FAIR VALUE OF FINANCIAL INSTRUMENTS

6 Months Ended

Jun. 30, 2024

Fair Value Disclosures [Abstract]

FAIR VALUE OF FINANCIAL INSTRUMENTS

NOTE 4. FAIR VALUE OF FINANCIAL INSTRUMENTS

Assets and Liabilities That Are Measured at Fair Value on a Recurring Basis

The following tables and discussion below represent the financial instruments measured at fair value on a recurring basis in the condensed consolidated financial statements of the Company and the valuation approach applied to each class of financial instruments at June 30, 2024 and December 31, 2023:

	June 30, 2024
	(in thousands)
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Assets:
Cash and cash equivalents:
Money market funds	$	5,632	$	—	$	—	$	5,632
Total cash and cash equivalents	5,632		—		—		5,632
Equity investments:
Mutual funds	1,158		—		—		1,158
Total equity investments	1,158		—		—		1,158
Total assets measured at fair value	$	6,790	$	—	$	—	$	6,790
Liabilities:
Common Warrants	$	—	$	—	$	4,807	$	4,807

	December 31, 2023
	(in thousands)
	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Assets:
Cash and cash equivalents:
Money market funds	$	7,406	$	—	$	—	$	7,406
Total cash and cash equivalents	7,406		—		—		7,406
Equity investments:
Mutual funds	1,081		—		—		1,081
Total equity investments	1,081		—		—		1,081
Purchase obligation put option asset	—		—		3,419		3,419
Total assets measured at fair value	$	8,487	$	—	$	3,419	$	11,906

Level 1 assets are priced using quoted prices in active markets for identical assets which include money market funds, U.S. Treasury securities and mutual funds as these specific assets are liquid;

Level 2: Quoted prices for similar assets and liabilities in active markets, quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability;

Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity).

For certain other financial assets and liabilities, including trade accounts receivable, accounts payable and

other current liabilities, the carrying amounts approximate their fair values due to the relatively short maturity of these balances.

Liabilities for Which Fair Value Is Only Disclosed

As of June 30, 2024 and December 31, 2023, the 5.00% Notes had an outstanding principal amount of $69.2 million and $67.6 million, respectively, and a fair value of $46.3 million and $50.8 million, respectively, using Level 3 measurement assumptions. See Note 9, Convertible Notes for further detail on the 5.00% Notes.

The 2.50% Notes matured on March 15, 2023 and became due and payable on such date. The remaining balance due under the 2.50% Notes was fully settled in April 2024. The amortized carrying amount of the 2.50% Notes was $0.7 million as of December 31, 2023, which approximates the related fair value due to the instrument being fully matured and payable. See Note 9, Convertible Notes for further detail on the 2.50% Notes.