v3.26.1
Fair Value Measurements
 6 Months Ended
Jun. 30, 2026
Fair Value Measurements [Abstract]  
FAIR VALUE MEASUREMENTS

NOTE 6:- FAIR VALUE MEASUREMENTS

 

The following table presents information about the Company’s liabilities that are measured at fair value on a recurring basis as of December 31, 2025 and June 30, 2026 and indicates the fair value hierarchy of the valuation inputs the Company utilized to determine such fair value:

 

    December 31, 2025  
    Level 1     Level 2     Level 3  
Warrants Liability – Public Warrants   $ 4,626     $ -     $ -  
Warrants Liability – Private Warrants     -       -       728  
                         
Total   $ 4,626     $ -     $ 728  

 

    June 30, 2026  
    Level 1     Level 2     Level 3  
    (Unaudited)  
Warrants Liability – Public Warrants   $ 40,137     $ -     $ -  
Warrants Liability – Private Warrants     -       -       7,400  
                         
Total   $ 40,137     $ -     $ 7,400  

 

The fair value of the Public Warrants is determined with reference to the prevailing market price for warrants that are trading on Nasdaq under the ticker DRTSW.

 

As of December 31, 2025, the Company applied the market approach to determine fair value, using quoted prices of the Public Warrants as of the balance sheet date. As of June 30, 2026, in light of the increase in the trading price of the Company’s ordinary shares in excess of the $11.50 strike price of the Public and Private Warrants, the Private Warrants were valued using a blend of the Public Warrant prevailing market price and a Black Scholes Option Pricing Model, which is considered to be a Level 3 fair value measurement. As part of the inputs used in the Black-Scholes model to determine the fair value of the Private Warrants, the expected volatility of the Ordinary Shares was estimated based on the historical volatility of the Company’s publicly traded Ordinary Shares.

 

The following table provides the inputs used for Level 3 fair value measurements:

 

    June 30,
2026		  
       
Expected term (years)     0.68  
Expected volatility     83.77 %
Risk-free interest rate     3.97 %
Expected dividend yield     0 %
Fair value of Ordinary share   $ 12.58  
Exercise price   $ 11.50  

 

The following table presents the changes in the fair value of Level 3 Private Warrants liability:

 

    December 31,
2025		     June 30,
2026
(unaudited)		  
Fair value at beginning of the period   $ 481     $ 728  
Change in fair value     247       6,672  
                 
Fair value at end of the period   $ 728     $ 7,400  

 

There were no transfers in or out of Level 3 from other levels in the fair value hierarchy.