Company: WKSP
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001493152-25-022113
Chunk: 60

Company: Worksport Ltd
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 8
Chunk 60
---
 direct offering, the Company issued the institutional
investor 770,026 warrants in a private sale. The warrants are exercisable for 770,026 shares of common stock for $7.40 per share six
months after issuance until five and a half years from the issuance date, subject to beneficial ownership limitations as described in
the warrants. The Company registered the 770,026 shares of common stock underlying the warrants on a Form S-1 (333-278461) which was
declared effective by the SEC on April 8, 2024.

On
May 29, 2024, Worksport sent an inducement letter to a shareholder offering an option to exercise their warrants at a reduced
exercise price of $5.198
per warrant. In turn for doing so, Worksport offered the shareholder new warrants to purchase up to 1,295,000
shares of common stock with an exercise price of $5.198.
The warrants had a term of 5.5
years, with a 6-month required holding period prior to exercise.

    9

On
December 13, 2024, the Company filed a prospectus supplement to amend and supplement a prospectus supplement dated as of November 5,
2024, as well as the prospectus supplement dated as of October 13, 2022, and the prospectus dated as of October 13, 2022 to increase
the maximum amount of shares that we are eligible to sell pursuant to the ATM Agreement under General Instruction I.B.6. to $4,962,092
of shares of our common stock not including whatever had been sold prior to this filing date.

On
February 27, 2025, Worksport entered into a warrant inducement agreement with a shareholder to exercise 755,558
of 1,295,000
May 2024 Warrants at a price of $5.198
per share. The remaining unexercised 539,442
warrants are included in share subscription payable. In return, the Company issued 1,424,500
new 2025 Inducement Warrants. Each Inducement Warrant has an exercise price of $6.502,
will become exercisable six months after issuance, and have a 5.5-year
life. Worksport raised approximately $6,731,000
in gross proceeds before fees and expenses, with the funds earmarked for general corporate and working capital purposes.