NOTES PAYABLE AND DERIVATIVE LIABILITY (Tables)

3 Months Ended

Mar. 31, 2025

Notes Payable And Derivative Liability

SCHEDULE OF SUPPLEMENT BALANCE SHEET

Supplemental balance sheet information is as follows:

	March 31,			December 31,
(in thousands)	2025			2024
Amount repayable at maturity	$	36,025		$	47,575
Unamortized debt discount		(5,918	)		(12,021	)
Unamortized issuance costs		-			(2,552	)
Net carrying amount		30,107			33,002

SCHEDULE OF COMPONENTS INTEREST EXPENSE

	March 31,
(in thousands)	2025
Amortization of debt discount and issuance costs	$	3,502
Interest expense from modification of notes payable		2,057
Discount on warrants (see Note 7. Warrant Liability)		7,325
Other		19
Total interest expense	$	12,903

SCHEDULE OF MATURITIES LONG TERM DEBT

Maturities of partial repayments, if elected by the Holder, are as follows:

(in thousands) Years Ended December 31,	Maturities
2025 (remainder)	$	22,000
2026		14,025
Total partial repayments	$	36,025

SCHEDULE OF DERIVATIVES INSTRUMENTS

The fair value of derivatives not designated as hedging instruments are as follows:

	March 31,		December 31,
(in thousands)	2025		2024
Derivative liability	$	4,867	$	14,581
Total	$	4,867	$	14,581

SCHEDULE OF UNREALIZED GAIN AND LOSS INSTRUMENTS

Unrealized gains and losses associated with derivatives not designated as hedging instruments are as follows:

	March 31,		March 31,
(in thousands)	2025		2024
Unrealized gain on derivative liability	$	842	$	-
Total	$	842	$	-

SCHEDULE OF HIERARCHY LIABILITIES FAIR VALUE

The valuation inputs hierarchy classification for liabilities measured at fair value on a recurring basis are summarized below as of March 31, 2025 and December 31, 2024 (in thousands). See Note 5. Investment Securities, Available-For-Sale and Fair Value Measurements, for discussion of the fair value level hierarchy.

As of March 31, 2025	Level 1		Level 2		Level 3
Derivative liability	$	-	$	-	$	4,867
Total	$	-	$	-	$	4,867

As of December 31, 2024	Level 1		Level 2		Level 3
Derivative liability	$	-	$	-	$	14,581
Total	$	-	$	-	$	14,581

SCHEDULE OF REVALUATION DERIVATIVE LIABILITY

The table below lists the inputs and assumptions for the Company’s valuations as of March 31, 2025 and December 31, 2024:

	March 31,			December 31,
	2025			2024
Expected term (years)		1.5			1.75
Risk-free interest rate		3.92	%		4.18	%
Dividend yield		0	%		0	%
Volatility		82.36	%		78.02	%
Discount rate		50.0	%		50.0	%