Company: SQFTP
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001437749-25-010185
Chunk: 159

Company: Presidio Property Trust, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 13
Chunk 159
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AC, holders of 11,037,272 shares of SPAC Class A Common Stock properly exercised their right to redeem their shares of Class A Common Stock for the aggregate redemption amount of $114,068,280.  As such the SPAC had recorded a 1% excise tax liability in the amount of $1,140,683 during  January 2023. The liability did not impact the statements of operations or statement cash flows and is an offset against additional paid in capital, to the extent available, and accumulated deficit.  On  September 22, 2023, Murphy Canyon completed its business combination with Conduit  Pharma and shareholders and debtholders of Conduit Pharma were issued 65,000,000 shares of Conduit common stock.  The excise tax liability recorded in connection with the  January 2023 redemptions was reversed in full by the issuance of Conduit shares on  September 22, 2023.

        F-
       17

   Immaterial Error Corrections. During the second quarter of 2024, management determined that its prior treatment of accruing restricted compensation expense as a liability and included in accounts payable and accrued liabilities on the consolidated balance sheets should be treated differently. Management determined that the restricted stock compensation should be treated as equity and included in additional paid in capital in the Company’s accompanying consolidated balance sheet for the prior years in accordance with ASC 718. Compensation - Stock Compensation. Accordingly, the Company’s accompanying consolidated balance sheets and consolidated statements of changes in equity as of  December 31, 2022 and  December 31, 2023, respectively, and for the three months ended  March 31, 2023,  June 30, 2023, and  March 31, 2024, respectively, reflects an adjustment to include restricted stock compensation.
    
   On the balance sheet as of  December 31, 2023, accounts payable and accrued liabilities reflects a reduction of $21,189 and additional paid-in capital reflects an increase of $21,189.  On the consolidated statements of changes in equity, the three months ended  March 31, 2023,  June 30, 2023 and  September 30, 2023 reflect the addition of restricted stock compensation of $232,106, $228,657, and $270,564, respectively, and the three months ended  March 31,