SEC Info - Appiphany Technologies Holdings Corp

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Dated January 23, 2020

FORM i 10-K

i ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Fiscal Year Ended i April 30, 2019

i APPIPHANY TECHNOLOGIES HOLDINGS CORP.

(Exact name of registrant as specified in its charter)


i Nevada	i 000-54524	i 30-0678378
(State or other jurisdiction	(Commission File Number)	(IRS Employer
of Incorporation)		Identification Number)
	i 6160 Warren Pkwy, Suite 100 i Frisco i Texas i 75034
	(Address of principal executive offices) ( i 972) i 217- i 4080
	(Registrant's Telephone Number)

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes [ ] i No [X]

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes [ ] i No [X]

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days.

Yes [ ] i No [X]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required

to submit and post such files). Yes [ ] i No [ X ]

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of registrant's knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. i ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of "large accelerated filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.

Large Accelerated Filer i ☐ Accelerated Filer [ ]

i Non-accelerated Filer [X] Smaller Reporting Company i ☒

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes i ☐ No [X]

The aggregate market value of the voting and non-voting common equity held by non-affiliates of the registrant as of October 31, 2018 was $ i 85,701 based upon the price ($0.0008) at which the common stock was last sold as of the last business day of the most recently completed fiscal quarter, multiplied by the approximate number of shares of common stock held by persons other than executive officers, directors and five percent stockholders of the registrant without conceding that any such person is an "affiliate" of the registrant for purposes of the federal securities laws.

As of January 20, 2020, there were i 174,767,725 shares of the registrant's $0.001 par value common stock issued and outstanding.

Documents incorporated by reference: None

Table of Contents

ITEM 1. BUSINESS5

ITEM 1A. RISK FACTORS7

ITEM 1B. UNRESOLVED STAFF COMMENTS7

ITEM 2. PROPERTIES7

ITEM 3. LEGAL PROCEEDINGS8

ITEM 4. MINE SAFETY DISCLOSURES8

ITEM 5. MARKET FOR THE COMPANY'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES8

ITEM 6. SELECTED FINANCIAL DATA9

ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION10

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK13

ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA14

ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.16

ITEM 9A. CONTROLS AND PROCEDURES.16

ITEM 9B. OTHER INFORMATION.17

ITEM 10. DIRECTORS AND EXECUTIVE OFFICERS.18

ITEM 11. EXECUTIVE COMPENSATION21

ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS.22

ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE.23

ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES.24

ITEM 15. EXHIBITS.25

FORWARD-LOOKING STATEMENTS

•The availability and adequacy of our cash flow to meet our requirements;

•Economic, competitive, demographic, business and other conditions in our local and regional markets;

•Changes or developments in laws, regulations or taxes in our industry;

•Actions taken or omitted to be taken by third parties including our competitors, as well as legislative, regulatory, judicial and other governmental authorities;

•Competition in our industry;

•The loss of or failure to obtain any license or permit necessary or desirable in the operation of our business;

•Changes in our business strategy, capital improvements or development plans;

•The availability of additional capital to support capital improvements and development; and

•Other risks identified in this report and in our other filings with the Securities and Exchange Commission or the SEC.

This report should be read completely and with the understanding that actual future results may be materially different from what we expect. The forward-looking statements included in this report are made as of the date of this report and should be evaluated with consideration of any changes occurring after the date of this Report. We will not update forward-looking statements even though our situation may change in the future and we assume no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

Use of Term

Except as otherwise indicated by the context, references in this report to "Company", "we", "us" and "our" are references to Appiphany Technologies Holdings Corp. All references to "USD" or United States Dollars refer to the legal currency of the United States of America.

PART I

ITEM 1. BUSINESS

Corporate History

We were incorporated in the State of Nevada on February 24, 2010, under the name Appiphany Technologies Holdings Corp. On May 1, 2010, we entered into a Share Exchange Agreement (the "SEA") with Appiphany Technologies Corp. ("ATC"), a company incorporated in British Columbia, Canada in June 2009, pursuant to which we acquired all of the issued and outstanding shares of ATC in exchange for 15,000 shares of the Company's common stock. On January 14, 2016, we acquired certain assets and accounts from Media Convergence Group, LLC in exchange for 200,000 shares of the Company's common stock.

Our Business

ATC commenced operations as a diversified technology company in June of 2009. The business model later refocused to a global brand protection company. This business model encompassed all areas of protecting "Intellectual Property" of global brand owners through Risk Management, Technology Innovation and Strategic Supply Chain Strategies and focuses on the management and delivery of cost-effective, collaborative and creative strategies to protect the assets of global brands. The Company’s model seeks to improve client ROI through protection of markets, prevention of brand erosion and lost sales resulting in enhanced returns to the bottom line. Specifically, our core focus is online brand protection or internet monitoring. Our web-based platform allows us and our clients to search, identify and take action against illicit, counterfeit, and diverted sales of products purporting to be their product online. This ability to monitor dozens of auction sites worldwide and do product queries in real time is a very significant competitive advantage in the online brand protection market. Our other offerings include Risk Management Services, Custom App Software Development (Serialization / T & T) and Print Technology services (Forensics, labels and hangtags).

Our Clientele

Our current clientele is highly focused on the luxury goods industry as well as the footwear and apparel market. We have a background in the sport apparel market in North America and have created vertical-specific referral partners to expand this market rapidly. As well immediate plans are to focus on the health and beauty (cosmetics) industry, and electronics and imaging supplies companies.

The Global Landscape in Counterfeiting and Piracy

Counterfeit, diverted, and gray-market products are flooding the marketplace due to globalization, brand promotion and the increased use of product licensing. It is estimated to be 1.7 Trillion Dollars in cross-border trade according to the International Anti-Counterfeiting Coalition. This is the case with virtually any high-demand and highly-recognized product that is distributed beyond its primary market without a unified, global pricing structure.

Product diversion not only affects profitability in primary markets based on pricing, but it also erodes brand identity and value. When luxury goods turn up at unauthorized discounters or flea markets, and pharmaceuticals are being offered through the Internet, the perception of the value of the product is diminished in the consumers' eyes.

Global organizations in specific industries specialize in diverting products from emerging markets to primary markets. These "brokers" employ various means to obtain product including front companies, corruption or

deception of internal sales staff and legitimate customers, and even theft. Since criminal remedies do not typically apply to diversion cases, it is critical to identify the "originating source" of products and shut them down. This usually involves complex investigative techniques designed to identify the wrongdoers by working both internally and externally in the client's operations, examining potential sources such as manufacturers, licensees, sales staff and accounts

Market Opportunity

We have created a business model that assembles companies that has a proven track record (performance, longevity and revenues) in their specific silo or portfolio. We have a well-designed integrated platform. It will maximize revenues in each separate portfolio and create several new high-income streams that are only possible with globally positioned, full service Brand Management portfolio integration. The opportunity for an immediate and significant market share of this Brand Management/Brand Protection (BM/BP) sector is viable and highly profitable.

Risk Management

This portfolio will be a crucial Portfolio to bring most elements of Risk Management and Brand Protection together to positively impact the collateral revenue opportunities. This critical pillar will be able to expand its product offerings and client base by delivering specialty niche services that complex international companies demand. This includes brand protection programs, Cyber Intelligence and due diligence in emerging markets. It will also offer unique approaches such as deployment of undercover operatives in corporate or industrial facilities or on the street, anywhere in the world, to acquire information not available by conventional means. We will employ industry "best practices", that are in use today and in development for tomorrow. We will have a complete line of consulting services, including on site security surveys, internal and external theft-prevention programs, threat analysis and protection of proprietary property.

Custom App Software Development

(Serialization / T & T)

Being the supplier to a company's supply chain allows us to create cradle to grave solutions, child to parent packaging controls and deal with Operations, Analytics, Finance and Marketing. This is critical to create major "prospect entry point" opportunities for supply chain product penetration. With a unique scalable product line, we will have the ability to react quickly to client needs and maximize available revenues.

Print Tech Services – Forensics, Labels & Hangtags

Our proprietary forensic products under Trade Secret, makes use of emerging technology to create and detect specific detailed signatures invisible to the eye. This is our "Digital Forensic Marker™" for "tagging" product. Tagging typically occurs by incorporating particles containing a "signature" into a target substrate or product. The process for doing this will vary from material to material. Location, detection, and signature match times can all be tailored to fit the application. We offer a unique and varied blend of forensic code applications to fit our clients‟ needs for encoding and detecting.

Advertising and Marketing

Our marketing strategy will begin with word of mouth, which will always be our most important means of promotion. We will rely on the quality of our products and services that we have completed for our existing customers to create positive customer feedback, which could resonate to potential clients. If we generate sufficient revenues, we intend to implement an advertising and marketing campaign to increase awareness of the Company

and to acquire new customers through multiple channels, including traditional and online advertising. We believe that the use of multiple marketing channels reduces reliance on any one source of customers, maximizes brand awareness and promotes customer acquisition.

Plan of Operations

To date, the Company has begun implementing its business plan and is attempting to secure additional funding to continue expansion of our services and products. The Company has not had any significant revenues generated from its business operations since inception. Until the Company is able to generate any consistent and significant revenue, it may be required to raise additional funds by way of equity or debt financing.

Government Regulation

Our operations are subject to government regulation in many areas, including user privacy, telecommunications, and data protection. The application of these laws and regulations to our business is often unclear and sometimes may conflict. It may take years to determine whether and how existing laws such as those governing intellectual property, privacy, advertising, etc. will apply. Nonetheless, laws and regulations directly applicable to communications and intellectual property are becoming more prevalent. Due to the increasing popularity and use of communications technology, it is possible that laws and regulations may be adopted covering issues such as user privacy, content, and much more. Compliance with these regulations may involve significant costs or require changes in business practices that could result in reduced revenue. Noncompliance could result in penalties being imposed on us or orders that we stop the alleged noncompliant activity. At this time, however, we do not believe that compliance with these rules and regulations will have a material impact upon our business.

WHERE YOU CAN GET ADDITIONAL INFORMATION

We file annual, quarterly and current reports, proxy statements and other information with the SEC. You may read and copy our reports or other filings made with the SEC at the SEC's Public Reference Room, located at 100 F Street, N.E., Washington, DC 20549. You can obtain information on the operations of the Public Reference Room by calling the SEC at 1-800-SEC-0330. You can also access these reports and other filings electronically on the SEC's web site, www.sec.gov.

ITEM 1A. RISK FACTORS

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.

ITEM 1B. UNRESOLVED STAFF COMMENTS

None.

ITEM 2. PROPERTIES

Our offices are currently located at 6160 Warren Pkwy, Suite 100, Frisco, Texas 75043, and our telephone number is (972) 217-4080. We do not foresee any significant difficulties in obtaining any required additional space. We currently do not own any real property.

ITEM 3. LEGAL PROCEEDINGS

We know of no material, existing or pending legal proceedings against our company, nor are we involved as a plaintiff in any material proceeding or pending litigation. There are no proceedings in which our director, officer or any affiliates, or any registered or beneficial shareholder, is an adverse party or has a material interest adverse to our interest.

ITEM 4. MINE SAFETY DISCLOSURES

Not applicable.

PART II

ITEM 5. MARKET FOR THE COMPANY'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES

Common Stock

Our common stock is currently quoted on the OTC Markets. Our common stock has been quoted on the OTC Markets since October 20, 2011 under the symbol "APHD". Because we are quoted on the OTC Markets, our securities may be less liquid, receive less coverage by security analysts and news media and generate lower prices than might otherwise be obtained if they were listed on a national securities exchange.

We began trading on the OTC Markets in December 2012. The following table sets forth the high and low prices for our common stock per quarter as reported by the OTC Markets based on our fiscal year end April 30, 2019 and 2018. These prices represent quotations between dealers without adjustment for retail mark-up, markdown or commission and may not represent actual transactions.

Fiscal Year 2019	High		Low
First Quarter (May 1, 2018 – Jul. 31, 2018)		0.0022		0.0007
Second Quarter (Aug. 1, 2018 – Oct. 31, 2018)		0.0016		0.0007
Third Quarter (Nov. 1, 2018 – Jan. 31, 2019)		0.0015		0.0008
Fourth Quarter (Feb. 1, 2019 – Apr. 30, 2019)		0.0011		0.0007

Fiscal Year 2018	High		Low
First Quarter (May 1, 2017 – Jul. 31, 2017)		0.62		0.05
Second Quarter (Aug. 1, 2017 – Oct. 31, 2017)		0.38		0.03
Third Quarter (Nov. 1, 2017 – Jan. 31, 2018)		0.05		0.0099
Fourth Quarter (Feb. 1, 2018 – Apr. 30, 2018)		0.0121		0.0012

Record Holders

As of April 30, 2019, 107,425,498 shares of our common stock were issued and outstanding and were owned by approximately 41 holders of record, based on information provided by our transfer agent.

Recent Sales of Unregistered Securities

During the year ended April 30, 2019, the Company issued an aggregate of 44,559,139 common shares with a fair value of $54,716 upon the conversion of $14,765 of convertible debentures, $4,130 of accrued interest, $2,500 in conversion fees, and $42,320 of derivative liabilities resulting in a gain on settlement of debt of $8,977.

Re-Purchase of Equity Securities

None.

Dividends

We have not paid any cash dividends on our common stock since inception and presently anticipate that all earnings, if any, will be retained for development of our business and that no dividends on our common stock will be declared in the foreseeable future. Any future dividends will be subject to the discretion of our Board of Directors and will depend upon, among other things, future earnings, operating and financial conditions, capital requirements, general business conditions and other pertinent facts. Therefore, there can be no assurance that any dividends on our common stock will be paid in the future.

ITEM 6. SELECTED FINANCIAL DATA

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and

are not required to provide the information under this item.

ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

This Annual Report on Form 10-K contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act") and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). These forward-looking statements are not historical facts but rather are based on current expectations, estimates and projections. We may use words such as "anticipate," "expect," "intend," "plan," "believe," "foresee," "estimate" and variations of these words and similar expressions to identify forward-looking statements. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and other factors, some of which are beyond our control, are difficult to predict and could cause actual results to differ materially from those expressed or forecasted. You should read this report completely and with the understanding that actual future results may be materially different from what we expect. The forward-looking statements included in this report are made as of the date of this report and should be evaluated with consideration of any changes occurring after the date of this Report. We will not update forward-looking statements even though our situation may change in the future and we assume no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

RESULTS OF OPERATIONS

Working Capital

	April 30, 2019 $		April 30, 2018 $
Current Assets		23,752		23,799
Current Liabilities		2,030,459		1,548,135
Working Capital (Deficit)		(2,006,707)		(1,524,336)

Cash Flows

	April 30, 2019 $		April 30, 2018 $
Cash Flows used in Operating Activities		(16,377)		(225,025)
Cash Flows used in Investing Activities		-		-
Cash Flows from Financing Activities		30,000		218,000
Net increase (decrease) in Cash During Period		13,623		(7,025)

Operating Revenues

During the years ended April 30, 2019 and 2018, the Company recorded revenues of $0 and $41,850, respectively. This decrease was due to the unavailability of our prior product offering and the anticipated shift to a new industry.

Operating Expenses and Net Loss

During the year ended April 30, 2019, the Company recorded operating expenses of $37,081 compared with $469,327 for the year ended April 30, 2018. The decrease in operating expenses of $432,246 reflected a decrease in the payment of consulting fees of $202,314, a decrease in general and administrative expenses of $74,005, a decrease in management fees of $56,337 and a decrease in professional fees of $99,590. . The decreases in operating expenses corresponded with the unavailability of prior product offerings and the anticipated shift to a new industry focus.

Net loss for the year ended April 30, 2019 was $537,087 as compared with $1,495,002 during the year ended April 30, 2018. In addition to the decrease in operating expenses, the Company recorded a $158,657 loss on the change in fair value of derivative liability, $350,326 in interest, and a gain on settlement of debt of $8,977. During the year ended April 30, 2018, the Company recorded a $601,635 loss on the change in fair value of derivative liability, $299,325 of interest and debt discount accretion expense, and $143,244 loss on settlement of debt. The decrease in the net loss during the current year was due largely to a decrease in operating expenses and to

a smaller loss with regards to the change in the fair value of the derivative liability of $158,657.

For the year ended April 30, 2019, the Company recorded a loss per share of $0.01 as compared with a loss per share of $0.10 per share for the year ended April 30, 2018.

Liquidity and Capital Resources

As of April 30, 2019, the Company's total asset balance was, $23,752, compared to $23,799 for the year ended April 30, 2018. The decrease in total assets was due to a decrease in accounts receivables in the amount of $5,051, a decrease in the amount prepaid expense of $8,619 and was offset by an increase in cash of $13,623.

As of April 30, 2019, the Company had total liabilities of $2,030,459 compared with total liabilities of $1,548,135 as at April 30, 2018. The increase in total liabilities was due to an increase in convertible debt in the amount of $269,485, an increase in derivative liability of $152,337 and an increase in accounts payable and accrued liabilities of $60,502 as the Company had limited cash flows for day-to-day expenditures.

As of April 30, 2019, the Company had a working capital deficit of $2,006,707 compared with $1,524,336 as of April 30, 2018. The increase in working capital deficit was due to an increase in the derivative liability of $152,337 and convertible debenture of $269,485.

Cash Flows from Operating Activities

During the year ended April 30, 2019, the Company used $16,377 of cash for operating activities compared with $225,025 of cash for operating activities during the year ended April 30, 2018. The decrease in cash used for operating activities was due to a decrease in the loss on change in fair value of derivative liability, default and conversion fees, original issue discount and prepaid expenses offset by and increase in interested and penalties accrued on convertible debt.

Cash Flows from Investing Activities

During the years ended April 30, 2019 and 2018, the Company did not have any investing activities.

Cash Flows from Financing Activities

During the year ended April 30, 2019, the Company received $30,000 of cash from financing activities from issuance of convertible debentures compared to $218,000 received during the year ended April 30, 2018.

Going Concern

We have not attained profitable operations and are dependent upon obtaining financing to pursue any extensive acquisitions and activities. At April 30, 2019, the Company has not recognized significant revenue, has a working capital deficit of $2,006,707, and has an accumulated deficit of $5,946,338. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern The audited financial statements included in this Form 10-K does not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

Off-Balance Sheet Arrangements

We have not attained profitable operations and are dependent upon obtaining financing to pursue any extensive acquisitions and activities. As at April 30, 2019, the Company has not recognized significant revenue, has a working capital deficit of $2,006,707, and has an accumulated deficit of $5,946,338. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern The audited financial statements included in this Form 10-K does not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

Future Financings

We will continue to rely on equity sales of our common shares in order to continue to fund our business operations. Issuances of additional shares will result in dilution to existing stockholders. There is no assurance that we will achieve any additional sales of the equity securities or arrange for debt or other financing to fund planned acquisitions and exploration activities.

Critical Accounting Policies

Our financial statements and accompanying notes have been prepared in accordance with United States generally accepted accounting principles applied on a consistent basis. The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods.

We regularly evaluate the accounting policies and estimates that we use to prepare our financial statements. A complete summary of these policies is included in the notes to our financial statements. In general, management's estimates are based on historical experience, on information from third party professionals, and on various other assumptions that are believed to be reasonable under the facts and circumstances. Actual results could differ from those estimates made by management.

Recently Issued Accounting Pronouncements

The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

Contractual Obligations

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.

ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Consolidated Financial Statements

For the Years Ended April 30, 2019 and 2018

Report of Independent Registered Public Accounting Firm	F-1
Consolidated Balance Sheets	F-2
Consolidated Statements of Operations	F-3
Consolidated Statements of Stockholder's Deficit	F-4
Consolidated Statements of Cash Flows	F-5
Notes to the Consolidated Financial Statements	F-6

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of Appiphany Technologies Holdings Corp.

Opinion on the Financial Statements

We have audited the accompanying consolidated balance sheets of Appiphany Technologies Holdings Corp. (“the Company”) as of April 30, 2019 and 2018, the related consolidated statements of operations, stockholders’ deficit, and cash flows for each of the years in the two-year period ended April 30, 2019 and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Company as of April 30, 2019 and 2018, and the results of its operations and its cash flows for each of the years in the two-year period ended April 30, 2019, in conformity with accounting principles generally accepted in the United States of America.

Explanatory Paragraph Regarding Going Concern

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 1 to the financial statements, the Company has suffered recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. Management's plans in regard to these matters are also described in Note 1. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

/s/ Sadler, Gibb & Associates, LLC

We have served as the Company’s auditor since 2012.

Salt Lake City, UT

January 23, 2020

F-1

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Consolidated Balance Sheets

(Expressed in US dollars)

	April 30, 2019 $	April 30, 2018 $

ASSETS
Current Assets
Cash	i 23,752	i 10,129
Accounts receivable, net of allowance of $ i nil and $ i 7,245, respectively	i -	i 5,051
Prepaid expense	i -	i 8,619
Total Assets	i 23,752	i 23,799

LIABILITIES
Current Liabilities
Accounts payable and accrued liabilities	i 484,964	i 424,462
Convertible debenture, net of unamortized discount of $ i 36,000 and $ i 150,098, respectively	i 432,790	i 163,305
Notes payable	i 32,116	i 32,116
Derivative liability	i 1,080,589	i 928,252
Total Liabilities	i 2,030,459	i 1,548,135

STOCKHOLDERS’ DEFICIT
Preferred stock - i i 10,000,000 / authorized shares with a par value of $ i i 0.001 / per share Convertible Preferred Series A: authorized, issued and outstanding: i i i i 500,000 / / / shares	i 500	i 500
Common stock – i i 5,000,000,000 / authorized shares with a par value of $ i i 0.001 / per share issued and outstanding: i i 107,425,498 / and i i 62,866,359 / shares, respectively	i 107,425	i 62,866
Additional paid-in capital	i 3,831,706	i 3,821,549
Accumulated deficit	( i 5,946,338)	( i 5,409,251)
Total Stockholders’ Deficit	( i 2,006,707)	( i 1,524,336)
Total Liabilities and Stockholders’ Deficit	i 23,752	i 23,799

(The accompanying notes are an integral part of these consolidated financial statements)

F-2

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Consolidated Statements of Operations

(Expressed in US dollars)

	Year ended April 30,2019 $	Year ended April 30,2018 $

Revenues	i -	i 41,850
Cost of services	i -	( i 23,321)
Gross Margin	i -	i 18,529

Operating Expenses
Consulting fees	i 8,619	i 210,933
General and administrative	i 14,014	i 88,019
Management fees	i -	i 56,337
Professional fees	i 14,448	i 114,038

Total Operating Expenses	i 37,081	i 469,327

Net Operating Loss	( i 37,081)	( i 450,798)

Other Income (Expense)
Loss on change in fair value of derivative liability	( i 158,657)	( i 601,635)
Interest expense	( i 350,326)	( i 299,325)
Gain (Loss) on settlement of debt	i 8,977	( i 143,244)
Total Other Income (Expense)	( i 500,006)	( i 1,044,204)

Net loss	( i 537,087)	( i 1,495,002)
Net Loss Per Share, Basic and Diluted	( i 0.01)	( i 0.10)
Weighted Average Shares Outstanding – Basic and Diluted	i 101,812,809	i 14,711,528

(The accompanying notes are an integral part of these consolidated financial statements)

F-3

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Consolidated Statement of Stockholder’s Deficit

(Expressed in US dollars)

	Preferred Stock		Common Stock
	Shares	Par Value	Shares	Par Value	Subscriptions Receivable	Additional Paid-In Capital	Accumulated Deficit	Total
	#	$	#	$	$	$	$	$


Balance – April 30, 2017	i 500,000	i 500	i 2,738,069	i 2,730	( i 13,410)	i 2,375,144	( i 3,914,249)	( i 1,549,285)

Shares issued upon conversion of notes payable	i -	i -	i 60,128,290	i 60,136	i -	i 1,446,405	i -	i 1,506,541

Cancellation of subscriptions receivable	i -	i -	i -	i -	i 13,410	i -	i -	i 13,410

Net loss	i -	i -	i -	i -	i -	i -	( i 1,495,002)	( i 1,495,002)

Balance – April 30, 2018	i 500,000	i 500	i 62,866,359	i 62,866	i -	i 3,821,549	( i 5,409,251)	( i 1,524,336)
Shares issued upon conversion of notes payable	i -	i -	i 44,559,139	i 44,559	i -	i 10,157	i -	i 54,716
Net loss	i -	i -	i -	i -	i -	i -	( i 537,087)	( i 537,087)
Balance – April 30, 2019	i 500,000	i 500	i 107,425,498	i 107,425	i -	i 3,831,706	( i 5,946,338)	( i 2,006,707)

(The accompanying notes are an integral part of these consolidated financial statements)

F-4

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Consolidated Statements of Cash Flows

(Expressed in US dollars)

	Year ended April 30,2019 $	Year ended April 30,2018 $

Operating Activities
Net loss	( i 537,087)	( i 1,495,002)
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization of discount on convertible debt payable	i 150,098	i 188,912
Loss (gain) on change in fair value of derivative liability	i 158,657	i 601,635
Loss (gain) on settlement of debt	( i 8,977)	i 143,245
Interest and penalties accrued on convertible	i 130,819	i -
Write off of subscriptions receivable	i -	i 13,410
Default and conversion fees	i 5,833	i 25,000
Original issue discount	i 6,000	i 44,366
Changes in operating assets and liabilities:
Accounts receivable	i 5,051	- i 3,278
Prepaid expense	i 8,619	i 29,845
Accounts payable and accrued liabilities	i 64,610	i 226,842

Net Cash Used In Operating Activities	( i 16,377)	( i 225,025)
Financing Activities
Proceeds from convertible debenture	i 30,000	i 218,000

Net Cash Provided by Financing Activities	i 30,000	i 218,000
Increase (Decrease) in Cash	i 13,623	- i 7,025
Cash – Beginning of Period	i 10,129	i 17,154
Cash – End of Period	i 23,752	i 10,129

Supplemental Disclosures
Interest paid	i -	i -
Income tax paid	i -	i -

Non-cash investing and financing activities
Common stock issued for conversion of convertible debentures	i 54,716	i 1,350,382

(The accompanying notes are an integral part of these consolidated financial statements)

F-5

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

1.Nature of Operations and Continuance of Business

Appiphany Technologies Holdings Corp. (“The Company”) was incorporated in the State of Nevada on i February 24, 2010. On May 1, 2010, the Company entered into a share exchange agreement with Appiphany Technologies Corporation (“ATC”) to acquire all of the outstanding common shares of ATC in exchange for i 1,500,000 common shares of the Company. As the acquisition involved companies under common control, the acquisition was accounted for in accordance with ASC 805-50, Business Combinations – Related Issues, and the consolidated financial statements reflect the accounts of the Company and ATC since inception. On November 18, 2015, ATC was dissolved. Currently, the Company is in the business of online fraud protection services.

Going Concern

These consolidated financial statements have been prepared on a going concern basis, which implies that the Company will continue to realize its assets and discharge its liabilities in the normal course of business. As at April 30, 2019, the Company has not recognized significant revenue, has a working capital deficit of $ i 2,006,707, and has an accumulated deficit of $ i 5,946,338. The continuation of the Company as a going concern is dependent upon the continued financial support from its management, and its ability to identify future investment opportunities and obtain the necessary debt or equity financing, and generating profitable operations from the Company’s future operations. The Company will continue to rely on equity sales of its common shares in order to continue to fund business operations. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern for a period of one year from the date these financial statements are issued. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

2.Summary of Significant Accounting Policies

(a)Basis of Presentation and Principles of Consolidation

The consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States (“US GAAP”) and are expressed in U.S. dollars. The consolidated financial statements are comprised of the records of the Company and its wholly owned subsidiaries, IP Risk Control Inc., a company incorporated in the State of Nevada. All intercompany transactions have been eliminated on consolidation. The Company’s fiscal year end is April 30.

(b)Use of Estimates

The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the fair value and estimated useful life of long-lived assets, fair value of convertible debentures, derivative liabilities, stock-based compensation, and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.

F-6

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

2.Summary of Significant Accounting Policies (continued)

(c)Cash and cash equivalents

The Company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents. As at April 30, 2019 and 2018, the Company had i no items representing cash equivalents.

/ i

(d)Accounts Receivable

Accounts receivable represents amounts owed from customers for services. Amounts are presented net of the allowance for doubtful accounts, which represents the Company’s best estimate of the amount of probable credit losses in the existing accounts receivable balance. The Company determines allowance for doubtful accounts based upon historical experience and current economic conditions. The Company reviews the adequacy of its allowance for doubtful accounts on a regular basis. As of April 30, 2019, the Company had $ i nil (2018 - $ i 7,245) in allowances for doubtful accounts.

/ i

(e)Basic and Diluted Net Loss per Share

The Company computes net loss per share in accordance with ASC 260, Earnings per Share. ASC 260 requires presentation of both basic and diluted earnings per share (“EPS”) on the face of the income statement. Basic EPS is computed by dividing net loss available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive. As of April 30, 2019, the Company had i 1,450,289,067 (2018 – i 569,554,940) potentially dilutive common shares outstanding.

/ i

(f) Fair Value Measurements

The Company measures and discloses the estimated fair value of financial assets and liabilities using the fair value hierarchy prescribed by U.S. generally accepted accounting principles. The fair value hierarchy has three levels, which are based on reliable available inputs of observable data. The hierarchy requires the use of observable market data when available. The three-level hierarchy is defined as follows:

Level 1 – quoted prices for identical instruments in active markets;

Level 2 – quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model derived valuations in which significant inputs and significant value drivers are observable in active markets; and

Level 3 – fair value measurements derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.

Financial instruments consist principally of cash, accounts receivable and other receivables, accounts payable and accrued liabilities, notes payable, convertible debentures and amounts due to related parties. The fair value of cash is determined based on Level 1 inputs. There were no transfers into or out of “Level 3” during the years ended April 30, 2019, and 2018. The recorded values of all other financial instruments approximate their current fair values because of their nature and respective relatively short maturity dates or durations.

Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates.

F-7

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

2.Summary of Significant Accounting Policies (continued)

(f) Fair Value Measurements (continued)

The following table presents assets and liabilities that are measured and recognized at fair value as of April 30, 2019 and 2018 on a recurring basis:

April 30, 2019

Description

Level 1

Level 2

Level 3

Total Gains and (Losses)

Derivative liability

i -

( i 1,080,589)

( i 158,657)

April 30, 2018

Description

Level 1

Level 2

Level 3

Total Gains and (Losses)

Derivative liability

i -

( i 928,252)

( i 601,635)

/ i

(h)Revenue Recognition

The Company recognizes revenue from online fraud protection services. Revenue will be recognized only when the price is fixed and determinable, persuasive evidence of an arrangement exists, the service has been provided, and collectability is reasonably assured. The Company is not exposed to any credit risks as amounts are prepaid prior to performance of services.

(i)Stock-based Compensation

The Company records stock-based compensation in accordance with ASC 718, Compensation – Stock Compensation and ASC 505, Equity Based Payments to Non-Employees, which requires the measurement and recognition of compensation expense based on estimated fair values for all share-based awards made to employees and directors, including stock options.

ASC 718 requires company to estimate the fair value of share-based awards on the date of grant using an option-pricing model. The Company uses the Black-Scholes option pricing model as its method of determining fair value. This model is affected by the Company’s stock price as well as assumptions regarding a number of subjective variables. These subjective variables include, but are not limited to the Company’s expected stock price volatility over the term of the awards, and actual and projected employee stock option exercise behaviours. The value of the portion of the award that is ultimately expected to vest is recognized as an expense in the statement of operations over the requisite service period.

All transactions in which goods or services are the consideration received for the issuance of equity instruments are accounted for based on the fair value of the consideration received or the fair value of the equity instrument issued, whichever is more reliably measurable.

(j)Income Taxes

The Company accounts for income taxes using the asset and liability method in accordance with ASC 740, “Income Taxes”. The asset and liability method provides that deferred income tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities, and for operating loss and tax credit carryforwards. Deferred income tax assets and liabilities are measured using the currently enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company records a valuation allowance to reduce deferred income tax assets to the amount that is believed more likely than not to be realized.

F-8

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

2. Summary of Significant Accounting Policies (continued)

(j) Income Taxes (continued)

As of April 30, 2019, and 2018, the Company did not have any amounts recorded pertaining to uncertain tax positions.

The Company files federal and provincial income tax returns in Canada and federal, state and local income tax returns in the U.S., as applicable. The Company may be subject to a reassessment of federal and provincial income taxes by Canadian tax authorities for a period of three years from the date of the original notice of assessment in respect of any particular taxation year. For Canadian and U.S. income tax returns, the open taxation years range from 2016 to 2019. In certain circumstances, the U.S. federal statute of limitations can reach beyond the standard three year period. U.S. state statutes of limitations for income tax assessment vary from state to state. Tax authorities of Canada and U.S. have not examined any of the Company’s, or its subsidiaries’, income tax returns for the open taxation years noted above.

(k)Recent Accounting Pronouncements

In February 2016, Topic 842, Leases was issued to replace the leases requirements in Topic 840, Leases. The main difference between previous GAAP and Topic 842 is the recognition of lease assets and lease liabilities by lessees for those leases classified as operating leases under previous GAAP. A lessee should recognize in the balance sheet a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. If a lessee makes this election, it should recognize lease expense for such leases generally on a straight-line basis over the lease term. The accounting applied by a lessor is largely unchanged from that applied under previous GAAP. Topic 842 will be effective for annual reporting periods beginning after December 15, 2018, including interim periods within those annual periods and is to be retrospectively applied. Earlier application is permitted. The adoption of this standard is not expected to have a material impact on the Company´s consolidated financial statements.

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers. The new standard provides a five-step approach to be applied to all contracts with customers and also requires expanded disclosures about revenue recognition. The ASU is effective for annual reporting periods beginning after December 15, 2017, including interim periods and is to be retrospectively applied. The adoption of this standard did not have a material impact on the Company´s consolidated financial statements.

3.Related Party Transactions

During the year ended April 30, 2019, the Company incurred $ i nil (2018 - $ i 56,337) in management fees to the former President and Director of the Company. Refer to Note 12.

F-9

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

4. Notes Payable

(a) As at April 30, 2019, the Company owed $ i 4,616 (2018 - $ i 4,616) in notes payable to non-related parties. Under the terms of the notes, the amounts are unsecured, bear interest at i 6% per annum, and were due on July 31, 2016. The notes bear a default interest rate of i 18% per annum.

(b)As at April 30, 2019, the Company owed $ i 10,000 (2018 – $ i 10,000) in a note payable to a non-related party. Under the terms of the note, the amount is unsecured, bears interest at i 5% per annum, and was due on July 6, 2017. The note bears a default interest rate of i 12% per annum.

(c)As at April 30, 2019, the Company owed $ i 2,500 (2018 – $ i 2,500) in a note payable to a non-related party. Under the terms of the note, the amount is unsecured, bears interest at i 5% per annum, and was due on February 1, 2018. The note bears a default interest rate of i 12% per annum.

(d)As at April 30, 2019, the Company owed $ i 15,000 (2018 – $ i 15,000) in a note payable to a non-related party. The note payable was issued as a commitment fee and was recorded to additional paid-in capital during the year ended April 30, 2017. Under the terms of the note, the amount is unsecured, bears interest at i 8% per annum, and was due on September 15, 2017. The note bears a default interest rate of i 20% per annum.

5.Convertible Debentures

(a)On February 13, 2017, the Company issued a convertible debenture, to a non-related party, for proceeds of $ i 105,000. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price was $ i 94,500. Under the terms of the debenture, the amount is unsecured, bears interest at i 10% per annum, and was due on i November 13, 2017. The debenture is i convertible into common shares of the Company at a conversion price equal to 60% of the lowest trading price of the Company’s common stock of the ten prior trading days immediately preceding the issuance of the note. i In the event of default, the conversion price decreases to 50% of the lowest trading price of the Company’s common stock of the ten prior trading days immediately preceding the issuance of the note and the interest rate increases to 20%. During the year ended April 30, 2019, the Company incurred $1,020 in penalties that were added to the principal balance of the note.

Due to this provision, the embedded conversion option qualifies for derivative accounting under ASC 815-15 “Derivatives and Hedging”. The fair value of the derivative liability resulted in a discount to the note payable of $105,000, of which $ i 20,000 of the discount resulted from debt issuance costs. The carrying value of the convertible note will be accreted over the term of the convertible note up to the face value of $ i 105,000. During the year ended April 30, 2018, the Company issued i 29,327,000 shares of common stock for the conversion of $ i 97,030 of the note and $ i 30,321 of accrued interest. As at April 30, 2019, the loan was in default, the carrying value of the note was $ i 8,990 (2018 - $ i 7,970), the unamortized total discount was $ i nil (2018 - $ i nil) and accrued interest payable was $ i 1,763 (2018-$ i 169).

(b)On February 24, 2017, the Company issued a convertible debenture, to a non-related party, for proceeds of $ i 33,000. Under the terms of the debenture, the amount is unsecured, bears interest at i 12% per annum pre-default and 20% per annum thereafter, and was due on i November 30, 2017. The debenture is i convertible into common shares of the Company at a conversion price equal to 58% of the average of the lowest two trading prices of the Company’s common stock of the fifteen prior trading days immediately preceding the issuance of the note. During the year ended April 30, 2019, the Company incurred a i $38,965 (2018 - i $22,000) default fee on the note.

Due to this provision, the embedded conversion option qualifies for derivative accounting under ASC 815-15 “Derivatives and Hedging. As at April 30, 2019, the loan was in default, the carrying value of the note was $ i 93,965 (2018 - $ i 55,000) and accrued interest payable was $ i 20,128 (2018- $ i 8,028).

F-10

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

5.Convertible Debentures (continued)

(c)On May 9, 2017, the Company issued a convertible debenture, to a non-related party, totaling $ i 36,450. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price was $ i 30,000. Under the terms of the debenture, the amount is unsecured, bears interest at i 10% per annum, and was due on i February 9, 2018. The debenture is convertible into common shares of the Company at a conversion price equal to 60% of the lowest trading price of the Company’s common stock of the past ten trading days prior to notice of conversion. i In the event of default the conversion price decreases to 50% of the lowest trading price of the Company’s common stock of the ten prior trading days immediately preceding the issuance of the note and the interest rate increases to 20%. During the year ended April 30, 2019, the Company incurred $27,902 in penalties that were added to the principal balance of the note.

(d)On June 28, 2017, the Company issued a convertible debenture, to a non-related party, totaling $ i 57,250. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price and proceeds received was $ i 49,500. Under the terms of the debenture, the amount is unsecured, bears interest at i 12% per annum, and was due on i March 28, 2018. The debenture is i convertible into common shares of the Company at a conversion price equal to the lesser of the 50% of the lowest trading price of the Company’s common stock of the past twenty-five trading days prior to notice of conversion or the issuance of the note. i In the event of default the interest rate increases to 24%.

Due to this provision, the embedded conversion option qualifies for derivative accounting under ASC 815-15 “Derivatives and Hedging”. The fair value of the derivative liability resulted in a discount to the note payable of $ i 57,250, of which $ i 7,750 of the discount resulted from debt issuance costs. The carrying value of the convertible note will be accreted over the term of the convertible note up to the face value of $ i 57,250. During the year ended April 30, 2018, the Company issued i 9,637,404 shares of common stock for the conversion of $ i 340 of the note and $ i 8,874 of accrued interest, penalties, and financing costs. During the year ended April 30, 2019, the Company issued i 16,793,000 shares of common stock for the conversion of $ i 1,569 of the note and $ i 2,712 of accrued interest and $ i 2,500 of conversion fees and finance costs. As at April 30, 2019, the loan was in default, the carrying value of the note was $ i 55,341 (2018 - $ i 56,910) and accrued interest payable was $ i 11,688 (2018-$ i 1,028).

(e)On July 19, 2017, the Company issued a convertible debenture, to a non-related party, for proceeds of $ i 33,333. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price was $ i 28,000. Under the terms of the debenture, the amount is unsecured, bears interest at i 12% per annum, and was due on i July 19, 2018. The debenture is i convertible into common shares of the Company at a conversion price equal to 50% of the lowest trading price of the Company’s common stock of the past twenty-five trading days prior to notice of conversion or the issuance of the note. i In the event of default the interest rate increases to 24%. During the year ended April 30, 2019, the Company incurred $ i 854 in penalties that were added to the principal balance of the note.

F-11

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

5. Convertible Debentures (continued)

During the year ended April 30, 2019, the Company issued i 27,766,139 shares of common stock for the conversion of $ i 13,196 of the note and $ i 1,395 of accrued interest. As at April 30, 2019, the loan was in default, the carrying value of the note was $ i 9,398 (2018 - $ i 5,948), the unamortized total discount was $ i nil (2018 - $ i 15,792) and accrued interest payable was $ i 4,016 (2018 - $ i 2,057).

i Included in the convertible debenture agreement is a $30,000 collateralized secured promissory note and a $33,333 back end note (with the same terms as the convertible debenture mentioned above). As of April 30, 2019, and at the date of filing, no proceeds have been received on the collateralized secured promissory note or the back-end note.

(f)On October 4, 2017, the Company issued a convertible debenture, to a non-related party, for proceeds of $ i 36,000, which was the first tranche of a convertible debenture totaling $ i 102,000. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price was $ i 25,000. Under the terms of the debenture, the amount is unsecured, bears interest at i 10% per annum, and was due on i July 9, 2018. The debenture is i convertible into common shares of the Company at a conversion price equal to the lesser of the 50% of the lowest trading price of the Company’s common stock of the past ten trading days prior to notice of conversion or the issuance of the note. i In the event of default, the conversion price decreases to 40% of the lowest trading price of the Company’s common stock of the ten prior trading days immediately preceding the issuance of the note and the interest rate increases to 20%. During the year ended April 30, 2019, the Company incurred $21,910 in penalties that were added to the principal balance of the note.

F-12

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

(g)On September 28, 2017, the Company issued a convertible debenture, to a non-related party, for proceeds of $ i 33,333. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price was $25,500. Under the terms of the debenture, the amount is unsecured, bears interest at i 12% per annum, and was due on i September 28, 2018. The debenture is i convertible into common shares of the Company at a conversion price equal to the lesser of the 50% of the lowest trading price of the Company’s common stock of the past twenty-five trading days prior to notice of conversion or the issuance of the note. i In the event of default there is a penalty of 10% of the principal balance of the outstanding note and the interest rate increases to 24%.

5. Convertible Debentures (continued)

Due to this provision, the embedded conversion option qualifies for derivative accounting under ASC 815-15 “Derivatives and Hedging”. The fair value of the derivative liability resulted in a discount to the note payable of $33,333, of which $ i 7,833 of the discount resulted from debt issuance costs. The carrying value of the convertible note will be accreted over the term of the convertible note up to the face value of $ i 33,333. During the year ended April 30, 2019, the Company recorded a $3,333 principal penalty. As at April 30, 2019, the loan was in default, the carrying value of the note was $36,666 (2018 - $ i 118), the unamortized total discount was $ i nil (2018 - $ i 33,215) and accrued interest payable was $9,282 (2018 - $2,367).

i Included in the convertible debenture agreement is a back end note for up to $33,333 (with the same amount of proceeds, original issue discount, maturity date, interest rate and conversion terms as the convertible debenture mentioned above). As of April 30, 2019, and at the date of filing, no proceeds have been received on the back-end note.

F-13

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

(h)On November 8, 2017, the Company issued a convertible debenture, to a non-related party, for proceeds of $ i 33,000, which was the second tranche of the October 4, 2017 agreement. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price was $ i 30,000. Under the terms of the debenture, the amount is unsecured, bears interest at i 10% per annum, and was due on i August 8, 2018. The debenture is i convertible into common shares of the Company at a conversion price equal to the lesser of the 50% of the lowest trading price of the Company’s common stock of the past ten trading days prior to notice of conversion or the issuance of the note. i In the event of default, the conversion price decreases to 40% of the lowest trading price of the Company’s common stock of the ten prior trading days immediately preceding the issuance of the note and the interest rate increases to 20%. During the year ended April 30, 2019, the Company incurred $20,084 in penalties that were added to the principal balance of the note.

(i)On December 26, 2017, the Company issued a convertible debenture, to a non-related party, for proceeds of $ i 33,000, which was the final tranche of the October 4, 2017 agreement. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price was $ i 30,000. Under the terms of the debenture, the amount is unsecured, bears interest at i 10% per annum, and was due on i September 26, 2018. The debenture is i convertible into common shares of the Company at a conversion price equal to the lesser of the 50% of the lowest trading price of the Company’s common stock of the past ten trading days prior to notice of conversion or the issuance of the note. i In the event of default, the conversion price decreases to 40% of the lowest trading price of the Company’s common stock of the ten prior trading days immediately preceding the issuance of the note and the interest rate increases to 20%. During the year ended April 30, 2019, the Company incurred $20,084 in penalties that were added to the principal balance of the note.

F-14

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

5. Convertible Debentures (continued)

(j)On March 15, 2019, the Company issued a convertible debenture, to a non-related party, for proceeds of $ i 36,000. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price was $ i 30,000. Under the terms of the debenture, the amount is unsecured, bears interest at i 10% per annum (20% default interest rate), and is due on i December 15, 2019. The debenture is i convertible into common shares of the Company at a conversion price equal to the lesser of the 65% of the lowest trading price of the Company’s common stock of the past twenty trading days prior to notice of conversion or the issuance of the note.

6.Derivative Liability

The Company records the fair value of the of the conversion price of the convertible debentures disclosed in Note 5 in accordance with ASC 815, Derivatives and Hedging. The fair value of the derivative was calculated using a Binomial model. The fair value of the derivative liability is revalued on each balance sheet date with corresponding gains and losses recorded in the consolidated statement of operations. During the year ended April 30, 2019, the Company recorded a gain on the change in fair value of derivative liability of $ i 158,657 (2018 – loss of $ i 601,635). As at April 30, 2019, the Company recorded a derivative liability of $ i 1,080,589 (2018 - $ i 928,252).

A summary of the activity of the derivative liability is shown below:

					$

Balance, April 30, 2017					i 1,082,050
Derivative loss due to new issuances					i 378,522
Debt discount					i 262,366
Adjustment for conversion					( i 1,017,798)
Mark to market adjustment at April 30, 2018					i 223,112

Balance, April 30, 2018					i 928,252
Derivative loss due to new issuances					i 23,837
Debt discount					i 36,000
Adjustment for conversion					( i 42,320)
Mark to market adjustment at April 30, 2019					i 134,820

Balance, April 30, 2019					i 1,080,589

/ i

7.Common Shares

Share Transactions for the Year Ended April 30, 2019

During the year ended April 30, 2019, the Company issued an aggregate of i 44,559,139 common shares with a fair value of $ i 54,716 upon the conversion of $ i 14,765 of convertible debentures, $ i 4,130 of accrued interest, $ i 2,500 in conversion fees, and $ i 42,320 of derivative liabilities resulting in a gain on settlement of debt of $ i 8,977.

F-15

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

7.Common Shares

Share Transactions for the Year Ended April 30, 2018

During the year ended April 30, 2018, the Company issued an aggregate of i 60,128,290 common shares with a fair value of $ i 1,506,541 upon the conversion of $ i 280,481 of convertible debentures, $ i 61,531 of accrued interest and $ i 3,500 in conversion fees, as noted in Note 5.

i On November 17, 2017, the Company effected a reverse stock split on a basis of 1 new common share for every 100 old common shares. The impact of the reverse stock split has been applied on a retroactive basis.

During the year ended April 20, 2018, the Company cancelled $13,410 of subscription receivable for the issuance of common shares.

8.Preferred Shares

Authorized: 10,000,000 preferred shares with a par value of $0.001 per share

Convertible Preferred Series A stock

On April 18, 2017, the Company designated i 500,000 shares of preferred stock as Series A. The holders of Series A preferred shares are i entitled to receive dividends equal to the amount of the dividend or distribution per share of common stock payable multiplied by the number of shares of common stock the shares of Series A preferred shares held by such holder are convertible into. Each Series A preferred shares is convertible into one common share. Each holder of Series A preferred shares is entitled to cast 10,000 votes for every one Series A preferred share held.

/ i

9.Commitments

On August 26, 2016, the Company entered in consulting agreements with five consultants. Pursuant to the agreements, each consultant is to be compensated by the following:

i) i 10% commission on all net revenues derived by the Company through the consultant in the first year

ii) i 5% commission on all net revenues derived by the Company through the consultant in year two and three

iii) i 180,000 common shares payable on the date of the agreement

iv) i 180,000 common shares payable on February 26, 2016

v) i 180,000 common shares payable on August 26, 2017

vi) i 180,000 common shares payable on February 26, 2018

Either party may terminate the agreement by providing written thirty days’ notice.

F-16

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

As at April 30, 2019 and 2018, no commission has been earned, paid, or accrued.

On February 19, 2019, the former Chief Executive Officer and Director of the Company entered into a Stock Purchase Agreement to sell his Series A Preferred Stock, the closing of which is pending certain closing conditions, including, but not limited to the Company getting current with its SEC filings and restricting some of its outstanding debt. This transaction was completed on November 22, 2019.

10. Income Taxes

i The Company has $ i 2,335,879 of net operating losses carried forward to offset taxable income in future years which expire commencing in fiscal 2030. The income tax benefit differs from the amount computed by applying the US federal income tax rate of i 21% and the Canada federal and provincial tax rate of i 26% to net loss before income taxes for the year ended April 30, 2019 and 2018 as a result of the following: i /

	2019 $	2018 $

Net loss before taxes	( i 537,087)	( i 1,495,002)
Statutory rate	i 21%	i 30%

Computed expected tax recovery	( i 112,788)	( i 448,501)
Permanent differences and other	i 62,953	i 280,138
Effect of change in rate	–	249,203
Change in valuation allowance	i 49,835	( i 80,840)

Income tax provision	i -	i -

The significant components of deferred income tax assets and liabilities as at April 30, 2019 and 2018 after applying enacted corporate income tax rates are as follows: i

	2019 $	2018 $

Net operating losses carried forward	i 488,657	i 438,822

Total gross deferred income tax assets	i 488,657	i 438,822
Valuation allowance	( i 488,657)	( i 438,822)

Net deferred tax asset	i -	i -

Future tax benefits, which may arise as a result of these losses, have not been recognized in these financial statements, and have been offset by a valuation allowance. As at April 30, 2019, the Company has no uncertain tax positions.

F-17

APPIPHANY TECHNOLOGIES HOLDINGS CORP.

Notes to the Consolidated Financial Statements

(Expressed in US dollars)

11. Subsequent Events

Subsequent to the year ended April 30, 2019, the Company issued i 67,342,227 common shares upon the conversion of $ i 6,496 of convertible debentures, $ i 20,490 of accrued interest, and $ i 3,000 of conversion fee penalties. Furthermore, the Company authorized the designation of the Series B preferred shares, with an authorized capital of i 1,000,000 Series B preferred shares with a par value of $ i 0.001 per preferred share. i Each Series B preferred share will have rank on the Company’s common shares upon wind up or dissolution but will have no voting rights, receive first payment of $1.10 per Series B preferred share before any payment or distribution to any junior common shares upon liquidation, and be convertible into common shares of the Company, at the option of the Series B preferred shareholder, at a conversion rate of $1.10 divided by the closing price of the Company’s common shares on the trading day prior to the date of conversion limited to the fact that the conversion of the Series B preferred shares does not result in an individual shareholder holding more than 4.99% of the Company’s issued and outstanding common shares.

On June 17, 2019 the Company issued i 250,000 Series B preferred shares issued to an unrelated party to settle debt in the amount of $ i 111,500; 250,000 Series B preferred shares issued to a director of the Company to settle debt in the amount of $ i 156,012; and 30,000 Series B preferred shares issued to the sole officer and director of the Company for management fees

On September 12, 2019 the Company issued a convertible debenture, to a non-related party, for proceeds of $ i 33,000. Pursuant to the agreement, the note was issued with an original issue discount and as such the purchase price was $ i 30,000. Under the terms of the debenture i , the amount is unsecured, bears interest at 10% per annum, and is due on June 12, 2020. The debenture is convertible into common shares of the Company at a conversion price equal to 65% of the lowest trading price of the Company’s common stock of the past twenty trading days prior to notice of conversion or the issuance of the note.

On November 13, 2019, the Company issued a convertible promissory note to an unrelated party for $ i 28,193. Pursuant to the agreement, the note was issued with a 10% original issue discount and as such the purchase price was $ i 25,630. The note is convertible into common stock of the Company at a price equal to 65% of the lowest trading price of the Company’s common stock of the twenty prior trading days including the day upon which a notice of conversion is received by the Company. i The promissory note shall bear interest at 10% per annum and is due on August 13, 2020.

On November 22, 2019, the former Chief Executive Officer completed a transaction to sell i 500,000 shares of his Series A Preferred Stock for consideration of $ i 5,000, leading to a change in control for the Company.

On January 10, 2020, i the Company authorized a reverse stock split of the Company’s common shares on a basis of one new common share for every 100 old common shares to be effective on January 31, 2020.

On January 15, 2020, the Company entered into a Securities Purchase Agreement with GHS Investments, LLC (“GHS”) whereby GHS purchased a convertible promissory note (“Note”) in the original principal amount of $ i 35,000. The Note has a maturity date of nine months from the date of an advance, an interest rate of ten percent ( i 10%), a ten percent (10%) original issuance discount and is convertible at a conversion price equal to $ i 0.0006 per share.

F-18

ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.

None.

ITEM 9A. CONTROLS AND PROCEDURES.

Disclosure Controls and Procedures

We maintain disclosure controls and procedures, as defined in Rule 13a-15(e) promulgated under the Securities Exchange Act of 1934 (the "Exchange Act"), that are designed to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

We carried out an evaluation, under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures as of April 30, 2019. Based on the evaluation of these disclosure controls and procedures, and in light of the material weaknesses found in our internal controls over financial reporting, our Chief Executive Officer and Principal Financial Officer concluded that our disclosure controls and procedures were not effective for the reasons discussed below.

Management's Annual Report on Internal Control Over Financial Reporting

Management is responsible for establishing and maintaining adequate internal control over financial reporting, as defined in Exchange Act Rule 13a-15(f). The Company's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with accounting principles generally accepted in the United States of America.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Under the supervision and with the participation of management, including the Chief Executive Officer and Chief Financial Officer, the Company conducted an evaluation of the effectiveness of the Company's internal control over financial reporting as of April 30, 2019 using the criteria established in " Internal Control - Integrated Framework - 2013" issued by the Committee of Sponsoring Organizations of the Treadway Commission ("COSO").

A material weakness is a deficiency, or combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the Company's annual or interim financial statements will not be prevented or detected on a timely basis. In its assessment of the effectiveness of internal control over financial reporting as of April 30, 2019, the Company determined that there were control deficiencies that constituted material weaknesses, as described below.

1. We do not have an Audit Committee – While not being legally obligated to have an audit committee, it is the management's view that such a committee, including a financial expert member, is an utmost important entity level control over the Company's financial statement. Currently the Board of Directors acts in the capacity of the Audit Committee and does not include a member that is considered to be independent of management to provide the necessary oversight over management's activities.

2. We did not maintain appropriate cash controls – As of April 30, 2019, the Company has not maintained sufficient internal controls over financial reporting for the cash process, including failure to segregate cash handling and accounting functions, and did not require dual signature on the Company's bank accounts. Alternatively, the effects of poor cash controls were mitigated by the fact that the Company had limited transactions in their bank accounts.

3. We did not implement appropriate information technology controls – As of April 30, 2019, the Company retains copies of all financial data and material agreements; however there is no formal procedure or evidence of normal backup of the Company's data or off-site storage of the data in the event of theft, misplacement, or loss due to unmitigated factors.

Accordingly, the Company concluded that these control deficiencies resulted in a reasonable possibility that a material misstatement of the annual or interim financial statements will not be prevented or detected on a timely basis by the company's internal controls.

As a result of the material weaknesses described above, management has concluded that the Company's internal control over financial reporting were not effective as of April 30, 2019 based on criteria established in Internal Control—Integrated Framework issued by COSO.

Changes in Internal Control over Financial Reporting

There has been no change in our internal control over financial reporting identified in connection with our evaluation we conducted of the effectiveness of our internal control over financial reporting as of April 30, 2019, that occurred during our fourth fiscal quarter that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

Continuing Remediation Efforts to address deficiencies in Company's Internal Control over Financial Reporting

Once the Company is engaged in a business of merit and has sufficient personnel available, then our Board of Directors, in particular and in connection with the aforementioned deficiencies, will establish the following remediation measures:

1. Our Board of Directors will nominate an audit committee or a financial expert on our Board of Directors in the next fiscal year.

2. We will appoint additional personnel to assist with the preparation of the Company's monthly financial reporting, including preparation of the monthly bank reconciliations.

ITEM 9B. OTHER INFORMATION.

None.

PART III

ITEM 10. DIRECTORS AND EXECUTIVE OFFICERS.

Identification of Directors and Executive Officers

The following table sets forth the names and ages of our current directors and executive officers:

Name	Age	Position with the Company	Since
Scott Cox	47	Director, Chief Executive Officer, Secretary	(1)

(1) Mr. Cox was appointed as Chief Executive Officer and Secretary effective November 22, 2019 and as the sole director effective January 06, 2020. Prior to the appointment of Mr. Cox, Rob Sargent served as President, CEO, CFO and a director of the Company since October 13, 2014

The board of directors has no nominating, audit or compensation committee at this time.

Term of Office

Each of our directors is appointed to hold office until the next annual meeting of our shareholders or until his respective successor is elected and qualified, or until he resigns or is removed in accordance with the provisions of the Nevada Revised Statues. Our officers are appointed by our Board of Directors and hold office until removed by the Board or until their resignation.

Background and Business Experience

The business experience during the past five years of the person presently listed above as an Officer or Director of the Company is as follows:

Scott Cox- Director, Chief Executive Officer - Mr. Cox has over 20 years of experience in the management and operations of public and private companies. Most recently, Scott served as the President and COO of NewBridge Global Ventures, Inc, (OTC: NBGV) from October 2017 to September 2018, where he led a transition into the legal cannabis space and successful reverse merger with a family owned consortium of companies. Since October 2015, Mr. Cox has served as a Principal in Basin Capital, Inc., a private family office focused on the acquisition and divestiture of oil and gas properties and various entrepreneurial ventures. Prior to Basin Capital, from July 2013 to October 2015, Mr. Cox served as Vice President of Land for Breitling Energy Corporation (OTC: BECC) where he was instrumental in acquiring over $20 million in producing and non-producing oil and gas properties. Prior to that he served as Director of Operations for Frontier Oilfield Services, Inc from September 2012 where he helped lead a public company acquisition and roll-up of 2 privately owned oilfield service companies. Mr. Cox attended Eastern New Mexico University where he studied Business Administration.

Identification of Significant Employees

Our Chief Executive Officer is our only full-time employee. We use consultants and independent contractors on a case-to-case basis.

Family Relationship

We currently do not have any officers or directors of our Company who are related to each other.

Involvement in Certain Legal Proceedings

During the past ten years no director, executive officer, promoter or control person of the Company has been involved in the following:

(1)A petition under the Federal bankruptcy laws or any state insolvency law which was filed by or against, or a receiver, fiscal agent or similar officer was appointed by a court for the business or property of such person, or any partnership in which he was a general partner at or within two years before the time of such filing, or any corporation or business association of which he was an executive officer at or within two years before the time of such filing;

(2)Such person was convicted in a criminal proceeding or is a named subject of a pending criminal proceeding (excluding traffic violations and other minor offenses);

(3)Such person was the subject of any order, judgment, or decree, not subsequently reversed, suspended or vacated, of any court of competent jurisdiction, permanently or temporarily enjoining him from, or otherwise limiting, the following activities:

i.Acting as a futures commission merchant, introducing broker, commodity trading advisor, commodity pool operator, floor broker, leverage transaction merchant, any other person regulated by the Commodity Futures Trading Commission, or an associated person of any of the foregoing, or as an investment adviser, underwriter, broker or dealer in securities, or as an affiliated person, director or employee of any investment company, bank, savings and loan association or insurance company, or engaging in or continuing any conduct or practice in connection with such activity;

ii.Engaging in any type of business practice; or

iii.Engaging in any activity in connection with the purchase or sale of any security or commodity or in connection with any violation of Federal or State securities laws or Federal commodities laws;

(4)Such person was the subject of any order, judgment or decree, not subsequently reversed, suspended or vacated, of any Federal or State authority barring, suspending or otherwise limiting for more than 60 days the right of such person to engage in any activity described in paragraph (f)(3)(i) of this section, or to be associated with persons engaged in any such activity;

(5)Such person was found by a court of competent jurisdiction in a civil action or by the Commission to have violated any Federal or State securities law, and the judgment in such civil action or finding by the Commission has not been subsequently reversed, suspended, or vacated;

(6)Such person was found by a court of competent jurisdiction in a civil action or by the Commodity Futures Trading Commission to have violated any Federal commodities law, and the judgment in such civil action or finding by the Commodity Futures Trading Commission has not been subsequently reversed, suspended or vacated;

(7)Such person was the subject of, or a party to, any Federal or State judicial or administrative order, judgment,

decree, or finding, not subsequently reversed, suspended or vacated, relating to an alleged violation of:

i.Any Federal or State securities or commodities law or regulation; or

ii.Any law or regulation respecting financial institutions or insurance companies including, but not limited to, a temporary or permanent injunction, order of disgorgement or restitution, civil money penalty or temporary or permanent cease-and-desist order, or removal or prohibition order; or

iii.Any law or regulation prohibiting mail or wire fraud or fraud in connection with any business entity.

(8)Such person was the subject of, or a party to, any sanction or order, not subsequently reversed, suspended or vacated, of any self-regulatory organization (as defined in Section 3(a)(26) of the Exchange Act (15 U.S.C. 78c(a)(26))), any registered entity (as defined in Section 1(a)(29) of the Commodity Exchange Act (7 U.S.C. 1(a)(29))), or any equivalent exchange, association, entity or organization that has disciplinary authority over its members or persons associated with a member.

Audit Committee and Audit Committee Financial Expert

The Company does not have an audit committee or an audit committee financial expert (as defined in Item 407 of Regulation S-K) serving on its Board of Directors. All current members of the Board of Directors lack sufficient financial expertise for overseeing financial reporting responsibilities. The Company has not yet employed an audit committee financial expert on its Board due to the inability to attract such a person.

The Company intends to establish an audit committee of the board of directors, which will consist of independent directors. The audit committee's duties will be to recommend to the Company's board of directors the engagement of an independent registered public accounting firm to audit the Company's financial statements and to review the Company's accounting and auditing principles. The audit committee will review the scope, timing and fees for the annual audit and the results of audit examinations performed by the internal auditors and independent registered public accounting firm, including their recommendations to improve the system of accounting and internal controls. The audit committee will at all times be composed exclusively of directors who are, in the opinion of the Company's board of directors, free from any relationship which would interfere with the exercise of independent judgment as a committee member and who possess an understanding of financial statements and generally accepted accounting principles.

Code of Ethics

Our Board of Directors has not adopted a code of ethics due to the fact that we presently only have one director who also serves as the sole executive officer of the Company and the Board of Directors chose not to reduce to writing standards designed to deter wrongdoing and promote honest and ethical conduct. The Board of Directors believes that the Company's small size and the limited number of personnel who are responsible for its operations make a formal Code of Ethics unnecessary. We anticipate that we will adopt a code of ethics when we increase either the number of our directors and officers or the number of our employees.

Compliance with Section 16(a) of the Exchange Act

Section 16(a) of the Securities Exchange Act of 1934 requires our directors and executive officers and persons who beneficially own more than ten percent of a registered class of our equity securities to file with the SEC initial reports of ownership and reports of change in ownership of common stock and other equity securities of the Company. Officers, directors and greater than ten percent stockholders are required by SEC regulations to furnish us with copies of all Section 16(a) forms they file. Based solely upon a review of Forms 3 and 4 and amendments

thereto furnished to us under Rule 16a-3(e) during the year ended April 30, 2019, and the representations made by the reporting persons to us, we believe that during the year ended April 30, 2019, our executive officers and directors and all persons who own more than ten percent of a registered class of our equity securities complied with all Section 16(a) filing requirements.

ITEM 11. EXECUTIVE COMPENSATION

The following table sets forth the compensation paid to our executive officers during the twelve-month periods ended April 30, 2019 and 2018:

Summary Compensation Table

Name and Principal Position	Fiscal Year Ended 4/30	Salary ($)	Bonus ($)	Stock Awards ($)	Option Awards ($)	Non-Equity Incentive Plan Compensation ($)	Nonqualified Deferred Compensation Earnings ($)	All Other Compensation ($)	Total ($)
Rob Sargent (1) Former President, CEO, CFO, Director, Secretary and Treasurer	2018	-0-	-0-	-0-	-0-	-0-	-0-	-0-	-0-
	2019	-0-	-0-	-0-	-0-	-0-	-0-	-0-	-0-

Notes to Summary Compensation Table:

(1)Mr. Sargent was appointed as President, CEO, CFO, and a director of the Company on October 13, 2014. During the year ended April 30, 2019, Mr. Sargent received no cash or equity compensation.

Narrative Disclosure to Summary Compensation Table

There are no employment contracts, compensatory plans or arrangements, including payments to be received from the Company with respect to any executive officer, that would result in payments to such person because of his or her resignation, retirement or other termination of employment with the Company, or its subsidiaries, any change in control, or a change in the person's responsibilities following a change in control of the Company.

Outstanding Equity Awards at Fiscal Year-End

No executive officer received any equity awards, or holds exercisable or unexercisable options, as of the year ended April 30, 2019.

Long-Term Incentive Plans

There are no arrangements or plans in which we provide pension, retirement or similar benefits for directors or executive officers.

Compensation Committee

We currently do not have a compensation committee of the Board of Directors. The Board of Directors as a whole determines executive compensation.

Compensation of Directors

Our directors receive no extra compensation for their service on our Board of Directors.

ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS.

The following table sets forth certain information concerning the number of shares of our common stock and preferred stock owned beneficially as of April 30, 2019 by: (i) each of our directors; (ii) each of our named executive officers; and (iii) each person or group known by us to beneficially own more than 5% of our outstanding shares of common stock and preferred stock. Unless otherwise indicated, the shareholders listed below possess sole voting and investment power with respect to the shares they own. As of April 30, 2019, we had 107,425,498 shares of common stock and 500,000 shares of convertible Series A preferred stock issued and outstanding.

Title of Class	Name and Address of Beneficial Owner	Amount and Nature of Beneficial Ownership(1)	Percent of Class (2)
Common Stock	Media Convergence Group, LLC (3) 1951 Logan Ave. Salt Lake City, UT 84108	195,000	0.18%

Common Stock	Rob Sargent (3) 1951 Logan Ave. Salt Lake City, UT 84108	103,750	0.10%

Common Stock	All Officers and Directors as a Group (1 Person)	298,750	0.28%

Series A Preferred Stock	Media Convergence Group, LLC (3) 1951 Logan Ave. Salt Lake City, UT 84108	500,000	100%

Series A Preferred Stock	All Officers and Directors as a Group Stock (1 Person)	500,000	100%

(1) The number and percentage of shares beneficially owned is determined under rules of the SEC and the information is not necessarily indicative of beneficial ownership for any other purpose. Under such rules, beneficial ownership includes any shares as to which the individual has sole or shared voting power or investment power and also any shares which the individual has the right to acquire within 60 days through the exercise of any stock option or other right. The persons named in the table have sole voting and investment power with respect to all shares of common stock shown as beneficially owned by them, subject to community property laws where applicable and the information contained in the footnotes to this table.

(2) Based on 107,425,498 issued and outstanding shares of common stock and 500,000 shares of Series A Preferred stock as of April 30, 2019.

(3)Rob Sargent was the Company's President CEO, CFO, Secretary, Treasurer, and Director on April 30, 2019. His beneficial ownership includes 103,750 shares of common stock and 500,000 shares of Series A Preferred stock. Effective November 22, 2019, Scott Cox purchased the 500,000 shares of Series A Preferred Stock from Rob Sargent and became the Chief Executive Officer of the Company. These shares are now held by Scott Cox and Scott Cox is the sole officer of the Company.

Changes in Control

On February 19, 2019, Mr. Sargent entered into a Stock Purchase Agreement to sell his shares of Series A Preferred Stock to Scott Cox. The sale was closed on November 22, 2019. In connection with the sale, Mr. Cox was appointed as the Company’s Chief Executive Officer and Secretary, as well as the Company’s sole Director.

ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE.

Related Party Transactions

None of the directors or executive officers of the Company, nor any person who owned of record or was known to own beneficially more than 5% of the Company's outstanding shares of its Common Stock, nor any associate or affiliate of such persons or companies, has any material interest, direct or indirect, in any transaction that has occurred during the past fiscal year, or in any proposed transaction, which has materially affected or will affect the Company.

With regard to any future related party transaction, we plan to fully disclose any and all related party transactions in the following manner:

·Disclosing such transactions in reports where required;

·Disclosing in any and all filings with the SEC, where required;

·Obtaining disinterested directors consent; and

·Obtaining shareholder consent where required.

ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

	Year Ended April 30, 2019		Year Ended April 30, 2018
Audit fees	$	30,500	$	31,000
Audit-related fees	$	-	$	-
Tax fees	$	-	$	-
All other fees	$	-	$	-
Total	$	30,500	$	31,000

Audit Fees

During the fiscal year ended April 30, 2019, we incurred approximately $30,500 in fees to our principal independent accountants for professional services rendered in connection with the audit and reviews of our financial statements for the fiscal year ended April 30, 2019.

During the fiscal year ended April 30, 2018, we incurred approximately $31,000 in fees to our principal independent accountants for professional services rendered in connection with the audit and reviews of our financial statements for the fiscal year ended April 30, 2018.

Audit-Related Fees

The aggregate fees billed during the fiscal years ended April 30, 2019 and 2018 for assurance and related services by our principal independent accountants that are reasonably related to the performance of the audit or review of our financial statements (and are not reported under Item 9(e)(1)) of Schedule 14A was $0 and $0, respectively.

Tax Fees

The aggregate fees billed during the fiscal years ended April 30, 2019 and 2018 for professional services rendered by our principal accountant tax compliance, tax advice and tax planning were $0 and $0, respectively.

All Other Fees

The aggregate fees billed during the fiscal year ended April 30, 2019 and 2018 for products and services provided by our principal independent accountants (other than the services reported in Items 9(e)(1) through 9(e)(3) of Schedule 14A was $0 and $0, respectively for assistance with the preparation of our financial statements.

PART IV

ITEM 15. EXHIBITS.

(a) Exhibits

Exhibit Number	Description of Exhibit	Filing
3.01	Articles of Incorporation	Filed with the SEC on June 11, 2010 as part of our Registration Statement on Form S-1.
3.02	Bylaws	Filed with the SEC on June 11, 2010 as part of our Registration Statement on Form S-1.
31.01	Certification of Principal Executive Officer Pursuant to Rule 13a-14	Filed herewith.
31.02	Certification of Principal Financial Officer Pursuant to Rule 13a-14	Filed herewith.
32.01	CEO Certification Pursuant to Section 906 of the Sarbanes-Oxley Act	Filed herewith.
32.02	CFO Certification Pursuant to Section 906 of the Sarbanes-Oxley Act	Filed herewith.

*Pursuant to Regulation S-T, this interactive data file is deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, and otherwise is not subject to liability under these sections.

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Company caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	*APPIPHANY TECHNOLOGIES HOLDINGS CORP.*


Dated: January 23, 2020	/s/ *Scott Cox*
	By: *Scott Cox*
	Its: Chief Executive Officer & Principal Financial Officer (Principal Accounting Officer)

Pursuant to the requirement of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the Company and in the capacities and on the dates indicated:


Dated: January 23, 2020	/s/ *Scott Cox*
	By: *Scott Cox, Director*

This ‘10-K’ Filing	Date	Other Filings

	8/13/20
	6/12/20
	1/31/20	10-Q, 8-K
Filed as of:	1/24/20	8-K
Filed on:	1/23/20
	1/20/20
	1/15/20	8-K
	1/10/20	PRE 14C
	1/6/20
	12/15/19
	11/22/19	8-K
	11/13/19
	9/12/19
	6/17/19
For Period end:	4/30/19
	3/15/19
	2/19/19
	2/1/19
	1/31/19	10-Q
	12/15/18
	11/1/18
	10/31/18	10-Q
	9/28/18
	9/26/18
	8/8/18
	8/1/18
	7/31/18	10-Q
	7/19/18
	7/9/18
	5/1/18
	4/30/18	10-K
	4/20/18
	3/28/18
	2/26/18
	2/9/18
	2/1/18
	1/31/18	10-Q, NT 10-Q
	12/26/17	UPLOAD
	12/15/17
	11/30/17	DEF 14C
	11/17/17	PRE 14C
	11/13/17
	11/8/17
	11/1/17
	10/31/17	10-Q, NT 10-Q
	10/4/17	10-Q
	9/28/17
	9/15/17
	8/26/17
	8/1/17
	7/31/17	10-Q, NT 10-Q
	7/19/17
	7/6/17
	6/28/17
	5/9/17	PRE 14C
	5/1/17
	4/30/17	10-K, NT 10-K
	4/18/17
	2/24/17	RW
	2/13/17
	8/26/16
	7/31/16	10-Q, 10-Q/A, NT 10-Q
	2/26/16	8-K
	1/14/16	8-K
	11/18/15
	10/13/14
	10/20/11
	6/11/10	S-1
	5/1/10
	2/24/10
		List all Filings

Appiphany Technologies Holdings Corp – ‘10-K’ for 4/30/19

On: Thursday, 1/23/20, at 5:36pm ET · As of: 1/24/20 · For: 4/30/19 · Accession #: 1445866-20-67 · File #: 0-54524

Previous ‘10-K’: ‘10-K’ on 8/2/19 for 4/30/18 · Next: ‘10-K’ on 7/31/20 for 4/30/20 · Latest: ‘10-K’ on 8/2/23 for 4/30/23

Annual Report — Form 10-K — Sect. 13 / 15(d) – SEA’34
Filing Table of Contents

‘10-K’ — Annual Report

This is an HTML Document rendered as filed. [ Alternative Formats ]

Dates Referenced Herein and Documents Incorporated by Reference

Appiphany Technologies Holdings Corp – ‘10-K’ for 4/30/19

On: Thursday, 1/23/20, at 5:36pm ET · As of: 1/24/20 · For: 4/30/19 · Accession #: 1445866-20-67 · File #: 0-54524

Previous ‘10-K’: ‘10-K’ on 8/2/19 for 4/30/18 · Next: ‘10-K’ on 7/31/20 for 4/30/20 · Latest: ‘10-K’ on 8/2/23 for 4/30/23

Annual Report — Form 10-K — Sect. 13 / 15(d) – SEA’34Filing Table of Contents

‘10-K’ — Annual Report

This is an HTML Document rendered as filed. [ Alternative Formats ]

Dates Referenced Herein and Documents Incorporated by Reference

Annual Report — Form 10-K — Sect. 13 / 15(d) – SEA’34
Filing Table of Contents