Regulatory Compliance - The Company received a cease trading order from the British Columbia Securities Commission on April 8, 2021, due to the failure to timely file annual audited financial statements for the year ended December 31, 2020[230]. - The Company regained compliance with Nasdaq Listing Rule 5250(c)(1) after filing its Annual Report on Form 20-F on June 30, 2021[231]. Financing Activities - The Company entered into a securities purchase agreement for a senior secured convertible note with gross proceeds of $6,000,000, which closed on November 3, 2021[233]. - The Lind Note was fully repaid on November 14, 2022, with a total payment of $8,137,702 in cash and 13,112,255 Common Shares issued to Lind[235]. - The Company closed an underwritten public offering on January 11, 2022, resulting in gross proceeds of approximately $20,000,000 and net proceeds of $18,358,028[238]. - A registered direct offering on October 10, 2022, resulted in gross proceeds of approximately $4.0 million from the sale of 15,810,000 Common Shares and warrants[242]. - The company entered into warrant exercise agreements to exercise existing warrants for a total of 18,042,857 Common Shares, generating gross proceeds of approximately $3,608,571[246]. - The exercise price of certain existing warrants was reduced from $0.23 to $0.20 per share, impacting 2,989,130 unexercised Common Share purchase warrants[246]. Financial Reporting and Errors - A material error was identified in the accounting for warrants entered into on January 11, 2022, leading to a restatement of financial statements[241]. - The company’s auditor expressed substantial doubt about its ability to continue as a going concern for the next twelve months, highlighting the need for financing[249]. Market and Product Development - The company has a total addressable market over $19 billion in North America, targeting approximately 25 million commercial vehicles, including 7 million first responder vehicles[273]. - The rugged handsets are aimed at approximately 47 million enterprise task and public sector workers across North America, with approvals secured from major carriers including AT&T, Verizon, and T-Mobile[274]. - The Push-to-Talk over Cellular (PoC) market is growing at a 13.6% CAGR, with annual PoC shipments expected to reach 2.7 million in 2023[263]. - The company has launched the SD7 Rugged PTT Handset, which is now shipping in North America, Europe, the Middle East, and Australia[256]. - The UV350 In-Vehicle device is designed for professional vehicles and supports Band 14 for FirstNet compatibility, enhancing its appeal to first responders[261]. - The company believes it has no direct competitors in the North American in-vehicle market for dedicated cellular-based devices for commercial and first responder vehicles[280]. - The UV350 device offers enhanced audio quality, safety, and reception, and is always active, unlike handheld phones and rugged tablets[281][282]. Partnerships and Licensing - The company has entered into a partnership with Uniden America Corporation to market cellular signal boosters under the Uniden brand name in the U.S. and Canada[268]. - The company entered into a licensing agreement with Uniden America Corporation, allowing the use of the "Uniden" trademark until December 31, 2031, with minimum royalties[287]. - The company has entered into multiple licensing agreements for patents related to cellphone boosters and Android software, with royalties based on product sales[288][289]. - The company emphasizes the importance of securing intellectual property rights and entering into license agreements to protect its proprietary products[35]. Acquisitions and Assets - The company has acquired two patents from ClearRF, enhancing its product offerings in M2M applications and IoT[286][291]. - An asset purchase agreement with eWave Mobile Ltd. was made for $700,000 in cash and stock, plus a profit-sharing arrangement on sales exceeding $1.5 million[290]. Operational Insights - The company has no seasonal effects on its business, as products function at full capacity under all weather conditions[292]. - The company’s warehouse and Canadian sales headquarters occupy approximately 5,616 square feet, with a lease agreement costing approximately $11,232 annually[294]. - The company has a total of seven subsidiaries, with varying activities including R&D and wholesale distribution[293].
SIYATA MOBL.EQ.WARRT(SYTAW) - 2022 Q4 - Annual Report