2025, the Company issued 335,000 Performance Share Units (“PSU’s”) that vest upon achievement of 100% Total Shareholder Return. The Company has determined that this vesting condition is highly probable and accordingly has recognized the entirety of the associated $562 in compensation costs related to these PSU’s during the year-ended May 31, 2025.