Common Stock and Warrant Issuances

6 Months Ended

Jun. 30, 2018

Equity [Abstract]

Common Stock and Warrant Issuances

Note 7. Common Stock and Warrant Issuances

Sale of common stock

On January 17, 2018, the Company received $281 from the exercise of warrants to purchase 375,000 shares of common stock.

On March 15, 2018, the Company issued 200,000 shares of common stock to an investor for $80 in gross proceeds.

On April 30, 2018, the Company received $313 from the exercise of warrants to purchase 625,000 shares of common stock.

On May 2, 2018, the Company received $313 from the exercise of warrants to purchase 625,000 shares of common stock.

During the six months ended June 30, 2018 the Company issued an aggregate of 3,799,250 shares of common stock in exchange for the cashless exercise of warrants to purchase 3,554,947 shares of common stock.

During the six months ended June 30, 2018, the Company issued 1,178,551 shares of its common stock to consultants in exchange for services. These services were valued using the value of the shares issued of $1,714. During the six months ended June 30, 2017, the Company issued 1,010,000 shares of its common stock to consultants in exchange for services. These services were valued using the value of the shares issued of $969.

On December 7, 2017, a holder of one of the Company’s convertible notes payable converted their note but requested that the Company not issue the shares due to ownership limitation provisions. On February 6, 2018 and March 26, 2018, the ownership limitations were satisfied and the Company issued 3,381,816 shares of its common stock to this former noteholder.

On December 15, 2017, the Company sold 2,000,000 shares of its common stock in a private placement, but the owners of the shares requested that these shares not be issued due to ownership limitations. On June 20, 2018, the Company issued 750,000 of these shares. On July 13, 2018 and July 20, 2018, the Company issued the remaining shares not issued under the December private placement.

Warrants

The following table summarizes information about shares issuable under warrants outstanding at June 30, 2018:

	Warrant shares outstanding			Weighted average exercise price		Weighted average remaining life		Intrinsic value
Outstanding at January 1, 2018		13,720,742		$	1.49
Issued		-
Additional warrants issued for trigger of anti-dilution protection		1,000,000		$	0.40
Exercised		(5,179,947	)	$	0.93
Expired or cancelled		(100,000	)	$	3.75
Outstanding at June 30, 2018		9,440,795		$	0.79		2.92	$	1,352
Exercisable at June 30, 2018		9,440,795		$	0.79		2.92	$	1,352

During the six months ended June 30, 2018, the Company changed the exercise terms of certain of its warrants to allow for and induce a cashless exercise. During the six months ended June 30, 2018, the Company recorded $139 in warrant modification expense due to the modifications.

Deemed dividend

On March 15, 2018, an anti-dilution protection feature in certain of the Company’s warrants was triggered, causing a decrease in the exercise price of those warrants from $4.50 to $0.40. In accordance with ASC 260-10-25, the Company has recorded a deemed dividend equal to the change in fair value of the warrants due to the decrease in exercise price in the amount of $2,514.