RELATED PARTY TRANSACTION |
6 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Related Party Transactions [Abstract] | |
| RELATED PARTY TRANSACTION | NOTE 14 – RELATED PARTY TRANSACTION
ENvue Consolidated Secured Note
On January 17, 2025, ENvue issued a Consolidated Secured Note (as amended, the “Alpha Note”) in the aggregate principal amount of $2,497 to Alpha, which such Alpha Note was funded in several tranches. The Alpha Note does not bear interest and is secured by Collateral (as defined in the Alpha Note). The aggregate principal amount owed under the Alpha Note is due and payable on the earlier of (i) the receipt of shareholder approval by the Company of the Parent Stockholder Matters (as defined in that certain Merger Agreement) and (ii) December 31, 2026, see Note 9.
Prior to the Envue Merger, Alpha was the principal shareholder of Predecessor ENvue, and following the completion of the ENvue Merger, Alpha continues to be a significant shareholder of the Company, subject to a 4.99% beneficial ownership limitation.
Alpha Series X Redemptions and Series H Preferred Stock Additional Investment Right Exercises and Conversions
During the six months ended June 30, 2026, the Company repurchased shares of Series X Preferred Stock from Alpha for an aggregate repurchase price of approximately $3,040, resulting in a deemed contribution of $279; Alpha exercised the Additional Investment Right on six occasions for an aggregate value of $7,600, resulting in the issuance of shares of Series H Preferred Stock; and Alpha converted $7,719 of stated value of Series H Preferred Stock, together with $602 of accrued dividends, into shares of Common Stock. As of June 30, 2026, Alpha held shares of Series H Preferred Stock. See Note 7 for further details.
ENVUE MEDICAL, INC. Notes to the Interim Condensed Consolidated Financial Statements (Unaudited) (Amounts in thousands except share and per share data)
Besser Initial RSUs
In addition, on April 4, 2026, the Board approved an award of 1,044,741 fully vested restricted stock units to Dr. Besser, for which the Company recorded $2,048 of stock-based compensation expense. See Note 7 for further details.
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