Stockholder’s deficit

3 Months Ended

Mar. 31, 2023

Equity [Abstract]

Stockholder’s deficit

14. Stockholder’s deficit

a) Common shares

Authorized and outstanding 

The Company has authorized 10,000,000,000 shares with a par value of $0.01 per share. The company has issued 3,729,053,805 shares of common stock at March 31, 2023 and December 31, 2022.

b) Series A Preferred shares

Authorized, issued and outstanding 

The Company has authorized 10,000,000 Series A preferred shares with a par value of $0.01 per share. The company has issued and outstanding 4,000,000 Series A Preferred shares at March 31, 2023 and December 31, 2022.

c) Series B Preferred shares

Authorized and outstanding 

The Company has authorized 400,000 Series B preferred shares with a par value of $1.00 per share. The company has issued and outstanding 400,000 Series B Preferred shares at March 31, 2023 and December 31, 2022.

The Series B preferred shares are senior secured and were mandatorily redeemable by the Company on July 1, 2021, and were originally classified as mezzanine debt. These Series B preferred shares have been reclassified as current liabilities for the three months ended March 31, 2023 as they meet the definition of liabilities in terms of ASC 480- debt and are no longer contingently convertible, due to the fact that the redemption date has passed and the Company is currently negotiating with the preferred note holders to settle the total liabilities owing to them, including certain convertible notes. The Company continues to accrue dividends at the rate of 6% per annum.

d) Stock options

Our board of directors adopted the Greenstone Healthcare Corporation 2013 Stock Option Plan (the “Plan”) to promote our long-term growth and profitability by (i) providing our key directors, officers and employees with incentives to improve stockholder value and contribute to our growth and financial success and (ii) enable us to attract, retain and reward the best available persons for positions of substantial responsibility. A total of 10,000,000 shares of our common stock have been reserved for issuance upon exercise of options granted pursuant to the Plan. The Plan allows us to grant options to our employees, officers and directors and those of our subsidiaries; provided that only our employees and those of our subsidiaries may receive incentive stock options under the Plan. We have no issued options at March 31, 2023 under the Plan.

e) Warrants

All of the warrants have cashless exercise terms whereby in-the-money warrants may be exercised by reducing the number of shares issued in terms of the warrant exercise to offset the proceeds due on the exercise.

All of the warrants have price protection features whereby any securities issued subsequent to the date of the warrant issuance date, were issued at a lower price, or have conversion features that are lower than the current exercise price, or were converted at a lower price, or are exercisable at a lower price, to the current warrant exercise price, will result in the exercise price of the warrant being set to the lower issue, conversion or exercise price.

A summary of the Company’s warrant activity during the period from January 1, 2022 to March 31, 2023 is as follows:

	No. of shares			Exercise price per share		Weighted average exercise price
Outstanding as of January 1, 2022		623,777,506			$0.000675 to $0.12	$	0.0052875
Granted		—			—		—
Forfeited/cancelled		(20,925,000	)		$0.12		0.12
Exercised		—			—		—
Outstanding as of December 31, 2022		602,852,506			$0.000675 to $0.00205	$	0.001306
Granted		—			—		—
Forfeited/cancelled		—			—		—
Exercised		—			—		—
Outstanding as of March 31, 2023		602,852,506			$0.000675 to $0.00205	$	0.001306

The following table summarizes information about warrants outstanding at March 31, 2023:

	Warrants outstanding						Warrants exercisable
Exercise price	No. of shares		Weighted average remaining years		Weighted average exercise price		No. of shares		Weighted average exercise price
$0.000675		326,286,847		2.28				326,286,847
$0.002050		276,565,659		2.77				276,565,659
		602,852,506		2.51	$	0.001306		602,852,506	$	0.001306

All of the warrants outstanding at March 31, 2023 are vested. The warrants outstanding at March 31, 2023 have an intrinsic value of $0.