Stockholders' equity

12 Months Ended

Dec. 31, 2012

Stockholders' Equity Note [Abstract]

Stockholders' equity

Note 8 - Stockholders' equity

On September 5, 2008, the Company’s shelf registration statement on Form S-3 (the “Shelf Registration”) was declared effective by the SEC.

On July 31, 2009, Hudson entered into a Placement Agent Agreement with Roth Capital Partners, (“Roth”), engaging Roth to act as placement agent for a registered direct offering under the Shelf Registration to sell, on a best efforts basis, 3,870,000 shares of the Company’s common stock at a sale price of $1.15 per share (the “2009 Offering”).

A closing of the 2009 Offering was held on August 5, 2009, at which time, Hudson sold 1,470,000 shares of its common stock at $1.15 per share and received net proceeds of approximately $1,400,000 and no other closings were completed. As placement agent for the 2009 Offering, Roth received $101,000 and a warrant to purchase 73,500 shares of common stock at an exercise price of $1.4375 per share, plus reimbursement of its expenses of $56,000. The estimated fair value of the warrant was approximately $48,000 and such warrant was charged to additional paid-in capital as compensation expense to Roth.

On July 7, 2010, the Company sold 2,737,500 units, with the aggregate units consisting of 2,737,500 shares of the Company’s common stock and warrants to purchase 1,368,750 shares, at a price of $2.00 per unit in a registered direct offering (the “2010 Offering”) pursuant to the Shelf Registration. The warrants issued as part of the 2010 Offering have an exercise price of $2.60 per share and are exercisable for a five-year period, which commenced on January 7, 2011. The net proceeds pursuant to the 2010 Offering were approximately $4,900,000. The value of the aggregate number of warrants issued pursuant to the 2010 Offering was approximately $1,300,000 and such amount was charged as a component of stockholders’ equity to additional paid-in capital.

Effective as of March 4, 2011, the Company re-purchased warrants to purchase 150,000 shares of the Company’s common stock, at a price of $0.60 per share, which warrants were issued in connection with the 2010 Offering.

On March 7, 2011, the remaining 1,218,750 warrants issued in connection with the 2010 Offering were amended on consent of the holders of more than two-thirds of the remaining warrants, to among other things, extend the expiration date of the warrants to July 7, 2016.

On May 17, 2012, the Company issued 20,000 shares of the Company’s common stock to a certain consultant for services, and the Company recognized $74,000 in general and administrative expenses for this service.

In connection with an April 2008 amendment of the Company’s prior credit facility with Keltic, the Company issued an aggregate of 100,000 five-year common stock purchase warrants exercisable at $1.88 per share (the “Keltic Warrants”). On August 3, 2012, the Company issued 53,140 shares of common stock upon the cashless exercise of the Keltic Warrants based upon a fair market valuation of $ 4.012 per share on the exercise date (as calculated under the warrants). The Company did not receive any cash proceeds upon the exercise of the Keltic Warrants.

On November 9, 2012, the Company issued 133,589 shares of the Company’s common stock, at a price of $3.743 per share, to EffTec, in connection with the Company’s purchase from EffTec’s subsidiary of its proprietary Efftrack™ software. The Company also issued 26,716 shares of its common stock, at a price of $3.743 per share, to Scott Macon, Ltd in payment for services it performed as the Company’s advisor in the EffTec Transaction.