v3.26.1
WARRANTS
6 Months Ended
Jun. 30, 2026
Warrants  
WARRANTS

NOTE 14 — WARRANTS

 

During the six months ended June 30, 2026, the Company issued 507,500 six-month warrants to purchase shares of the Company’s common stock at an exercise price of $8.00 per share in conjunction with convertible notes issued on April 24, 2026. The warrants include a full-ratchet anti-dilution provision that adjusts the exercise price if the Company issues equity securities at less than $8.00 per share. These warrants are liability-classified, as they do not meet the fixed-for-fixed criterion under ASC 815-40 (refer Note 2 for details).

 

During the six months ended June 30, 2025, the Company issued an aggregate of 675,000 five-year warrants to purchase shares of the Company’s common stock at an exercise price of $0.50 per share in conjunction with the convertible notes. The warrants were issued on January 15, 2025 (250,000) and April 18, 2025 (150,000 warrants), May 8, 2025 (150,000 warrants), and May 25, 2025 (125,000 warrants). The warrants include a full-ratchet anti-dilution provision that adjusts the exercise price if the Company issues equity securities at less than $0.50 per share.

 

 

The following table shows a summary of common stock warrants for the six months ended June 30, 2026:

 

Number of  Weighted Average Exercise Warrants   Price  

Weighted Average

Contractual

Term in Years

 
Outstanding at January 1, 2026   16,223,996   $1.06    1.41 
Granted   507,500    8.00     
Exercised            
Forfeited            
Cancelled            
Expired            
Outstanding at June 30, 2026   16,731,496   $1.27    1.04 
Exercisable at June 30, 2026   16,731,496   $1.27    1.04