Company: WELNF
Filing Date: 2025-11-12
Form Type: DEFM14A
Source: 0001104659-25-109577
Chunk: 644

Company: Integrated Wellness Acquisition Corp
Filing Date: 2025-11-12
Form: DEFM14A
Chunk 644
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 Company is not eligible for the practical expedient available to private entities under ASC 842-10-15-3A. No leasehold improvements were made in connection with this lease as of June 30, 2025. TE has various lease arrangements from third parties under lease classified as operating leases. Total rental expenses paid for the six months ended June 30, 2025 and June 30, 2024 were $109,235 and $113,343, respectively. Lease — Lounge Innovation WA Pty Ltd Lounge Innovation WA Pty Ltd entered into a lease agreement on January 1, 2024, with a related party, to lease a showroom and warehouse located at No.3 Yelland Way, Bassendean, WA, 6054 for $355,104 (AUD $540,000) per year payable in monthly installments of $29,592 (AUD $45,000). The lease expires on December 31, 2027. The first 12 months of lease payments were abated, all future payments after the first year of payments have an increase of 4% per year. In accordance with ASC 842, all future lease payments were discounted by the incremental borrowing rate of 7% to determine the present value of the lease at inception and the cost basis of the` ROU assets. Future minimum lease payments, exclusive of common area maintenance, are as follows:

| Six Months Ended June 30,  | ​ | ​ | ​ | ​ |       ​ | ​ | ​ |
|:---------------------------|:--|:--|:--|:--|--------:|:--|:--|
| 2025                       | ​ | ​ | ​ | $ | 184,654 | ​ | ​ |
| 2026                       | ​ | ​ | ​ | ​ | 384,080 | ​ | ​ |
| 2027                       | ​ | ​ | ​ | ​ | 399,444 | ​ | ​ |
| Total future lease payment | ​ | ​ | ​ | $ | 968,178 | ​ | ​ |

The lessor, Anthony Menna, is a related party under ASC 850, as he is both the landlord of the premises and a Director of Lounge Innovation WA Pty Ltd, the lessee. Accordingly, this arrangement qualifies as a common control lease as defined under ASU 2023-01. Management has evaluated the legally enforceable terms and conditions of the lease in accordance with ASC 842 and determined it