Company: BSFC
Filing Date: 2025-06-23
Form Type: 10-K
Source: 0001641172-25-015976
Chunk: 1083

Company: Blue Star Foods Corp.
Filing Date: 2025-06-23
Form: 10-K
Item: Item 3
Chunk 1083
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 for gross proceeds of $4,578,294. Under the Black-Scholes pricing model, the fair value of the
warrants issued to purchase 201,023 shares of common stock was estimated at $4,619,851 on the date of issuance of the warrant using the
following assumptions: stock price of $23.45; exercise price of $0.50; warrant term; volatility rate of 149.06%; and risk-free interest
rate of 5.40% from the US Department of Treasury.

On
September 11, 2023, in connection with the underwritten public offering, the Company issued five-year5 Series A-1 warrants to purchase
up to 214,823 shares of common stock which warrants are exercisable upon stockholder approval at an exercise price of $23.28 per share.
Since the exercise of these warrants is contingent upon stockholder approval, which stockholder approval has not been obtained, such
warrants were not considered as outstanding as of December 31, 2023.

On
September 11, 2023, in connection with the underwritten public offering, the Company issued eighteen-month18
Series A-2 warrants to purchase up to 214,823 shares of common
stock which warrants are exercisable upon stockholder approval at an exercise price of $23.28 per share. Since the exercise of these
warrants is contingent upon stockholder approval, which stockholder approval has not been obtained, such warrants were not considered
as outstanding as of December 31, 2023.

During
the year ended December 31, 2023, the Company issued 800 shares of common stock at an exercise price of $199.00 per share pursuant to
pre-funded warrants issued to Aegis in connection with an underwritten offering.

For
the year ended December 31, 2023, between October 2023 and November 2023, the Company issued an aggregate of 201,023 shares of common
stock at an exercise price of $0.50 to two investors upon exercise of Pre-Funded Warrants.

    F-32

Note
11. Income taxes

Federal
income tax expense differs from the statutory federal rates of 21% for the years ended December 31, 2024 and December 31, 2023 due to
the following:

 Schedule of Rate Reconciliation

    Rate Reconciliation 
    December
    31, 2024  
       
    December