XML 37 R24.htm IDEA: XBRL DOCUMENT v3.21.4
SHARE-BASED COMPENSATION
 12 Months Ended
Sep. 30, 2021
Share-based Payment Arrangement [Abstract]  
SHARE-BASED COMPENSATION

NOTE 18 – SHARE-BASED COMPENSATION

 

On September 25, 2019, the Company cancelled all outstanding options granted to Saagar Govil, the Company’s Chairman and CEO and granted a stock option for 400,000 shares. These options have an exercise price of $1.90 per share, which vested upon grant and they expire after seven years. Additionally, Mr. Govil was granted additional future options;

 

(i) 100,000 shares of the Corporation’s common stock, CETX at an exercise price of $1.92 per share on September 25, 2021;

(ii) 100,000 shares of the Corporation’s common stock, CETX at an exercise price of $2.30 per share on September 25, 2023; and

(iii) 100,000 shares of the Corporation’s common stock, CETX at an exercise price of $2.76 per share on September 25, 2025.

 

On September 25, 2019, the Company granted to Aron Govil, the Company’s former Executive Director and CFO, a stock option for 200,000 shares. These options have an exercise price of $1.90 per share, which vested upon grant and they expire after seven years.

 

(i) 25,000 shares of the Corporation’s common stock, CETX at an exercise price of $1.92 per share on September 25, 2021;

(ii) 12,500 shares of the Corporation’s common stock, CETX at an exercise price of $2.30 per share on September 25, 2023; and

(iii) 8,333 shares of the Corporation’s common stock, CETX at an exercise price of $2.76 per share on September 25, 2025.

 

As part of the settlement agreement with Mr. Govil, all his options were cancelled.

 

On January 6, 2021, the Company granted to Christopher C. Moore, the Company’s CFO, a stock option for 150,000 shares. These options have an exercise price of $1.58 per share, which vest over five years, and they expire after five years.

 

The following weighted-average assumptions were used to estimate the fair value of the common stock option liability for the options granted to Christopher C. Moore;

 

   January 6, 2021 
Expected term   5 Years 
Risk-free interest rate   0.41%
Expected volatility   111.47%
Expected dividend yield   0%

 

 

Cemtrex Inc. and Subsidiaries

 

During the years ended September 30, 2021, and 2020 the Company recognized $156,419 and $191,416 of share-based compensation expense on its outstanding options, respectively.

 

As of September 30, 2021, there was $359,415 of total unrecognized compensation cost related to non-vested stock options, which is expected to be recognized over a weighted-average period of 4 years.

 

   Number of Options   Weighted Average Exercise Price   Weighted Average Remaining Contractual Term (in years)   Aggregate Intrinsic Value 
Outstanding at September 30, 2019   1,050,000             $- 
Options granted   -                          
Options exercised   -                
Options forfeited   -                
Options cancelled   (104,167)               
Outstanding at September 30, 2020   945,833                
Options granted   250,000                
Options exercised                    
Options forfeited                    
Options cancelled   (245,833)               
Outstanding at September 30, 2021   950,000                
Exercisable at September 30, 2021   583,333   $1.78    0.40   $-