Company: BLNE
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004793
Chunk: 701

Company: Beeline Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 3
Chunk 701
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 The Merger was structured and accounted for as a business combination with Eastside as the acquirer of 100% of
the controlling equity interests of Beeline Financial and subsidiaries. The Merger provided a viable opportunity to realign Eastside’s
capital, growth trajectory, and potential returns for stakeholders and was structured as an all-stock transaction. The stockholders of
Beeline received 69,482,229 preferred shares of Series F and 517,775 preferred shares of Series F-1 of Eastside, see Note 19-  Stockholders’
Equity. The Company’s consolidated financial statements for the year ended December 31, 2024 include Beeline’s results
of operations from October 8, 2024 through December 31, 2024. The Company’s consolidated financial statements reflect the final
purchase accounting adjustments in accordance with ASC 805, Business Combinations, whereby the purchase price was allocated to
the assets acquired and liabilities assumed based upon their estimated fair values on the acquisition date.

Beeline is a fintech mortgage lender and title provider
aimed at transforming the home loan process into a shorter, easier path than conventional mortgage lending for millions of Americans seeking
a digital experience. Beeline has built a proprietary mortgage and title platform leveraging advanced technical tools with sophisticated
language learning models and combining an appropriate amount of human interaction to create a better outcome for mortgage borrowers.

The purchase price was valued at $48.2 million based
on the estimated fair value of the Series F and Series F-1 preferred stock issued on October 7, 2024. The allocation of the purchase price
to the fair value of the assets acquired and liabilities assumed and to
goodwill was as follows, subject to adjustment during a one-year measurement period from the Merger date:

SCHEDULE OF ALLOCATION OF PURCHASE PRICE 

    (Dollars in thousands) 
    October 7, 2024 
  
    Cash and cash equivalents 
    $167 
  
    Restricted cash 
     91 
  
    Mortgage loans held for sale, net, at fair value 
     7,242 
  
    Interest rate lock commitment derivative 
     124 
  
    Prepaid expenses and other current assets 
     89 
  
    Goodwill 
     33,310 
  
    Intangible assets 
     4,950 
  
    Right-of-use assets 
     1,406 
  
    Property and equipment, net 
     15,345