Company: CDLX
Filing Date: 2025-04-03
Form Type: ARS
Source: 0001666071-25-000048
Chunk: 140

Company: Cardlytics, Inc.
Filing Date: 2025-04-03
Form: ARS
Chunk 140
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 redemption period (as defined in the Indenture), as the case may be. If we undergo a Fundamental Change (as defined in the Indenture), then, except as set forth in the Indenture, holders may require, subject to certain exceptions, us to repurchase for cash all or any portion of their Notes at a fundamental change repurchase price equal to 100% of the principal amount of the 2020 Convertible Senior Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. The net carrying amount of the liability component of the 2020 Convertible Senior Notes is as follows (in thousands): December 31, 2024 2023 Principal $ 46,070 $ 230,000 Minus: Unamortized issuance costs (207) (2,496) Net carrying amount of the liability component $ 45,863 $ 227,504 91

Interest expense recognized related to the 2020 Convertible Senior Notes is as follows (in thousands): December 31, 2024 2023 Contractual interest expense (due in cash) $ 921 $ 2,300 Amortization of debt issuance costs 585 1,461 Total interest expense related to the 2020 Convertible Senior Notes $ 1,506 $ 3,761 Effective interest rate 1.64 % 1.64 % Capped Call Transactions In connection with the issuance of the 2020 Convertible Senior Notes, we entered into privately negotiated capped call transactions (the "Capped Calls") with an affiliate of one of the initial purchasers or the 2020 Convertible Senior Notes and certain other financial institutions. The Capped Calls are recorded in stockholders' equity and were not accounted for as derivatives. The Capped Calls each had an initial strike price of $85.14 per share, subject to certain adjustments, which corresponds to the initial conversion price of the 2020 Convertible Senior Notes. The Capped Calls had an initial cap price of $128.51 per share, subject to certain adjustments. On May 29, 2024, we entered into agreements to terminate all remaining Capped Calls associated with the 2020 Convertible Senior Notes. The Capped Calls were separate transactions, entered into by the Company with the counterparties, and were not part of the terms of the 2020 Convertible Senior Notes. Cash proceeds from the termination of the Capped Calls totaled $0.1 million