FAIR VALUE MEASUREMENT (Tables)

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Financial instruments measured at fair value on a recurring basis

The following table sets forth the Company’s financial instruments that were measured at fair value on a recurring basis at March 31, 2023 and December 31, 2022, by level within the fair value hierarchy:

	March 31, 2023
	Level 1		Level 2		Level 3		Total
Financial assets:
Stanley Brothers USA Holdings purchase option	$	—	$	—	$	2,000	$	2,000
Debt interest rate conversion feature	—		—		715		715
Total Financial Assets	$	—	$	—	$	2,715	$	2,715
Financial Liabilities:
Debt conversion option	$	—	$	6,738	$	—	$	6,738

	December 31, 2022
	Level 1		Level 2		Level 3		Total
Financial assets:
Stanley Brothers USA Holdings purchase option	$	—	$	—	$	2,300	$	2,300
Debt interest rate conversion feature	—		—		1,320		1,320
Total Financial Assets	$	—	$	—	$	3,620	$	3,620
Financial Liabilities:
Debt conversion option	$	—	$	12,995	$	—	$	12,995

Measurement inputs

The following additional assumptions are used in the model:

	March 31,	December 31,
	2023	2022
Stated interest rate	5.0%	5.0%
Adjusted interest rate	1.5%	1.5%
Implied debt yield	12.7%	8.6%
Federal regulation probability	Various	15.0%
Year of event	Various	2025

The following table provides the assumption regarding Level 2 fair value measurements inputs at their measurement dates:

	March 31,	December 31,
	2023	2022
Expected volatility	87.4%	86.7%
Expected term (years)	6.6	6.9
Risk-free interest rate	3.6%	4.0%
Expected dividend yield	—%	—%
Value of underlying share	C$0.44	C$0.73
Exercise price	C$2.00	C$2.00

The following additional assumptions are used in the model of the SBH Purchase Option:

	March 31,	December 31,
	2023	2022
Expected volatility	120.0%	115.0%
Expected term (years)	2.4	2.7
Risk-free interest rate	4.0%	4.3%
Weighted average cost of capital	42.5%	40.0%