Company: CHUC
Filing Date: 2025-06-27
Form Type: 10-Q
Source: 0001437749-25-021440
Chunk: 16

Company: Charlie's Holdings, Inc.
Filing Date: 2025-06-27
Form: 10-Q
Item: Part I, Item 1
Chunk 16
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On December 22, 2021, our Board of Directors unanimously adopted resolutions by written consent approving an amendment to increase the number of shares of Common Stock available for issuance under the 2019 Plan by15.0million shares, from11,072,542to26,072,542shares (the “2019 Plan Amendment”). Furthermore, the Company received written consents approving the 2019 Plan Amendment from holders of approximately50.3% of our outstanding voting securities. In accordance with Rule 14c of the Exchange Act, our Board of Directors’ authority to implement the 2019 Plan Amendment became effective February 28, 2022, twenty calendar days after notification of our shareholders.

Non-Qualified Stock Options

The following table summarizes stock option activities during the three months ended March 31, 2025 (all option amounts are in thousands):

                                                        Stock Options      Weighted Average                        Weighted      Aggregate        
                                                                                                                                                  
                                                                             Exercise Price                         Average      Intrinsic Value  
                                                                                                                                                  
                                                                                                 Remaining Contractual Life                       
                                                                                                                                                  
                                                                                                                 (in years)                       
  Options forfeited/expired                                         -                     -                               -                       
 ──────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Outstanding at January 1, 2025                                4,648                 $0.46                             4.8      $                
  Outstanding at March 31, 2025                                 4,648                 $0.46                             4.6      $                
  Options vested and exercisable at March 31, 2025              4,648                 $0.46                             4.6      $                

Restricted Stock Awards

The following table summarizes restricted stock awards activities during the three months ended March 31, 2025 (all share amounts are in thousands):

                                    Number of Shares      Weighted Average             
  Nonvested at January 1, 2025                 5,630      $                     0.054  
  Vested                                     ( 2,551                            -      
  Forfeited                                        -                            -      
  Nonvested at March 31, 2025                  3,079      $                     0.054  

As of March 31, 2025, there was approximately $129,000of total unrecognized compensation expense related to non-vested restricted share-based compensation arrangements granted under the 2019 Plan, as amended. That cost is expected to be recognized over a weighted average period of