Settlement of Contingent Consideration Quantum

12 Months Ended

Dec. 31, 2022

Business Combination, Contingent Consideration Arrangements [Abstract]

Settlement of Contingent Consideration Quantum

Note 5. Settlement of Contingent Consideration Quantum

In October 2019, pursuant to the terms of an asset purchase agreement, the Company acquired certain assets of Quantum Fuel Systems, LLC (“Quantum”) The purchase consideration included deferred payments or share issuances upon certain milestones being met.

The final payments to the sellers of Quantum were:

•A cash payment of $450,000 paid on December 31, 2020 upon meeting a workforce retention milestone.

•Second milestone event was met upon the achievement of certain product development criteria as outlined in the asset purchase agreement. In connection with having achieved the second milestone, in February 2022 the Company paid cash consideration of $475,000 and issued 50,000 shares of the Company’s common stock.

•Third milestone event was met upon the successful demonstration of a prototype as outlined in the asset purchase agreement. In connection with having achieved the third milestone, in February 2022 the Company paid cash consideration of $475,000 and issued 50,000 shares of the Company’s common stock.