• Filing Date: 2019-07-11
  • Form Type: 10-K
  • Description: Annual report
v3.19.2
Related Party Transactions
12 Months Ended
Apr. 30, 2019
Related Party Transactions [Text Block]
Note 11 Related Party Transactions
   
On October 10, 2018, the Company entered into a loan agreement (the “Loan Agreement”) with Wesley Clover International Corporation (“Wesley Clover”), a company controlled by the Chairman of the Company, and KMB Trac Two Holdings Ltd. (“KMB Trac Two Holdings”), a company owned by the spouse of a director of the Company. As of April 30, 2019, the principal balance of the loan payable due to Wesley Clover and KMB Trac Two Holdings was $1,500,000 and $1,500,000, respectively. During the year ended April 30, 2019, the Company paid $26,301 in interest to each of Wesley Clover and KMB Trac Two Holdings. As of April 30, 2019, the Company owed $8,110 in interest payable to each party.
   
During the year ended April 30, 2019, the Company through its wholly owned subsidiary, CounterPath Technologies Inc., paid $83,551 (2018 - $83,957) to Kanata Research Park Corporation (“KRP”) for leased office space. KRP is controlled by the Chairman of the Company.
   
On November 21, 2013, the Company, through its wholly owned subsidiary, CounterPath Technologies, entered into an agreement with 8007004 (Canada) Inc. (“8007004”) to lease office space. 8007004 was controlled by a member of the board of directors of the Company. CounterPath Technologies, paid $30,846 (2018 - $31,686) for the year ended April 30, 2019.
   
On January 24, 2018, the Company issued an aggregate of 427,500 shares of common stock under a non-brokered private placement (“Private Placement”) at a price of $4.01 per share for total gross proceeds of $1,714,275 less issuance costs of $48,325. In connection with the Private Placement, Wesley Clover purchased 125,000 shares and KMB Trac Two Holdings purchased 125,000 shares.
   
On July 20, 2017, our Company issued an aggregate of 539,240 shares of common stock under a non-brokered private placement at a price of $2.20 per share for total gross proceeds of $1,186,328 less issuance costs of $19,832. In connection with this private placement, Wesley Clover purchased 144,357 shares, KMB Trac Two Holdings purchased 180,446 shares, the former chief executive officer and a director of the Company, purchased 11,368 shares, the chief financial officer of the Company, purchased 4,511 shares, and the executive vice president, sales and marketing of the Company, purchased 4,545 shares.
 

The above transactions are in the normal course of operations and are recorded at amounts established and agreed to between the related parties.