5. Warrants

In connection with the Preferred Stock financing (See Note 11), the Company issued warrants to purchase an aggregate of 4,621,037 shares of Common Stock at the first closing of the Preferred Stock financing and subsequently issued additional warrants to purchase an aggregate of 6,024,124 shares of Common Stock at the second closing of the Preferred Stock financing. The Warrants have a term of seven years from the date of issuance are non-exercisable until six months after issuance, and have an exercise price of $0.31 per share. A summary of warrant activity for the year ended December 31, 2016 and the six months ended June 30, 2017 is as follows:

 

		Warrants				Weighted Average Price
Balance – December 31, 2015			175,584			$	1.50
Granted			—				—
Exercised			—				—
Expired			—				—
Balance – December 31, 2016			175,584				1.50
Granted			4,621,037				0.31
Exercised			—				—
Expired			—				—
Balance – June 30, 2017			4,796,621			$	0.35

The warrants outstanding as of June 30, 2017 are as follows:

 

Exercise Price		Warrants Outstanding				Expiration Dates
$ 1.50			175,584				7/31/17
$ 0.31			4,621,037				5/10/24
			4,796,621