Company: LPSN
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001102993-25-000053
Chunk: 37

Company: LIVEPERSON INC
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 37
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 2025.Unamortized debt issuance costs incurred in connection with securing the Company’s financing arrangements are presented in the condensed consolidated balance sheets as a direct deduction from the carrying amount of the outstanding borrowings, consistent with debt discounts. All deferred financing costs are amortized to interest expense. The net carrying amount of the liability component of the Notes as of March 31, 2025 and December 31, 2024 is as follows:March 31, 2025December 31, 20242026 Notes2029 NotesTotal2026 Notes2029 NotesTotal(In thousands)(In thousands)Principal$361,204 $207,125 $568,329 $361,204 $207,125 $568,329 Unamortized debt discount— (29,981)(29,981)— (31,137)(31,137)Unamortized issuance costs(2,398)(7,092)(9,490)(2,757)(7,365)(10,122)Total net carrying value358,806 170,052 528,858 358,447 168,623 527,070 Long-term debt, net$358,806 $170,052 $528,858 $358,447 $168,623 $527,070 The following table sets forth the interest expense recognized related to the Notes:Three Months Ended March 31,20252024(In thousands)Contractual interest expense$5,690 $91 Amortization of debt issuance costs631 610 Amortization of debt discount1,157 — Total interest expense$7,478 $701 WarrantsOn June 3, 2024, pursuant to the Exchange and Purchase Agreement, the Company issued to the investor 10-year warrants with a strike price of $0.75 per share, exercisable for 9,746,723 shares of the Company’s common stock and 10-year warrants with a strike price of $0.75 per share, exercisable with respect to a notional amount of 2,344,775 shares of the Company’s common stock for cash payments equal to the excess of “fair market value” (as defined therein) per share over the strike price, fully diluted subject to certain adjustments.The cash-settled warrants will permit the Company, subject to certain conditions (including to the extent that the Company, following payment, would have “available cash” (as defined