Notes Payable and Convertible Notes (Tables)
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6 Months Ended |
Jun. 30, 2022 |
Debt Disclosure [Abstract] |
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Summary of Notes Payable and Convertible Notes |
The Company’s notes payable and convertible notes are as follows:
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May 2020 Convertible Notes |
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2022 Island Global Holdings Related Party Notes |
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May 2020 Convertible Notes (Swap) |
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October 2021 Convertible Note |
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Balance, December 31, 2020 |
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$ |
45,362 |
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$ |
2,855 |
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$ |
— |
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$ |
11,867 |
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$ |
— |
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$ |
6,931 |
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$ |
67,015 |
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— |
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— |
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— |
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— |
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14,376 |
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930 |
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15,306 |
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(4,671 |
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— |
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— |
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— |
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— |
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(1,079 |
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(5,750 |
) |
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— |
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(5,852 |
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— |
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(11,867 |
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— |
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— |
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(17,719 |
) |
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7,575 |
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2,997 |
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— |
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— |
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265 |
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1,124 |
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11,961 |
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Balance, December 31, 2021 |
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$ |
48,266 |
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$ |
— |
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$ |
— |
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$ |
— |
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$ |
14,641 |
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$ |
7,906 |
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$ |
70,813 |
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— |
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— |
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245 |
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— |
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— |
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13,138 |
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13,383 |
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(2,526 |
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— |
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— |
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— |
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— |
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(130 |
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(2,656 |
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— |
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— |
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— |
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— |
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— |
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(2,784 |
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(2,784 |
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3,381 |
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— |
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— |
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— |
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564 |
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233 |
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4,178 |
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$ |
49,121 |
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$ |
— |
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$ |
245 |
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$ |
— |
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$ |
15,205 |
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$ |
18,363 |
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$ |
82,934 |
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— |
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— |
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— |
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— |
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— |
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(8,235 |
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(8,235 |
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$ |
49,121 |
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$ |
— |
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$ |
245 |
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$ |
— |
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$ |
15,205 |
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$ |
10,128 |
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$ |
74,699 |
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Summary of Convertible Debt |
Outstanding as of June 30, 2022 were other payables totaling $18,363 which include notes issued as part of the acquisitions of Healthy Pharms, NECC, and Arkansas entities as follows:
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Healthy Pharms Inc. |
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Unsecured convertible note, due , 2021 at 12% per annum |
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$ |
— |
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$ |
2,784 |
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Healthy Pharms Inc. |
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Unsecured promissory note at $0.50 per share due December 18, 2022 at 10% per annum (1) |
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3,377 |
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3,213 |
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Island Global |
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Promissory note due October 25, 2026 at 6% per annum |
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10,128 |
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— |
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NECC |
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Promissory note due September 12, 2022 at 10% per annum |
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2,084 |
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— |
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Om of Medicine, LLC |
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Promissory note due September 1, 2022 at 12% per annum (3) |
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981 |
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— |
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Arkansas Entities |
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Unsecured Promissory note due December 1, 2022, monthly interest payments at 14% per annum |
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1,709 |
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1,709 |
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Equipment Loans |
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Secured by equipment, monthly payments beginning in 2021 at 15% per annum |
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63 |
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49 |
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Other |
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21 |
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151 |
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Total Notes Payable and Convertible Notes |
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$ |
18,363 |
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$ |
7,906 |
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(1) |
In November 2021, the unsecured promissory note was modified to be due and payable in full on or before December 18, 2022. The Company concluded the extension resulted in a debt modification under . |
(2) |
In July 2022, the promissory note was modified, whereby 50% of the outstanding note payable was paid on July 28, 2022, and the remaining outstanding balance of the note was to be payable in full on or before September 12, 2022. |
(3) |
In April 2022, the Company entered into a seller note payable to pay the outstanding balance due resulting from the 2021 Om earnout in connection with prior period contingent considerations. The note bore 10% interest per annum and was due to be paid in full by July 1, 2022. At the time of the issuance of the note, the liability was current and was certain to be paid during 2022. In July 2022, the Company amended the note, whereby the Company paid $345 of the remaining balance on the seller note and the term of the remaining balance of the seller note was extended to September 1, 2022, bearing interest at 12% per annum. If payment is not received in full by September 1, 2022, the remaining balance on the note will accrue interest at 20% per annum until payment is made in full. See Note 14 for further details on contingent considerations and the Om earnout. |
|
Summary of Future Minimum Payments of Notes and Convertible Notes |
Future minimum payments on the notes payable and convertible debt are as follows:
|
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$ |
8,235 |
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— |
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64,326 |
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— |
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12,874 |
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— |
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85,435 |
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(2,501 |
) |
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Present value of minimum payments |
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82,934 |
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(8,235 |
) |
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$ |
74,699 |
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