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As Of Filer Filing For·On·As Docs:Size Issuer Filing Agent 4/01/24 Rainmaker Worldwide Inc. 10-K 12/31/23 67:5.1M M2 Compliance LLC/FA |
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
(Mark One)
| i ☒ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
or
| i ☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from [—Date—] to [—Date—] |
Commission File Number: i 000-56311
(Exact name of registrant as specified in its charter)
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Name of each exchange on which registered | |
Securities registered pursuant to Section 12(g) of the Act:
i Common Stock, $0.001 par value per share
(Title of class)
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act.
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.
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).
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§229.405 of this chapter) 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. ☐
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 the definitions of “large accelerated filer”, “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.
| Large accelerated filer ☐ | Accelerated filer ☐ | |
| i Non-accelerated filer ☐ (Do not check if a smaller reporting company) | Smaller reporting company i ☒ | |
| Emerging growth company i ☐ | ||
If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. i ☐
Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant’s executive officers during the relevant recovery period pursuant to §240.10D-1(b). ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).
As of June 30, 2023, the aggregate market value of the voting common equity held by non-affiliates was approximately $ i 470,663 based on the closing bid price and asked price of $0.0014 of the registrant’s common stock on the OTC: Pink.
The registrant had shares of common stock, par value $0.001 per share, outstanding as of March 22, 2024.
DOCUMENTS INCORPORATED BY REFERENCE
CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS
This annual report on Form 10-K (“Form 10-K”) of Rainmaker Worldwide Inc. (the “Company”) includes statements that are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In some cases, these forward-looking statements can be identified by the use of such terms as “believes,” “estimates,” “anticipates,” “expects,” “plans,” “intends,” “may,” “could,” “might,” “will,” “should,” “approximately” or the negative or other variations thereon or comparable terminology, although not all forward-looking statements contain these words. They appear in a number of places throughout this Form 10-K and include statements regarding our intentions, beliefs, projections, outlook, analyses or current expectations concerning, among other things, our ongoing and planned discovery and development of drug candidates, the strength and breadth of our intellectual property, our ongoing and planned preclinical studies and clinical trials, the timing of and our ability to make regulatory filings and obtain and maintain regulatory approvals for our product candidates, the degree of clinical utility of our product candidates, particularly in specific patient populations, expectations regarding clinical trial data, our results of operations, financial condition, our available cash, liquidity, prospects, growth and strategies, the length of time that we will be able to continue to fund our operating expenses and capital expenditures, our expected financing needs and sources of financing, the industry in which we operate and the trends that may affect our industry or us.
By their nature, forward-looking statements involve risks and uncertainties because they relate to the occurrence and timing of events or circumstances, many of which are beyond the control of the Company As a result of these, we cannot assure you that the forward-looking statements in this Form 10-K will prove to be accurate. Although we believe that we have a reasonable basis for each forward-looking statement contained in this Form 10-K, we caution you that forward-looking statements are not guarantees of future performance and that our actual results of operations, financial condition and liquidity, and the development of the industry in which we operate, may differ materially from the forward-looking statements contained in this Form 10-K. In addition, even if our results of operations, financial condition and liquidity, and the development of the industry in which we operate, are consistent with the forward-looking statements contained in this Form 10-K, they may not be predictive of results or developments in future periods.
Some of the material factors that we believe could cause actual results to differ from those anticipated or predicted include:
| ● | the successful development and implementation of our sales and marketing campaigns; |
| ● | the size and growth of the potential markets for our product candidates and our ability to serve those markets; |
| ● | regulatory developments in the United States and other countries; |
| ● | our available cash; |
| ● | the accuracy of our estimates regarding expenses, future revenues, capital requirements and needs for additional financing; |
| ● | our ability to obtain additional funding; |
| ● | our ability to manufacture and the performance of third-party manufacturers; |
| ● | our ability to identify license and collaboration partners and to maintain existing relationships; and |
| ● | our ability to successfully implement our strategy. |
You should also read carefully the factors described in the “Risk Factors” section of the Form 10-12GA. Any forward-looking statements that we make in this Form 10-K speak only as of the date of such statement, and we undertake no obligation to update such statements to reflect events or circumstances after the date of this Form 10-K except as required by the federal securities laws.
This Form 10-K includes statistical and other industry and market data that we obtained from industry publications and research, surveys and studies conducted by third parties. Industry publications and third-party research, surveys and studies generally indicate that their information has been obtained from sources believed to be reliable, although they do not guarantee the accuracy or completeness of such information. While we believe these industry publications and third-party research, surveys and studies are reliable, we have not independently verified such data.
| 2 |
| Item 1. | Business |
Background
Rainmaker Worldwide Inc. (“RAKR”, the “Company”, “we”, “us” or “our”) is a Nevada corporation originally formed on February 27, 1998. The corporation became RAKR on July 3, 2017, in a reverse merger.
Rainmaker Worldwide Inc. (Ontario) (“RWI”), an Ontario Corporation, was formed in Peterborough, Ontario, Canada on July 21, 2014, under the Ontario Business Corporations Act to finance and commercialize patented technology and to consolidate the assets, intellectual property, and executive management expertise of Dutch Rainmaker B.V. (“DRM”). On March 31, 2023, the Company sold a 60% interest in RWI leaving the Company, with a 40% interest going forward. RWI in turn finalized the purchase of a 60% interest Miranda Environmental and Water Treatment Technologies, Energy, Natural Resources, Engineering, Consulting, Construction and Commerce Inc.(“Miranda”). The remaining 40% of the Miranda shares will be acquired over a maximum two-year period. RWI is now focused on business development activities in North, South and Central America along with the Caribbean. We are implementing projects going forward using proprietary technology of Rainmaker Holland B.V. (“RHBV”). The Company now owns 12% ownership interest in RHBV.
On July 3, 2017, RWI shareholders completed a share exchange with the Company (the “Merger”) pursuant to a share exchange agreement dated June 28, 2017 (the “Share Exchange Agreement”) among the Company, RWI and RWI’s 45 shareholders at the time. Upon completion of the Merger, and in accordance with the terms and provisions of the Share Exchange Agreement, the Company acquired an aggregate of 9,029,562 common shares of stock in the capital of RWI from the RWI Shareholders (being all of the issued and outstanding shares of RWI) in exchange for an aggregate of 66,818,759 restricted shares of the Company’s common stock, or 7.4 shares for each share of RWI. Therefore, RWI became a wholly owned subsidiary of the Company effective July 3, 2017. The Company’s former name, Gold and Silver Mining of Nevada, Inc. (“CJT”) was changed on April 24, 2017, in expectation of and conditional upon completion of the Merger. The Merger was accounted for as a reverse acquisition with RWI considered the accounting acquirer since the former RWI shareholders remained in control of the combined entity after the consummation of the transaction. As part of the Merger, net liabilities of $235,495 were recognized on the Company’s balance sheet. The Company trades on the OTC: Pink under the symbol RAKR.
On July 15, 2020, Sphere 3D Corp. (NASDAQ: ANY) announced that it entered into a definitive merger agreement pursuant to which it would have acquired all the outstanding securities of Rainmaker Worldwide Inc. Upon closing, Sphere 3D’s name would have changed to Rainmaker Worldwide Inc., and its business model would have focused on Water-as-a-Service (“WaaS”). Rainmaker management would have assumed operational leadership of the combined entity. The transaction was subject to completion of an equity financing, or series of financings, for a minimum of US$15 million at a share price to be mutually agreed prior to closing and such other customary regulatory and shareholder approvals, including the approval of NASDAQ. Closing was originally expected to occur prior to December 31, 2020, but was subject to extension to February 28, 2021, under certain circumstances if mutually agreed by the parties. As part of this process, Sphere 3D agreed to advance US$1.85 million to Rainmaker by way of a secured convertible note for Rainmaker to sustain multiple growth initiatives. The funds were used to fulfill recent contracts and expand its equipment production capacity. This note remains payable and is presented in RAKR’s financial statements. Due to various transactional and regulatory complications the agreement was ultimately terminated on February 12, 2021 and was subsequently announced publicly.
As a result of the incomplete Sphere 3D transaction, on March 31, 2021, the Company, including RWI, entered into a business agreement with RHBV, DRM and Wind en Water Technologie Holding B.V. (“WWT”). These companies were considered related parties on that date by virtue of stock ownership exceeding 10%. The parties agreed to an exchange of contractual obligations, debt owed, and shares of common stock in full settlement of all obligations among the parties. The resultant Financial Statements, in accordance with ASC 205-20-45-1E, reflect the impact of these exchanges to the Company. The Company and RHBV decided to restructure in order to optimize business operations and broaden access to the capital markets. The Company retains a 12% ownership stake in RHBV. RAKR retains access to the technology based on a cost-plus formula.
| 3 |
The Company utilizes two main types of energy-efficient, fresh water-producing/purification technologies: (1) Air-to-Water (“AW”), which harvests fresh water from humidity and heat in the atmosphere, and (2) Water-to-Water (“WW”), which transforms the full range of wastewater to contaminated water using a combination of the Company’s technologies with the now broadened product portfolio thanks to the acquisition of Miranda.
The Company has generated limited revenue up until the present time, and its operations for the past four years have been typically focused on business development, market research, technology research and development activities. The Company had total assets of $43,038, as of December 31, 2022. As of December 31, 2023, net assets were $30,725.
At present, the Company executes consulting agreements with experienced executive personnel and senior advisors. Future sales will be heavily driven by independent distributors and project developers. The Company had $78,912 in revenue for the year ending December 31, 2023 and no revenue for the year ending December 31, 2022 and had net losses of $1,218,908 and $1,837,611 for the years ended December 31, 2023 and 2022, respectively. The losses in 2023 have been reduced by 34% compared to 2022. The 2023 losses are driven by operating expenses, the first important component being the cost associated with maintaining the Company’s listing and current filing status with the SEC. The second component is consulting expenses including stock option expenses which incorporate derivative liabilities for warrants, the majority of which remains on the balance sheet as related party payables. The Company has suffered recurring losses from operations, negative cash flows from operating activities and has limited resources or revenues to cover its operating costs. The Company’s auditor’s report for 2023 stated that there was substantial doubt about the Company’s ability to continue as a going concern.
Impact of COVID-19
On March 11, 2020, the World Health Organization categorized COVID-19 as a pandemic. As a global corporation, the economic effects for the Company were substantial and there are still lingering economic impacts globally.
Products and Services
Overview
Across the world, fresh water is unevenly distributed. Many regions are desperately under-served, including North Africa, the Middle East, India, Mexico, large portions of South America, and various island geographies.
Fundamentally, the Company’s solutions are based on deploying technology with the following attributes to ensure low-cost delivery and Company profitability:
| ● | Versatile | |
| ● | Scalable & Cost-effective | |
| ● | Environmentally & Socially Sustainable | |
| ● | Applying Proprietary Technology through partners and affiliates |
Air-to-Water (AW) – Harvests fresh water from airborne humidity by using advanced heating and cooling technologies. Water-to-Water (WW) – Transforms contaminated water (saltwater, sewage, polluted) into safe, clean water by using environmentally sustainable processes.
| 4 |
The operating efficiency of these technologies allows us to provide customers with clean water at a price that is highly competitive relative to traditional alternatives. We substantially out-perform peer competitors because we can deploy remotely where the water is consumed and use up to 50% less power than those same competitors. The compact and scalable systems for AW and WW enable decentralized deployment, in which water is distributed directly to the consumption site with no expensive piping or truck transport. AW and WW are both cost-effective technology solutions and can be powered by solar, wind, or grid electricity, or a combination of power sources.
Cost Information
Currently in remote locations, the principal source of supply is bottled water. Accordingly, our solutions are optimally profitable when we compete head-to-head with bottled water that is transported or bulk water that is transported by truck to local communities. In most remote communities where this water is imported, the minimum cost per liter is US$0.30 reaching as high as US$2.00, according to our market research. The Company’s fully amortized cost of water per liter including bottling, operating and maintenance, distribution and other costs allows us to compete profitably to generate corporate value beneficial to our shareholders.
Business Model
The RAKR business model typically begins with the identification of a trusted local partner. When applicable, the next step is to enter into JV structures which maximize value to all stakeholder-parties. The Rainmaker delivery systems are installed by our team and serviced by entering into contracts with local third-party experts that are trained in the technology.
In addition, over the course of the past year, we have been developing partnerships with highly experienced developers of complementary technology. That gives RAKR the ability to have a more comprehensive product set when proposing solutions to communities, developers and commercial entities. The most significant agreement to date was with Miranda. The Miranda distribution agreements formed in 2023 have now been formalized with the acquisition of Miranda in January of 2024.
RAKR and Miranda’s combined technologies are part of the Company’s long-term technological integration strategy. Miranda has been delivering systems for more than ten years across 40 countries globally. As a result, their global experience is invaluable to Rainmaker and Rainmaker shareholders.
Regulatory Information
The global nature of our approach means that regulatory conditions vary by jurisdiction. We believe that the ultimate test of profitability in this complex, cross-jurisdictional environment will be the quality of the water that is bottled and tested. The Company seeks to adhere to World Health Organization standards for clean water using the technologies that are authorized in a particular sovereign jurisdiction.
| 5 |
Potential Improvements
Potential improvements and related applications that we are pursuing or plan to pursue include seeking more strategic and technology-based partnerships with complementary technology and business development companies to expand our global reach and service offering.
Market Opportunity
In the past ten years, there has been a growing awareness of the shortage of fresh water—and the associated economic and social effects the problem magnifies in impoverished and underdeveloped communities. Entities ranging from Water.Org to the United Nations (access to safe drinking water represents #6 of the 17 Sustainable Development Goals articulated by the United Nations) are at the forefront of driving international policy momentum and prospects for multilateral cooperation in the realms of global governance and public-private co-regulation. Common to these efforts is the search for scalable and practical solutions that possess applications uniquely suited to the problem of shortage.
The metrics that underpin the international need for ingenuity and action are the same as those that animate and sustain the market opportunity for our Company:
| (1) | Less than 3% of the world’s water is fresh – the rest is seawater and undrinkable in its current state. | |
| (2) | Of this 3%, over 2.5% is frozen and locked up in Antarctica, the Arctic and glaciers. | |
| (3) | People and animals rely on 0.5% of the world’s water. (Source: Unwater.org - Facts and Trends: Water) |
Moreover, at any moment, the atmosphere contains approximately 37.5 million billion gallons of water. This potential is not currently harvested by the means of private organizations or government institutions and thus presents a significant opportunity for AW technology to satisfy worldwide demand for water.
The World Health Organization estimates that 50 liters of water per day is required per individual to meet basic needs. It is estimated by the OECD that by 2030 nearly half of humanity will be living in a condition of severe water stress. Currently, according to UNICEF, 2.2 billion people around the globe lack safe drinking water. While high-income countries treat 70% of wastewater, low-income countries treat only 8%. With the world’s population expected to reach 9 billion by 2038, the global need is indisputably high. Much of the population expansion is or will be in the very areas that are already suffering from the problem of water scarcity.
The above analysis points to a global market for water that is very large. In 2015, the annual global water market for all purposes and uses was $650 billion and it is expected to expand to $1 trillion by 2025. (Source: RobecoSAM Study (2015, June). Water: the market of the future). Applying RAKR’s approach against the purposes and uses defined above, our solutions are tailored to meet roughly 70% of that global level of demand.
Suppliers
As stated previously, our principal suppliers for the Company’s technologies to be deployed will either be RHBV or Miranda. Should RHBV not supply the appropriate scale of technology required by a project, RAKR has identified multiple alternative sources of technologies. The Company now has access to an impressive suite of water purification technologies by virtue of its acquisition of Miranda.
We also have suppliers of complementary technology that we expect to be delivering in 2023 to diversify the Rainmaker business model. Complementary and supplemental technology (i.e., bottling, pre-post wastewater treatment, mineralization solutions, and renewable energy) – suppliers are global, abundant, and highly competitive so as to ensure the lowest cost per liter.
The Company and RWI will continue to seek relationships with other technologies in the market that are complementary to our collective offering.
Competition
The Rainmaker business model that will deliver potable water at the source of demand is uniquely positioned to address alternative competitive models. We believe that competitive models, while relevant and plausible alternatives, will not ultimately fully support the global level of demand for water at a reasonable price per liter. By virtue of our current affiliations, we believe we have a cost per liter competitive advantage. Accordingly, on a global basis, we do not believe competitive conditions will thwart our ability to produce long-term, corporate value or significantly diminish our financial results in the near term. However, other companies with sufficiently greater resources may develop competing products and have an advantage over us based on the relative size.
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Government Subsidies and Incentives
While RAKR is not currently pursuing subsidies and incentives, we believe that over time such programs will be applicable to the Company, and we will pursue them in due course. RWI, RAKR’s 40% owned subsidiary, will begin to seek Subsidies and Incentives as it is now majority Canadian shareholder owned. One example is First Nations in Canada where there is an ongoing and desperate shortage of safe drinkable and general-purpose water.
Over time, RAKR will seek international subsidies and incentives through its deployment of technology in underserved countries and particular communities within countries.
Intellectual Property
We have indirect access to considerable intellectual property assets as a consequence of our partial ownership of and various partnerships with RHBV and Miranda. We believe that this allows us to maintain a competitive edge.
Company Executive and Consulting Resources
The direct Executives of RAKR are represented by Michael O’Connor, Director, Executive Chairman and CEO and Kelly White, EVP of Finance. These resources are sourced through consulting agreements.
We have an extended sales force through our distribution partners. Currently we have distribution partners with global reach.
Legal services have been provided by Sichenzia Ross Ference LLP since November 2017.
M&K CPAS PLLC has served as the Company’s auditor since 2020.
| Item 1A. | Risk Factors |
Investing in our common stock involves risks. Each of these risks as well as other risks and uncertainties not presently known to us or that we currently deem immaterial could adversely affect our business, results of operations, cash flows and financial condition and cause the value of our common shares to decline, which may result in the loss of part or all of your investment.
Risks Related to our Business
RAKR has a limited commercial operating history, which makes the evaluation of its future business prospects difficult.
The Company has recently commercialized its business to deploy its technologies using AW and WW and partner products and services. Consequently, the Company has limited operating history and an unproven marketing and sales strategy. Our primary activities to date have been the research and development of intellectual property and technology assets and identifying prospective global clients that management believes would operationalize our technologies. As such, we may not be able to achieve positive cash flows and our lack of operating history makes evaluation of our future business and investment prospects difficult. The Company’s success is dependent upon the successful development and implementation of suitable water projects and establishing its water production technology capabilities in a variety of complex environmental crises worldwide. Any future success that we might achieve will depend upon various factors, including factors beyond our control that cannot be predicted at this time. These factors may include but are not limited to:
| ● | weather conditions in the areas we serve; |
| 7 |
| ● | the economies of the countries in which we conduct business; | |
| ● | our relationships with the governments, water utility, and/or companies we serve; | |
| ● | water regulatory matters of the countries in which we conduct business; | |
| ● | our ability to successfully enter new markets; | |
| ● | changes in or increased levels of competition in the water sector; and | |
| ● | the market price of and the uses for water in an international landscape. |
Our independent registered public accounting firm has issued an unqualified opinion on our financial statements with a “going concern” paragraph.
Our independent registered public accounting firm’s opinion on our Fiscal 2023 financial statements has a “going concern” explanatory paragraph. Such an opinion may make parties reluctant to extend trade credit to us or raise capital and thereby make it more difficult for us to conduct our business operations. In addition, such an opinion from the independent registered public accounting firm may also make third parties reluctant to do business with us or to invest funds in our company, thereby raising difficulties for us in the conduct of our business.
Relatively new to commercialization, the Company is unable to predict future revenues which makes an evaluation of its business speculative.
Because of the Company’s current business focus, lack of operating history, early-stage marketing strategy, its ability to accurately forecast revenues is difficult. Future variables to the Company’s strategy are related to the market for water itself; the price of water in international markets; and the creation and maintenance of a significant and reliable customer base. To the extent we are unsuccessful in establishing our business strategy and generating revenues, we may be unable to appropriately adjust spending in a timely manner to compensate for any unexpected revenue shortfall or will have to reduce our operating expenses, causing us to forego potential revenue-generating activities, either of which could have a material adverse effect in our business, results of operations, and overall financial condition.
RAKR expects its operating expenses to increase in the future with no assurance that revenues will be sufficient to cover those expenses, which could delay or prevent RAKR from achieving profitability.
As our business grows and expands, RAKR expects to have substantial planned expenses in order to facilitate and maintain strategic distribution channels and key relationships. We expect our cost of revenues, business development, marketing, sales, operational, general, and administrative expenses to continue to increase. If revenues do not increase to correspond with these increased expenses or if outside capital is not secured, there may be a material adverse effect on our business, cash flow, and overall financial condition.
If the Company fails to raise additional external capital to fund its business growth and project development, the Company’s business could fail. We anticipate the need for significant amounts of financial capital to meet the needs of the Company. The Company will attempt to raise such funds through the future issuance of stock or debt instruments in the capital markets. However, there is no assurance that we will be successful in raising sufficient additional capital, and there can be no assurance that external financing will be available to us. If adequate funds are unavailable or unavailable on acceptable terms, our ability to fund the Company’s marketing and sales efforts, global projects, potential expenditures in relation to strategic opportunities, and possible corporate responses to existing or unexpected competitive pressures would be significantly limited. Such limitation could have a material adverse effect on our business and overall financial condition.
Raising funds through debt or equity financings in the future, would dilute the ownership of our existing stockholders and possibly subordinate certain rights to the rights of new investors or creditors.
We expect to raise additional funds by engaging in equity and/or debt financing transactions if capital providers supply the desired amount of financial capital on the basis of terms we believe reasonable to provide for working capital needs, finance the acquisition of capital assets, and carry out business development efforts in the best interest of existing shareholders. Any sales of additional equity and/or convertible debt securities would result in dilution of the equity interests of our existing stockholders, which could be substantial. Additionally, if we issue shares of preferred stock or convertible debt to raise funds, the holders of those securities might be entitled to various preferential rights over the holders of our Common Stock, including repayment of their investment, and possibly additional amounts, before any payments could be made to holders of our Common Stock in connection with an acquisition of the Company. Incurring additional debt, if authorized, would create rights and preferences that would be senior to, or otherwise adversely affect, the rights and the value of our Common Stock and would have to be repaid from future cash flow before there would be any return to investors. On June 29, 2022 the Company increased its authorized capital to 500,000,000 and established one million preferred shares of which 150,000 have been issued.
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Our business will depend on certain key RAKR personnel and suppliers, the loss of which would adversely affect our chances of financial success.
The Company’s success depends to a significant extent upon the continued service of its senior management, key executives and consultants. We do not have “key person” life insurance policies on any of our officers or other employees. The loss of the services of any key members of senior management, and other key personnel, or our inability to retain high quality subcontractors and/or suppliers would have a material adverse effect on our business and operating results.
Management may be unable to implement our Business Strategy.
The Company’s business strategy is to commercialize our technologies that management believes may have significant humanitarian and commercial application, thereby affecting corporate value for the benefit of equity holders. The Company’s business strategy includes developing a global marketing and sales network, and there is no assurance that we will be able to successfully identify and/or develop commercial partners for our products. In addition, even if we identify and/or develop commercial partners, distributors, and/or JVs, the time and cost of developing these relationships or otherwise obtaining local permits and guidelines, may exceed our expectations, or, when developed, the amount of water available may fall significantly short of expectations, which may provide a lower return on investment or a loss to the Company.
We have a limited customer base and network of distribution partners.
During the past year we have entered into various discussions with international partners, distributors, and agents that are prepared to deploy our technologies. Nonetheless, we have not yet established a significant customer base. While we believe our projects will have a significant impact on global water markets, and, as a result, reflect positively on the Company’s performance, an inability to attract customers and/or an incapacity to deliver our projects in a timely and cost-effective manner would have an adverse effect on our potential revenues from and growth of our business.
Water is a highly regulated industry.
Water is subject to extensive regulation by country, state and municipal regulatory authorities. Federal and state statutes regulate quality standards, safety, handling procedures, and other environmental protection controls as well as the rights of end users. We will strive to verify that our water quality will comply with all known safety and environmental standards and regulations applicable to such countries in which we are conducting business. We have extensive in-house knowledge of World Health Organization water quality standards, and we will seek local partners who we believe are operating in best-efforts compliance with all safety and environmental standards and regulations applicable to delivering water to the end consumers. However, there can be no assurance that our compliance efforts could be challenged or that future changes in federal, state and/or municipal laws, regulations or interpretations thereof will not have a material adverse effect on our ability to establish and sustain operations or adversely affect the operations of our partners.
The technology we decide to deploy may require certifications before being deployed in certain global territories.
The technology we use to deploy may require certain certifications before being implemented in certain international territories. For example, in the case of the United States our deployed technology must be certified by the United States Environmental Protection Agency, under the Safe Drinking Water Act (“SDWA”) to meet certain standards in order to be certified for use in large government projects. While the technology expected to be deployed by the Company is certified in certain territories, there is no assurance as to if and/or when such certifications will be obtained in new territories we are expecting to enter and sell into. Supplemental technologies – bottling, mineralization and pre-post treatment — will be chosen only if they have already been certified.
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We are exposed to risks in connection with legal liability claims associated with water quality in the event that the water delivered results in injury or damage.
If a consumer of our produced or purified water was ill affected from a health perspective by the water quality the Company could be exposed to legal liability. The Company in all cases will use every tool necessary and practically available to limit any such risk.
We face competition in our market space.
The competition in AW and WW technology is limited. Until recently, smaller remote on-site solutions have not been cost-competitive compared to alternatives, but that has changed. At the present time, we are aware of other companies that produce AW and/or WW technologies. To the extent that future technological advance in the market results in pricing pressures, and the possibility that that will affect the Company’s ability to increase its market share, we may face an adverse effect on our business, operating results, and overall financial condition. At such time, the Company will consider its technological options accordingly.
We will incur increased costs and may have difficulty attracting and retaining qualified directors and executive officers as a result of becoming a public company.
RAKR has become a public “reporting company” with the US Securities and Exchange Commission (“SEC”). As a public reporting company, we will incur significant legal, accounting, reporting and other expenses not generally applicable to a private company. We also will incur costs associated with corporate governance requirements, including requirements under the Sarbanes-Oxley Act of 2002 as well as other rules implemented by the SEC. We expect these rules and regulations to increase our legal and financial compliance costs and to make some activities more time-consuming and costly. We also expect these rules and regulations to make it more difficult and more expensive for us to obtain director and officer liability insurance, and we may be required to accept reduced policy limits and coverage. As a result, we may experience difficulty attracting and retaining qualified individuals to serve on our board of directors or as executive officers.
A significant number of the Company’s outstanding shares remain with resale restrictions however we have 392,559,425 (78.6%) shares in the public float.
The shares of the Company’s common stock issued in the 2017 were issued and designated as “restricted” or “control” shares as defined in Rule 144 under the Securities Act and are subject to resale restrictions. Consequently, these shares were not able to be freely sold at the time unless registered under the Securities Act of 1933 or sold pursuant to an available exemption under Rule 144. As of March 22, 2024, approximately 392,559,425 shares of the Company’s common stock, held by non-affiliate stockholders are eligible for resale pursuant to Rule 144 without resale restrictions. This represents approximately 78.6% of the total issued and outstanding shares of stock. While this remains a risk factor the number of shareholders and the percent of tradeable shares suggest a functioning market for the Company’s shares.
Cybersecurity Risks
While many companies face real threats of cybersecurity, the Company does not rely heavily on IT infrastructure to conduct its day-to-day business. From time to time, the Company’s limited IT systems are upgraded with the necessary security protocols recommended by the Company’s IT consultant. We do not rely heavily on IT systems to store sensitive information that would have an adverse effect on the Company’s business.
Inadequate market liquidity may make it difficult to sell our stock.
There is currently a public market for our common stock with volumes that have been variable over time, and we can give no assurance that there will always be a market with substantial liquidity, nor can we give assurance that the market for our stock will develop sufficiently to create significant market liquidity and/or stable market prices in the future. A stockholder may find it difficult or impossible to sell shares of our common stock on the public market because of the limited number of potential buyers at any time and/or because of fluctuations in our market price. In addition, the shares of our common stock are not eligible as a margin security, and lending institutions may not accept our common stock as collateral for a loan.
We do not anticipate paying any dividends in the foreseeable future, which may reduce the return on your investment in our common stock.
To date, the Company has not paid any cash dividends on its common stock and does not anticipate paying any such dividends in the foreseeable future. Payment of future dividends will depend on earnings and our capital requirements and our debt facilities and other factors considered appropriate by our Executive Officers and Directors. There is no assurance that we will, at any time, generate sufficient profits or surplus cash that would be available for distribution as a dividend to the holders of our common stock. Our current plans are to use any profits that we may generate to fund our ongoing marketing, sales, and operations. Therefore, any return on your investment would be derived from an increase in the price of our stock, which may or may not occur.
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There is an active but variable trading market for our common stock making our stock vulnerable to significant price and volume fluctuations.
There is currently an active trading market for our common stock, which is quoted and traded on the OTC: Pink. The OTC is not a listing service or exchange but is instead a dealer quotation service for subscribing members. Consequently, the market for our common stock will depend to a certain extent on the number of market makers trading in our stock. The market price of our common stock may be significantly affected by factors such as actual or anticipated fluctuations in our operating results, the activities of our market makers, general market conditions, and other factors. In addition, stock markets have from time-to-time experienced significant price and volume fluctuations that have particularly affected the market prices of the shares of development stage companies such as Rainmaker, which may adversely affect the market price of our common stock in a material manner. Rainmaker is no exception and has recently experienced very high volumes and the adverse negative effects of aggressive short sellers in the market for RAKR common stock.
In addition, the financial markets have experienced price and volume fluctuations from time to time in the recent past. The market prices of securities in the water industry have been relatively stable compared to other sectors. The sale or attempted sale of a large amount of common stock into the market may also have a significant impact on the trading price of our common stock. Many of these factors are beyond our control and may decrease the market price of our common stock, regardless of our operating performance.
| Item 1B. | Unresolved Staff Comments |
Not applicable to smaller companies.
| Item 1C. | Cybersecurity |
Risk Management and Strategy
The Company has processes for assessing, identifying, and managing material risks from cybersecurity threats. These processes are integrated into the Company’s overall risk management systems, as overseen by the Company’s board of directors, primarily through its audit committee. These processes also include overseeing and identifying risks from cybersecurity threats associated with the use of third-party service providers. The Company conducts security assessments of certain third-party providers before engagement and has established monitoring procedures in its effort to mitigate risks related to data breaches or other security incidents originating from third parties. The Company has a third-party consultant who, from time to time, evaluates any potential cybersecurity risks on the Company’s behalf.
Governance
Board of Directors
The audit committee of the Company’s board of directors, with the input of management, oversees the Company’s internal controls, including internal controls designed to assess, identify, and manage material risks from cybersecurity threats. The audit committee is informed of material risks from cybersecurity threats by the Company’s Chief Executive Officer and interim Chief Financial Officer and, given the size of the Company, its IT consultant. In the event that there were ever suspicions of cybersecurity risks, updates on such risks, including material risks and threats, would be provided to the Company’s audit committee and the Company’s board of directors as required. Given the limited nature of the Company’s IT infrastructure, in the conduct of its business, there have not been any cybersecurity issues.
Management
Under the oversight of the audit committee of the Company’s board of directors, and as directed by the Company’s Chief Executive Officer who, from time to time, engages the Company’s IT consultant to review the security of its IT structure is primarily responsible for the assessment and management of material cybersecurity risks. The IT consultant has more than 20 years of experience and is fully capable of dealing with any potential cybersecurity risks.
The audit committee of the Company’s board of directors, with the assistance of the Company’s interim Chief Financial Officer, is responsible for overseeing the establishment and effectiveness of controls and other procedures, including controls and procedures related to the public disclosure of material cybersecurity matters.
As of the date of this report, the Company is not aware of any cybersecurity incidents that have materially affected or are reasonably likely to materially affect the Company, including its business strategy, results of operations, or financial condition and that are required to be reported in this report. For further discussion of the risks associated with cybersecurity incidents, see the cybersecurity risk factors in Item 1A. Risk Factors in this report.
| Item 2. | Properties |
The Company has access to its corporate offices at 271 Brock Street, Peterborough, Ontario Canada K9H 2P8 and its main corporate telephone number is (877) 334-3820. In the previous four years we have operated from home offices and continue to do so and will use the Corporate Offices on an as needed basis.
| 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 any of our directors, officers or affiliates, or any registered beneficial shareholder, is an adverse party or has a material interest adverse to our interest.
| Item 4. | Mine Safety Disclosures |
Not applicable to smaller companies.
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| Item 5. | Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities |
| (a) | Market Information |
Our common stock is quoted on the OTC: Pink under the symbol “RAKR”. The high and low bid prices of our common stock for the periods indicated below are as follows:
| Quarter Ended | High* | Low* | ||||||
| December 31, 2023 | $ | 0.0027 | $ | 0.0020 | ||||
| September 30, 2023 | $ | 0.0009 | $ | 0.0007 | ||||
| June 30, 2023 | $ | 0.0018 | $ | 0.0014 | ||||
| March 31, 2023 | $ | 0.0016 | $ | 0.0013 | ||||
| December 31, 2022 | $ | 0.0070 | $ | 0.0035 | ||||
| September 30, 2022 | $ | 0.0099 | $ | 0.0090 | ||||
| June 30, 2022 | $ | 0.031 | $ | 0.024 | ||||
| March 31, 2022 | $ | 0.0204 | $ | 0.0171 | ||||
| *Source: yahoo!finance Historical Data | ||||||||
Quotations reflect interdealer prices, without retail mark up, markdown or commissions and may not represent actual transactions.
| (b) | Holders |
The number of holders of record of RAKR common stock at the time of filing was approximately 4,153. Many of our shares of common stock are held by brokers and other institutions on behalf of stockholders, so we are unable to estimate the number of stockholders represented by the record holders.
The transfer agent for RAKR common stock is Pacific Stock Transfer, 6725 Via Austi Pkwy, Suite 300 Las Vegas, NV 89119.
| (c) | Dividends |
The Company has not paid any cash dividends to date and does not anticipate or contemplate paying dividends in the foreseeable future. It is the present intention of management to utilize all available funds for the development of the business.
| (d) | Securities Authorized for Issuance Under Equity Compensation Plans |
On January 21, 2020, the Company entered into a three-year consulting agreement with a company controlled by its new CEO. The contract included 3,600,000 warrants with an exercise price of $0.20 vesting in equal amounts commencing the effective date of the contract. On December 31, 2020, this contract was terminated. The warrants vested immediately, and the exercise price was amended to $0.10. As well, the Company granted an additional 500,000 warrants which vested immediately at an exercise price is $0.10. All expire December 31, 2025. As of January 8, 2024, these warrants have been repriced at $0.001389.
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On January 22, 2020, the Company entered into a three-year consulting agreement with a third party for consulting and business development services. The contract included warrants of which 25,000,000 remain in effect exercisable at $0.20 and expired January 21, 2023.
On October 1, 2020, the Company entered into a consulting agreement with an Advisor which granted warrants in full compensation for services. It included 13,500,000 warrants at an exercise price of $0.30 now expired as of October 1, 2023. A further 15,000,000 warrants were issued at an exercise price of $0.15 expiring October 1, 2025.
On April 1, 2021, the Company granted 4,100,000 options as part of an amendment to an Executive Consultant’s contract; 125,000 options vest per month commencing April 1, 2021 with a term of 5 years and exercisable at a price of $0.10 per Share. As of January 8, 2024, these options have been repriced at $0.001389.
On December 21, 2021, the Company granted 500,000 options to each of the two new Directors; for each, 100,000 options vested immediately and the balance vests over the remaining term of their appointment; each with a term of 5 years and exercisable at $0.10 per share or with a 20% discount to market based on a 30-day VWAP if it falls below $0.10, not to go below $0.07. These options are fully vested as of December 31, 2023. As of January 8, 2024, these options have been repriced at $0.001389.
On July 1, 2022, the Company granted 1,500,000 options to new VP Sales with an exercise price of $0.10 and a 5-year term with 640,000 vesting immediately and the balance equally vesting over one year. At the same time, the Company granted 2,500,000 options to an executive with an exercise price of $0.10 and a 5-year term with 500,000 vesting immediately and the balance vesting equally over one year. As of January 8, 2024, these options have been repriced at $0.001389.
| Item 6. | Selected Financial Data |
Not applicable.
| Item 7. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
The following discussion and analysis contain forward-looking statements about our plans and expectations of what may happen in the future. Forward-looking statements are based on a number of assumptions and estimates that are inherently subject to significant risks and uncertainties, and our results could differ materially from the results indicated by our forward-looking statements as a result of many known or unknown factors, including, but not limited to, those factors discussed in Item 1A. “Risk Factors” in our on Form 10-12GA below in Part II Item 1A. “Risk Factors” of this Form 10-K and in the “Cautionary Note Regarding Forward-Looking Statements” set forth at the beginning of this report.
You should read the following discussion and analysis in conjunction with the audited financial statements, and the related footnotes thereto, appearing elsewhere in this Form 10-K, and in conjunction with management’s discussion and analysis and the audited financial statements included in our Form 10-12GA. In addition, we intend to use our media and investor section on our website (www.rainmakerww.com/category/investor-updates/), SEC filings and press releases to communicate with the public about Rainmaker, its services and other issues.
Overview
Rainmaker Worldwide Inc. (“RAKR”, the “Company”, “we”, “us” or “our”) is a Nevada corporation originally formed on February 27, 1998. The corporation became RAKR on July 3, 2017, in a reverse merger. We are currently developing projects in various locations around the globe using RAKR and partner technologies. We are implementing these projects using proprietary technology of Rainmaker Holland B.V. (“RHBV”) in which the Company has a 12% ownership stake. RAKR retains access to the technology based on a cost-plus formula.
Rainmaker Worldwide Inc. (Ontario) (“RWI”), an Ontario Corporation, was formed in Peterborough, Ontario, Canada on July 21, 2014, under the Ontario Business Corporations Act to finance and commercialize patented technology and to consolidate the assets, intellectual property, and executive management expertise of DRM. RAKR retains a 40% interest in RWI following an investment from financial partners to affect the acquisition of Miranda.
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On July 3, 2017, RWI shareholders completed a share exchange with the Company (the “Merger”) pursuant to a share exchange agreement dated June 28, 2017 (the “Share Exchange Agreement”) among the Company, RWI and RWI’s 45 shareholders at the time. Upon completion of the Merger, and in accordance with the terms and provisions of the Share Exchange Agreement, the Company acquired an aggregate of 9,029,562 common shares of stock in the capital of RWI from the RWI Shareholders (being all the issued and outstanding shares of RWI) in exchange for an aggregate of 66,818,759 restricted shares of the Company’s common stock, or 7.4 shares for each share of RWI. Therefore, RWI became a wholly owned subsidiary of the Company effective July 3, 2017. The Company’s former name, Gold and Silver Mining of Nevada, Inc. (“CJT”) was changed on April 24, 2017, in expectation of and conditional upon completion of the Merger. The Merger was accounted for as a reverse acquisition with RWI considered the accounting acquirer since the former RWI shareholders remained in control of the combined entity after the consummation of the transaction. As part of the Merger, net liabilities of $235,495 were recognized on the Company’s balance sheet. As a result of the Merger, the Company trades on the OTC: Pink under the symbol RAKR.
On July 15, 2020, Sphere 3D Corp. (NASDAQ: ANY) announced that it entered into a definitive merger agreement pursuant to which it would have acquired all the outstanding securities of Rainmaker Worldwide Inc. Upon closing, Sphere 3D’s name would have changed to Rainmaker Worldwide Inc., and its business model would have focused on Water-as-a-Service (“WaaS”). Rainmaker management would have assumed operational leadership of the combined entity. The agreement was ultimately terminated on February 12, 2021 and was subsequently announced publicly.
As a result of the incomplete Sphere 3D transaction, on March 31, 2021, the Company, including RWI, entered into a business agreement with RHBV, DRM and WWT. These companies were considered related parties on that date by virtue of stock ownership exceeding 10%. The parties agreed to an exchange of contractual obligations, debt owed, and shares of common stock in full settlement of all obligations among the parties. The resultant Financial Statements, in accordance with ASC 205-20-45-1E, reflect the impact of these exchanges to the Company. The Company and RHBV decided to restructure in order to optimize business operations and broaden access to the capital markets. The Company and RHBV, as mutual shareholders in each other’s company, continue to pursue the mission and objective of providing low-cost water to communities and commercial entities in need of water solutions. The Company retains a 12% ownership stake in RHBV.
The Company is headquartered in Peterborough, Ontario, Canada. The Company will utilize two main types of energy-efficient, fresh water-producing/purification technologies: (1) Air-to-Water (“AW”), which harvests fresh water from humidity and heat in the atmosphere, and (2) Water-to-Water (“WW”), which transforms seawater or polluted water into drinking water. The technologies can be wind driven, solar based, or can use conventional power sources, such as grid or generator. It is deployable anywhere and leaves no carbon trace if renewable resources are deployed.
Miranda Acquisition
On January 22, 2024, RWI, a 40% subsidiary of RAKR, finalized the acquisition of Miranda. The first payment of one million USD together with 40 million RAKR common shares was paid to the shareholders of Miranda. This provides RWI with controlling interest of Miranda initially at 60% of Miranda common stock holdings. The remaining two million USD is to be paid no later than 2 years from the closing date of January 22nd, 2024. Miranda is coming into 2024 after having a solid year of results in 2023 delivering projects in Iraq and Fiji among others. RWI and RAKR are actively marketing their solutions in Canada, US, Mexico, the Caribbean, Central America and South America. The expanded product portfolio will assist in market entry opportunities for Miranda and RAKR products alike, bringing revenue and value to all of the companies.
Ongoing Approach to Sales and Marketing
The Company’s ongoing focus will be to pair Rainmaker technologies with those of Miranda and their affiliate partners.
The Company has generated limited revenue up until the present time, and its operations for the past four years have been typically focused on business development, market research, technology research and development activities. The Company had total assets of $43,038, as of December 31, 2022. As of December 31, 2023, net assets were $30,725.
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At present, the Company executes consulting agreements with experienced executive personnel and senior advisors. Future sales will be heavily driven by independent distributors and project developers. The Company had $78,912 in revenue for the year ending December 31, 2023 and no revenue for the year ending December 31, 2022 and had net losses of $1,218,908 and $1,837,611 for the years ended December 31, 2023 and 2022, respectively. The losses in 2023 have been reduced by 34% compared to 2022. The 2023 losses are driven by operating expenses, the first important component being the cost associated with maintaining the Company’s listing and current filing status with the SEC. The second component is consulting expenses including stock option expenses which incorporate derivative liabilities for warrants, the majority of which remains on the balance sheet as related party payables. The Company has suffered recurring losses from operations, negative cash flows from operating activities and has limited resources or revenues to cover its operating costs. The Company’s auditor’s report for 2023 stated that there was substantial doubt about the Company’s ability to continue as a going concern.
On June 29, 2022, the Company held a Special Meeting of Stockholders that confirmed majority vote was achieved. Each share of the Company’s common stock was entitled to one vote per share. The matter voted upon and the results are set forth below. The Proposal presented: Increase in Authorized Shares and Establishment of Preferred shares. Stockholders approved an increase in the Company’s authorized common stock to 500,000,000 and the establishment of 1,000,000 preferred shares.
| For | Against | Abstentions | Broker Non-Votes | ||||||||||
| 78,263,619 | 1,051,137 | 305,787 | 0 | ||||||||||
Impact of COVID-19
On March 11, 2020, the World Health Organization categorized COVID-19 as a pandemic. As a global corporation the economic effects within the Company’s environment were substantial and there are still lingering economic impacts globally. In global markets, disruptions in supply chains and increases in related costs have had a real impact on our ability to deliver projects.
Products and Services
Overview
Across the world, fresh water is unevenly distributed. Many regions are desperately under-served, including North Africa, the Middle East, India, Mexico, large portions of South America, and various island geographies.
Fundamentally, our solutions are based on deploying technology with the following attributes to ensure low-cost delivery and Company profitability:
| ● | Versatile | |
| ● | Scalable & Cost-effective | |
| ● | Environmentally & Socially Sustainable | |
| ● | Applying Proprietary Technology through partners and affiliates |
Air-to-Water (AW) – Harvests fresh water from airborne humidity by using advanced heating and cooling technologies. Water-to-Water (WW) – Transforms contaminated water (saltwater, sewage, polluted) into safe, clean water by using an environmentally sustainable process. Through the acquisition of Miranda and RAKR’s own technology we have multiple options to purify wastewater.
The operating efficiency of these technologies allows us to provide customers with clean water at a price that is highly competitive relative to traditional alternatives. We substantially out-perform peer competitors because we can deploy remotely where the water is consumed and using up to 50% less power than those same competitors. The compact and scalable systems for AW and WW enable decentralized deployment, in which water is distributed directly to the consumption site with no expensive piping or truck transport. AW and WW are both cost-effective technology solutions and can be powered by solar, wind, or grid electricity, or a combination of power sources. They can produce roughly 5,000 to 150,000 liters of water per unit, per day, depending on the local conditions and the type of unit deployed.
Cost Information
Currently in remote locations, the principal source of supply is bottled water. Accordingly, our solutions are optimally profitable when we compete head-to-head with bottled water that is transported or bulk water that is transported by truck to local communities. In most remote communities where this water is imported, the minimum cost per liter is US$0.30 reaching as high as US$2.00, according to our market research. The Company’s fully amortized cost of water per liter including bottling, operating and maintenance, distribution and other costs allows us to compete profitably to generate corporate value beneficial to our shareholders. The market for distilled water supported in part by WW-based technology, which is essential to more specialized industrial or commercial activities, is expected to increase margins significantly.
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Regulatory Information
The global nature of our approach means that regulatory conditions vary by jurisdiction. We believe that the ultimate test of profitability in this complex, cross-jurisdictional environment will be the quality of the water that is bottled and tested. The Company seeks to adhere to World Health Organization standards for clean water using the technologies that are authorized in a particular sovereign jurisdiction.
Business Model
The RAKR business model typically begins with the identification of a trusted local partner. When applicable, the next step is to enter into JV structures, which maximize value to all stakeholder-parties. The Rainmaker delivery systems are to be installed by entering into contracts with local third-party experts that are typically Heating, Ventilation and Air Conditioning (“HVAC”) experts.
In addition, over the course of the past year, we have been developing partnerships with highly experienced developers of complementary technology. That gives RAKR the ability to have a more comprehensive product set when proposing solutions to communities, developers and commercial entities. The most significant agreement to date is with Miranda.
On January 22, 2024, RWI finalized the acquisition of Miranda (RAKR owns 40% of RWI). Miranda has been delivering systems for more than ten years across 40 countries globally. As a result, their global experience is invaluable to Rainmaker and Rainmaker shareholders.
Potential Improvements
Potential improvements and related applications that we are pursuing or plan to pursue include seeking more strategic and technology-based partnerships with complementary technology and business development companies to expand our global reach and service offering.
Market Opportunity
In the past ten years, there has been a growing awareness of the shortage of fresh water—and the associated economic and social effects the problem magnifies in impoverished and underdeveloped communities. Entities ranging from Water.Org to the United Nations (access to safe drinking water represents #6 of the 17 Sustainable Development Goals articulated by the United Nations) are at the forefront of driving international policy momentum and prospects for multilateral cooperation in the realms of global governance and public-private co-regulation. Common to these efforts is the search for scalable and practical solutions that possess applications uniquely suited to the problem of shortage.
The metrics that underpin the international need for ingenuity and action are the same as those that animate and sustain the market opportunity for our Company:
| (1) | Less than 3% of the world’s water is fresh – the rest is seawater and undrinkable in its current state. | |
| (2) | Of this 3%, over 2.5% is frozen and locked up in Antarctica, the Arctic and glaciers. | |
| (3) | People and animals rely on 0.5% of the world’s water. (Source: Unwater.org - Facts and Trends: Water) |
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Moreover, at any moment, the atmosphere contains approximately 37.5 million billion gallons of water. This potential is not currently harvested by the means of private organizations or government institutions and thus presents a significant opportunity for AW technology to satisfy worldwide demand for water.
The World Health Organization estimates that 50 liters of water per day is required per individual to meet basic needs. It is estimated by the OECD that by 2030 nearly half of humanity will be living in a condition of severe water stress. Currently, according to UNICEF, 2.2 billion people around the globe lack safe drinking water. While high-income countries only treat 70% of wastewater, low-income countries treat 8%. With the world’s population expected to reach 9 billion by 2038, the global need is indisputably high. Much of the population expansion is or will be in the very areas that are already suffering from the problem of water scarcity.
The above analysis points to a global market for water that is extraordinarily immense. Today, the annual global water market for all purposes and uses is $650 billion and is expected to expand to $1 trillion by 2025. (Source: RobecoSAM Study (2015, June). Water: the market of the future). Applying RAKR’s approach against the purposes and uses defined above, our solutions are tailored to meet roughly 70% of that global level of demand.
Suppliers
As stated previously, our principal suppliers for the core technologies to be deployed are Miranda and RHBV. Should RHBV not supply the appropriate scale of technology required by a project, RAKR has identified multiple technologies of different sizes and types. With the acquisition of Miranda, we now have complementary technology that we expect to deliver in 2024 to diversify the Rainmaker business model.
Competition
The Rainmaker business model that will deliver potable water at the source of demand is uniquely positioned to address alternative competitive models. We believe that competitive models, while relevant and plausible alternatives, will not ultimately fully support the global level of demand for water at a reasonable price per liter. In virtue of our current affiliations, we believe we have a cost per liter competitive advantage. Accordingly, on a global basis, we do not believe competitive conditions will thwart our ability to produce long-term, corporate value or significantly diminish our financial results in the near term. However, other companies with sufficiently greater resources may develop competing products and have an advantage over us based on the relative size.
Government Subsidies and Incentives
While RAKR is not currently pursuing subsidies and incentives, we believe that over time such programs will be applicable to the Company, and we will pursue them in due course.
Over time, RAKR will seek subsidies and incentives through its deployment of technology in underserved countries and particular communities within countries. One example is First Nations in Canada where there is an ongoing and desperate shortage of safe drinkable and general-purpose water.
Intellectual Property
We have indirect access to considerable intellectual property assets as a consequence of our partial ownership of and various partnerships with RHBV and Miranda. We believe that this allows us to maintain an edge in the competitive process from a technological and economic cost perspective.
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Results of Operations for the Years ended December 31, 2023 and 2022
Revenue
Revenue was $78,912 and $0 for the years ended December 31, 2023 and December 31, 2022, respectively.
General and Administrative Expenses
General and administrative expenses primarily include consultant expenses and benefit costs and stock-based compensation expense for executive consultants, outside legal and professional services, marketing and advertising, and facilities costs. General and administrative expenses for the years ended December 31, 2023 and December 31, 2022 were as follows (in thousands):
| Years Ended December 31, | Increase (Decrease) | |||||||||||||||
| 2023 | 2022 | $ | % | |||||||||||||
| General and administrative expense | $ | 623 | $ | 1,514 | $ | (891 | ) | (58.9 | )% | |||||||
| Stock-based compensation expense included in general and administrative expense | $ | 133 | $ | 410 | $ | (277 | ) | (67.6 | )% | |||||||
General and administrative expenses, including stock-based compensation, for the year ended December 31, 2023 decreased $890,724, compared to the same period in 2022. This decrease primarily relates to (1) a decrease of $493,133 in general and administrative expenses, (2) stock-based compensation decreased $277,590, (3) consulting expense reduced by $83,417, and (4) marketing and advertising decreased by $48,811. These decreases were offset minimally by an increase in travel. Excluding stock-based compensation, general and administrative expenses decreased $613,134.
Liquidity and Capital Resources
Management’s Plans
Similar to other development stage companies, our products have yet to generate significant revenue. As a result, we have historically suffered recurring losses and we do not have the required cash resources to fully execute our business plans.
Historically, the Company’s major sources of cash have comprised proceeds from various private offerings of its securities (including common stock) and debt financings. From 2015 through to the fiscal year end date December 31, 2023, the Company raised approximately $8.2 million in gross proceeds from various private offerings of our common stock and convertible debt. These funds were raised during various stages of the company and allowed us first to develop a commercially ready product and as soon as logistics and supply chains allow, deliver these products into identified projects and begin to generate revenue. The Company has sustained losses from operations in each fiscal year since our inception, and we expect losses to continue for the indefinite future. As of December 31, 2023 and December 31, 2022, the Company had an accumulated deficit of approximately $74 million and $73 million, respectively, and stockholders’ equity of approximately $(10.9) and $(10.3) million, respectively. As of December 31, 2023, the Company had approximately $131 in cash.
The Company recognizes the need to raise additional capital in order to continue to execute its business plan in the future. There is no assurance that additional financing will be available when needed or that the Company will be able to obtain financing on terms acceptable to it or whether the Company will become profitable and generate positive operating cash flow.
| 18 |
Off-Balance Sheet Arrangements
As of December 31, 2023, the Company had no off-balance sheet arrangements.
Critical Accounting Estimates
The preparation of financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts and related disclosures in the financial statements. Management considers an accounting estimate to be critical if:
| ● | it requires assumptions to be made that were uncertain at the time the estimate was made, and | |
| ● | changes in the estimate or different estimates that could have been selected could have material impact in our results of operations or financial condition. |
While we base our estimates and judgments on our experience and on various other factors that we believe to be reasonable under the circumstances, actual results could differ from those estimates and the differences could be material. The most significant estimates impact the following transactions or account balances: stock compensation.
See Note 2 to our condensed financial statements for a discussion of our significant accounting policies.
Recently Issued Accounting Standards Not Yet Effective or Adopted
Until December 31, 2021, the Company evaluated embedded conversion features within convertible debt under ASC 815 Derivatives and Hedging to determine whether the embedded conversion feature(s) should be bifurcated from the host instrument and accounted for as a derivative at fair value with changes in fair value recorded in earnings. If the conversion feature did not require derivative treatment under ASC 815, the instrument was evaluated under ASC 470-20 Debt with Conversion and Other Options for consideration of any beneficial conversion features. On January 1, 2022 the Company adopted ASU 2020-06 using the modified retrospective method and reviewed and calculated the impact on the outstanding financial instruments as of this adoption date concluding there was no impact.
| Item 7A. | Quantitative and Qualitative Disclosures About Market Risk |
Not applicable.
| Item 8. | Financial Statements and Supplementary Data |
The information required by this Item 8 is incorporated by reference to our financial statements and the related notes and the report of our independent registered public accounting firm beginning on page F-1 of this report.
| Item 9. | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure |
None.
| Item 9A. | Controls and Procedures |
Evaluation of Disclosure Controls and Procedures
Based on an evaluation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act) required by paragraph (b) of Rule 13a-15 or Rule 15d-15, as of December 31, 2023, our Chief Executive Officer and Acting Chief Financial Officer has concluded that our disclosure controls and procedures were not effective in ensuring 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 Commission’s rules and forms. Our Chief Executive Officer and Acting Chief Financial Officer also concluded that, as of December 31, 2023, our disclosure controls and procedures were not effective in ensuring that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is accumulated and communicated to our management, including our Chief Executive Officer and Acting Chief Financial Officer, to allow timely decisions regarding required disclosure.
| 19 |
Management’s Report on Internal Control over Financial Reporting
We are responsible for establishing and maintaining adequate internal control over financial reporting in accordance with Exchange Act Rule 13a-15. With the participation of our Chief Executive Officer and Acting Chief Financial Officer, our management conducted an evaluation of the effectiveness of our internal control over financial reporting as of December 31, 2023, based on the criteria established in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013). Based on this evaluation, management concluded that our internal control over financial reporting was not effective as of December 31, 2023, based on those criteria. A control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within the Company have been detected.
A material weakness is a deficiency, or a 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. We have identified the following material weaknesses:
| 1. | As of December 31, 2023, due to the inherent issue of segregation of duties in a small company, we have relied heavily on entity or management review controls. Accordingly, management has determined that this control deficiency constitutes a material weakness. | |
| 2. | As of December 31, 2023, we did not establish a formal written policy for the approval, identification, and authorization of related party transactions. | |
| 3. | During the 2023 audit, it was necessary to record adjusting journal entries. Management has determined that the effects of the corrected misstatements are material, both individually and in aggregate, to the financial statements as a whole. The corrected misstatements or the matters underlying them could potentially cause future period financial statements to be materially misstated, even though, in the judgment of our auditor previously, such corrected misstatements are material to the financial statements under audit.
Professional standards define an audit adjustment as a proposed correction of the financial statements that, in the judgment of our auditor previously, may not have been detected except through the auditing procedures. An audit adjustment may or may not indicate matters that could have a significant effect on the Company’s financial reporting process (that is, cause future financial statements to be materially misstated). In the judgment of our auditor previously, the adjustments proposed indicate matters that could have a significant effect on the Company’s financial reporting process. |
Because of these material weaknesses, management has concluded that the Company did not maintain effective internal control over financial reporting as of December 31, 2023, based on the criteria established in “Internal Control-Integrated Framework” issued by the COSO.
Changes in Internal Control over Financial Reporting
During the quarter ended December 31, 2023, there were no changes in our internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Rule 13a-15 or Rule 15d-15 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.
Limitations on Effectiveness of Controls
Our management, including our CEO and EVP Finance, do not expect that our disclosure controls and procedures or our internal controls over financial reporting will prevent all errors and all fraud. A control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within our company have been detected.
| 20 |
| Item 9B. | Other Information |
On December 21, 2021, the Board of Directors (the “Board”) of Rainmaker Worldwide Inc., a Nevada corporation (the “Company”), appointed James Ross and Dr. Mamdouh Shoukri to serve on the Company’s Board. This information is consistent with the 8-K filing from December 28, 2021. Mr. Ross has held senior management positions in Renewable and Technology companies. During this period, he has invested in, developed, financed, divested and acquired numerous energy projects in hydro, biomass, wind, co gen, fuel cell and gas firming. He has also been actively involved and invested in numerous technology companies, including Telecommunications, Renewable, Information Technology, Blockchain and GIS companies. He has been a Director and Financial Manager of both public and private companies. Mr. Ross has also served as the President of JSR Capital Inc., an investment fund and corporate finance firm focused on funding and consulting well-managed emerging renewable, independent power and technology companies since September 1991.
Dr. Shoukri serves on the Board of Directors of Canada Foundation for Innovation, an independent not-for-profit organization that invests in research facilities and equipment in Canada’s universities, colleges, research hospitals, and non-profit research institutions. Dr. Shoukri was the seventh President and Vice-Chancellor of York University from July 1, 2007 to June 30, 2017. Dr. Shoukri began his career in academia at McMaster University in Hamilton, Ontario, leading major research programs in support of the power and process industries and serving in administrative leadership positions at all levels of the academy, including as department chair, dean and vice-president.
There is no arrangement or understanding between Mr. Ross, Dr. Shoukri, and any other persons, pursuant to which they were selected to the Board. Mr. Ross and Dr. Shoukri have not engaged in any transaction, or any currently proposed transaction, in which the Company was or is to be a participant and the amount involved exceeds $120,000, and in which any related person had or will have a direct or indirect material interest. There are no family relationships between Mr. Ross, Dr. Shoukri and any Director or executive officer of the Company.
July 1, 2022, Kelly White received a promotion to Executive Vice President of Finance. Ms. White holds a BSc. in Mathematics and Economics from Trent University. She has over 30 years of experience in finance, accounting, administration and general management.
| Item 10. | Directors, Executive Officers and Corporate Governance |
The following individuals serve as the directors and executive officers of our company as of the date of this annual report. All directors of our company hold office until they either resign or the term of their engagement expires whichever comes first. The executive officers of our company are appointed by our board of directors and hold office until their death, resignation or removal from office.
| Name | Position Held with the Company | Age | Date First Elected or Appointed | |||
| Michael O’Connor | CEO* and Executive Chairman | 57 | July 21, 2014 | |||
| James Ross | Non-Executive Director | 66 | December 20, 2021 | |||
| Dr. Mamdouh Shoukri | Non-Executive Director | 76 | December 20, 2021 | |||
| Kelly White | Executive Vice President of Finance | 56 | July 1, 2022 |
*Mr. O’Connor maintained the Executive Chairman role since 2014 and for a short period of time he hired a CEO to assist him in negotiations for the Sphere 3D merger. When that merger agreement was terminated, Mr. O’Connor resumed his role as CEO.
Business Experience
The following is a brief account of the education and business experience of the executive officers and directors.
| 21 |
Michael O’Connor – CEO and Executive Chairman
Michael O’Connor has more than 30 years of operational, corporate finance, business development and corporate governance experience. He began his career at the Economic Council of Canada before becoming a Director of the Centre for Economic and Financial Analysis at one of the largest international consulting companies in the U.S – Science Applications International Corporation. In 1998, Mr. O’Connor joined Orascom Telecom (“OT”) in Egypt as a founding executive, leading all business development and Mergers and Acquisitions activities throughout Africa, the Middle East, Europe and Asia. During his time with OT he led more than $35 billion in transactions. During his tenure, OT grew from 100,000 subscribers to more than 125 million across 10 countries and from 6 to 100,000 employees by 2008. Michael returned to Canada as one of the founders of Wind Mobile (now Freedom Mobile). Wind Mobile was acquired by Shaw Communications Inc. in March 2016 for $1.6 billion. Shaw Communications has since been acquired by Rogers Communications. Michael has extensive international corporate governance experience for both private and publicly traded companies as well as not-for-profit organizations including Hutchison Telecommunications in Hong Kong, nine Telecel subsidiaries, Wind Mobile, Ontario Shores and Trent University. Mr. O’Connor is currently the Executive Chairman of Rainmaker Worldwide Inc., Rainmaker’s purpose is to produce safe drinking water for communities in need. The revolutionary approach to building water infrastructure supports the development of sustainable communities around the world, creating a positive impact environmentally, socially and economically.
James Ross – Non-Executive Director (Chair of Audit Committee)
Mr. Ross has held senior executive management positions in Renewable and Technology companies. During this period, he has invested in, developed, financed, divested and acquired numerous energy projects in hydro, biomass, wind, co gen, fuel cell and gas firming. He has also been actively involved and invested in numerous technology companies, including Telecommunications, Renewable, Information Technology, Blockchain and GIS companies. He has been a Director and Financial Manager of both public and private companies. Mr. Ross has also served as the President of JSR Capital Inc., an investment fund and corporate finance firm focused on funding and consulting well-managed emerging renewable, independent power and technology companies since September 1991.
Dr. Mamdouh Shoukri – Non-Executive Director
Dr. Shoukri serves on the Board of Directors of Canada Foundation for Innovation, an independent not-for-profit organization that invests in research facilities and equipment in Canada’s universities, colleges, research hospitals, and non-profit research institutions. Dr. Shoukri was the seventh President and Vice-Chancellor of York University, Ontario, Canada from July 1, 2007 to June 30, 2017. Dr. Shoukri began his career in academia at McMaster University in Hamilton, Ontario, Canada. McMaster’s leading research programs, in support of the power and process industries, were directed by Dr. Shoukri as he served in administration leadership positions including as Department Chair, Dean and Vice-President. As an academic leader, he guided York’s transformation into a comprehensive research-intensive university as well as spearheading hundreds of millions of dollars of capital development projects. In 2013, for his contributions to the flourishing of Ontario’s academic institutions as both an engineer and an administrator, Dr. Shoukri was named a Member of the Order of Canada, the Order of Ontario, and awarded the Queen Elizabeth II Diamond Jubilee medal.
Kelly White – Executive Vice President of Finance
Ms. White has been the VP of Operations & Finance at Rainmaker since 2015 and has more than 30 years of experience in finance and administration. On July 1, 2022 she assumed the role of Executive Vice President of Finance. Prior to joining Rainmaker, she was a partner in Larchwood Management Partners, a finance, business and strategic advisory consultancy in the telecommunications, utility and water sectors. Over her career she has performed core financial and corporate infrastructure functions and provided business planning and budgeting services for various companies in manufacturing, retail, financial services, telecommunications, media and consumer products.
White has orchestrated many business start-ups across Canada and managed all of the financial and administration and functions of those businesses. She has been an active community volunteer supporting many local sports and community organizations.
Family Relationships
There are currently no family relationships among our Directors and Executive Officers.
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Compliance with Section 16(a) of the Exchange Act
Section 16(a) of the Exchange Act requires our officers and directors, and stockholders owning more than ten percent of a registered class of our equity securities, to file reports of ownership and changes in ownership with the Securities and Exchange Commission. The Company is not aware of any persons who failed to timely file reports under this section.
Involvement in Legal Proceedings
To the best of our knowledge, during the past five years, none of the following occurred with respect to our directors or executive officers:
| (1) | any bankruptcy petition filed by or against any business of which one of them was a general partner or executive officer either at the time of the bankruptcy or within two years prior to that time; | |
| (2) | any conviction in a criminal proceeding or being subject to a pending criminal proceeding (excluding traffic violations and other minor offenses); | |
| (3) | being subject to any order, judgment or decree of any court of competent jurisdiction, permanently or temporarily inquiring, barring, suspending or otherwise limiting involvement in any type of business, securities or banking activities; and | |
| (4) | being found by a court of competent jurisdiction, the SEC or the CFTC to have violated Federal or state securities or commodities laws. |
Audit Committee
In December 2021, the Board created an Audit Committee in conjunction with nominating two new independent directors to the Company’s Board. The group has convened informally on many occasions to discuss the contents of this document and the financial statements. The audit committee members are James Ross (chair), Dr. Mamdouh Shoukri and Michael O’Connor. James Ross qualifies as an audit committee financial expert and is independent under applicable SEC standards.
Code of Ethics
We are in the process of developing a Code of Business Conduct and Ethics that applies to, among other persons, members of our board of directors, our company’s officers including our chief executive officer and chief financial officer, employees, consultants and advisors. Once formulated, our Code of Business Conduct and Ethics will set follow the following guiding principles:
| 1. | honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships; | |
| 2. | full, fair, accurate, timely, and understandable disclosure in reports and documents that we file with, or submit to, the Securities and Exchange Commission and in other public communications made by us; | |
| 3. | compliance with applicable governmental laws, rules and regulations; | |
| 4. | the prompt internal reporting of violations of the Code of Business Conduct and Ethics to an appropriate person or persons identified in the Code of Business Conduct and Ethics; and | |
| 5. | accountability for adherence to the Code of Business Conduct and Ethics. |
| Item 11. | Executive Compensation |
The Company’s compensation committee consists of two independent board members. Any future changes to compensation will be reviewed and implemented by the committee.
SUMMARY COMPENSATION TABLE
The following table sets forth the compensation paid to, or accrued for, each of our current executive officers or officers who were in place over the last two fiscal years.
| Name and Principal Position | Year | Salary ($) | Bonus ($) | Stock Awards | Option Awards (A) | All Other Compensation | Total | |||||||||||||||||||||
| Michael O’Connor(1) | 2023 | $ | 143,500 | - | - | - | - | $ | 143,500 | |||||||||||||||||||
| CEO and Executive Chairman | 2022 | $ | 210,000 | - | - | - | - | $ | 210,000 | |||||||||||||||||||
| Kelly White (2) | 2023 | $ | 133,500 | $ | 98,029 | $ | 231,529 | |||||||||||||||||||||
| Executive VP Finance | 2022 | $ | 93,000 | - | - | $ | 69,870 | - | $ | 162,870 | ||||||||||||||||||
| (A) | Reflects the dollar amount expensed by the Company during the applicable fiscal year for financial statement reporting purposes pursuant to ASC 718 | |
| 1 | Michael O’Connor was appointed as the Company’s Chief Executive Officer and Executive Chairman July 2017 for Rainmaker Worldwide Inc. post RTO. | |
| 2 | Kelly White was appointed Executive Vice President of Finance July 1, 2022. 2022 salary reflects July 1st start date and end date of December 31, 2022. Formerly VP Finance since 2015. Options Awards are calculated on the same basis, i.e., from the point where Ms. White was nominated to her current position. |
| 23 |
Other Agreements
None.
Outstanding Equity Awards at Fiscal Year End
The following table sets forth the number of shares of common stock covered by outstanding stock option awards that are exercisable and unexercisable, and the number of shares of common stock covered by unvested restricted stock awards for each of our named executive officers as of December 31, 2023.
| Outstanding Equity Awards at Fiscal Year-End For Each Named Officer | ||||||||||||||||||||
| Option Awards | ||||||||||||||||||||
| Name | Number of Securities Underlying Unexercised Options(#) Exercisable | Number of Securities Underlying Unexercised Options (#) Unexercisable | Equity Incentive Plan Awards: Number of Securities Underlying Unexercised Options (#) | Option Exercise Price ($) | Option Expiration Date | |||||||||||||||
| Michael O’Connor | - | - | - | - | - | |||||||||||||||
| Kelly White (exp.date’26) | 4,100,000 | - | - | 0.10 | 2026 | |||||||||||||||
| Kelly White (exp.date’27) | 2,500,000 | - | - | 0.10 | 2027 | |||||||||||||||
Equity Awards
None.
Director Compensation
In 2021 each of the Company’s Directors were granted 500,000 options, 1,000,000 in total. At December 31, 2022, a total of 816,667 had vested and at December 31, 2023 all 1,000,000 had vested. Mr. O’Connor did not receive any compensation for services as director for the year ended December 31, 2023 or December 31, 2022. The independent members of the Compensation Committee will determine his director’s compensation for 2024 and beyond.
| Item 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters |
As of March 22, 2024, the Registrant had 499,682,113 shares of common stock issued.
The following table sets forth certain information regarding the beneficial ownership of our common stock as of March 22, 2024:
● each person that is known by us to beneficially own more than 5% of our common stock;
● each of our directors;
● each of our executive officers and significant employees; and
● all our executive officers, directors and significant employees as a group.
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Under the rules of the Securities and Exchange Commission, beneficial ownership includes voting or investment power with respect to securities and includes the shares issuable under stock options, warrants and convertible securities that are exercisable/convertible within sixty (60) days of February 13, 2024. Those shares issuable under stock options, warrants and/or convertible securities are deemed outstanding for computing the percentage of each person holding options, warrants and/or convertible securities but are not deemed outstanding for computing the percentage of any other person. The percentage of beneficial ownership schedule is based upon 499,682,113 shares outstanding as of February 13, 2024. The address for those individuals for which an address is not otherwise provided is c/o Rainmaker Worldwide Inc., 271 Brock Street, Peterborough, ON K9H 2P8 Canada. To our knowledge, except as indicated in the footnotes to this table and pursuant to applicable community property laws, the persons named in the table have sole voting power and investment power with respect to all shares of common stock listed as owned by them.
| Name and Address of Beneficial Owner | Number | Percent of Class Outstanding | ||||||
| Bulent Hatay | 26,822,120 | 5.37 | % | |||||
| James Ross, Director | 666,667 | 0.13 | % | |||||
| Dr. Mamdouh Shoukri, Director | 500,000 | 0.10 | % | |||||
| Michael O’Connor, CEO and Executive Chairman (1) | 12,832,139 | 2.57 | % | |||||
| Kelly White, EVP Finance (2) | 10,318,661 | 2.06 | % | |||||
| Executive officers, directors and significant employees as a group (4 persons directly above) | 24,317,467 | 4.86 | % | |||||
| (1)(2) | Shares and options held by individual and respective corporations in each case. |
| Item 13. | Certain Relationships and Related Transactions, and Director Independence |
Other than the compensation described above in Item 11 Executive Compensation, there are no related party transactions.
Director Independence
We currently act with three directors, Michael O’Connor, James Ross and Dr. Mamdouh Shoukri. Mr. Ross and Dr. Shoukri both qualify as an “independent director”.
| 25 |
| Item 14. | Principal Accounting Fees and Services |
The aggregate fees billed for the most recently completed fiscal year ended December 31, 2023 and for fiscal year ended December 31, 2022 for professional services rendered by the principal accountant for the audit of our annual financial statements and review of the financial statements included in our quarterly reports on Form 10-Q and services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for these fiscal periods were as follows:
| Year Ended | ||||||||
| December 31, | ||||||||
| 2023 | 2022 | |||||||
| $ | $ | |||||||
| Audit Fees | 22,000 | 20,000 | ||||||
| Audit Related Fees | - | - | ||||||
| Tax Fees | - | - | ||||||
| All Other Fees | 15,750 | 14,779 | ||||||
| Total | 37,750 | 34,779 | ||||||
Fees for the year ended December 31, 2023 and 2022 relate to M&K CPAS, PLLC, the Company’s auditor.
Our board of directors pre-approves all services provided by our independent auditors. All of the above services and fees were reviewed and approved by the board of directors either before or after the respective services were rendered.
Our board of directors has considered the nature and amount of fees billed by our independent auditors and believes that the provision of services for activities unrelated to the audit is compatible with maintaining our independent auditors’ independence.
| Item 15. | Exhibits, Financial Statement Schedules |
| (a) Exhibits |
| Exhibit Number | Description | |
| (31) | Rule 13a-14 (d)/15d-14d) Certifications | |
| 31.1 | Section 302 Certification by the Principal Executive Officer | |
| 31.2 | Section 302 Certification by the Principal Financial Officer and Principal Accounting Officer | |
| (32) | Section 1350 Certifications | |
| 32.1 | Section 906 Certification by the Principal Executive Officer | |
| 32.2 | Section 906 Certification by the Principal Financial Officer and Principal Accounting Officer |
| 101.INS | Inline XBRL Instance Document | |
| 101.SCH | Inline XBRL Taxonomy Extension Schema Document | |
| 101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | |
| 101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document | |
| 101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document | |
| 101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
(b) Financial Statement Schedules
Our financial statements being filed as part of this Form 10-K are filed in Item 8 of this Form 10-K. All other schedules for which provision is made in the applicable accounting regulations of the Securities and Exchange Commission are not required under the related instructions or are inapplicable, and therefore have been omitted.
| 26 |
RAINMAKER WORLDWIDE INC.
FINANCIAL STATEMENTS
INDEX
| Page | |
| Report of Independent Registered Public Accounting Firm(Auditor Firm ID i 2738) | F-2 |
| Balance Sheets | F-3 |
| Statements of Operations and Comprehensive Loss | F-4 |
| Statements of Stockholders’ Equity (Deficit) | F-5 |
| Statement of Cash Flows | F-6 |
| Notes to the Financial Statements | F-7 – F-23 |
| F-1 |
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Board of Directors and
Stockholders of Rainmaker Worldwide, Inc.
Opinion on the Financial Statements
We have audited the accompanying balance sheets of Rainmaker Worldwide, Inc. (the Company) as of December 31, 2023 and 2022, and the related statements of operations and comprehensive loss, stockholders’ equity (deficit), and cash flows for each of the years in the two-year period ended December 31, 2023, and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2023 and 2022, and the results of its operations and its cash flows for each of the years in the two-year period ended December 31, 2023, in conformity with accounting principles generally accepted in the United States of America.
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 incurred continuing net losses from operations and has a significant accumulated deficit which raise substantial doubt about its ability to continue as a going concern. Management’s plans regarding those matters are discussed 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.
Critical Audit Matter
The critical audit matter communicated below is a matter arising from the current period audit of the financial statements that was communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing separate opinions on the critical audit matter or on the accounts or disclosures to which they relate.
Derivative Liabilities
As discussed in Note 4, the Company borrows funds through the use of convertible notes payable that contain a conversion price that may be fixed or fluctuates with the stock price.
Auditing management’s estimates of the fair value of the derivative liability involves significant judgements and estimates given the embedded conversion features of the notes.
To evaluate the appropriateness of the fluctuation of the conversion price, the embedded conversion feature requires bifurcation from the host contract and is recorded as a liability subject to market adjustments as of each reporting period. Significant judgment is exercised by the Company in determining derivative liability values for these convertible note agreements, including the use of a specialist engaged by management.
We evaluated management’s conclusions regarding their derivative liability and reviewed support for the significant inputs used in the valuation model, as well as assessing the model for reasonableness.
/s/ M&K CPAS, PLLC
We have served as the Company’s auditor since 2020.
Firm ID 2738
| F-2 |
RAINMAKER WORLDWIDE INC.
(Formerly Gold and Silver Mining of Nevada Inc.)
| December 31 | December 31 | |||||||
| 2023 | 2022 | |||||||
| Assets | ||||||||
| Current Assets | ||||||||
| Cash | $ | i 131 | $ | i 7,130 | ||||
| Other receivables | i 5,594 | i 5,527 | ||||||
| Prepaid expenses | i 25,000 | i 30,381 | ||||||
| Total Current Assets | i 30,725 | i 43,038 | ||||||
| Total Assets | $ | i 30,725 | $ | i 43,038 | ||||
| Liabilities and Stockholders’ Equity (Deficit) | ||||||||
| Current Liabilities | ||||||||
| Accounts payable | $ | i 172,515 | $ | i 147,345 | ||||
| Related party payables | i 1,607,896 | i 1,261,984 | ||||||
| Accrued liabilities | i 195,147 | i 783,118 | ||||||
| Customer deposits | i 112,500 | i 112,500 | ||||||
| Contingent liability | i 4,423,910 | i 4,423,910 | ||||||
| Convertible notes payable, net of discount of $ i 8,960 and $ i 328,501 | i 4,034,415 | i 2,978,347 | ||||||
| Notes payable - related parties | i 73,516 | i 83,598 | ||||||
| Other loans payable | - | i 50,000 | ||||||
| Derivative liabilities | i 208,142 | i 502,611 | ||||||
| Total Current Liabilities | i 10,828,041 | i 10,343,413 | ||||||
| Total Liabilities | $ | i 10,828,041 | $ | i 10,343,413 | ||||
| Mezzanine Equity | ||||||||
Preferred stock - $ par value; stated value $; Authorized shares: Series A; issued and outstanding at December 31, 2023 and issued and outstanding at December 31, 2022 | $ | i 150,000 | $ | - | ||||
| Total Mezzanine Equity | $ | i 150,000 | $ | - | ||||
| Stockholders’ Equity (Deficit) | ||||||||
| Common stock - $ par value; authorized at Dec 31, 2023 and 2022; and outstanding at December 31, 2023 and December 31, 2022, respectively | $ | i 499,682 | $ | i 160,798 | ||||
| Additional paid-in capital | i 62,641,419 | i 62,000,842 | ||||||
| Stock receivable | ( i 24,000 | ) | - | |||||
| Accumulated deficit | ( i 74,064,417 | ) | ( i 72,834,664 | ) | ||||
| Accumulated other comprehensive income | - | i 372,649 | ||||||
| Total Stockholders’ Equity (Deficit) | $ | ( i 10,947,316 | ) | $ | ( i 10,300,375 | ) | ||
| Total Liabilities and Stockholders’ Equity (Deficit) | $ | i 30,725 | $ | i 43,038 | ||||
The accompanying notes are an integral part of these financial statements.
| F-3 |
(Formerly Gold and Silver Mining of Nevada Inc.)
Statements of Operations and Comprehensive Loss
| 2023 | 2022 | |||||||
| Year Ended December 31, | ||||||||
| 2023 | 2022 | |||||||
| Revenue | $ | i 78,912 | $ | - | ||||
| Cost of Goods Sold | i 61,940 | - | ||||||
| Gross Margin | i 16,972 | - | ||||||
| Expenses | ||||||||
| General and administrative expense | $ | i 623,170 | $ | i 1,449,659 | ||||
| Total Expenses | i 623,170 | i 1,449,659 | ||||||
| Loss from Operations | ( i 606,198 | ) | ( i 1,449,659 | ) | ||||
| Other income (expense) | ||||||||
| Other income | - | i 20,000 | ||||||
| Interest expense | ( i 398,850 | ) | ( i 348,267 | ) | ||||
| Amortization of debt discount | ( i 453,687 | ) | ( i 252,373 | ) | ||||
| Change in derivative liabilities expense | i 215,827 | i 256,925 | ||||||
| Total other income (expense) | ( i 636,710 | ) | ( i 323,715 | ) | ||||
| Loss from continuing operations | ( i 1,242,908 | ) | ( i 1,773,374 | ) | ||||
| Discontinued operations: | ||||||||
| Loss from operations of discontinued operations | i 13,155 | ( i 64,237 | ) | |||||
| Total discontinued operations | i 13,155 | ( i 64,237 | ) | |||||
| Net income (loss) | $ | ( i 1,229,753 | ) | $ | ( i 1,837,611 | ) | ||
| Other comprehensive income (loss) | ||||||||
| Foreign exchange translation gain (loss) | - | i 77,631 | ||||||
| Net income (loss) and comprehensive income (loss) | $ | ( i 1,229,753 | ) | $ | ( i 1,759,980 | ) | ||
| Net loss per share: | ||||||||
| Basic and diluted | $ | ) | $ | ) | ||||
| Weighted average number of common shares outstanding: | ||||||||
| Basic and diluted | ||||||||
The accompanying notes are an integral part of these financial statements.
| F-4 |
(Formerly Gold and Silver Mining of Nevada Inc.)
Statements of Stockholders’ Equity (deficit)
| Shares | Amount | paid-in capital ($) | Payable - Preferred | Shares | Amount ($) | paid-in capital ($) | Stock Receivable | Deficit ($) | comprehensive income ($) | Total | |||||||||||||||||||||||||||||||||||
| Mezzanine Equity | |||||||||||||||||||||||||||||||||||||||||||||
| Series A Preferred Stock | |||||||||||||||||||||||||||||||||||||||||||||
Additional paid-in | Stock | Common Stock | Additional |
Accumulated other | |||||||||||||||||||||||||||||||||||||||||
| Shares | Amount |
capital ($) | Payable - Preferred | Shares | Amount ($) | paid-in capital ($) | Stock Receivable |
Deficit ($) | comprehensive income ($) | Total | |||||||||||||||||||||||||||||||||||
| Balance, December 31, 2021 | - | - | - | - | i 144,354,957 | $ | i 144,355 | $ | i 61,686,839 | $ | - | $ | ( i 70,997,053 | ) | $ | i 295,018 | $ | ( i 8,870,841 | ) | ||||||||||||||||||||||||||
| Conversion of convertible promissory notes | - | - | - | - | i 16,639,942 | i 16,640 | i 177,314 | - | - | - | i 193,954 | ||||||||||||||||||||||||||||||||||
| Shares cancelled | - | ( i 197,183 | ) | ( i 197 | ) | i 197 | - | - | - | - | |||||||||||||||||||||||||||||||||||
| Stock-based compensation | - | - | - | - | - | - | i 136,492 | - | - | - | i 136,492 | ||||||||||||||||||||||||||||||||||
| Foreign currency translation | - | - | - | - | - | - | - | - | - | i 77,631 | i 77,631 | ||||||||||||||||||||||||||||||||||
| Net gain (loss) for the quarter | - | - | - | - | - | - | - | - | ( i 1,837,611 | ) | - | ( i 1,837,611 | ) | ||||||||||||||||||||||||||||||||
| Balance, December 31, 2022 | - | - | - | - | i 160,797,716 | i 160,798 | i 62,000,842 | - | ( i 72,834,664 | ) | i 372,649 | ( i 10,300,375 | ) | ||||||||||||||||||||||||||||||||
| Balance | - | - | i 160,797,716 | i 160,798 | i 62,000,842 | ( i 72,834,664 | ) | i 372,649 | ( i 10,300,375 | ) | |||||||||||||||||||||||||||||||||||
| Conversion of convertible promissory notes | - | - | - | - | i 298,884,397 | i 298,884 | i 164,502 | - | - | - | i 463,386 | ||||||||||||||||||||||||||||||||||
| Stock-based compensation | - | - | - | - | - | - | i 108,581 | - | - | - | i 108,581 | ||||||||||||||||||||||||||||||||||
| Issuance of Common Stock for acquisition | - | - | ` | - | - | i 40,000,000 | i 40,000 | i 8,000 | ( i 24,000 | ) | - | - | i 24,000 | ||||||||||||||||||||||||||||||||
| Issuance of Series A preferred stock for cash | i 150,000 | $ | i 150.00 | $ | i 149,850 | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||||||||
| Foreign currency translation re disposal of foreign subsidiary | - | - | - | - | - | - | i 359,494 | - | - | ( i 372,649 | ) | ( i 13,155 | ) | ||||||||||||||||||||||||||||||||
| Net gain (loss) for the period | - | - | - | - | - | - | - | - | ( i 1,229,753 | ) | - | ( i 1,229,753 | ) | ||||||||||||||||||||||||||||||||
| Net gain (loss) | - | - | - | - | ( i 1,229,753 | ) | - | ( i 1,229,753 | ) | ||||||||||||||||||||||||||||||||||||
| Balance, December 31, 2023 | i 150,000 | $ | i 150 | $ | i 149,850 | $ | - | i 499,682,113 | i 499,682 | i 62,641,419 | ( i 24,000 | ) | ( i 74,064,417 | ) | - | ( i 10,947,316 | ) | ||||||||||||||||||||||||||||
| Balance | i 150,000 | $ | i 150 | $ | i 149,850 | $ | - | i 499,682,113 | i 499,682 | i 62,641,419 | ( i 24,000) | ( i 74,064,417 | ) | - | ( i 10,947,316 | ) | |||||||||||||||||||||||||||||
The accompanying notes are an integral part of these financial statements.
| F-5 |
(Formerly Gold and Silver Mining of Nevada Inc.)
Statements of Cash Flows
| 2023 | 2022 | |||||||
| Year Ended December 31, | ||||||||
| 2023 | 2022 | |||||||
| CASH FLOWS FROM OPERATING ACTIVITIES | ||||||||
| Net gain (loss) | $ | ( i 1,229,753 | ) | $ | ( i 1,837,611 | ) | ||
| Adjustments to reconcile net income to net cash used for operating activities: | ||||||||
| Stock-based compensation | i 132,581 | i 136,492 | ||||||
| Derivative expense – warrants | - | i 273,679 | ||||||
| Impairment expense | i 335,000 | |||||||
| Discount amortization | i 453,687 | i 252,373 | ||||||
| Change in fair value of derivative liabilities | ( i 215,827 | ) | ( i 256,925 | ) | ||||
| Change in operating assets and liabilities: | ||||||||
| Accounts receivable | ( i 67 | ) | ( i 5,523 | ) | ||||
| Prepaid expenses, prepaid expenses related parties | i 5,381 | ( i 25,381 | ) | |||||
| Accounts payable, related party payables and accrued liabilities | i 714,236 | i 778,629 | ||||||
| Customer deposits | - | |||||||
| CASH USED FOR OPERATING ACTIVITIES | ( i 139,762 | ) | ( i 349,267 | ) | ||||
| CASH FLOWS FROM INVESTING ACTIVITIES | ||||||||
| Restructuring/discontinued operations | - | - | ||||||
| CASH USED FOR INVESTING ACTIVITIES | - | - | ||||||
| CASH FLOWS FROM FINANCING ACTIVITIES | ||||||||
| Proceeds from sale of stock-preferred stock payable | i 150,000 | - | ||||||
| Borrowed on convertible debt | - | i 286,250 | ||||||
| Borrowed on debt | ( i 50,000 | ) | - | |||||
| Borrowed on debt related party | ( i 10,082 | ) | i 11,269 | |||||
| Repayments on other loans payable | i 56,000 | ( i 23,090 | ) | |||||
| CASH PROVIDED BY FINANCING ACTIVITIES | i 145,918 | i 274,429 | ||||||
| Effect on Foreign Currency Exchange | ( i 13,155 | ) | i 77,631 | |||||
| NET INCREASE (DECREASE) IN CASH | ( i 6,999 | ) | i 2,793 | |||||
| CASH AT BEGINNING OF YEAR | i 7,130 | i 4,337 | ||||||
| CASH AT PERIOD END | $ | i 131 | $ | i 7,130 | ||||
| NON-CASH TRANSACTIONS | ||||||||
| Shares issued for conversion | i 463,386 | i 193,954 | ||||||
| Receipts of prepaid inventory | - | i 160,000 | ||||||
| Share cancellation | - | i 197 | ||||||
| Amendment to convertible note | i 918,154 | - | ||||||
| Divestiture of RWI | i 359,494 | - | ||||||
| Initial derivative discount | i 124,897 | i 565,623 | ||||||
The accompanying notes are an integral part of these financial statements.
| F-6 |
i
Note 1: Nature of Operations and Going Concern
Nature of Operations
Rainmaker Worldwide Inc. (“Rainmaker” or the “Company” or “RAKR”) is a Nevada company which previously operated Rainmaker Worldwide Inc. (Ontario) (“RWI”) until March 31, 2023, with its head office in Peterborough, Ontario, Canada. The Company distributes two main types of energy-efficient, fresh water-producing technologies: (1) Air-to-Water (“AW”), which harvests fresh water from humidity in the atmosphere, and (2) Water-to-Water (“WW”), which transforms wastewater, seawater, or polluted water into drinking water. The technology can utilize wind, solar, or conventional power sources (grid or generator). It is deployable anywhere and leaves no carbon trace if renewable resources are deployed.
Rainmaker holds a i 12% interest in Rainmaker Holland B.V. (“RHBV”) which consists of the innovation and manufacturing center located in Rotterdam, Netherlands. RAKR will purchase equipment on a favorable cost-plus formula.
Effective April 1, 2023, Rainmaker (RAKR) divested a i 60% interest in Rainmaker Worldwide Inc. (Ontario) (RWI) and continues to hold a i 40% interest. RWI will be the driver of operations in Canada, the Caribbean, Central America and South America.
Company History
RWI was incorporated on i July 21, 2014, under the Ontario Business Corporations Act. On July 3, 2017, RWI shareholders completed a share exchange with the Company (the “Merger”) pursuant to a share exchange agreement dated June 28, 2017 (the “Share Exchange Agreement”) among the Company, RWI and RWI’s 45 shareholders. Upon completion of the Merger, and in accordance with the terms and provisions of the Share Exchange Agreement, the Company acquired an aggregate of common shares in the capital of RWI from the RWI Shareholders (being all of the issued and outstanding shares in the capital of RWI) in exchange for an aggregate of restricted shares of the Company’s common stock, or shares for each share of RWI. Therefore, RWI became a wholly owned subsidiary of the Company effective July 3, 2017. The Company’s former name, Gold and Silver Mining of Nevada, Inc. (“CJT”) was changed on April 24, 2017, in expectation of and conditional upon completion of the Merger. The Merger was accounted for as a reverse acquisition with RWI considered the accounting acquirer since the former RWI shareholders remained in control of the combined entity after the transaction. As part of the merger, net liabilities of $ i 235,495 were recognized on the Company’s balance sheet. As a result of the Merger the Company originally trades on the OTC:Pink under the trading symbol RAKR. The Company remains an SEC filing company.
Ongoing Partnerships
On July 28, 2022, the Company signed a Joint Development Agreement (“JDA”) with Miranda whose primary operations reside in Ankara, Turkey. This JDA allowed for reciprocal distribution rights for all of RAKR’s and Miranda’s combined technologies and fosters a long-term technological integration strategy between the two companies. The first result of this JDA was achieved in 2023 with a sale to Turks and Caicos. Delivery to Turks and Caicos has occurred and commissioning is expected soon.
On January 22, 2024, RWI formalized its relationship with Miranda by finalizing the First Phase of the acquisition. This gives RWI a controlling interest in Miranda of i 60%. The remaining shares will be acquired over the course of the next 2 years.
Going Concern
The Company has incurred continuing losses from its operations and has an accumulated deficit of $ i 74,064,417. There are no assurances the Company will be able to raise capital on acceptable terms or that cash flows generated from its operations will be sufficient to meet its current operating costs and required debt service. If the Company is unable to obtain sufficient amounts of additional capital, it may be required to reduce the scope of its business, which could harm its financial condition and operating results. These conditions raise substantial doubt about the Company’s ability to continue ongoing operations. These financial statements do not include any adjustments that might result from the outcome of these uncertainties.
| F-7 |
The Company’s ability to continue its operations and to pay its obligations when they become due is contingent upon the Company obtaining additional financing. Management’s plans include seeking to procure additional funds through debt and equity financing to enable it to meet its operating needs including current and future sales orders. In addition, revenues are being forecasted at the operational level.
/ i
Note 2: Significant Accounting Policies
i
The financial statements presented are for the entity Rainmaker. The financial statements have been prepared in accordance with United States Generally Accepted Accounting Principles (“GAAP”).
The preparation of the financial statements, in conformity with GAAP, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
All accounting policies are chosen to ensure the resulting financial information satisfies the concepts of relevance and reliability.
i
The reporting currency of the Company is the United States dollar. The financial statements of the subsidiary located outside of the United States is measured in its functional currency: Until March 31, 2023, Rainmaker Worldwide Inc. (Ontario) reported in Canadian dollars. Monetary assets and liabilities of this subsidiary are translated at the exchange rate at the balance sheet date. Income and expense items are translated using average annual exchange rates. Non-monetary assets are translated at their historical exchange rates. Translation adjustments are included in accumulated other comprehensive income in the balance sheets.
i
No Intangible Assets.
i
Property and equipment are stated at cost less accumulated depreciation and any recognized impairment loss. Cost includes the original purchase price of the asset and any costs attributable to bringing the asset to its working condition for its intended use.
i
Depreciation is provided at rates estimated to write off the cost of the relevant assets less their estimated residual values by equal annual amounts over their expected useful lives. Residual values and expected useful lives are reviewed and adjusted, if appropriate, at the end of each reporting period. Depreciation periods for the Company’s property and equipment are as follows:
Schedule of Estimated Useful Lives of Property and Equipment
/
| F-8 |
/ i
Until December 31, 2021, the Company evaluated embedded conversion features within convertible debt under ASC 815 Derivatives and Hedging to determine whether the embedded conversion feature(s) should be bifurcated from the host instrument and accounted for as a derivative at fair value with changes in fair value recorded in earnings. If the conversion feature did not require derivative treatment under ASC 815, the instrument was evaluated under ASC 470-20 Debt with Conversion and Other Options for consideration of any beneficial conversion features. On January 1, 2022, the Company adopted ASU 2020-06 using the modified retrospective method and reviewed and calculated the impact on the outstanding financial instruments as of this adoption date concluding there was no impact.
i
Derivative Financial Instruments
The Company does not use derivative instruments to hedge exposures to cash flow, market, or foreign currency risks. The Company evaluates all of its financial instruments, including stock purchase warrants, to determine if such instruments are derivatives or contain features that qualify as embedded derivatives.
For derivative financial instruments that are accounted for as liabilities, the derivative instrument is initially recorded at its fair value and is then re-valued at each reporting date, with changes in the fair value reported as charges or credits to income. For option-based simple derivative financial instruments, the Company uses a Monte Carlo simulation model to value the derivative instruments at inception and subsequent valuation dates. The classification of derivative instruments, including whether such instruments should be recorded as liabilities or as equity, is re-assessed at the end of each reporting period.
i
Debt Issue Costs and Debt Discount
The Company may record debt issue costs and/or debt discounts in connection with raising funds through the issuance of debt. These costs may be paid in the form of cash, or equity (such as warrants). These costs are amortized to interest expense over the life of the debt. If a conversion of the underlying debt occurs, a proportionate share of the unamortized amounts is immediately expensed.
i
Demonstration equipment is stated at cost less accumulated depreciation and any recognized impairment loss. Cost includes the original purchase price of the asset and any costs attributable to bringing the asset to its working condition for its intended use.
Depreciation for the demonstration equipment is at a rate estimated to write off the cost of the equipment less its estimated residual value by an equal annual amount over its expected useful life. The residual value and expected useful life of the demonstration equipment is reviewed and adjusted, if appropriate, at the end of each reporting period.
i
In May 2014, the FASB issued an accounting standard update (‘ASU”), 2014-09, Revenue from Contracts with Customers (Topic 606). This ASU amends the existing accounting standards for revenue recognition and is based on the principle that revenue should be recognized to depict the transfer of goods or services to a customer at an amount that reflects the consideration a company expects to receive in exchange for those goods or services. On January 1, 2018, the Company adopted the new Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers using the modified retrospective method, and the Company determined the new guidance does not change the Company’s policy of revenue recognition.
The Company generates its revenue through the direct sales of water production and purification systems. A contract with a customer is established once an agreement is signed and the initial down payment is received. Each transaction price is established in the signed contract. Unearned revenue is recognized upon receipt of the down payment for the system. The revenue is recognized once title of the system transfers to the customer. The nature of the business of equipment sales implies there is only one performance obligation, which is delivery of the end product to the customer. Our contracts outline each party’s rights and obligations including the terms and timing of payments. Another source of revenue is in exchange for operating, maintenance and professional services to these joint ventures. That revenue is recognized in the period it is earned.
| F-9 |
In June 2018, the FASB issued guidance clarifying the revenue recognition and measurement issues for grants, contracts, and similar arrangements, ASU Topic 958. Government grants and contracts are agreements that generally provide cost reimbursement for certain types of expenditures in return for research and development activities over a contractually defined period. Accordingly, the Company recognizes revenue from grants and contracts in the period during which the related costs are incurred, provided that the conditions under which the grants and contracts were provided have been met and only perfunctory performance obligations are outstanding.
Revenues recognized at December 31, 2023 and December 31, 2022 are $ i 78,912 and nil, respectively.
/ i
Parties are considered to be related if one party has the ability to directly or indirectly control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control or common significant influence. Related parties may be individuals or corporate entities. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. Related party transactions that are in the normal course of business and have commercial substance are measured at the exchange amount.
i
The Company follows the fair value method of accounting for stock awards granted to employees, directors, officers, and consultants. Share-based awards to employees are measured at the fair value of the related share-based awards. Share-based payments to others are valued based on the related services rendered or goods received or if this cannot be reliably measured, on the fair value of the instruments issued. Issuances of shares are valued using the fair value of the shares at the time of grant; issuances of options are valued using the Black-Scholes model with assumptions based on historical experience and future expectations.
i
Financial Liabilities and Equity Instruments
Financial liabilities and equity instruments are classified and accounted for as debt or equity according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities.
i
Marketing, Advertising and Promotional Costs
As required by Generally Accepted Accounting Principles of the United States, the Company records marketing costs as an expense in the year to which such costs relate. The Company does not defer amounts on its year-end balance sheets with respect to marketing costs. Advertising costs are expensed as incurred.
i
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 expenses during the year. Management bases its estimates on historical experience and on other assumptions considered to be reasonable under the circumstances. However, actual results may differ from the estimates.
i
The Company reports loss per share in accordance with ASC 260, “Earnings per Share”. Basic loss per share is computed by dividing net loss by the weighted average number of common stock outstanding during each period. Diluted loss per share is computed by dividing net loss by the weighted average number of shares of common stock and other potentially dilutive securities outstanding during the year.
| F-10 |
/ i
The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, we determine deferred tax assets and liabilities on the basis of the differences between the financial statement and tax bases of assets and liabilities by using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date.
The Company recognizes deferred tax assets to the extent that we believe that these assets are more likely than not to be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If we determine that we would be able to realize our deferred tax assets in the future in excess of their net recorded amount, we would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes.
The Company records uncertain tax positions in accordance with ASC 740 on the basis of a two-step process in which (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, we recognize the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority.
Income tax assets and liabilities for the current period are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted by the date of the statement of financial position.
i
The costs of equity-settled transactions with employees are measured by reference to the fair value at the date on which they are granted.
The costs of equity-settled transactions are recognized, together with a corresponding increase in equity, over the period in which the performance and/or service conditions are fulfilled, ending on the date on which the relevant employees become fully entitled to the award (“the vesting date”). The cumulative expense is recognized for equity-settled transactions at each reporting date until the vesting date reflects the Company’s best estimate of the number of equity instruments that will ultimately vest. The profit or loss charge or credit for a period represents the movement in cumulative expense recognized as at the beginning and end of that period and the corresponding amount is represented in share-based compensation reserve.
No expense is recognized for awards that do not ultimately vest, except for awards where vesting is conditional upon a market condition, which are treated as vesting irrespective of whether or not the market condition is satisfied provided that all other performance and/or service conditions are satisfied.
Where the terms of an equity-settled award are modified, the minimum expense recognized is the expense as if the terms had not been modified. An additional expense is recognized for any modification which increases the total fair value of the share-based payment arrangement or is beneficial to the employee as measured at the date of modification.
i
Inventory and work in progress are valued at the lower of cost and net realizable value. The production cost of inventory includes an appropriate proportion of depreciation and production overheads based on the ratio of indirect vs. direct costs. Cost is determined on the following bases: Raw materials and consumables are valued at cost on a first in, first out (FIFO) basis; finished products are valued at raw material cost, labor cost and a proportion of manufacturing overhead expenses.
| F-11 |
i
ASC 820 “Fair Value Measurements and Disclosures” provides the framework for measuring fair value. That framework provides a fair value hierarchy prioritizing the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements).
Fair value is defined as an exit price, representing the amount that would be received upon the sale of an asset or payment to transfer a liability in an orderly transaction between market participants.
Fair value is a market-based measurement that is determined based on assumptions that market participants would use in pricing an asset or liability. A three-tier fair value hierarchy is used to prioritize the inputs in measuring fair value as follows:
Level 1 - Quoted prices in active markets for identical assets or liabilities.
Level 2 - Quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable, either directly or indirectly.
Level 3 - Significant unobservable inputs that cannot be corroborated by market data.
The Company’s policy is to recognize transfers into and out of Level 3 as of the date of the event or change in the circumstances that caused the transfer. There were no such transfers during the periods being reported.
i
Due to the infancy of the Company’s market penetration, current sales are concentrated on a limited number of customers.
i
The Company considers all highly liquid instruments with a maturity of three months or less to be cash equivalents. The Company maintains the majority of its cash accounts at a commercial bank. Cash balances are insured by the Canada Deposit Insurance Corporation (“CDIC”) up to CAD i 100,000 per commercial bank. From time to time, cash in deposit accounts may exceed the insurance limits thus the excess would be at risk of loss. For the purposes of the statement of cash flows we consider all cash and highly liquid investments with maturities of 90 days or less to be cash equivalents. As of December 31, 2023, the Company had no cash equivalents.
/ i
The typical arrangement for customer deposits for purchases of Company products is 50% down at the time of ordering. The Company records the deposit as a current liability reflecting the obligation to provide the goods or services to the customer or to return the money. When the Company earns the deposit amount, the current liability will be debited, and sales revenues will be credited.
/ i
Note 3: Convertible Notes Payable
The Convertible Notes Payable are defined below.
An $ i 8,200 convertible note that came into the Company through the July 3, 2017 merger. On July 26, 2022, this note required derivative treatment. On December 31, 2023, the derivative value of this note was $ i 19,717.
| F-12 |
On September 14, 2020, the Company issued a Senior Secured Convertible Promissory Note in the amount of $ i 3,105,896.72 bearing interest of i 10% per annum with a maturity date of 3 years from the anniversary date of the funding advance and is convertible into shares of Common Stock equal to i 85% multiplied by the average of the 5 closing prices of the Common Stock immediately preceding the Trading Day that the Company receives a Notice of Conversion with a floor price of $ i 0.15. / On October 1, 2020, the amount of $ i 1,850,000 was advanced to the Company. The balance of the principal of this note is made up of the principal and interest on the existing promissory notes totaling $ i 1,100,000 (1), and the principal and interest on the existing note issued August 4, 2020, in the amount of $ i 150,000 (2). Each of the existing notes, (1) and (2), are deemed to be cancelled and are replaced by the note in the amount of $ i 3,105,896.72 described above. The company evaluated the note for a beneficial conversion feature at the date of issuance noting that there was no BCF related. The security interest of this loan is junior and subordinate to all existing security. On September 14, 2023, an amendment to this loan was signed agreeing to roll the accrued interest to date of $ i 918,154.10 into the principal amount resulting in total principal of $ i 4,024,050.82 (the “New Principal Amount”). The maturity date has been extended to March 14, 2024. On July 26, 2022, this note required derivative treatment. On December 31, 2023, the derivative value of this note was $ i 160,740.
On February 7, 2022, the Company issued a convertible promissory note in the amount of $ i 55,000 bearing interest of i 10% per annum with a i maturity date of one year ( i February 7, 2023) and has the option to convert into shares of Common Stock any time beginning 180 days following the date of the Note and ending on the maturity date. Conversion price is calculated at i 65% of the Market Price (lowest trading price during the 10-trading day period). The Company has the right to prepay any time before maturity. / During Q3, 2022, the investor fully converted this note including accrued interest of $ i 2750 into common shares. The conversions were within the terms of the agreement and no gain or loss was recognized on the conversions.
On March 11, 2022, the Company issued a convertible promissory note in the amount of $ i 53,750 bearing interest of i 10% per annum with a i maturity date of one year ( i March 11, 2023) and has the option to convert into shares of Common Stock any time beginning 180 days following the date of the Note and ending on the maturity date. Conversion price is calculated at i 65% of the Market Price (lowest trading price during the 10-trading day period). The Company has the right to prepay any time before maturity. / During Q3, 2022, the investor partially converted this note ($ i 15,000) into common shares leaving the balance of the note available for conversion of $ i 38,750. During Q4, 2022 the lender converted the balance of the note ($ i 38,750) and accrued interest ($ i 2687.50) into common shares and is now fully converted. The conversions were within the terms of the agreement and no gain or loss was recognized on the conversions.
On June 28, 2022, the Company issued a convertible promissory note in the amount of $ i 64,250 bearing interest of i 10% per annum with a i maturity date of one year (June 28, 2023) and has the option to convert into shares of Common Stock any time beginning 180 days following the date of the Note and ending on the maturity date. Conversion price is calculated at i 65% of the Market Price (lowest trading price during the 10-trading day period). The Company has the right to prepay any time before maturity. The Agreement was signed on June 28th and ultimately funded on July 6, 2022. During Q1, 2023, the principal amount of this note ($ i 64,250) plus all accrued interest ($ i 3212.50) was fully converted into common shares. This note had an Original Issue Discount of $ i 4,250 and as of February 21, 2023, it was fully amortized. The conversions were within the terms of the agreement and no gain or loss was recognized on the conversions.
On July 26, 2022, the Company issued a convertible promissory note in the amount of $ i 35,000 bearing interest of i 10% per annum with a i maturity date of one year (July 26, 2023) and has the option to convert into shares of Common Stock any time following the date of the Note and ending on the maturity date. Conversion price is calculated at i 65% of the Market Price (lowest trading price during the 10-trading day period). The Company has the right to prepay any time before the 180th day. During Q1, 2023, the principal amount of this note ($ i 35,000) plus all accrued interest ($ i 1,822.47) was fully converted into common shares. This note had an Original Issue Discount of $ i 2,500 and as of February 13, 2023, it was fully amortized. The conversions were within the terms of the agreement and no gain or loss was recognized on the conversions.
On September 12, 2022, the Company issued a convertible promissory note in the amount of $ i 49,250 bearing interest of i 10% per annum with a i maturity date of one year ( i September 12, 2023) and has the option to convert into shares of Common Stock any time beginning 180 days following the date of the Note and ending on the maturity date. / Conversion price is calculated at i 65% of the Market Price (lowest trading price during the 10-trading day period). The Company has the right to prepay any time before the 180th day. During Q1, 2023, there were conversions totaling $ i 37,800 leaving a principal balance of $ i 11,450. These conversions converted into common shares. During Q2, 2023, the remaining principal balance and accrued interest were converted into shares. This note had an Original Issue Discount of $ i 4,250 and as of May 22, 2023, it was fully amortized. The conversions were within the terms of the agreement and no gain or loss wase recognized on the conversions.
| F-13 |
On October 25, 2022, the Company issued a convertible promissory note in the amount of $ i 44,250 bearing interest of i 10% per annum with a i maturity date of one year ( i October 25, 2023) and has the option to convert into shares of Common Stock any time beginning 180 days following the date of the Note and ending on the maturity date. / Conversion price is calculated at i 65% of the Market Price (lowest trading price during the 10-trading day period). The Company has the right to prepay any time before the 180th day. During Q2, 2023, this note including accrued interest was fully converted into shares. This note had an Original Issue Discount of $ i 4,250 and as of June 20, 2023, was fully amortized. The conversions were within the terms of the agreement and no gain or loss was recognized on the conversions.
On February 21, 2023, the Company issued a convertible promissory note in the amount of $ i 44,250 bearing interest of i 10% per annum with i a maturity date of one year ( i February 21, 2024) and has the option to convert into shares of Common Stock any time beginning 180 days following the date of the Note and ending on the maturity date. / Conversion price is calculated at i 65% of the Market Price (lowest trading price during the 10-trading day period). The Company has the right to prepay any time before the 180th day. During Q3, 2023, this note went through conversions reducing the principal amount by $ i 44,230, converting into common shares. This note had an Original Issue Discount of $ i 4,250 and as of December 31, 2023, it is fully amortized. During Q4, 2023, the remaining principal amount of the note in the amount of $ i 20 and accrued interest of $ i 2,213 were converted into common shares. The conversions were within the terms of the agreement and no gain or loss was recognized on the conversions.
On May 8, 2023, the Company issued a convertible promissory note in the amount of $ i 21,000 bearing interest of i 12% per annum with i a maturity date of one year ( i May 8, 2024) and has the option to convert into shares of Common Stock any time beginning 180 days following the date of the Note and ending on the maturity date. / Conversion price is calculated at i 61% of the Market Price (lowest trading price during the 20-trading day period). The Company has the right to prepay any time before maturity. This note had an Original Issue Discount of $ i 5,000 and as of December 31, 2023, $ i 3,247 has been amortized. As of December 31, 2023, $ i 9,875 was converted into common shares. The remaining principal balance of the note is $ i 11,125. The conversions were within the terms of the agreement and no gain or loss was recognized on the conversions.
/ i
Note 4: Derivative Liabilities
Derivative liabilities – Convertible Notes
In Q3, 2022, the convertible debt issued February 7, 2022, March 11, 2022, June 28, 2022 and July 26, 2022 became eligible for conversion on August 6, 2022, September 7, 2022, December 25, 2022 and January 22, 2023 respectively. The Company engaged a third-party consultant to determine the fair value of the convertible notes at the end of each quarter. The subsequent evaluation determined that the notes should be accounted for as derivative liabilities upon the date they became convertible due to the variable conversion price included in each note based on Financial Accounting Standards Board (“FASB”) guidance. The derivative component of the obligation is initially valued and classified as a derivative liability with an offset to discounts on convertible debt. Discounts have been amortized to interest expense over the respective terms of the related notes. Since the issuance of the convertible notes mentioned above, four more convertible notes were issued (as discussed in Note 3) for a total of eight of which seven are fully converted and debt discount fully amortized. The total derivative liabilities associated with these notes eligible for conversion at December 31, 2023 was $ i 8,978 and $ i 76,621 at December 31, 2022. The Company’s debt discount relating to these convertible notes amounted to $ i 7,207 at December 31, 2023 and the Company recorded interest expense for the amortization of the discount in the amount of $ i 8,302 at December 31, 2023. The Company recorded a change in the value of embedded derivative liabilities expense of $ i 1,632 for the three months ended December 31, 2023 ($ i 5,737 year to date).
On July 26, 2022, due to the tainted equity environment, existing convertible notes required derivative treatment. The convertible note in the amount of $ i 8,200 and the convertible note in the amount of $ i 3,105,896.72 (discussed in Note 3) had an initial debt discount of $ i 397,542, loss on initial derivative of $ i 126,888 and a derivative liability of $ i 524,330. At December 31, 2023, the derivative liability value of these notes was $ i 180,457 and represents a decrease in fair value of $ i 201,208 since December 31, 2022. On December 31, 2022, the derivative liability value of these notes was $ i 381,664.
| F-14 |
Derivative liabilities – Warrants
Due to the tainted equity environment at July 26, 2022, the Company recognized derivative liability for existing warrants in the amount of $ i 273,679. On December 31, 2022, a gain on derivative liabilities was recognized in the amount of $ i 229,355 leaving a fair value at December 31, 2022 of $ i 44,324 for warrants. On December 31, 2023, a gain on derivative liabilities was recognized in the amount of $ i 16,153 leaving a fair value of $ i 18,705 for warrants at December 31, 2023.
iSchedule of Derivative Liabilities and Fair Value
Derivative liabilities (fair value)
| Beginning Balance | $ | i 502,611 | ||
| Change due to Issuances | i 124,897 | |||
| Change due to Conversions | ( i 203,539 | ) | ||
| Mark-to-market | ( i 215,827 | ) | ||
| Ending Balance | $ | i 208,142 |
/ i
Note 5: Notes Payable, Related Parties
Promissory notes dated November 6, 2016 with a principal amount of $ i 13,516 are due and bear interest of i 5% and are payable on demand. Accrued interest to December 31, 2023 on these notes is $ i 5,468.
In 2017 compensation was due to members of the executive management team in the amount of $ i 312,000. In support of the growth of the Company, those executive team members agreed to defer receipt of payment by converting into loans that bear interest of i 4%. $ i 60,000 principal and accrued interest of $ i 15,071 remains.
During 2021, a related party loaned the Company, on a short-term basis, $ i 21,903. This amount was fully repaid in Q1, 2022. This related party will, from time to time, as necessary, lend the Company money on a short-term basis without charging interest. At December 31, 2022, the Company owed this party $ i 10,081. This amount has been repaid during Q2, 2023 and the balance owing as of December 31, 2023 remains nil.
/ i
On February 2, 2021, the company entered into a short-term loan agreement in the amount of $ i 50,000 at an annual interest rate of i 5% and due i February 1, 2022. It was agreed to extend the due date to February 2, 2023. i By mutual agreement, the note was extended for an additional term of six months and therefore would expire August 2, 2023. The terms and conditions remained the same with the exception of a change in the interest rate from i 5% to i 12%. During Q2, 2023, the principal portion of this loan was repaid leaving only accrued interest owing in the amount of $ i 6,694. As of December 31, 2023, this accrued interest remains outstanding.
/ i
As of the filing, the Company holds no intellectual property.
i
Note 8: Property and Equipment
Demonstration Equipment
The Company may have demonstration equipment to allow it to show a working version of its technology and equipment to customers and organizations in the future. Demonstration equipment is stated at cost less accumulated depreciation and any recognized impairment loss. Cost would include the original purchase price of the asset and any costs attributable to bringing the asset to its working condition for its intended useful life. Depreciation for the demonstration equipment would be at a rate estimated to write off the cost of the equipment less its estimated residual value by an equal annual amount over its expected useful life. The residual value and expected useful life of the demonstration equipment is reviewed and adjusted, if appropriate, at the end of each reporting period. The Company does not currently have any demonstration equipment but could in the future.
| F-15 |
i
Common Stock
As at December 31, 2021, the Company had authorized common stock with $ par value with shares issued and outstanding. Effective June 29, 2022, the Company filed a Certificate of Amendment to its Articles of Incorporation with the Secretary of State of the State of Nevada to increase the aggregate number of authorized shares to , of which shares are common stock with a par value of $ per share and shares are preferred stock (see Note 17) with a par value of $ per share.
At December 31, 2023, common stock was issued and outstanding. The following table details the number of common stock issued:
i| Number of Stock | ||||
| Balance, December 31, 2021 | i 144,354,957 | |||
| Conversion of convertible promissory notes | i 16,639,942 | |||
| Shares cancelled | ( i 197,183 | ) | ||
| Balance, December 31, 2022 | i 160,797,716 | |||
| Conversion of convertible promissory notes | i 298,884,397 | |||
| Common shares issued for acquisition | i 40,000,000 | |||
| Balance, December 31, 2023 | i 499,682,113 | |||
On August 9, 2022, the Company issued shares upon a partial conversion of a convertible promissory note. (See Note 3 for details).
On August 16, 2022, the Company issued shares upon a partial conversion of a convertible promissory note. (See Note 3 for details).
On September 1, 2022 (effective June 13, 2022), shares were rescinded by a shareholder.
On September 6, 2022, the Company issued shares upon a partial conversion of a convertible promissory note. (See Note 3 for details).
On September 12, 2022, the Company issued shares completing the full conversion of a convertible promissory note including accrued interest of $ i 2750. (See Note 3 for details).
On September 20, 2022, the Company issued shares upon a partial conversion of a convertible promissory note. (See Note 3 for details).
On October 6, 2022, the Company issued shares upon a partial conversion of a convertible promissory note. (See Note 3 for details).
On October 24, 2022, the Company issued shares upon a partial conversion of a convertible promissory note. (See Note 3 for details).
On January 9, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On January 26, 2023, the Company issued shares upon a partial conversion of a convertible promissory note. (See Note 3 for details).
| F-16 |
On February 2, 2023, the Company issued shares upon a partial conversion of a convertible promissory note. (See Note 3 for details).
On February 3, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On February 7, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On February 8, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On February 13, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On February 14, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On February 21, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On March 15, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On March 20, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On March 27, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On April 24, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On May 22, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On May 25, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On June 5, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On June 9, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On June 14, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On June 16, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On June 20, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On September 5, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
| F-17 |
On September 12, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On September 21, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On September 26, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On September 27, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On October 3, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
On November 6, 2023, the Company issued shares for the consideration of $ i 24,000 to acquire i 40% of Miranda. Payment was received after December 31, 2023 and therefore recorded as Stock receivable.
On December 12, 2023, the Company issued shares upon partial conversion of a convertible promissory note (see Note 3 for details).
/ i
Note 10: Related Party Transactions
Outstanding compensation and expense reimbursements due to consultants engaged by the Company $ i 1,607,896 (2022: $ i 1,261,984).
Refer to other related party payables in Notes 5 and 6.
The Company (the lender) signed a loan agreement with RHBV (the borrower) on June 21, 2022. RAKR agreed to a two-year loan facility with an interest rate of i 8% with interest only payments until a bullet payment is made for the principal on the due date. Provisions in the agreement allow for prepayment. First tranche of the loan to RHBV in the amount of $ i 5,000 was issued to RHBV on July 7, 2022. No changes to December 31, 2023.
i Effective April 1, 2023 Rainmaker (RAKR) divested 60% interest in Rainmaker Worldwide Inc. (Ontario) (RWI) and continues to hold a 40% interest. RAKR will retain management participation and is entitled to retain one out of four board seats.
On November 6, 2023, the Company issued shares to RWI (a related party) to finalize the Miranda acquisition. See Note 9 above. Shares were valued at $ i 48,000 on the date of signature of the agreement with RWI to affect that acquisition so the difference of $ i 24,000 was recorded as stock-based compensation.
/ i
Note 11: Commitments and Contingencies
In the ordinary course of operating the Company’s business, it may, from time to time, be subject to various claims or possible claims. Management’s view that there are no claims or possible claims that if resolved would either individually or collectively result in a material adverse impact on the Company’s financial position, results of operations, or cash flows. These matters are inherently uncertain, and management’s view of these matters may change in the future.
On April 27, 2018, the Company identified a judgement dated August 8, 2016 against six Defendants including a former subsidiary of the Company as well as a predecessor of the Company as currently named and constituted. The amount of the judgement including costs is $ i 4,423,910. An appeal was filed on November 9, 2016 by the previous management. A decision on the appeal was rendered on June 22, 2018 and the original judgement was upheld. As a result, the Company has recorded a contingent liability of $ i 4,423,910 as of December 31, 2023 (2022: $ i 4,423,910). The Company, since its last report, has not been contacted by the Plaintiff.
| F-18 |
/ i
Inventory is stated at the lower of cost or market. Cost is recorded at standard cost, which approximates actual cost, on the first-in first-out basis. The Company, at this time, holds no inventory but may in the future.
i
The Company determines whether a contract is or contains a lease at inception of the contract and whether that lease meets the classification criteria of a finance or operating lease. When available, the Company uses the rate implicit in the lease to discount lease payments to present value; the Company’s leases do not provide a readily determinable implicit rate. Therefore, the Company must discount lease payments based on an estimate of its incremental borrowing rate.
There are no lease-related assets and liabilities recorded on the Company’s balance sheet and the Company has no lease expenses.
i
In order to compensate members of the board and executives, the following stock options have been granted, vesting as described.
| ● | Effective July 1, 2022, the Company granted options as compensation to the newly filled position, VP Sales and to the newly filled position, Executive VP Finance. and options respectively vested immediately and the remaining options vest over one year, with a term of years and exercisable at $ per Share. | |
| ● | For the period ended December 31, 2022, the Company recorded a stock option expense of $ i 136,492. The Company used the Black-Scholes option-pricing model to determine the grant date fair value of stock-based awards under ASC 718. For the year ended December 31, 2023, the Company recorded stock option expense of $ i 108,581. |
Schedule of Warrants and Options
| Warrants and Options | ||||||||||||||||
| Vested | Expired | Granted | Vested | Non-Vested | ||||||||||||
| Dec 31, 2022 | To December 31, 2023 | To December 31, 2023 | To December 31, 2023 | To December 31, 2023 | ||||||||||||
| i 63,611,667 | i 38,500,000 | i 28,200,000 | i 28,200,000 | NIL | ||||||||||||
i
| ● | The assumptions used in the Company’s Black Scholes option pricing is as follows: |
| Stock Price | $ | -$ | ||
| Exercise Price | $ | -$ | ||
| Number of Options Granted | i 66,700,000 | |||
| Dividend Yield | i 0 | % | ||
| Expected Volatility | - | % | ||
| Weighted Average Risk-Free Interest Rate | - | % | ||
| Term (in years) |
| F-19 |
/ i
The Company recognizes deferred tax assets and liabilities using the asset and liability method. Deferred tax assets and liabilities are recorded based on the differences between the financial statement and tax bases of assets and liabilities and the tax rates in effect when these differences are expected to reverse. This method requires the reduction of deferred tax assets by a valuation allowance if, based on the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. As of December 31, 2023, the Company’s deferred tax assets relate to net operating loss (“NOL”) carry-forwards that were derived from operating losses and stock-based compensation from prior years. A full valuation allowance has been applied to the Company’s deferred tax assets. The valuation allowance will be reduced when and if the Company determines it is more likely than not that the related deferred income tax assets will be realized. At December 31, 2023, the Company had federal net operating loss carry-forwards, which are available to offset future taxable income, of $ i 5,765,793. The Company’s NOL carry-forwards can be carried forward to offset future taxable income for a period of 20 years for each tax year’s loss. i These NOL carry-forwards begin to expire in 2037. No provision was made for federal income taxes as the Company has significant NOLs in the United States. All of the Company’s income tax years remained open for examination by taxing authorities.
iSchedule of Effective Income Tax Rate Reconciliation
Year ended December 31, | Year ended | |||||||
| 2023 | 2022 | |||||||
| Net Loss | ( i 1,229,753 | ) | ( i 1,837,611 | ) | ||||
| Add back: | ||||||||
| Stock Compensation | i 132,581 | i 410,171 | ||||||
| Amortization of Debt Discount | i 453,685 | i 252,373 | ||||||
| Taxable Income | ( i 643,487 | ) | ( i 1,175,067 | ) | ||||
| Tax Rate | i 21 | % | i 21 | % | ||||
| Deferred Tax Asset: | ||||||||
| Net Operating (Gain) Loss | i 135,132 | i 246,764 | ||||||
| Valuation Allowance | ( i 135,132 | ) | ( i 246,764 | ) | ||||
| Net Deferred Asset | - | - | ||||||
/ i
None.
i
Note 17: Discontinued Operations
Effective April 1, 2023, the Company came to an agreement to divest i 60% of Rainmaker Worldwide Inc., the private Ontario based company (a shell with no significant assets or liabilities), leaving RAKR with a i 40% ownership in this company. The resultant Financial Statements, in accordance with ASC 205-20-45-1E, reflect the impact of this restructuring of the Company. The restructuring was executed to facilitate the fully funded development of the North American market. This includes Rainmaker and Miranda products as per the Joint Development Agreement described herein (see Note 1 Nature of Operations under Ongoing Partnerships). The value as of December 31, 2023, of the Company’s i 40% interest in Rainmaker Worldwide Inc. (Ontario) is nil. This value will be reevaluated post the conclusion of the Miranda transaction as part of the first quarter filing.
/ i
Effective June 29, 2022, the Company filed a Certificate of Amendment to its Articles of Incorporation with the Secretary of State of the State of Nevada to increase the aggregate number of authorized shares to , of which shares are common stock (see Note 9) with a par value of $ per share and shares are preferred stock with a par value of $ per share.
On May 23, 2023, a Certificate of Designation was executed designating Preferred Stock as a new class of Preferred Stock designated Series A Preferred Stock. The total face value of this entire series is one hundred and fifty thousand dollars ($ i 150,000). Each share of Series A Preferred Stock has a stated face value of $ and is convertible into shares of fully paid and non-assessable shares of common stock of the Company at $ per share when common stock becomes available for issuance.
| F-20 |
The holder of Series A Preferred Stock have the following rights:
(a) 1.5% MONTHLY FIXED DIVIDEND ON RESTRICTED COMMON STOCK:
Each share of Preferred Stock shall be entitled to a monthly fixed dividend of i 1.5% of the original purchase price of such share (the “Monthly Dividend”), payable in cash or, at the option of the Company, in shares of Restricted Common Stock, as determined by the Board of Directors. The Monthly Dividend shall be calculated based on the original purchase price of the Preferred Stock and shall be paid on a monthly basis, with the first payment due one month following the Closing Date and continuing until the earlier of the redemption of the Preferred Stock or the conversion of such shares into shares of Common Stock;
The amount of the Monthly Dividend payable in shares of Restricted Common Stock shall be based on the volume-weighted average price (“VWAP”) of the Common Stock over the 30-day period ending on the last trading day of the month preceding the payment date. The number of shares of Restricted Common Stock to be issued in payment of the Monthly Dividend shall be determined by dividing the amount of the Monthly Dividend payable in shares of Restricted Common Stock by the VWAP; and
The Company may, in its sole discretion, elect to pay the Monthly Dividend in cash or in shares of Restricted Common Stock, subject to the provisions of this Agreement. If the Company elects to pay the Monthly Dividend in cash, it shall be paid on or before the fifteenth day of each calendar month, beginning with the month following the Closing Date. If the Company elects to pay the Monthly Dividend in shares of Restricted Common Stock, such shares shall be issued on or before the fifteenth day of each calendar month, beginning with the month following the Closing Date, subject to the limitations set forth herein.
(b) APPROVAL ON COMMON AND PREFERRED SHARE DILUTION:
Each share of Preferred Stock shall be entitled to approval rights on any future dilution of the Common Stock or Preferred Stock of the Company, subject to the terms and conditions set forth herein. In connection with any proposed issuance of Common Stock or Preferred Stock that would result in a dilution of the existing Common Stock or Preferred Stock of the Company, the Company shall provide written notice to the holders of Preferred Stock (the “Holders”) no less than ten (10) days prior to the proposed issuance, including the proposed terms of such issuance;
The Holders shall have the right to approve or reject the proposed issuance, such approval not to be unreasonably withheld and taking into consideration the financial situation of the Company at the time of the requested dilution. The Company shall not issue any Common Stock or Preferred Stock that would result in a dilution of the existing Common Stock or Preferred Stock of the Company without the approval of the Holders, except as provided herein. Nothing in this Section shall prohibit the Company from issuing any shares of common stock upon the exercise or conversion of currently outstanding securities;
If the Holders approve the proposed issuance, the Company shall use its best efforts to issue and deliver the Common Stock or Preferred Stock within ten (10) business days of such approval. If the Holders reject the proposed issuance, the Company may not issue any Common Stock or Preferred Stock on the proposed terms, unless and until the proposed terms are revised to the satisfaction of the Holders. Any proposed issuance that is not approved by the Holders shall be deemed a breach of this Agreement; and
The approval rights set forth herein shall terminate upon the earliest of (i) the conversion or redemption of all outstanding Preferred Stock, (ii) the occurrence of a Change of Control, or (iii) the written agreement of the Company and the Holders.
(c) OPTION TO APPOINT DIRECTORS:
Each holder of Preferred Stock shall be entitled to the right to appoint up to three (3) directors to the Board of Directors of the Company. The right to appoint directors shall be subject to the terms and conditions set forth herein;
If a holder of Preferred Stock wishes to exercise their right to appoint directors, they shall provide written notice to the Company no less than thirty (30) days prior to the date of the Company’s annual meeting of stockholders. The notice shall identify the individuals proposed to be appointed as directors and shall include all information required to be disclosed under applicable law;
| F-21 |
The Company shall use its best efforts to ensure that the individuals proposed to be appointed as directors are duly elected to the Board of Directors at the annual meeting of stockholders. If the Company fails to cause the individuals proposed to be appointed as directors to be duly elected, then the Company shall take such actions as may be necessary or appropriate to ensure that such individuals are appointed as directors; and
The right to appoint directors set forth herein shall terminate upon the earliest of (i) the conversion or redemption of all outstanding Preferred Stock, (ii) the occurrence of a Change of Control, or (iii) the written agreement of the Company and the holders of a majority of the outstanding shares of Preferred Stock.
(d) RIGHT TO AUTHORIZE A ROLLBACK OF COMMON SHARES
The holder(s) Preferred Stock shall have the right to authorize a rollback of common shares of the Company in accordance with the terms and conditions set forth herein. For the purposes of this section, a “rollback of common shares” shall mean a reverse stock split or any other transaction or series of transactions that reduces the number of outstanding common shares of the Company;
In the event that the holder(s) of Preferred Stock wish to authorize a rollback of common shares, they shall provide written notice to the Company of their intention to do so. Such notice shall identify the proposed terms of the rollback, including the ratio of common shares to be exchanged for each new share;
The Company shall use its best efforts to carry out the rollback in accordance with the terms set forth in the notice. If the Company is unable to carry out the rollback as proposed, it shall promptly notify the holder(s) of Preferred Stock and negotiate with them in good faith to reach an agreement on the terms of the rollback; and
The right to authorize a rollback of common shares set forth herein shall terminate upon the earliest of (i) the conversion or redemption of all outstanding Preferred Stock, (ii) the occurrence of a Change of Control, or (iii) the written agreement of the Company and the holders of a majority of the outstanding shares of Preferred Stock.
In the event that the Company puts forth a proposal to effect a reverse stock split of the Company’s Common Stock, the holders of the Preferred Stock shall have the right to vote i 50.1% of the amount of shares on such proposal.
(e) BUYBACK TRIGGER AND INVESTOR’S OPTION TO TAKE OWNERSHIP OF EQUITY
The Preferred Stock shall have a Buyback trigger based on the following conditions. The Preferred Stockholders have the right to demand/receive cash if any of the following happen. To date, no such demands have been made:
1) RAKR is no longer SEC compliant;
2) RAKR is no longer publicly traded on an OTC exchange;
3) Any breach of the conditions (a-g);
4) On the 24-month anniversary of the subscription, or with an extension mutually agreed by RAKR and the holder(s) of Preferred Stock.
If any of the above triggers occur and RAKR fails to repurchase the Preferred Stock within 60 days of the occurrence of such trigger, the holder(s) of the Preferred Stock shall have the right to exercise an option to take ownership of the Ontario Rainmaker Worldwide Common Share equity owned by RAKR, subject to the following conditions:
i. The option to take ownership of the equity must be exercised within 60 days of the expiration of the repurchase period described above;
ii. The value of the equity to be transferred to the holder(s) of Preferred Stock shall be equal to the aggregate principal amount of the Preferred Stock outstanding at the time of exercise of the option; and
iii. The transfer of the equity shall be subject to any applicable laws and regulations, including without limitation any securities laws and regulations.
| F-22 |
(f) RIGHT TO PURCHASE AND CONVERT TO COMMON STOCK
The holder of the Preferred Stock shall have the right to purchase, when common stock becomes available for issuance, up to US$ i 600,000 worth of common stock of the Company at a price of US$ per share, reflecting a discount to market price at the time of signing this agreement of i 50% and/or convert the Preferred Stock with the same conversion terms as above.
The exercise of these rights are subject to the following terms and conditions:
i. Availability of Shares: The purchase of common stock by the holder of the Preferred Stock shall be contingent upon the Company making such shares available for issuance.
ii. Purchase Notice: When common stock becomes available for issuance, the holder of the Preferred Stock shall provide a written notice to the Company indicating their intent to exercise their right to purchase the common stock. The notice shall specify the desired number of shares to be purchased, not exceeding the US$ i 600,000 limit.
iii. Purchase Price: The purchase price per share shall be US$, reflecting a discount to market price of i 50% at the time of signing this agreement.
iv. Payment Terms: The holder of the Preferred Stock shall remit the full payment for the purchased common stock within a specified timeframe determined by the Company.
v. Transfer of Shares: Upon receipt of the full payment, the Company shall transfer the purchased common stock to the holder of the Preferred Stock, and the stock certificates or electronic equivalents shall be issued accordingly.
vi. Limitations: The right to purchase common stock is subject to applicable laws, regulations, and the Company’s Articles of Incorporation and Bylaws.
(g) Voting Rights.
The Series A Holder shall be entitled to notice of any stockholders’ meeting and to vote as a single class upon any matter submitted to the stockholders and their approval shall be required to effect such action. In the event that the Company determines to put forth a proposal to its stockholders to effect a reverse split of its outstanding Common Stock, the Series A holder shall have the right to such number of votes as shall equal i 50.1% of the voting stock of the Company.
As of May 26, 2023 the Company received $ i 150,000 for shares of Series A Preferred Stock. These shares were issued July 20, 2023.
As of December 31, 2023 and December 31, 2022, the Company had shares of Series A Preferred Stock outstanding and , respectively, and recorded as mezzanine at face value of $ i 150,000 due to certain default provisions requiring mandatory cash redemption that are outside the control of the Company.
/ i
On January 8, 2024, the Company, as part of a debt restructuring, issued four convertible promissory notes for payables owed to executives and management of the Company totaling $ i 326,833. These notes are convertible subject to share availability and have a conversion rate of $ i 0.001389 ( i 70% of the 30-day Volume Weighted Average Price preceding the date of the note). To further alleviate the payables burden on the Company, executives agreed to, and the Company issued, three long-term promissory notes totaling $ i 640,000 with an interest rate of i 10% due upon maturity with a two-year term. Conversions are possible upon mutual consent with a set conversion rate of $ i 0.001389, same as above, if over the long term the Company cannot satisfy these obligations. For the avoidance of doubt, any issued shares or debt that has the potential for conversion would be subject to the limitations of SEC rules regarding trading restrictions of affiliates.
On January 8, 2024, the Board of Directors repriced the outstanding options for executives, directors and former management to reflect an exercise price of i 70% of the 30-day Volume Weighted Average Price prior to this date, equating to $. Any shares issued upon redemption of options will be subject to trading restrictions.
On January 8, 2024, the Board of Directors granted fully vested options to the Company’s CEO at an exercise price of i 70% of the 30-day Volume Weighted Average Price prior to this date, equating to $. These options are the first options granted to the CEO who forewent this compensation in the past for the benefit of the Company. The CEO is now in alignment with executive management compensation.
On January 15, 2024, the Company received payment in the amount of $ i 24,000 from Rainmaker Worldwide Inc.-Ontario (RWI), for the shares issued in November, 2023 which was part of the Company’s contribution to the acquisition of Miranda.
On January 16, 2024, the Company received $ i 420,000 from an investor in exchange for the issuance of preferred shares. The issuance is pending.
On January 16, 2024, the Company entered into a loan agreement with Rainmaker Worldwide Inc.-Ontario (RWI) where the Company lent RWI $ i 400,000. To date, $ i 12,000 principal has been paid back to the Company.
On January 22, 2024, the Miranda shares were transferred to Rainmaker Worldwide Inc.-Ontario (RWI) and the first stage of the acquisition transaction was completed. The Company retains a i 40% share in RWI.
On January 23, 2024, the Company agreed to settle the outstanding balance of a convertible promissory note through a payment plan to be completed by March 15, 2024. Including all interest and the remaining principal of $ i 11,125, it was agreed the Company would pay $ i 14,800 in full settlement of the remaining portion of the convertible promissory note. As of the date of this filing, this note and interest owing are fully paid.
/
| F-23 |
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Rainmaker Worldwide Inc. | ||
| Date: April 1, 2024 | By: | /s/ Michael O’Connor |
| Michael O’Connor | ||
| President, Chief Executive Officer and Interim Chief Financial Officer | ||
Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
| Signature | Title | Date | ||
| /s/ Michael O’Connor | Director | April 1, 2024 |
| Signature | Title | Date | ||
| /s/ James Ross | Director | April 1, 2024 |
| 27 |
| This ‘10-K’ Filing | Date | Other Filings | ||
|---|---|---|---|---|
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| 7/1/27 | ||||
| 12/31/25 | ||||
| 10/1/25 | ||||
| 5/8/24 | ||||
| Filed on: | 4/1/24 | |||
| 3/22/24 | ||||
| 3/15/24 | ||||
| 3/14/24 | ||||
| 2/21/24 | ||||
| 2/13/24 | ||||
| 1/23/24 | ||||
| 1/22/24 | ||||
| 1/16/24 | 8-K | |||
| 1/15/24 | 8-K | |||
| 1/8/24 | ||||
| For Period end: | 12/31/23 | |||
| 12/12/23 | ||||
| 11/6/23 | ||||
| 10/25/23 | ||||
| 10/3/23 | ||||
| 10/1/23 | ||||
| 9/30/23 | 10-Q, NT 10-Q | |||
| 9/27/23 | ||||
| 9/26/23 | ||||
| 9/21/23 | ||||
| 9/14/23 | ||||
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| 9/5/23 | ||||
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| 7/26/23 | ||||
| 7/20/23 | ||||
| 6/30/23 | 10-Q | |||
| 6/28/23 | ||||
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| 6/16/23 | ||||
| 6/14/23 | ||||
| 6/9/23 | ||||
| 6/5/23 | ||||
| 5/26/23 | ||||
| 5/25/23 | ||||
| 5/23/23 | ||||
| 5/22/23 | 10-Q | |||
| 5/8/23 | ||||
| 4/24/23 | ||||
| 4/1/23 | ||||
| 3/31/23 | 10-Q, NT 10-K, NT 10-Q | |||
| 3/27/23 | ||||
| 3/20/23 | ||||
| 3/15/23 | ||||
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| 1/26/23 | ||||
| 1/22/23 | ||||
| 1/21/23 | ||||
| 1/9/23 | ||||
| 12/31/22 | 10-K, NT 10-K | |||
| 12/25/22 | ||||
| 10/25/22 | ||||
| 10/24/22 | ||||
| 10/6/22 | ||||
| 9/30/22 | 10-Q | |||
| 9/20/22 | ||||
| 9/12/22 | ||||
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| 7/6/22 | ||||
| 7/1/22 | ||||
| 6/30/22 | 10-Q, 8-K | |||
| 6/29/22 | 8-K | |||
| 6/28/22 | ||||
| 6/21/22 | ||||
| 6/13/22 | ||||
| 3/31/22 | 10-K, 10-Q | |||
| 3/11/22 | ||||
| 2/7/22 | ||||
| 2/1/22 | ||||
| 1/1/22 | ||||
| 12/31/21 | 10-K | |||
| 12/28/21 | 8-K | |||
| 12/21/21 | 8-K | |||
| 12/20/21 | ||||
| 4/1/21 | ||||
| 3/31/21 | ||||
| 2/28/21 | ||||
| 2/12/21 | ||||
| 2/2/21 | ||||
| 12/31/20 | ||||
| 10/1/20 | ||||
| 9/14/20 | ||||
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| 7/15/20 | ||||
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| 1/22/20 | ||||
| 1/21/20 | ||||
| 6/22/18 | ||||
| 4/27/18 | ||||
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| 6/30/17 | ||||
| 6/28/17 | ||||
| 4/24/17 | ||||
| 11/9/16 | ||||
| 11/6/16 | ||||
| 8/8/16 | ||||
| 7/21/14 | ||||
| 7/1/07 | ||||
| 2/27/98 | ||||
| List all Filings | ||||