Company: MGLD
Filing Date: 2025-09-19
Form Type: 10-K
Source: 0001493152-25-014286
Chunk: 86

Company: Marygold Companies, Inc.
Filing Date: 2025-09-19
Form: 10-K
Item: Item 1
Chunk 86
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is a controlled company and may elect not to comply with certain NYSE American corporate governance requirements, including the requirements
that:

    ●
    a
    majority of a listed company’s board of directors consist of independent directors;

    ●
    board
    of directors’ nominations must be selected by either a nominating committee comprised of independent directors or by a majority
    of independent directors and that a listed company adopt a written charter or board resolutions addressing the nomination process;

    ●
    the
    compensation of a listed company’s chief executive officer and other executive officers be determined, or recommended to the
    board for determination, either by a compensation committee that is composed entirely of independent directors or by a majority of
    the independent directors on its board with a written charter addressing the committee’s purpose and responsibilities.

These
independence standards are intended to ensure that directors who meet those standards are free of any conflicting interest that could
influence their actions as directors.

16

The
Company may elect in the future to use certain of these controlled company exemptions and the Company may continue to use all or some
of these exemptions in the future for so long as the Company is a controlled company. Although we may rely on NYSE American’s controlled
company exemptions in the future, we currently have a board comprised of a majority of independent directors,  our audit committee, nomination and governance committee and compensation committees are comprised
solely of independent directors. If the makeup of one or more of our board, audit, nomination and governance committee
or compensation committee changes such that we no longer comply with the independence standard of the NYSE American guidelines, then
our stockholders may not have the same protections afforded to stockholders of companies that are subject to all of the corporate governance
requirements of the NYSE American rules.

The
Company’s CEO, through family trusts, controls a significant percentage of our common stock, and may exert significant control
over matters subject to stockholder approval as well as heightened voting power at the board level, preventing other stockholders and
new investors from influencing significant corporate decisions.

Mr.
Nicholas D. Gerber, the President and Chief Executive Officer of the Company and Chairman of the Board of the Company, is the
beneficial owner of 18,690,773 shares of our common stock, par value $0.001 per share (the “Common Stock”), representing
approximately 43.4% of our total issued and outstanding Common Stock (giving effect to the conversion of all shares