Company: MGLD
Filing Date: 2025-09-19
Form Type: 10-K
Source: 0001493152-25-014286
Chunk: 111

Company: Marygold Companies, Inc.
Filing Date: 2025-09-19
Form: 10-K
Item: Item 1
Chunk 111
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 June 30, 2024, a decrease of $0.5
million or 8%. Our cash used in operating activities for fiscal 2025 was $3.3 million. For fiscal 2025, we made additional
expenditures of $3.3 million through Marygold US for the development of the mobile Fintech app in the United States. We have
invested a total of $19.1 million in the Fintech app through Marygold US since inception. Despite these cash investments and
expenses, our working capital position remains strong at $12.4 million as of June 30, 2025.

As
described below, in September 2024 we entered into a financing arrangement under which we borrowed $4.4 million and have the potential
to borrow an additional $2.2 million. The financing arrangement also gives the lender the right but not the obligation to provide an
additional $10.0 million in financing to us on the same terms as the initial loans. Also as described below, on January 28, 2025, we received $1.8 million in net proceeds from the sale of our shares in
a firm commitment underwritten offering. Also, on July 1, 2025, the Company sold Brigadier to a related party. As of June 30, 2025, $0.7 million had been
received as a deposit, and the Company received the remaining proceeds of $1.6 million in accordance with the schedule described in Note
16, Subsequent Events to the Consolidated Financial Statements included in this Form 10-K.

Recent
Equity Financing

On
January 28, 2025, we closed on the sale of an aggregate of 2,050,000 shares of our common stock, $0.001 par value per share (“Common
Stock”) at a price to the public of $1.10 per share (before deduction of underwriting discounts and commissions) in a firm commitment
underwritten public offering (“Offering”) pursuant to an underwriting agreement, dated January 26, 2025 (“Underwriting
Agreement”), between us and the Maxim Group LLC (“Maxim”), as sole underwriter and book-running manager for the Offering.
Pursuant to the Underwriting Agreement, we granted Maxim a 45-day option to purchase up to an additional 307,500 shares of Common Stock
at the public offering price before deduction of underwriting discounts and commissions (“Overall