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SUBSEQUENT EVENTS
9 Months Ended
Dec. 31, 2022
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS

13. SUBSEQUENT EVENTS

 

The Company’s management has evaluated subsequent events up to February 14, 2023, the date the condensed consolidated financial statements were issued, pursuant to the requirements of ASC 855, and has determined the following material subsequent events: 

 

On January 23, 2023, the Company issued a new convertible note to an individual in the amount of $2,000,000 (“principal amount”). This note bears interest with a fixed rate of 10% for its entire 18-month term, paid in advance through the issuance of common stock. On January 23, the company issued 270,270 shares to this individual in payment of this interest, using a share price of $0.74 per share, which is a strike price equal to the lowest Company stock price on the note issuance date. The note maybe repaid in cash, or via conversion of note principal, subject to mutual consent of the Company and the note holder, at 15% discount to the stock’s VWAP on the conversion date. In addition, the note holder has the option to convert, after a qualified financing through the earlier of the prepayment date or maturity date, all of the outstanding principal and accrued interest thereon, based upon a conversion price equal to a 20% discount to the lessor of (i) the actual price per new round of stock based on qualified financing, (ii) if there be no qualified financing as of the maturity date, by mutual consent and election of the Company and the note holder, at 15% discount to average VWAP for ten consecutive trading days immediately prior to the maturity date.