UNSECURED CONVERTIBLE NOTES

12 Months Ended

Dec. 31, 2024

Unsecured convertible notes consisted of the following at December 31, 2024 and December 31, 2023, in thousand:


	December 31, 2024		December 31, 2023
2024 unsecured convertible notes, 4% coupon, due December 2025	4,500		—
Less unamortized debt discounts	(450)		—

Total unsecured convertible notes, net of discount	$	4,050	$	—
Less current portion	(4,050)		—
Total unsecured convertible notes, net of discount non-current	$	—	$	—

2024 unsecured convertible notes due December 2025 - 2024 Convertible note

During the year ended December 31, 2024, the Company entered into a Securities Purchase Agreement (“Securities Purchase Agreement”). Under the Securities Purchase Agreement, the Company may issue a series of convertible notes the “2024 Convertible note” for an aggregate principal not to exceed $36.0 million. During the year ended December 31, 2024, the Company issued convertible notes in an aggregate principal amount of $4.5 million, of which $4.1 million was funded as of December 31, 2024, representing an original issue discount of ten percent. Interest is payable quarterly at the Company’s option shall either be (i) paid in cash; (ii) paid-in-kind in shares of common stock; or (iii) compound and

become additional principal outstanding. The Company recorded $14 thousand of accrued interest expense in the year ended December 31, 2024.

In conjunction with the issuance of the notes, the Company incurred $450 thousand of closing financing costs, which are presented as an offset to the convertible notes in the consolidated balance sheets as of December 31, 2024.

The 2024 convertible note is accounted for as a single liability measured at fair value in accordance with ASC 825-10.