Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Note 11 - Derivative Warrant Liabilities

v3.8.0.1
Note 11 - Derivative Warrant Liabilities
12 Months Ended
Mar. 31, 2018
Statement Line Items [Line Items]  
Disclosure of derivative financial instruments [text block]
11.
Derivative warrant liabilities:
 
Warrants issued as part of a public offering of units composed of class A share (Common Share) and Common Share purchase warrants on both
December 27, 2017
and
December 3, 2013
are derivative liabilities (“Derivative warrant liabilities”) given the currency of the exercise price is different from the Corporation’s functional currency.
 
The derivative warrant liabilities are measured at fair value at each reporting period and the reconciliation of changes in fair value is presented in the following tables:
 
Warrant liabilities issued December 27, 2017
             
Thirteen-month period
     
Month ended
     
Twelve-month period
 
     
March 31, 2018
     
Ended, March 31, 2017
     
March 31, 2017

(Unaudited)
     
ended February 28, 2017

(Unaudited)
 
     
$
     
$
     
$
     
$
 
                                 
Balance – beginning of period    
-
     
-
     
-
     
-
 
Issued during period (note 13b)    
5,873
     
-
     
-
     
-
 
Change in fair value of derivative warrant liabilities    
532
     
-
     
-
     
-
 
Balance – end of period    
6,405
     
-
     
-
     
-
 
 
Warrant liabilities issued December 3, 2013
1
             
Thirteen-month period
     
Month ended
     
Twelve-month period
 
     
March 31, 2018
     
ended, March 31, 2017
     
March 31, 2017

(Unaudited)
     
ended February 28, 2017

(Unaudited)
 
     
$
     
$
     
$
     
$
 
                                 
Balance – beginning of period    
209
     
156
     
187
     
156
 
Change in fair value of derivative warrant liabilities    
(188
)    
53
     
22
     
31
 
Balance – end of period    
21
     
209
     
209
     
187
 
(
1
)
In order to obtain
one
Common Share,
10
warrants must be exercised.
 
The fair value of the derivative warrant liabilities was estimated using the Black-Scholes option pricing model and based on the following assumptions:
 
Warrant liabilities issued December 27, 2017            
     
March 31, 2018
     
March 31, 2017
      February 28, 2017
(Unaudited)
 
                         
Exercise price    
US $1.26
     
     
 
Share price    
US $1.02
     
     
 
Dividend    
     
     
 
Risk-free interest    
2.56
%    
     
 
Estimated life (in years)    
4.75
     
     
 
Expected volatility    
95.16
%    
     
 
 
The fair value of the warrants issued was determined to be
$0.65
per share issuable (
nil
as at
March 31, 2017
and
February 28, 2017).
 
Warrant liabilities issued December 3, 2013
1
           
     
March 31, 2018
     
March 31, 2017
      February 28, 2017
(Unaudited)
 
                         
Exercise price    
US $1.50
     
US $1.50
     
US $1.50
 
Share price
(1)
   
US $1.02
     
US $1.36
     
US $1.25
 
Dividend    
     
     
 
Risk-free interest    
2.19
%    
1.22
%    
1.24
%
Estimated life (in years)    
0.68
     
1.68
     
1.76
 
Expected volatility    
133.86
%    
108.35
%    
107.36
%
(
1
)
In order to obtain
one
Common Share,
10
warrants must be exercised.
 
The fair value of the warrants issued was determined to be
$0.01
(
$0.11
per share issuable as at
March 31, 2017
and
$0.10
(unaudited) per share issuable as at
February 28, 2017).