Company: MGLD
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001493152-25-021259
Chunk: 76

Company: Marygold Companies, Inc.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 2
Chunk 76
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 offering. There is a possibility that we will require additional financing if we
elect to further fund fintech -based subsidiary operations over the coming 12 months. As the funding requirements become known, we
will decide upon the source of the additional capital. Despite these cash investments and expenses, our working capital position
remains strong at $13.4 million as of September 30, 2025.

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 (“Overallotment Option”). Maxim did
not exercise its Overallotment Option.

The
net proceeds of the Offering to us, after deducting underwriting discounts and commissions and estimated offering expenses, were $1.8
million. We used the net proceeds from the Offering to retire or reduce debt, make additional investments in our financial services
operations, and for other general working capital and corporate purposes.

Equity
Distribution Agreement

On March 7, 2025, we entered into an Equity Distribution
Agreement (“EDA”) with Maxim pursuant to which we may sell from time-to-time shares of our common stock having an aggregate
offering price of up to $4.65 million through or to Maxim, as sales agent or principal. We have agreed to pay Maxim a commission equal
to three percent (3%) of the aggregate gross proceeds from the sale of any shares through Maxim under the EDA, reimburse Maxim for certain
legal fees and disbursements, and have agreed to indemnify Maxim against certain liabilities under the Securities Act. The EDA requires
that, until May 25, 2025, the date of the expiration of the standstill period in our Underwriting Agreement with Maxim for the underwritten
offering described