Company: CXAI
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001829126-25-006141
Chunk: 28

Company: CXApp Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 28
---
 transaction costs

    13

    13

    Accrued liabilities
     
    $
    2,373

    $
    2,383

Financed Director & Officers Insurance

The Company entered into a Directors & Officers (“D&O”) insurance agreement with Oakwood D&O Insurance, effective March 14, 2025. The agreement states that the Company will pay a total of $310 thousand in premiums at an annual percentage rate of 9.25%. The first of ten separate monthly installment payments began on April 14, 2024. The Company made a down payment of $70 thousand on the policy. As of June 30, 2025 and December 31, 2024, the Company owed $168 thousand and $23 thousand, respectively, on the D&O insurance policy.

NOTE 8 – Promissory Note

Note payable consisted of the following (in thousands):

    Schedule of promissory note

    June 30, 2025

    December 31, 2024

    Principal amount
     
    $
    -

    $
    3,885

    Add: 
    Interest

    -

    372

    Accrued monitoring fee

    -

    273

    -

    4,530

    Less: 
    Extinguishment

    -

    3,927

    $
    -

    $
    603

On December 15, 2023, we entered into a note purchase agreement (“Streeterville note”) with Streeterville Capital, LLC (the “Lender”), pursuant to which we agreed to issue and sell to the Lender an unsecured promissory note (the “Note”) in an aggregate initial principal amount of $3,885 thousand, which is payable on or before the date that is 12 months from the issuance date. The initial principal amount includes an original issue discount of $870 thousand and $15 thousand that we agreed to pay to the Lender to cover the Lender’s legal fees, accounting costs, due diligence, monitoring and other transaction costs. The net proceeds of the Note are $3,000 thousand.

Interest on the Note accrues at a rate of 10% per annum and is payable on the maturity date.

    21

A monitoring fee of 10% of the outstanding balance will be charged starting six (6) months from the issuance of the Note to cover Lender’s accounting, legal and other costs incurred in