v3.23.1
Subsequent Events
12 Months Ended
Dec. 31, 2022
Subsequent Events  
Subsequent Events

NOTE 12: Subsequent Events

On January 6, 2023, the Company announced a cost-reduction plan to reduce operating costs, improve operating margins, streamline its operations, right-size its combined workforce and continue advancing the Company’s ongoing commitment to profitable growth. The plan included a reduction of the Company’s current workforce, following the CASE acquisition in October 2022 (see Note 3).

During the period January 1, 2023 through March 31, 2023, the Company issued 2,893,824 shares of common stock to holders of the 2022 Convertible Notes for settlement of conversion of an aggregate principal amount of approximately $3.1 million of such notes.

On February 1, 2023, the Company entered into an At the Market Offering Agreement, dated February 1, 2023 (the “Sales Agreement”), with H.C. Wainwright & Co., LLC (“Wainwright” or the “sales agent”) under which, the sales agent may from time to time offer and sell shares of the our Class A Common Stock, par value $0.001 per share, having an aggregate offering price of up to $20,000,000 in accordance with the terms of the Sales Agreement. As of March 10, 2023, we issued 2,145,387 shares of Class A Common Stock under the at the market offering program for total proceeds of $2.4 million, net of commissions and other offering related expenses.

On March 29, 2023, the Company received written notice (“Notice”) from The Nasdaq Stock Market LLC indicating that effective March 28, 2023, the Company is no longer in compliance with the minimum Market Value of Listed Securities (“MVLS”) of $50 million required for continued listing on The Nasdaq Global Market.  The Notice has no effect at this time on the listing of the Company’s Class A Common Stock, which continues to trade on The Nasdaq Global Market under the symbol, “KSCP.”  The Company has a period of 180 calendar days, or until September 25, 2023 (the “Compliance Date”), to regain compliance with the MVLS Requirement.  If at any time before the Compliance Date, the market value of the Company’s listed securities closes at $50 million of 10 consecutive business days, the Nadaq Stock Market LLC will provide written notification to the Company that it has regained compliance with the MVLS requirement.