Company: SWKH
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001628280-25-025955
Chunk: 63

Company: SWK Holdings Corp
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 63
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 December 31, 2024, certain assets and liabilities of the MOD3 business were classified as held for sale as of December 31, 2024. The assets and liabilities held for sale represent the major operating assets and liabilities of the MOD3 business (i.e. the majority of the Pharmaceutical Development segment) and as such, when the Option is exercised, this segment of the business will no longer exist and only the specialty finance business will remain. The decision to enter into the Option and Asset Purchase Agreement was made to align with the overall strategy to focus on the specialty finance business. The following table summarizes the assets and liabilities held for sale:March 31, 2025December 31, 2024Assets:Inventory$354 $354 Property & equipment, net4,696 4,635 Intangible assets, net209 209 Other non-current assets1,150 1,200 Total assets held for sale, net$6,409 $6,398 Liabilities:Accounts payable & accrued liabilities$298 $268 Other non-current liabilities1,027 987 Total liabilities held for sale$1,325 $1,255 During neither the three months ended March 31, 2025 nor the year ended December 31, 2024, there was not a strategic shift for the Company, and accordingly, the Pharmaceutical Development segment does not meet the criteria to be classified as a discontinued operation. As a result, we will continue to report our operational results for the Pharmaceutical Development segment until the sale. The following table shows the net loss before taxes for MOD3 (in thousands):Three Months Ended March 31,20252024Net loss before taxes$(536)$(1,453)

Note 5. Marketable Investments

Investments in corporate debt and equity securities consist of the following (in thousands):March 31, 2025December 31, 2024Corporate debt securities$13 $21 Equity securities442 559 Total marketable investments$455 $580  The amortized cost basis amounts, gross unrealized holding gains, gross unrealized holding losses and fair values of available-for-sale debt securities are as follows (in thousands):Amortized CostGross Unrealized Gains Gross Unrealized LossesFair ValueMarch 31, 2025$13 $— $— $13 December 31, 2024$21 $— $— $21