Company: SUND
Filing Date: 2025-06-30
Form Type: 10-K
Source: 0001641172-25-017143
Chunk: 779

Company: Sundance Strategies, Inc.
Filing Date: 2025-06-30
Form: 10-K
Item: Item 12
Chunk 779
---
 Expense obligation at March 31, 2025 and March 31, 2024, respectively.

38

Warrants
to Purchase Common Stock

The
Company’s related party lenders consist of: Kraig Higginson, the Chairman of the Board of Directors and a stockholder, Radiant
Life, LLC and Mr. Dickman, a board member and stockholder. These holders of the related party unsecured promissory notes, hold agreements
that provide each related party with common stock warrants upon the lender’s extension of a maturity due date or upon the loaning
of additional monies. The number of warrants issued for an extension is based on the following formula: for extensions occurring on or
before March 31, 2024, 10,000 warrants per month the due date is extended plus 1 warrant for every $2 of the principal balance outstanding
(not including interest) at the time of the extension (rounded to the nearest whole warrant), for extensions occurring after March 31,
2024, 20,000 warrants per month the due date is extended plus 1 warrant for every $1 of the principal balance outstanding (not including
interest) at the time of the extension (rounded to the nearest whole warrant). Upon the loaning of additional monies, the lender will
also require 2 warrants for each dollar loaned. All warrants issued under these terms vested immediately upon issuance, have an exercise
price approximately equivalent to the fair value of the Company’s common stock on the date of grant, and expire 5 years from the
date of issuance.

During
the year ended March 31, 2025, the Company issued no new warrants in conjunction with monies borrowed during the period (see Note 8 to
the financial statements included in this report).

During
the year ended March 31, 2025, the Company issued 1,544,550 warrants to the Chairman of the Board of Directors in conjunction with an
extension of the maturity dates during the period (see Note 8 to the financial statements included in this report) per the terms outlined
above (see Note 11 to the financial statements included in this report for information on warrants issued subsequent to fiscal year end).
The exercise price of these warrants was $0.41. The value of the warrants on the date of grant, as calculated by the Black-Scholes-Merton
valuation model was $435,199. The inputs used in this calculation included a fair value of the underlying common