Company: CXAI
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001829126-25-006141
Chunk: 35

Company: CXApp Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 35
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 restricted stock units for the six months ended June 30, 2025 and June 30, 2024 were recorded in the financial statements as summarized below:

    Schedule of non-cash stock-based compensation expenses related to restricted stock units

    Three Months ended June 30, 2025

    Six Months ended June 30, 2025

    Three Months ended June 30, 2024

    Six Months ended June 30, 2024

    Research and development
     
    $
    281

    $
    383

    $
    306

    $
    404

    Sales and marketing

    141

    193

    155

    206

    General and administrative

    281

    492

    272

    504

    Total non-cash stock compensation
     
    $
    703

    $
    1,068

    $
    733

    $
    1,114

As of June 30, 2025 and June 30, 2024, the Company has approximately $914 thousand and $721 thousands of unrecognized restricted stock unit compensation to be expensed over a weighted average period of 0.86 year and 1.51 years, respectively.

NOTE 11 – Convertible Debt

Securities Purchase Agreement with Avondale Capital, LLC

On March 26, 2025, the Company entered into a Securities Purchase Agreement (“SPA”) with Avondale Capital, LLC (“Avondale”), pursuant to which the Company may issue and sell up to $20,000 thousand of Pre-Paid Purchase agreements (“Pre-Paid Purchases”) in tranches over time. The initial Pre-Paid Purchase (“Pre-Paid Purchase #1”) included a $4,200 thousand Pre-Paid Purchase, structured with a $200 thousand original issue discount (“OID”) and $10 thousand in transaction-related fees, resulting in net proceeds of $3,990 thousand, received on April 8, 2025.

In connection with the initial closing, the Company was required to issue 80,000 commitment shares to Avondale. On March 26, 2025, the Company recorded a liability of $69 thousand for the shares to be issued under the contract to issue common stock. On May 8, 2025, the Company issued the Class A Common Stock and recognized a loss of $20 thousand
upon issuance.

The Avondale convertible