Changes in Stockholders’ Equity
|9 Months Ended|
Sep. 30, 2021
|Changes in Stockholders’ Equity||
Note 13 – Changes in Stockholders’ Equity
The Company is authorized to issue an aggregate of shares of common stock with a par value of $ . As of September 30, 2021, there were shares of common stock issued and outstanding.
Common Stock Issued on Subscriptions Payable
On March 1, 2021, the Company issued 75,000. shares of common stock on a Subscriptions Payable for the November 27, 2020 sale of common stock at $ per share for proceeds of $
Common Stock Options Exercised
On July 26, 2021, a total of shares of common stock were issued upon exercise on a cashless basis of options to purchase shares of common stock at a price $ per share.
Common Stock Issued as a Promissory Note Commitment
As disclosed in Note 11 above, the Company paid a commitment fee to AJB Capital of $200,000 in the form of 2,000,000 shares of the Company’s common stock in connection with the issuance of the First AJB Note, which was repaid on September 17, 2021. The issuance of the Commitment Fee Shares resulted in a debt discount of $268,250 that was amortized over the life of the loan, resulting in $268,250 of finance expense during the nine months ended September 30, 2021. On October 15, 2021, pursuant to the early repayment terms of the promissory note, one million of these shares were redeemed and cancelled.
Also, as disclosed in Note 11, above, the Company paid a commitment fee to AJB Capital in the form of 1,250,000 shares of the Company’s common stock in connection with the issuance of the Second AJB Note. These shares were issued on October 26, 2021, and recognized as a Subscriptions Payable on the balance sheet as of September 30, 2021.
ONE WORLD PHARMA, INC.
Notes to Condensed Consolidated Financial Statements
Common Stock Issued for Services
On May 25, 2021, the Company awarded a total of The aggregate fair value of the shares was $8,500, based on the closing price of the Company’s common stock on the date of grant. shares of common stock pursuant for consulting services to two individuals.
On May 12, 2021, the Company entered into a Settlement Agreement with COR Prominence, LLC. Pursuant to the Settlement Agreement, the Company issued shares of common stock. The fair value of the shares was $29,538, based on the closing price of the Company’s common stock on the date of grant.
In addition, the Company engaged COR Prominence, LLC to provide investor relation services to the Company, in consideration for the payment of $7,500 per month in cash, and $5,000 per month with shares of common stock valued at 125% of the closing price of the common stock of the Company on the date of issuance. On June 1, 2021, the Company issued another shares of common stock to COR Prominence, LLC. The fair value of the shares was $18,758, based on the closing price of the Company’s common stock on the date of grant.
Amortization of Stock-Based Compensation
A total of $ of stock-based compensation expense was recognized from the amortization of options to purchase common stock over their vesting period during the nine months ended September 30, 2021.
The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef