Company: WKSP
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010837
Chunk: 111

Company: Worksport Ltd
Filing Date: 2025-05-15
Form: 10-Q
Item: Part II, Item 1A
Chunk 111
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In
addition to the other information set forth in this Quarterly Report, you should carefully consider the factors discussed in Part I,
“Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2024, which could materially affect
our business, financial condition, liquidity, or future results. The risks described in our Annual Report on Form 10-K are not the only
risks facing our Company. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also
may materially adversely affect our business, financial condition, liquidity or future results.

Item
2. Unregistered Sales of Equity Securities and Use of Proceeds

(a)
Recent Sales of Unregistered Securities

 ●In
                                            February 2025, we issued warrants (“Inducement Warrants”) to purchase an aggregate
                                            of 1,424,500 shares to certain investors in exchange for them exercising warrants that were
                                            issued to them in May 2024 (the “May 2024 Existing Warrants”) at an exercise
                                            price of $5.198 per share. Each Inducement Warrant has an exercise price of $6.502 and is
                                            exercisable six months after issuance, or August 27, 2025, until the five and a half-year
                                            anniversary from the date of issuance. We received proceeds of $6,731,410 before deducting
                                            placement agent fees and other offering expenses payable by us upon the exercise of the May
                                            2024 Existing Warrants

 ●In
                                            February 2025, the Company issued 1,000 restricted shares with a value of $82,100 to an investor
                                            relations consultant.

 ●In
                                            March 2025, we issued 10,000 stock options to a director with an exercise price of $5.95
                                            and an expiration date of March 27, 2035.

(b)
Use of Proceeds

Not
applicable.

(c)
Purchases of Equity Securities by the Issuer and Affiliated Purchasers

None.

Item
3. Defaults Upon Senior Securities

None.

Item
4. Mine Safety Disclosures

Not
applicable.

Item
5. Other Information

Securities Trading Plans

During the three
months ended March 31, 2025, none of our Section 16 officers or directors (as defined in Rule 16a-1(f) of the