David S. McEwen - Mar 16, 2023 Form 4 Insider Report for KonaTel, Inc. (KTEL)

Role: Chairman and CEO, Director, 10%+ Owner
Signature: /s/ D. Sean McEwen
Stock symbol: KTEL
Transactions as of: Mar 16, 2023
Transactions value $: $0
Form type: 4
Date filed: 3/21/2023, 03:02 PM
Next filing: Jun 15, 2023

Transactions Table

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Ownership	Footnotes
transaction	KTEL	Common Stock	Options Exercise	$41.3K	+188K	+1.21%	$0.22^*	15.7M	Mar 16, 2023	Direct	F2
holding	KTEL	Common Stock						15.5M	Mar 16, 2023	Direct

Derivative Securities (e.g., puts, calls, warrants, options, convertible securities)

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Underlying Class	Amount	Exercise Price	Ownership	Footnotes
transaction	KTEL	Option	Options Exercise	-$41.3K	-188K	-12.5%	$0.22^*	1.31M	Mar 16, 2023	Common Stock	188K	$0.22	Direct	F2
holding	KTEL	Option						188K	Mar 16, 2023	Common Stock	188K	$0.22	Direct	F1
holding	KTEL	Option						375K	Mar 16, 2023	Common Stock	188K	$0.22	Direct	F1
holding	KTEL	Option						563K	Mar 16, 2023	Common Stock	188K	$0.22	Direct	F1
holding	KTEL	Option						750K	Mar 16, 2023	Common Stock	188K	$0.22	Direct	F1
holding	KTEL	Option						938K	Mar 16, 2023	Common Stock	188K	$0.22	Direct	F1
holding	KTEL	Option						1.13M	Mar 16, 2023	Common Stock	188K	$0.22	Direct	F1
holding	KTEL	Option						1.31M	Mar 16, 2023	Common Stock	188K	$0.22	Direct	F1
holding	KTEL	Option						1.5M	Mar 16, 2023	Common Stock	188K	$0.22	Direct	F1

* An asterisk sign (*) next to the price indicates that the price is likely invalid.

Explanation of Responses:

Id	Content
F1	Mr. McEwen received these non-compensatory stock options on December 18, 2017, as part of an exchange of his shares in KonaTel, Inc., a Nevada corporation ("KonaTel Nevada"), for shares of common stock and these non-compensatory stock options under a merger whereby the Company acquired KonaTel Nevada from Mr. McEwen, its sole shareholder.
F2	Effective December 18, 2017, the Company completed an Agreement and Plan of Merger whereby a newly formed wholly-owned subsidiary merged with and into KonaTel Nevada, and under which KonaTel Nevada was the surviving corporation and became a wholly-owned subsidiary of the Company. Mr. McEwen was the sole shareholder of KonaTel Nevada and received merger consideration of 13,500,000 shares of the Company's Common Stock and 1,500,000 non-compensatory options to acquire shares of the Company's Common Stock under the merger. On March 16, 2023, Mr. McEwen exercised his first tranche of 187,500 stock options for 187,500 shares of Common Stock, which were issued on March 20, 2023.

Content

Mr. McEwen received these non-compensatory stock options on December 18, 2017, as part of an exchange of his shares in KonaTel, Inc., a Nevada corporation ("KonaTel Nevada"), for shares of common stock and these non-compensatory stock options under a merger whereby the Company acquired KonaTel Nevada from Mr. McEwen, its sole shareholder.

Effective December 18, 2017, the Company completed an Agreement and Plan of Merger whereby a newly formed wholly-owned subsidiary merged with and into KonaTel Nevada, and under which KonaTel Nevada was the surviving corporation and became a wholly-owned subsidiary of the Company. Mr. McEwen was the sole shareholder of KonaTel Nevada and received merger consideration of 13,500,000 shares of the Company's Common Stock and 1,500,000 non-compensatory options to acquire shares of the Company's Common Stock under the merger. On March 16, 2023, Mr. McEwen exercised his first tranche of 187,500 stock options for 187,500 shares of Common Stock, which were issued on March 20, 2023.