Notes Payable and Convertible Notes (Tables)

9 Months Ended

Sep. 30, 2022

Debt Disclosure [Abstract]

Summary of Notes Payable and Convertible Notes

The Company’s notes payable and convertible notes are as follows:

	LI Lending, LLC		May 2020 Convertible Notes		May 2020 Convertible Notes (Swap)		October 2021 Convertible Note		Other Loans		Total
Balance, December 31, 2020	$	45,362	$	2,855	$	11,867	$	—	$	6,931	$	67,015
Loans advanced, net	—		—		—		14,376		930		15,306
Loan payments	(4,671)		—		—		—		(1,079)		(5,750)
Converted to equity	—		(5,852)		(11,867)		—		—		(17,719)
Accrued interest	7,575		2,997		—		265		1,124		11,961
Balance, December 31, 2021	$	48,266	$	—	$	—	$	14,641	$	7,906	$	70,813
Loans advanced, net	—		—		—		—		15,000		15,000
Loan payments	(4,689)		—		—		—		(1,182)		(5,871)
Converted to equity	—		—		—		—		(2,784)		(2,784)
Accrued interest	5,845		—		—		872		638		7,355
Balance, September 30, 2022	$	49,422	$	—	$	—	$	15,513	$	19,578	$	84,513
Less current portion	—		—		—		—		(9,299)		(9,299)
Long-term portion	$	49,422	$	—	$	—	$	15,513	$	10,279	$	75,214

Summary of Convertible Debt

Outstanding as of September 30, 2022 were other payables totaling $19.6 million which include notes issued as part of the acquisitions of Healthy Pharms, NECC, Island, and Arkansas entities as follows:

Subsidiary	Terms	September 30, 2022		December 31, 2021
Healthy Pharms Inc.	Unsecured convertible note, due November 18, 2021 at 12% per annum	$	—	$	2,784
Healthy Pharms Inc.	Unsecured promissory note at $0.50 per share due December 18, 2022 at 10% per annum (1)	3,463		3,213
Island Global Holdings, Inc.	Promissory note due October 25, 2026 at 6% per annum	10,279		—
NECC	Promissory note due November 15, 2022 at 10% per annum (2)	1,005		—
Island Global Holdings, Inc.	Promissory note due February 28, 2023 at 1.5% per month (3)	3,057		—
Arkansas Entities	Unsecured Promissory note due December 1,2022, monthly interest payments at 14% per annum	1,730		1,709
Equipment Loans	Secured by equipment, monthly payments beginning in 2021 at 15% per annum	44		49
Other	Various	—		151
Total Notes Payable and Convertible Notes		$	19,578	$	7,906

(1) In November 2021, the unsecured promissory note was modified to be due and payable in full on or before December 18, 2022. The Company concluded the extension resulted in a debt modification under ASC 470.

(2) On July 28, 2022, the parties amended the promissory note to provide for payment of half the principal on the initial maturity date, and the remaining principal and all accrued interest on November 15, 2022. Interest will continue at annual rate of ten percent (10%).

(3) On August 30, 2022, the Company entered into a Promissory Note Purchase Agreement with HI 4Front, LCC and Navy Capital Green Fund, LP. Under the agreement, the Company sold promissory notes totaling $3 million with a six-month maturity bearing 1.5% monthly interest for three months and 2% monthly interest for three months. The notes were unsecured, but would become secured if not repaid within three months.