Company: GROVW
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001628280-25-025541
Chunk: 174

Company: Grove Collaborative Holdings, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 1
Chunk 174
---
31, 2024 through March 31, 2025. The change in the fair value of derivative liabilities for three months ended March 31, 2024, was driven by the changes in our stock price from December 31, 2023 through March 31, 2024 and by changes in the fair value of the Structural Derivative Liability related to our term loan we extinguished in 2024.

Other income decreased by $0.9 million, or 84% for the three months ended March 31, 2025 as compared to the three months ended March 31, 2024, primarily due to lower on-hand cash as a result of the extinguishment of our term loan in 2024.

38

Liquidity, Capital Resources and Requirements

As of March 31, 2025, we had $9.6 million in unrestricted cash and cash equivalents (which excludes restricted cash of $3.9 million). We incurred negative cash flows from operating activities of $6.9 million for the three months ended March 31, 2025. We have incurred significant losses since inception and have an accumulated deficit of approximately $652.1 million. To date, we have funded our operations principally through redeemable convertible preferred stock and common stock financings, the incurrence of debt and the closing of the Business Combination. We have total outstanding indebtedness of $7.5 million as of March 31, 2025.

On August 11, 2023 (the “Series A Preferred Stock Closing Date”), we entered into a subscription agreement with Volition Capital Fund IV, L.P. (“Volition”) and received gross proceeds of $10.0 million in exchange for 10,000 shares of our Series A Redeemable Convertible Preferred Stock (the “Series A Preferred Stock”), a warrant to purchase 1,579,778 shares of our Class A common stock at an exercise price of $6.33 (the “Volition Warrants”) and a warrant to purchase 20,905 shares of our Class A common stock at an exercise price of $0.01 per share (the “Volition Penny Warrants”). The Series A Preferred Stock was redeemable, at the option of the holder, for the original issuance price plus any declared but unpaid dividends following the seventh anniversary of the Series A Preferred Stock Closing Date (“Optional Redemption”).

On September 20, 2024, (the “Series A' Preferred Stock Closing Date”), we entered