NOTES PAYABLE (Tables)
|
6 Months Ended |
Jun. 30, 2018 |
|---|
| Notes Payable |
|
| Notes payable |
| |
|
June
30, |
|
|
December
31, |
|
| |
|
2018 |
|
|
2017 |
|
| Senior
convertible promissory note dated August 21, 2017, issued to accredited investors, which matures February 21, 2019 and bears
interest at a rate of 12% per annum. The conversion price is $4.50, subject to adjustment. The balance of the note and accrued
interest was converted into common stock in January 2018. |
|
$ |
- |
|
|
$ |
640,010 |
|
| Senior
convertible promissory note dated December 26, 2017, issued to accredited investors, which matures June 26, 2019 and bears
interest at a rate of 12% per annum. The conversion price is $4.50, subject to adjustment. The balance of the note and
accrued interest was converted into common stock in January 2018. |
|
|
- |
|
|
|
1,469,388 |
|
| Promissory
note dated November 22, 2017, issued for the purchase of real property. Matures December 1, 2020, with an option to
extend the maturity date 1 year. The promissory note bears interest at 12.0% for year one and escalates 0.5% per year
thereafter up to 13.5%. |
|
|
4,500,000 |
|
|
|
4,500,000 |
|
| Promissory
note dated January 18, 2018, issued for the purchase of real property. The promissory note is collateralized by the
land and building purchased and matures February 1, 2021, with an option to extend the maturity date 1 year. The promissory
note bears interest at 12.0% for year one and escalates 0.5% per year thereafter up to 13.0%. The full principle balance
and accrued interest are due at maturity. |
|
|
6,189,144 |
|
|
|
- |
|
| Senior
convertible promissory note dated June 7, 2018, issued to accredited investors under the 2018 Master Securities Purchase and
Convertible Promissory Notes Agreement, which matures December 7, 2019 and bears interest at a rate of 7.5% per annum. The
conversion price is $4.50, subject to adjustment. |
|
|
2,122,259 |
|
|
|
- |
|
| |
|
|
|
|
|
|
|
|
| Long-Term
Debt, Net of Discounts |
|
$ |
12,811,403 |
|
|
$ |
6,609,398 |
|
|
| Scheduled Maturities of Long-Term Debt |
| |
|
|
|
|
Year
Ending December 31, |
|
| |
|
Six
Months Ending December 2018 |
|
|
2019 |
|
|
2020 |
|
|
2021 |
|
|
2022 |
|
|
2023
and thereafter |
|
|
Total |
|
| Total
Debt |
|
$ |
- |
|
|
$ |
2,122,259 |
|
|
$ |
4,500,000 |
|
|
$ |
6,189,144 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
12,811,403 |
|
|
| Conversion of the notes payable |
| |
|
Three
Months Ended June 30, |
|
|
Six
Months Ended June 30, |
|
| |
|
2018 |
|
|
2017 |
|
|
2018 |
|
|
2017 |
|
| Fair
market value of common stock issued upon conversion |
|
$ |
12,745,924 |
|
|
$ |
6,717,694 |
|
|
$ |
29,926,761 |
|
|
$ |
11,732,355 |
|
| Principal
amount of debt converted |
|
|
(8,500,000 |
) |
|
|
(5,005,000 |
) |
|
|
(17,900,000 |
) |
|
|
(8,564,324 |
) |
| Accrued
interest converted |
|
|
(108,667 |
) |
|
|
(145,121 |
) |
|
|
(193,279 |
) |
|
|
(274,760 |
) |
| Fair
value of derivative at conversion date |
|
|
(6,141,000 |
) |
|
|
(2,901,400 |
) |
|
|
(15,572,000 |
) |
|
|
(5,672,050 |
) |
| Debt
discount value at conversion date |
|
|
5,131,220 |
|
|
|
2,972,964 |
|
|
|
11,597,241 |
|
|
|
5,457,374 |
|
| Loss
on extinguishment of debt |
|
$ |
3,127,477 |
|
|
$ |
1,639,137 |
|
|
$ |
7,858,723 |
|
|
$ |
2,678,595 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Common
Stock Issued Upon Conversion |
|
|
4,170,219 |
|
|
|
2,295,292 |
|
|
|
7,303,244 |
|
|
|
4,100,698 |
|
|