Quarterly report pursuant to Section 13 or 15(d)

Warrant Liability

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Warrant Liability
 9 Months Ended
Sep. 30, 2022
Warrant Liability  
Warrant Liability

Note 10. Warrant Liability

 

The Warrants were accounted for as liabilities in accordance with ASC 815-40 and are presented as a Warrant liability in the accompanying consolidated balance sheet. The warrant liabilities are measured at fair value at inception and on a recurring basis, with changes in fair value presented within the consolidated statement of operations and comprehensive loss. (See Notes 7 and 8)

 

The Warrant liability at September 30, 2022 was as follows:

 

         
Note Warrants   $ 82,352  
Trading and Overallotment Warrants     3,018,750  
Total   $ 3,101,102  

 

The following table presents the changes in the Warrant liability of the Level 1 warrants issued on April 14, 2022, the effective date of the IPO measured at fair value:

 

    Total  
       
FMV of Note Warrants, at issuance   $ 157,647  
         
FMV of Trading and Overallotment Warrants, at issuance     5,778,750  
         
Change in fair value of warrant liability, issuance through September 30, 2022     (2,835,295 )
         
Fair Value at September 30, 2022   $ 3,101,102  

 

 

SHARPS TECHNOLOGY, INC.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2022 AND 2021

(Unaudited)