Note 21 - Share-based Compensation Expenses

9 Months Ended

Sep. 30, 2023

Notes to Financial Statements

Share-Based Payment Arrangement [Text Block]

21. Share-based compensation expenses

In  April 2023, under its 2020 Omnibus Securities and Incentive Plan, the Company granted and issued 0.03 million fully-vested shares of the Company’s restricted common stock to one of its independent directors in exchange for his service to the Company for the year ending  December 31, 2023. These shares were valued at US$1.65 per share, the closing bid price of the Company’s common stock on the grant date. Total compensation expenses amortized for the nine and three months ended  September 30, 2023 was approximately US$0.04 million and US$0.02 million, respectively.

In June 2022, the Company granted and issued 0.08 million fully-vested and non-forfeitable shares of the Company restricted common stock to a management consulting and advisory service provider in exchange for its service for a 12-month period until May 2023. The Company valued these shares at US$1.75 per share, the closing bid price of the Company’s common stock on the grant date of these shares and recorded the related total cost of approximately US$0.14 million as a prepayment asset in prepayment and deposit to suppliers account upon the grant and issuance of these shares. Total compensation expenses amortized for the nine and three months ended  September 30, 2023 was approximately US$0.06 million and US$nil, respectively. Total compensation expenses amortized for the nine and three months ended September 30, 2022 was approximately US$0.05 million and US$0.04 million, respectively.

In March 2022, under its 2020 Omnibus Securities and Incentive Plan, the Company granted and issued an aggregate of 0.019 million fully-vested shares of the Company’s restricted common stock to two of the Company’s executive officers in exchange for their services to the Company for the year ended December 31, 2022. These shares were valued at the closing bid price of the Company’s common stock on the respective date of grant. Total compensation expenses amortized for the nine and three months ended  September 30, 2022 was approximately US$0.05 million and US$0.02 million, respectively.

For the nine months ended September 30, 2022, the Company also amortized an approximately US$0.04 million compensation expense in the aggregate, which was related to fully-vested and nonforfeitable restricted common stock granted and issued to one of its service providers in  March 2020.

The table below summarized share-based compensation expenses recorded for the nine and three months ended September 30, 2023 and 2022, respectively:

	Nine Months Ended September 30,				Three Months Ended September 30,
	2023		2022		2023		2022
	US$(’000)		US$(’000)		US$(’000)		US$(’000)
	(Unaudited)		(Unaudited)		(Unaudited)		(Unaudited)
Sales and marketing expenses		-		-		-		-
General and administrative expenses		95		135		12		51
Research and development expenses		-		-		-		-
Total		95		135		12		51

The aggregate unrecognized share-based compensation expenses as of September 30, 2023 was approximately US$0.01 million, which will be recognized for the year ending December 31, 2023.