Company: JUSHF
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001628280-25-037797
Chunk: 32

Company: Jushi Holdings Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Item 1
Chunk 32
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107)(247)(229)(351)Total interest expense, net$10,219 $9,071 $20,219 $18,615 

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Table of ContentsJUSHI HOLDINGS INC. Notes to the Unaudited Condensed Consolidated Financial Statements(Amounts Expressed in Thousands of U.S. dollars, Except Share and Per Share Amounts)

 9.   DERIVATIVE LIABILITIESThe following table summarizes the change in the Company’s derivative liabilities for the six months ended June 30, 2025.Total Derivative Liabilities (1)Balance as of January 1, 2025$3,128 Derivative warrants issued (2)1,769 Fair value changes(450)Reclassification to equity (2)(1,377)Balance as of June 30, 2025$3,070 (1)Refer to Note 10 - Equity for the change in number of warrants during the six months ended June 30, 2025.(2)In February 2025, the Company issued 8,010,626 warrants in connection with Second Lien Notes issuances, which were reclassified to equity upon the finalization of the exercise price in March 2025. Refer to Note 8 - Debt for more information. The Company’s derivative liabilities are primarily comprised of derivative warrants (“Derivative Warrants”). These are warrants to purchase SVS of the Company and were issued in connection with the Company’s Second Lien Notes and the Term Loans. The Derivative Warrants may be net share settled.As of June 30, 2025 and December 31, 2024 there were 21,400,000 Derivative Warrants outstanding, which consisted of (i) 2,000,000 warrants with an exercise price of $2.086 per warrant and expiration date in December 2026, and (ii) 19,400,000 warrants with an exercise price of $1.00 per warrant and expiration date in July 2029.Derivative Warrants are considered derivative financial liabilities measured at fair value with all gains or losses recognized in profit or loss as the settlement amount for the Derivative Warrants may be adjusted during certain periods for variables that are not inputs to standard pricing models for forward or option equity contracts, i.e., the “fixed for fixed” criteria under ASC 815-40. The estimated fair value of the Derivative Warrants is measured at the end of each reporting