Annual report pursuant to Section 13 and 15(d)

CAPITAL STOCK

v3.22.0.1
CAPITAL STOCK
 12 Months Ended
Oct. 31, 2021
Equity [Abstract]  
CAPITAL STOCK

NOTE 6 – CAPITAL STOCK

 

Common Stock

 

On June 9, 2020, the Company issued 30,000 shares of common stock to consultants for services rendered. These shares had an aggregate fair value of $169,500.

 

During the fiscal year ended October 31, 2020, the Company granted options to purchase an aggregate of 564,000 shares of common stock pursuant to the terms of the 2017 Stock Incentive Plan (“2017 Plan”) to various eligible individuals. As a result, as of October 31, 2020, there were 352,612 shares available under the Plan.

 

During the fiscal year ended October 31, 2021, the Company issued 80,314 shares of common stock for the exercise of 169,332 Options which were issued under the Company’s 2017 Plan.

 

On July 20, 2021, the Company issued 25,000 shares of common stock to consultants for services rendered. These shares had a fair value of $220,750.

 

During the fiscal year ended October 31, 2021, the Company granted under its 2017 Plan restricted stock awards to purchase an aggregate of 127,500 shares of common stock pursuant to the terms of the Plan to various eligible individuals. As a result, as of October 31, 2021, there were 238,612 shares available under the 2017 Plan. There were forfeitures of 8,000 and 3,000 options during the years ended October 31, 2021 and 2020, respectively.

 

The following table presents stock option activity for the years ended October 31, 2021 and 2020.

 

The intrinsic value of the outstanding options as of October 31, 2021 was $1,446,835 and $491,280 for October 31, 2020.

 

Stock Options
    Total     Weighted Average Exercise Price     Exercisable     Weighted Average Exercise Price     Non-Vested     Weighted Average Exercise Price  
                                     
Outstanding at October 31, 2019     -     $ -       -     $ -       -     $ -  
Granted     564,000       4.65       -       -       564,000       4.65  
Vested     -       -       -       -       -       -  
Exercises     -       -       -       -       -       -  
Forfeited or cancelled     (3,000 )     4.65       -       -       (3,000 )     4.65  
                                                 
Outstanding at October 31, 2020     561,000       4.65       -     -       561,000       4.65  
                                                 
Granted     -               -       -       -          
Vested     -       4.65       185,667     4.65       (185,667 )     4.65  
Exercises     (169,332 )     4.65       (169,332 )   4.65       -       4.65  
Forfeited or cancelled     (8,000 )     4.65       -       -       (8,000 )     4.65  
                                                 
Outstanding at October 31, 2021     383,668     $ 4.65     16,335     $ 4.65       367,333     $ 4.65  
                                                 
Aggregate Intrinsic Value                                                
October 31, 2020   $ 491,280             $ -             $ 491,280          
                                                 
Aggregate Intrinsic Value                                                
October 31, 2021   $ 1,446,835             $ 61,746             $ 1,385,089          

 

The total expense recognized by the Company relating to stock options during the years ended October 31, 2021 and 2020, respectively, was $482,595 and $441,280. Unamortized compensation expense in future years is $311,228.

 

Restricted Stock Awards
    Total     Weighted Average Exercise Price     Exercisable     Weighted Average Exercise Price     Non-Vested     Weighted Average Exercise Price  
                                     
Outstanding at October 31, 2020     -     $      $  -     $ -      $ -     $ -  
                                                 
Granted     127,500       8.80       -     $ -       127,500     $ 8.80  
Vested     -       8.80             $ -       -     $ -  
Exercises     -       8.80             $ -       -     $ -  
Forfeited or cancelled     (5,500 )     8.80       -       -       (5,500 )   $ 8.80  
                                                 
Outstanding at October 31, 2021     122,000     $ 8.80       -       -       122,000     $ 8.80  

 

The total expense recognized by the Company relating to restricted stock awards during the year ended October 31, 2021 was $347,476. The expense in future years is $726,124.

 

All Stock Options and grants have been issued pursuant to the 2017 Plan.

 

Total stock compensation expense from issued shares, stock options and restricted stock awards is $1,050,821.

 

Preferred Stock

 

Series A and Series C Preferred Stock

 

The Company is authorized to issue 5,000,000 shares of preferred stock with a par value of $0.001 per share. We had previously designated 50,000 preferred shares as Series A preferred stock and 50,000 preferred shares as Series C preferred stock. Both series have since been eliminated and as of October 31, 2021 there were no shares Preferred Stock issued or outstanding.

 

 

CODA OCTOPUS GROUP, INC.

Notes to the Consolidated Financial Statements

October 31, 2021 and 2020