v3.26.1
SUBSEQUENT EVENTS
6 Months Ended
Jun. 30, 2026
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS

NOTE 14 – SUBSEQUENT EVENTS

 

Unit Offering

 

Subsequent to June 30, 2026, the Company raised net cash proceeds of $23,000 (after payment of $2,000 in commission) the fair value of the Common Stock was determined based on the quoted price of $0.051 per share on the issuance date. The fair value of the warrants was estimated using the Black-Scholes option-pricing model, resulting in a fair value of $0.020 per warrant.

 

In accordance with ASC 505-10-30-6 (Relative Fair Value Allocation), the total proceeds were allocated to the Common Stock and the warrants based on their relative fair values on the date of issuance.

 

The allocation was calculated as follows:

 

Component 

Standalone

Fair Value

  

% of Total

Fair Value

  

Allocation of

Proceeds

  

Allocation per

Share/Warrant

 
Common Stock (450,000 shares)  $12,199    64.14%  $14,753   $0.0328 
Common Stock (450,000 shares)  $12,199    64.14%  $14,753   $0.0328 
Warrants (416,667 warrants)   6,819    35.86%   8,247    0.0198 
Total  $19,017    100%  $23,000      

 

The allocated value per share is $0.033 ($14,753 ÷ 450,000 shares), and the allocated value per warrant is $0.020 ($8,247 ÷ 416,667 warrants), or a 20.9% premium to market.

 

 

Shares earned/paid, but not yet issued, subsequent to June 30, 2026:

 

Date     # Shares     Amount     Price/Share     Type   Notice  
7/01/2026 b   31,081,875     $ 1,360,606     $ 0.044     plan 2021   affiliate  
7/01/2026 b     705,058       30,619       0.043     plan 2021      
7/01/2026 a     736,770       27,476       0.037     consulting fee      
7/01/2026 a     106,667                 commission      
7/08/2026 a *   450,000       14,753       0.033     private placement      
7/08/2026 a *         8,247           private placement   warrants  
7/05/2026 a     150,000       3,750       0.025     consulting fee      
8/10/2026 a     150,000       3,300       0.022     consulting fee      
8/14/2026       33,380,370     $ 1,448,751     $ 0.043            

 

Warrants paid, but not yet issued, subsequent to June 30, 2026

 

Date     # Warrants     wavg Term     wavg Exerc     Type   Notice  
7/08/2026 a *   416,667       5.0     $ 0.12            

 

* During the period from April 20, 2026, to May 8, 2026, the Company proposed a private placement offering investors to purchase shares and warrants issued together as a unit; however, each warrant is detachable and separately exercisable to purchase one share of Common Stock. The average price was $0.06 per unit, less a broker (Member FINRA / SIPC) fee consisting of 8% cash commission and 8% bonus shares. The Company raised a total of $23,000 (after $2,000 cash commission) and issued 450,000 shares of Common Stock (after 33,333 bonus shares), as well as 416,667 5-year warrants exercisable to buy Common Stock at $0.12 per share. The net received by the Company was $0.053 per unit. As at August 14, 2026, shares and warrants have not yet been issued.
   
The shares will be issued as shares of Preferred Stock, but are for comparison purposes expressed as Common share equivalents.
   
a The Company claims an exemption from the registration requirements of the Securities Act for the private placement of these securities pursuant to Section 4(a)(2) of the Securities Act and/or Rule 506 of Regulation D promulgated under the Securities Act.
b The Company claims an exemption from the registration requirements of the Securities Act for the compensatory benefit plan pursuant to Rule 701 of the Securities Act.

 

Management sees no further subsequent events requiring disclosure.