CONVERTIBLE DEBT |
6 Months Ended |
|---|---|
Jun. 30, 2025 | |
| CONVERTIBLE DEBT | |
| CONVERTIBLE DEBT | NOTE 8. CONVERTIBLE DEBT
2025 Activity:
On March 31, 2025, the Company issued a convertible note for a net proceed of $7,300. On June 30, 2025, the Company issued an additional convertible note for a net proceed of $11,141. The convertible notes are due to mature on December 31, 2028 unless earlier converted to common stock. The convertible notes will accrue interest at a rate of 10% per annum and have a conversion price of $0.04 per common stock.
During the three months ended March 31, 2025, related interest expense of $1,248 was recorded as finance cost. During the three months ended June 30, 2025, related interest expense of $1,270 was recorded as finance cost. For the six months ended June 30, 2025, total interest expense on convertible debt was $2,518.
Prior Period Activity:
On December 31, 2024, the Company issued a convertible note for a net proceed of $9,750. On September 30, 2024, the Company issued a convertible note for a net proceed of $5,136. On June 30, 2024, the Company issued a convertible note for a net proceed of $8,472. On March 31, 2024, the Company issued a convertible note for a net proceed of $17,400. On December 31, 2023, the Company issued a convertible note for a net proceed of $6,350. All convertible notes are due to mature on December 31, 2028 unless earlier converted to common stock, will accrue interest at a rate of 10% per annum and have a conversion price of $0.04 per common stock.
The convertible notes are governed by indentures dated as above. The Indentures do not contain any financial covenants or any restrictions on the payment of dividends, the incurrence of senior debt or other indebtedness or the issuance or repurchase of the Company's securities by the Company.
As of June 30, 2025, the total outstanding principal and accrued interest on convertible debt was $70,571 compared to $49,612 as of December 31, 2024. |