NOTE
4 - CONVERTIBLE LOANS AND WARRANTS AND ANTI-DILUTION LIABILITIES
The
following table summarizes fair value measurements by level as of March 31, 2026 and December 31, 2025 measured at fair value on a recurring
basis:
SCHEDULE OF FAIR VALUE RECURRING BASIS
| March
31, 2026 | |
Level
1 | | |
Level
2 | | |
Level
3 | | |
Total | |
| | |
In
U.S. dollars | |
| Assets | |
| | | |
| | | |
| | | |
| | |
| None | |
| - | | |
| - | | |
| - | | |
| - | |
| | |
| | | |
| | | |
| | | |
| | |
| Liabilities | |
| | | |
| | | |
| | | |
| | |
| Convertible
Loans (including long term) | |
| - | | |
| - | | |
| 878 | | |
| 878 | |
| Derivative
liability - Anti dilution rights | |
| - | | |
| - | | |
| 7,837 | | |
| 7,837 | |
| and
December 31, 2025 | |
Level
1 | | |
Level
2 | | |
Level
3 | | |
Total | |
| | |
In
U.S. dollars | |
| Assets | |
| | | |
| | | |
| | | |
| | |
| None | |
| - | | |
| - | | |
| - | | |
| - | |
| | |
| | | |
| | | |
| | | |
| | |
| Liabilities | |
| | | |
| | | |
| | | |
| | |
Convertible
Loans
(including long term) | |
| - | | |
| - | | |
| 901 | | |
| 901 | |
| Derivative
liability - Anti dilution rights | |
| - | | |
| - | | |
| 7,103 | | |
| 7,103 | |
NOTE
4 - CONVERTIBLE LOANS AND WARRANTS AND ANTI-DILUTION LIABILITIES (cont.)
| (i) | The
Convertible Loans changes consist of the following as of March 31, 2026 and December 31, 2025: |
SCHEDULE OF CONVERTIBLE LOANS AT FAIR VALUE CHANGES
| | |
| | |
| |
| | |
Convertible
Loans at Fair Value | |
| | |
March
31, 2026 | | |
December
31, 2025 | |
| | |
$000 | |
| Opening
Balance, (including short term loans from related party which is also convertible) | |
| 901 | | |
| 4,163 | |
| Conversion
of convertible loan | |
| | | |
| (869 | ) |
| Transition
from amortized cost to convertible loans measured at fair value | |
| | | |
| | |
| Change
in fair value of convertible loans liability | |
| (23 | ) | |
| (2,393 | ) |
| Closing
balance | |
| 878 | | |
| 901 | |
APPYEA
INC.
NOTES
TO THE FINANCIAL STATEMENTS
The
estimated fair values of the Convertible loans were measured according to the Monte Carlo Model using the following assumptions:
SCHEDULE
OF FAIR VALUES OF WARRANTS AND CONVERTIBLE LOAN ASSUMPTION USED
| | |
As
of March 31, | | |
As
of December 31, | |
| | |
2026 | | |
2025 | |
| Expected
term (in years) | |
| 1.92 | | |
| 2 | |
| Expected
average (Monte Carlo) volatility | |
| 53 | % | |
| 55.38 | % |
| Expected
dividend yield | |
| - | | |
| - | |
| Risk-free
interest rate | |
| 3.78 | % | |
| 3.40 | % |
| WACC | |
| 27 | % | |
| 26 | % |
| (ii) | The
Derivative liability – Anti-dilution rights changes consist of the following
as of March 31, 2026 and December 31, 2025: |
SCHEDULE
OF ANTI-DILUTION RIGHTS DERIVATIVE LIABILITY
| | |
| | | |
| | |
| | |
Anti-Dilution Liabilities at Fair value | |
| | |
March 31, 2026 | | |
December 31, 2025 | |
| | |
$000 | |
| Opening Balance | |
| 7,102 | | |
| - | |
| Recognition of anti-dilution rights granted to new investors (see Note 6 – Capital raise) | |
| 329 | | |
| 7,102 | |
| Fair value adjustment | |
| 406 | | |
| - | |
| Closing balance | |
| 7,837 | | |
| 7,102 | |
|