Related Parties |
6 Months Ended | ||||
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Jun. 30, 2025 | |||||
| Related Parties | |||||
| Related Parties |
Nathaniel Bradley and EOS Holdings Nathaniel Bradley, the Chief Executive Officer (“CEO”) of the Company, is a control person of EOS Holdings which became a related party of the Company at the close of the DV Asset Acquisition on December 31, 2024. In addition, Sonia Choi, the Company’s Chief Marketing Officer is the spouse of the Company’s CEO and holds the position of Chief Marketing Officer of EOS Holdings, a related party of the Company. EOS Holdings received 3,999,911 shares of common stock of the Company at the close of the transaction. As described in Note 5 Borrowings, the Company owes $8.3 million of principal balance under the DV Convertible Note to EOS Holdings as of June 30, 2025. The Company has recorded $5,000 in interest income on the notes receivable for the six months ended June 30, 2025. In addition to the DV Convertible Note and the Data Vault Note Balance, on January 16, 2025, the Company entered into a Transition Services Agreement (“Transition Services Agreement”) to receive from EOS Holdings, employees to provide transition services in connection with the Acquired Assets for a period of up to three months. For the three and six months ended June 30, 2025, the Company has paid $428,000 and $501,000 to EOS Holdings and has a balance due to EOS as of June 30, 2025 of $97,000. No fees were paid to EOS Holdings during the quarter ended June 30, 2025 in connection with the Transition Services Agreement. Helge Kristensen Mr. Kristensen has served as a member of the Company’s board of directors since 2010. Mr. Kristensen serves as vice president of Hansong Technology, an original device manufacturer of audio products based in China, president of Platin Gate Aps, a company with focus on service-branding in lifestyle products as well as pro line products based in Denmark and co-founder and director of Inizio Capital, an investment company based in the Cayman Islands.
For the three months ended June 30, 2025 and 2024, Hansong Technology purchased modules from the Company of approximately $26,000 and $10,000, respectively, and made payments to the Company of approximately $0 and $0, respectively. At June 30, 2025 and 2024, Hansong Technology owed the Company approximately $61,000 and $39,000, respectively. For the three months ended June 30, 2025 and 2024, Hansong Technology sold speaker products to the Company of approximately $1,000 and $1,000, respectively, and the Company made payments to Hansong Technology of approximately $2,000 and $63,000 respectively. At June 30, 2025 and 2024, the Company owed Hansong Technology approximately $42,000 and $163,000, respectively. For the six months ended June 30, 2025 and 2024, Hansong Technology purchased modules from the Company of approximately $37,000 and $35,000, respectively, and made payments to the Company of approximately $0 and $0, respectively. For the six months ended June 30, 2025 and 2024, Hansong Technology sold speaker products to the Company of approximately $1,000 and $1,000, respectively, and the Company made payments to Hansong Technology of approximately $2,000 and $88,000, respectively. As of June 30, 2025 and December 31, 2024, Mr. Kristensen owned less than 1.0% of the outstanding shares of the Company’s common stock. |