Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2023 | Aug. 08, 2023 | |
Document Information Line Items | ||
Entity Registrant Name | DOMINARI HOLDINGS INC. | |
Trading Symbol | DOMH | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --12-31 | |
Entity Common Stock, Shares Outstanding | 5,345,312 | |
Amendment Flag | false | |
Entity Central Index Key | 0000012239 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Document Period End Date | Jun. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 000-05576 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 52-0849320 | |
Entity Address, Address Line One | 725 5th Avenue | |
Entity Address, Address Line Two | 22nd Floor | |
Entity Address, City or Town | New York | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 10022 | |
City Area Code | (703) | |
Local Phone Number | 992-9325 | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Common Stock, $0.0001 par value | |
Security Exchange Name | NASDAQ |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 3,598 | $ 33,174 |
Marketable securities | 20,675 | 7,130 |
Deposits with clearing broker | 7,082 | |
Prepaid expenses and other assets | 715 | 564 |
Prepaid acquisition cost | 301 | |
Short-term investments, at fair value | 13 | 13 |
Notes receivable, at fair value - current portion | 6,339 | 7,474 |
Investment in Fieldpoint Securities | 2,000 | |
Total current assets | 38,422 | 50,656 |
Property and equipment, net | 387 | |
Notes receivable, at fair value - non-current portion | 1,622 | 1,100 |
Employee forgivable loan receivable | 98 | |
Investments | 23,178 | 23,103 |
Right-of-use assets | 3,530 | 919 |
Security deposit | 458 | 458 |
Total assets | 67,695 | 76,236 |
Current liabilities | ||
Accounts payable and accrued expenses | 232 | 447 |
Accrued salaries and benefits | 632 | 1,260 |
Income taxes withheld | 1,300 | |
Accrued Commissions | 17 | |
Lease liability - current | 353 | 82 |
Other Current liability | 124 | |
Total current liabilities | 2,658 | 1,789 |
Lease liability | 3,259 | 680 |
Total liabilities | 5,917 | 2,469 |
Stockholders’ equity | ||
Preferred stock value | ||
Common stock, $0.0001 par value, 100,000,000 shares authorized; 5,345,312 and 5,485,096 shares issued at June 30, 2023 and December 31, 2022, respectively; 5,285,164 and 5,017,079 shares outstanding at June 30, 2023 and December 31, 2022, respectively | ||
Additional paid-in capital | 260,585 | 262,970 |
Treasury stock, at cost, 60,148 and 468,017 shares at June 30, 2023 and December 31, 2022, respectively | (501) | (3,322) |
Accumulated deficit | (198,306) | (185,881) |
Total stockholders’ equity | 61,778 | 73,767 |
Total liabilities and stockholders’ equity | 67,695 | 76,236 |
Series D Preferred Stock | ||
Stockholders’ equity | ||
Preferred stock value | ||
Series D-1 Preferred Stock | ||
Stockholders’ equity | ||
Preferred stock value |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parentheticals) - $ / shares | Jun. 30, 2023 | Dec. 31, 2022 |
Preferred stock, par value (in Dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, authorized | 50,000,000 | 50,000,000 |
Common stock, par value (in Dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 5,345,312 | 5,485,096 |
Common stock, shares outstanding | 5,285,164 | 5,017,079 |
Treasury stock, at cost | 60,148 | 468,017 |
Series D Preferred Stock | ||
Preferred stock, authorized | 5,000,000 | 5,000,000 |
Preferred stock, issued | 3,825 | 3,825 |
Preferred stock, outstanding | 3,825 | 3,825 |
Liquidation preference (in Dollars per share) | $ 0.0001 | $ 0.0001 |
Series D-1 Preferred Stock | ||
Preferred stock, authorized | 5,000,000 | 5,000,000 |
Preferred stock, issued | 834 | 834 |
Preferred stock, outstanding | 834 | 834 |
Liquidation preference (in Dollars per share) | $ 0.0001 | $ 0.0001 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Statement [Abstract] | ||||
Revenues | $ 71 | $ 71 | ||
Operating costs and expenses | ||||
General and administrative | 9,080 | 2,262 | 12,913 | 4,049 |
Research and development | 2 | 36 | 3 | 2,052 |
Total operating expenses | 9,082 | 2,298 | 12,916 | 6,101 |
Loss from operations | (9,011) | (2,298) | (12,845) | (6,101) |
Other income (expenses) | ||||
Other income | 64 | |||
Interest income | 160 | 220 | 297 | 399 |
Gain (loss) on marketable securities | 400 | (2,239) | 335 | (2,736) |
Unrealized loss on note receivable | (212) | (212) | ||
Change in fair value of investments | (760) | (238) | ||
Total other income (expenses) | 348 | (2,779) | 420 | (2,511) |
Net loss | (8,663) | (5,077) | (12,425) | (8,612) |
Deemed dividends related to Series O and Series P Redeemable Convertible Preferred Stock | (1,100) | (4,109) | ||
Net Loss Attributable to Common Shareholders | $ (8,663) | $ (6,177) | $ (12,425) | $ (12,721) |
Net loss per share, basic and diluted | ||||
Basic (in Dollars per share) | $ (1.79) | $ (1.18) | $ (2.45) | $ (2.42) |
Weighted average number of shares outstanding, basic and diluted | ||||
Basic (in Shares) | 4,827,239 | 5,251,023 | 5,065,055 | 5,251,766 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations (Unaudited) (Parentheticals) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Statement [Abstract] | ||||
Diluted | $ (1.79) | $ (1.18) | $ (2.45) | $ (2.42) |
Diluted | 4,827,239 | 5,251,023 | 5,065,055 | 5,251,766 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Redeemable Convertible Preferred Stock and Stockholders’ Equity - USD ($) $ in Thousands | Redeemable Convertible Preferred Stock Series O | Redeemable Convertible Preferred Stock Series P | Preferred Stock | Common Stock | Additional Paid-in Capital | Treasury Stock | Accumulated Deficit | Total |
Balance at Dec. 31, 2021 | $ 265,633 | $ (264) | $ (163,774) | $ 101,595 | ||||
Balance (in Shares) at Dec. 31, 2021 | 4,659 | 5,275,329 | ||||||
Redemption of Series O Redeemable Convertible Preferred Stock | $ (11,000) | |||||||
Redemption of Series O Redeemable Convertible Preferred Stock (in Shares) | (11,000) | |||||||
Redemption of Series P Redeemable Convertible Preferred Stock | $ (11,000) | |||||||
Redemption of Series P Redeemable Convertible Preferred Stock (in Shares) | (11,000) | |||||||
Issuance of Series O redeemable convertible preferred stock for cash | $ 11,000 | |||||||
Issuance of Series O redeemable convertible preferred stock for cash (in Shares) | 11,000 | |||||||
Issuance of Series P redeemable convertible preferred stock for cash | $ 11,000 | |||||||
Issuance of Series P redeemable convertible preferred stock for cash (in Shares) | 11,000 | |||||||
Cost on issuance of Series O and Series P Redeemable Convertible Preferred Stock | (1,504) | $ (1,505) | ||||||
Deemed dividends related to Series O and Series P Redeemable Convertible Preferred Stock | 1,504 | 1,505 | (4,109) | (4,109) | ||||
Repurchase of treasury stock | $ (1,486) | (1,486) | ||||||
Repurchase of treasury stock (in Shares) | 242,902 | |||||||
Stock-based compensation | 105 | 105 | ||||||
Cancellation of common stock related to investment in CBM | ||||||||
Cancellation of common stock related to investment in CBM (in Shares) | (22,812) | |||||||
Fractional shares adjusted for reverse split | (26) | (26) | ||||||
Fractional shares adjusted for reverse split (in Shares) | (5,665) | |||||||
Net loss | (8,612) | (8,612) | ||||||
Balance at Jun. 30, 2022 | 261,603 | $ (1,750) | (172,386) | 87,467 | ||||
Balance (in Shares) at Jun. 30, 2022 | 4,659 | 5,246,852 | 242,902 | |||||
Balance at Mar. 31, 2022 | $ 11,000 | $ 11,000 | 262,624 | $ (264) | (167,309) | 95,051 | ||
Balance (in Shares) at Mar. 31, 2022 | 11,000 | 11,000 | 4,659 | 5,252,517 | ||||
Redemption of Series O Redeemable Convertible Preferred Stock | $ (11,000) | |||||||
Redemption of Series O Redeemable Convertible Preferred Stock (in Shares) | (11,000) | |||||||
Redemption of Series P Redeemable Convertible Preferred Stock | $ (11,000) | |||||||
Redemption of Series P Redeemable Convertible Preferred Stock (in Shares) | (11,000) | |||||||
Deemed dividends related to Series O and Series P Redeemable Convertible Preferred Stock | (1,100) | (1,100) | ||||||
Repurchase of treasury stock | $ (1,486) | (1,486) | ||||||
Repurchase of treasury stock (in Shares) | 242,902 | |||||||
Stock-based compensation | 105 | 105 | ||||||
Fractional shares adjusted for reverse split | (26) | (26) | ||||||
Fractional shares adjusted for reverse split (in Shares) | (5,665) | |||||||
Net loss | (5,077) | (5,077) | ||||||
Balance at Jun. 30, 2022 | 261,603 | $ (1,750) | (172,386) | 87,467 | ||||
Balance (in Shares) at Jun. 30, 2022 | 4,659 | 5,246,852 | 242,902 | |||||
Balance at Dec. 31, 2022 | 262,970 | $ (3,322) | (185,881) | 73,767 | ||||
Balance (in Shares) at Dec. 31, 2022 | 4,659 | 5,485,096 | 468,017 | |||||
Stock-based compensation | 1,375 | 1,375 | ||||||
Stock-based compensation (in Shares) | 529,715 | |||||||
Cancellation of common stock | ||||||||
Cancellation of common stock (in Shares) | (25,000) | |||||||
Purchase of treasury stock (in Shares) | (939,000) | (939,000) | ||||||
Purchase of treasury stock (in Shares) | 236,630 | |||||||
Retirement of treasury stock | $ (3,760) | $ 3,760 | ||||||
Retirement of treasury stock (in Shares) | (644,499) | (644,499) | ||||||
Net loss | (12,425) | (12,425) | ||||||
Balance at Jun. 30, 2023 | 260,585 | $ (501) | (198,306) | 61,778 | ||||
Balance (in Shares) at Jun. 30, 2023 | 4,659 | 5,345,312 | 60,148 | |||||
Balance at Mar. 31, 2023 | 259,215 | $ (501) | (189,643) | 69,071 | ||||
Balance (in Shares) at Mar. 31, 2023 | 4,659 | 4,815,597 | 60,148 | |||||
Stock-based compensation | 1,370 | 1,370 | ||||||
Stock-based compensation (in Shares) | 529,715 | |||||||
Net loss | (8,663) | (8,663) | ||||||
Balance at Jun. 30, 2023 | $ 260,585 | $ (501) | $ (198,306) | $ 61,778 | ||||
Balance (in Shares) at Jun. 30, 2023 | 4,659 | 5,345,312 | 60,148 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Cash flows from operating activities | ||
Net loss | $ (12,425) | $ (8,612) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Amortization of right-of-use assets | 182 | |
Depreciation | 32 | |
Change in fair value of short-term investment | 1,646 | |
Change in fair value of long-term investment | (1,408) | |
Stock-based compensation | 2,675 | 105 |
Realized loss on marketable securities | 487 | 568 |
Unrealized (gain) loss on marketable securities | (514) | 2,299 |
Unrealized loss on note receivable | 212 | |
Changes in operating assets and liabilities: | ||
Prepaid expenses and other assets | (229) | 153 |
Prepaid acquisition cost | 301 | |
Deposits with clearing broker | (3,532) | |
Accounts payable and accrued expenses | (428) | (239) |
Accrued salaries and benefits | (628) | 7 |
Accrued commissions | (8) | |
Lease liabilities | 58 | |
Other current liabilities | 3 | |
Notes receivable, at fair value – net interest accrued | (99) | (377) |
Deposit | 8 | |
Net cash used in operating activities | (13,913) | (5,850) |
Cash flows from investing activities | ||
Purchase of marketable securities | (34,014) | (27,460) |
Sale of marketable securities | 20,494 | 28,272 |
Proceeds from sale of digital currencies | 93 | |
Purchase of fixed assets | (419) | |
Acquisition of FPS, net of cash acquired and receivable owed from FPS | (1,112) | |
Collection of principal on note receivable | 502 | |
Funds to employee forgivable loan | (100) | |
Purchase of short-term and long-term investments | (75) | (14,605) |
Purchase of short-term and long-term promissory notes | (1,600) | |
Net cash used in investing activities | (14,724) | (15,300) |
Cash flows from financing activities | ||
Proceeds from issuance of Series O and Series P Redeemable Convertible Preferred Stock, net of discount and offering cost | 17,891 | |
Payment for fractional shares | (26) | |
Redemption of Series O and Series P Redeemable Convertible Preferred Stock | (22,000) | |
Purchase of treasury stock | (939) | (1,486) |
Net cash used in financing activities | (939) | (5,621) |
Net decrease in cash and cash equivalents and restricted cash | (29,576) | (26,771) |
Cash and cash equivalents, beginning of period | 33,174 | 65,562 |
Cash and cash equivalents, end of period | 3,598 | 38,791 |
Non-cash investing and financing activities | ||
Transfer from short-term investment to marketable securities | 1,482 | |
Reclassify from convertible note receivable to notes receivable at fair value | 2,147 | |
Promissory convertible note receivable conversion into common shares | $ 1,508 | |
On March 27, 2023, the Company acquired all assets and liabilities of FPS as disclosed in Note 4: | ||
Net assets acquired, net of cash acquired and receivable owed from FPS | 3,112 | |
Less - Deposit previously transferred in October 2022 to FPS | (2,000) | |
Net cash paid | $ 1,112 |
Organization and Description of
Organization and Description of Business and Recent Developments | 6 Months Ended |
Jun. 30, 2023 | |
Organization and Description of Business and Recent Developments [Abstract] | |
Organization and Description of Business and Recent Developments | Note 1. Organization and Description of Business and Recent Developments Organization and Description of Business Dominari Holdings Inc. (the “Company”), formerly AIkido Pharma, Inc., was founded in 1967 as Spherix Incorporated. Since 2017, the Company has operated as a biotechnology company with a diverse portfolio of small-molecule anticancer and antiviral therapeutics and their related patent technology. In an effort to enhance shareholder value, in June of 2022, the Company formed a wholly owned financial services subsidiary, Dominari Financial Inc. (“Dominari Financial”), with the intent of shifting the Company’s primary operating focus away from biotechnology to the fintech and financial services industries. Through Dominari Financial, the Company acquired Dominari Securities LLC (“Dominari Securities”), an introducing broker-dealer, registered with the Financial Industry Regulatory Authority (“FINRA”) and an investment adviser registered with the Securities and Exchange Commission (“SEC”). Dominari Securities provides investment advisory services and annuity and insurance products of certain insurance carriers as an insurance agency through independent and affiliated brokers. Additionally, AIkido Labs, LLC (“Aikido Labs”), another wholly owned subsidiary of the Company, is in the process of winding down its historical pipeline of biotechnology assets consisting of patented technologies from leading universities and researchers, including prospective treatments for pancreatic cancer, acute myeloid leukemia, and acute lymphoblastic leukemia. Aikido Labs has historically explored opportunities in high growth industries and has equity holdings including Anduril Industries, Inc, Databricks, Inc., Discord, Inc., Epic Games, Inc., Payward, Inc. dba Kraken, Space Exploration Technologies Corp. dba SpaceX, Tevva Motors Ltd., Thrasio, LLC, and Yanka Industries, Inc. dba Masterclass. |
Liquidity and Capital Resources
Liquidity and Capital Resources | 6 Months Ended |
Jun. 30, 2023 | |
Liquidity and Capital Resources [Abstract] | |
Liquidity and Capital Resources | Note 2. Liquidity and Capital Resources The Company continues to incur ongoing administrative and other expenses, including public company expenses, in excess of corresponding (non-financing related) revenue. While the Company continues to implement its business strategy, it intends to finance its activities through managing current cash on hand from the Company’s past equity offerings. Based upon projected cash flow requirements, the Company has adequate cash and cash equivalents and marketable securities to fund its operations for at least the next twelve months from the date of the issuance of these unaudited condensed consolidated financial statements. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 3. Summary of Significant Accounting Policies There have been no material changes in the Company’s significant accounting policies from those previously disclosed in the 2022 Annual Report other than those discussed below. Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), and in conformity with the rules and regulations of the SEC. In the opinion of management, these financial statements contain all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the results of the interim periods presented. The condensed balance sheet at December 31, 2022, was derived from audited annual financial statements but does not contain all of the footnote disclosures from the annual financial statements. Accordingly, these financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. The Company’s policy is to consolidate all entities that it controls by ownership of a majority of the membership interest or outstanding voting stock. The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries, Aikido Labs, Dominari Financial, and Dominari Securities. All significant intercompany balances and transactions have been eliminated in consolidation. Results for interim periods are not necessarily indicative of results to be expected for a full year or any future period. Use of Estimates The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with U.S. GAAP. This requires management to make estimates and assumptions that affect certain reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements, and the reported amounts of revenue and expenses during the period. The Company’s significant estimates and assumptions include stock-based compensation, the valuation of investments, the valuation of notes receivable and the valuation allowance related to the Company’s deferred tax assets. Certain of the Company’s estimates could be affected by external conditions, including those unique to the Company and general economic conditions. It is reasonably possible that these external factors could have an effect on the Company’s estimates and could cause actual results to differ from those estimates and assumptions. Deposits with clearing broker Deposits with Dominari Securities’ clearing broker consisted of approximately $7.1 million held in money market funds and liquid insured deposits maintained by the Company with its clearing broker as of June 30, 2023. Leases The Company accounts for its leases under ASC 842, Leases Leases Revenue The Company recognizes revenues under ASC 606 - Revenue from Contracts with Customers . The following provides detailed information on the recognition of the Company’s revenues from contracts with customers: ● Underwriting services include underwriting and placement agent services in both the equity and debt capital markets, including private equity placements, initial public offerings, follow-on offerings, and underwriting and distributing public and private debt. Underwriting and placement agent revenues are recognized at a point in time on trade-date, as the client obtains the control and benefit of the underwriting offering at that point. Costs associated with underwriting transactions are deferred until the related revenue is recognized or the engagement is otherwise concluded and are recorded on a gross basis within the general and administrative line item in the unaudited condensed consolidated statements of operations as the Company is acting as a principal in the arrangement. Any expenses reimbursed by the Company’s clients are recognized as other income. ● Commissions are earned by executing, transactions for clients primarily in equity, equity-related, and debt products. Commission revenues associated with trade execution are recognized at a point in time on trade-date. Commissions revenues are generally paid on settlement date and the Company records receivables to account for timing between trade-date and payment on settlement date. Recently adopted accounting standards In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805) Accounting for Contract Assets and Contract Liabilities from Contracts with Customers Effect of new accounting pronouncements not yet adopted In June 2022, the FASB issued ASU 2022-03, Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions . In March 2023, the FASB issued ASU 2023-01, Leases Effect of new accounting pronouncements to be adopted in future periods The Company reviewed all other recently issued accounting pronouncements and concluded that they were either not applicable or not expected to have a significant impact on these unaudited condensed consolidated financial statements. |
FPS Acquisition
FPS Acquisition | 6 Months Ended |
Jun. 30, 2023 | |
FPS Acquisition [Abstract] | |
FPS Acquisition | Note 4. FPS Acquisition On September 9, 2022, Dominari Financial entered into a membership interest purchase agreement, as amended and restated on March 27, 2023 (the “FPS Purchase Agreement”) with Fieldpoint Private Bank & Trust (“Seller”), a Connecticut bank, for the purchase of its wholly owned subsidiary, Fieldpoint Private Securities, LLC, a Connecticut limited liability company (“FPS”), that is a broker-dealer registered with FINRA and an investment adviser registered with the SEC (the “FPS Acquisition”). Pursuant to the terms of the FPS Purchase Agreement, Dominari Financial purchased from the Seller 100% of the membership interests in FPS (the “FPS Membership Interests”). FPS’s registered broker-dealer and investment adviser businesses were renamed and will operate as Dominari Securities, a wholly owned subsidiary of Dominari Financial. The FPS Purchase Agreement provides for Dominari Financial’s acquisition of FPS’s Membership Interests in two closings, the first of which occurred on October 4, 2022 (the “Initial Closing”), at which Dominari Financial paid to the Seller $2.0 million in consideration for a transfer by the Seller to Dominari Financial of 20% of the FPS Membership Interests. Following the Initial Closing, FPS filed a continuing membership application requesting approval for a change of ownership, control, or business operations with FINRA in accordance with FINRA Rule 1017 (the “Rule 1017 Application”). The Rule 1017 Application was approved by FINRA on March 20, 2023. The second closing (the “Second Closing”) occurred on March 27, 2023. Dominari Financial paid to the Seller an additional approximate $1.6 million consideration for a transfer by the Seller to Dominari Financial of the remaining 80% of the FPS Membership Interests. Consideration Transferred The FPS Acquisition was accounted for as a business combination under ASC 805. Under the terms of the FPS Purchase Agreement and subsequent Amendments and Side Letters, 100% of the FPS Membership Interests were acquired for cash consideration of approximately $3.4 million, which reflected the fair value of net assets acquired, plus a $1 purchase price. At March 31, 2023, Dominari Financial had not finalized the purchase accounting related to the fair value of assets acquired in the FPS Acquisition. Pursuant to the Initial Closing and Second Closing, Dominari Financial had wired a total of approximately $3.6 million in cash to the Seller. The purchase price allocation identified net assets of approximately $3.4 million, resulting in a receivable due from the Seller for approximately $0.2 million. The receivable is not included within the consideration transferred as part of the FPS Acquisition but is included within prepaid expenses and other assets within the unaudited condensed consolidated balance sheet as of March 31, 2023. Under the acquisition method of accounting, the assets acquired, and liabilities assumed of FPS were recorded as of the acquisition date, at their respective fair values, and consolidated with those of the Company. Acquisition-related costs are not included as a component of consideration transferred but are expensed in the periods in which costs are incurred. The Company incurred approximately $0.3 million of transaction costs associated with the FPS Acquisition. The transaction costs are included in general and administrative expenses in the unaudited condensed consolidated statement of operations. Fair Value of Net Assets Acquired The following table summarizes the fair values of the assets acquired and liabilities assumed of FPS at the date of acquisition: March 27, 2023 (Unaudited) ASSETS Cash and cash equivalents $ 92 Deposits with Clearing Broker-Dealer 3,550 Other receivables 53 Prepaid and other current assets 89 Total assets acquired 3,784 Liabilities Accrued expenses $ 273 Accrued commissions 25 Wealth management liabilities 62 Total liabilities assumed 360 Total net assets of FPS Acquisition 3,424 Dominari Securities reported a net loss of approximately $7.7 million for the three-months ended June 30, 2023. Revenue for the period ended June 30, 2023, was approximately $0.07 million. The net loss was primarily a result of approximately $5.4 million of bonus and employee compensation expense and professional services of approximately $0.9 million. The bonus and compensation expense and professional service fees related to establishing the operations of the broker-dealer and are included in the general and administrative expenses line item within the unaudited condensed consolidated statement of operations. |
Investments in Marketable Secur
Investments in Marketable Securities | 6 Months Ended |
Jun. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Marketable Securities | Note 5. Investments in Marketable Securities The realized gain or loss, unrealized gain or loss, and dividend income related to marketable securities for the three and six months ended June 30, 2023 and 2022, which are recorded as a component of gains and (losses) on marketable securities on the unaudited condensed consolidated statements of operations, are as follows ($ in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Realized loss $ (432 ) $ (344 ) $ (487 ) $ (568 ) Unrealized gain (loss) 643 (1,967 ) 514 (2,299 ) Dividend income 188 72 308 131 Total $ 400 $ (2,239 ) $ 335 $ (2,736 ) |
Short-Term Investments
Short-Term Investments | 6 Months Ended |
Jun. 30, 2023 | |
Short-Term Investments [Abstract] | |
Short-term investments | Note 6. Short-term investments The following table presents the Company’s short-term investments as of June 30, 2023, and December 31, 2022 ($ in thousands): June 30, December 31, Investment in Vicinity Motor Corp. 13 13 Total 13 13 There was no change in the fair value of the short-term investments for the six months ended June 30, 2023. The following table provides quantitative information regarding Level 3 fair value measurement inputs at their measurement dates: June 30, December 31, Option term (in years) 1.3 1.8 Volatility 76.9 % 76.90 % Risk-free interest rate 4.47 % 4.47 % Expected dividends 0.00 % 0.00 % Stock price $ 0.96 $ 0.96 |
Long-Term Investments
Long-Term Investments | 6 Months Ended |
Jun. 30, 2023 | |
Long-Term Investments [Abstract] | |
Long-Term Investments | Note 7. Long-Term Investments The Company holds interests in several privately held companies as long-term investments that the Company perceives as potential IPO candidates. The following table presents the Company’s long-term investments as of June 30, 2023, and December 31, 2022 ($ in thousands): Cost Basis June 30, December 31, Investment in Kerna Health Inc $ 2,140 $ 4,940 $ 4,940 Investment in Kaya Now 1,500 - - Investment in Tevva Motors 1,972 2,794 2,794 Investment in ASP Isotopes 1,300 - - Investment in AerocarveUS Corporation 1,075 1,075 1,000 Investment in Qxpress 1,000 1,000 1,000 Investment in Masterclass 170 170 170 Investment in Kraken 597 597 597 Investment in Epic Games 3,500 3,500 3,500 Investment in Tesspay 1,240 2,500 2,500 Investment in SpaceX 3,500 3,674 3,674 Investment in Databricks 1,200 1,200 1,200 Investment in Discord 476 476 476 Investment in Thrasio 300 300 300 Investment in Automation Anywhere 476 476 476 Investment in Anduril 476 476 476 Total $ 20,922 $ 23,178 $ 23,103 Investment in AerocarveUS Corporation On November 22, 2021, the Company entered into an agreement (the “AerocarveUS Agreement”) with AerocarveUS Corporation, (“AerocarveUS”). Under the AerocarveUS Agreement, the Company agreed to purchase 250,000 shares of common stock of AerocarveUS for $1.0 million. AerocarveUS changed its name to “Unusual Machines, Inc.” on July 5, 2022. In March of 2023, the Company was issued an additional 64,377 shares at no cost. In June 2023, the Company purchased an additional 150,000 shares of common stock for approximately $0.08 million. The investment in AerocarveUS Corporation (a.k.a. Unusual Machines, Inc.) was valued at approximately $1.08 million as of June 30, 2023. |
Notes Receivable
Notes Receivable | 6 Months Ended |
Jun. 30, 2023 | |
Notes Receivable [Abstract] | |
Notes Receivable | Note 8. Notes Receivable The following table presents the Company’s notes receivable as of June 30, 2023 ($ in thousands): Maturity Date Stated Interest Rate Principal Amount Interest Receivable Fair Value Notes receivable, at fair value Convergent convertible note - current 01/29/2023 8 % $ 1,000 $ 199 $ 1,199 Convergent convertible note - non-current 01/29/2023 8 % $ 500 $ - $ 500 Raefan Industries LLC Investment 12/31/2023 8 % $ 4,518 $ 623 $ 5,141 American Innovative Robotics Investment 04/01/2027 8 % $ 1,100 $ 22 $ 1,122 Notes receivable, at fair value - current portion $ 6,339 Notes receivable, at fair value - non-current portion $ 1,622 Convergent Therapeutics, Inc. Investment The Company’s 8% convertible promissory note (“Convergent Convertible Note”) issued by Convergent Therapeutics, Inc. (“Convergent”) in the principal amount of approximately $1.8 million pursuant to a Note Purchase Agreement matured on January 29, 2023. Upon maturity, Convergent entered into a contractual repayment schedule with the Company. Pursuant to the schedule, Convergent will make a total of eight payments in the amount of $250 thousand and accrued interest, every three months until fully satisfied. The principal balance of the Convergent Convertible Note was approximately $1.8 million as of June 30, 2023. The Company recorded principal repayment of $0.5 million and interest income of approximately $0.1 million on the Convergent Convertible Note for the six months ended June 30, 2023. Raefan Industries LLC Investment The Company recorded an interest income receivable of approximately $0.6 million on the Raefan Industries Promissory Note as of June 30, 2023 and an unrealized loss on the note of approximately $0.2 million. American Innovative Robotics, LLC Investment The Company recorded interest income of approximately $44,000 on the Robotics Promissory Note for the six months ended June 30, 2023. Kaya Now Inc. Investment During the fourth quarter of 2022, the Company identified indicators of impairment for the Kaya investment as a result of adverse changes in Kaya’s business operations, including liquidity concerns. As a result, the Company recorded an impairment charge of $0.5 million in the fourth quarter of 2022. The impairment charge represents an impairment loss of the total investment held as a promissory note resulting in a $0 balance for the Kaya Now Promissory Note as of June 30, 2023. The Company received and recorded interest income related to the Kaya Now Promissory Note of approximately $10,000 for the six months ended June 30, 2023. |
Fair Value of Financial Assets
Fair Value of Financial Assets and Liabilities | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value of Financial Assets and Liabilities [Abstract] | |
Fair Value of Financial Assets and Liabilities | Note 9. Fair Value of Financial Assets and Liabilities Financial instruments, including cash and cash equivalents, accounts payable and accrued liabilities are carried at cost, which management believes approximates fair value due to the short-term nature of these instruments. The Company measures the fair value of financial assets and liabilities based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Company maximizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value. The Company uses three levels of inputs that may be used to measure fair value: Level 1 - quoted prices in active markets for identical assets or liabilities Level 2 - quoted prices for similar assets and liabilities in active markets or inputs that are observable Level 3 - inputs that are unobservable (for example, cash flow modeling inputs based on assumptions) Observable inputs are based on market data obtained from independent sources, while unobservable inputs are based on the Company’s market assumptions. Unobservable inputs require significant management judgment or estimation. In some cases, the inputs used to measure an asset or liability may fall into different levels of the fair value hierarchy. In those instances, the fair value measurement is required to be classified using the lowest level of input that is significant to the fair value measurement. Such determination requires significant management judgment. The following table presents the Company’s assets and liabilities that are measured at fair value as of June 30, 2023, and December 31, 2022 ($ in thousands): Fair value measured as of June 30, 2023 Total at Quoted Significant other Significant unobservable inputs 2023 (Level 1) (Level 2) (Level 3) Assets Marketable securities: Equities $ 20,675 $ 20,675 $ - $ - Total marketable securities $ 20,675 $ 20,675 $ - $ - Short-term investment $ 13 $ - $ - $ 13 Notes receivable at fair value, current portion $ 6,339 $ - $ - $ 6,339 Notes receivable at fair value, non-current portion $ 1,622 $ - $ - $ 1,622 Fair value measured as of December 31, 2022 Total at Quoted Significant other Significant 2022 (Level 1) (Level 2) (Level 3) Assets Marketable securities: Equities $ 7,130 $ 7,130 $ - $ - Total marketable securities $ 7,130 $ 7,130 $ - $ - Short-term investment $ 13 $ - $ - $ 13 Notes receivable at fair value, current portion $ 7,474 $ - $ - $ 7,474 Notes receivable at fair value, non-current portion $ 1,100 $ - $ - $ 1,100 Level 3 Measurement The following table sets forth a summary of the changes in the fair value of the Company’s Level 3 financial assets that are measured at fair value on a recurring basis ($ in thousands): Short-term investment at December 31, 2022 $ 13 Short-term investment at June 30, 2023 $ 13 Notes receivable at fair value, current portion at December 31, 2022 $ 7,474 Collection of principal outstanding (500 ) Note receivable, Convergent Therapeutics, non-current portion (500 ) Unrealized loss on note receivable (212 ) Accrued interest receivable 77 Notes receivable at fair value, current portion at June 30, 2023 $ 6,339 Notes receivable at fair value, non-current portion at December 31, 2022 $ 1,100 Note receivable, Convergent Therapeutics, non-current portion 500 Accrued interest receivable 22 Notes receivable at fair value, non-current portion at June 30, 2023 $ 1,622 Note Receivable at fair value As of June 30, 2023, the fair value of the notes receivable was measured taking into consideration cost of the investment, market participant inputs, market conditions, liquidity, operating results and other qualitative and quantitative factors. No material change was noted in the fair value of the notes receivable during the three months ended June 30, 2023. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Leases | Note 10. Leases On December 1, 2021, the Company entered into a Lease Agreement (the “Company’s Lease”) with Trump Tower Commercial LLC, a New York limited liability company. Under the Company’s Lease, the Company rents a portion of the twenty-second floor at 725 Fifth Avenue, New York, New York (the “22 nd nd nd On September 23, 2022, Dominari Financial entered into a Lease Agreement (“Dominari Financial’s Lease”) with Trump Tower Commercial LLC, a New York limited liability company. Under Dominari Financial’s Lease, Dominari Financial rents a portion of a floor at 725 Fifth Avenue, New York, New York (the “Premises”). Dominari Financial currently uses the Premises to run its day-to-day operations. The initial term of Dominari Financial’s Lease is seven (7) years commencing on the date that possession of the Premises is delivered to Dominari Financial. Under Dominari Financial’s Lease, Dominari Financial is required to pay monthly rent equal to $49,368. Effective for the sixth and seventh years of Dominari Financial’s Lease, the rent shall increase to $51,868 per month. The Company took possession of the Premises in February 2023. The tables below represent the Company’s lease assets and liabilities as of June 30, 2023: June 30, Assets: Operating lease right-of-use-assets $ 3,530 Liabilities: Current Operating 353 Long-term Operating 3,259 $ 3,612 The following tables summarize quantitative information about the Company’s operating leases, under the adoption of ASC 842: June 30, 2023 Weighted-average remaining lease term – operating leases (in years) 7.0 Weighted-average discount rate – operating leases 10.0 % During the six months ended June 30, 2023, the Company recorded approximately $0.4 million of lease expense to current period operations. Three Months Ended Six Months Ended June 30, June 30, Operating leases Operating lease cost $ 179 $ 313 Operating lease expense 179 313 Short-term lease rent expense 33 63 Net rent expense $ 212 $ 376 Supplemental cash flow information related to leases were as follows: Six Months June 30, Operating cash flows - operating leases $ 72 Right-of-use assets obtained in exchange for operating lease liabilities $ 2,796 As of June 30, 2023, future minimum payments during the next five years and thereafter are as follows: Operating Leases Remaining Period Ended December 31, 2023 $ 327 Year Ended December 31, 2024 750 Year Ended December 31, 2025 688 Year Ended December 31, 2026 688 Year Ended December 31, 2027 688 Year Ended December 31, 2028 770 Thereafter 1,166 Total 5,077 Less present value discount (1,465 ) Operating lease liabilities $ 3,612 |
Net Loss per Share
Net Loss per Share | 6 Months Ended |
Jun. 30, 2023 | |
Net Loss per Share [Abstract] | |
Net Loss per Share | Note 11. Net Loss per Share Basic loss per share of common stock is computed by dividing the net loss allocable to common stockholders by the weighted-average number of shares of common stock or common stock equivalents outstanding. Diluted loss per common share is computed similar to basic loss per share except that it reflects the potential dilution that could occur if dilutive securities or other obligations to issue common stock were exercised or converted into common stock. Securities that could potentially dilute loss per share in the future that were not included in the computation of diluted loss per share for the six months ended June 30, 2023, and 2022 are as follows: As of June 30, 2023 2022 Convertible preferred stock 34 34 Warrants to purchase common stock 444,796 444,796 Options to purchase common stock 30,336 198,574 Total 475,166 643,404 |
Stockholders_ Equity and Conver
Stockholders’ Equity and Convertible Preferred Stock | 6 Months Ended |
Jun. 30, 2023 | |
Stockholders’ Equity and Convertible Preferred Stock [Abstract] | |
Stockholders’ Equity and Convertible Preferred Stock | Note 12. Stockholders’ Equity and Convertible Preferred Stock Common Stock On March 6, 2023, the Company cancelled 644,499 shares of common stock as a result of retirement of 644,499 shares of treasury stock. On March 20, 2023, the Company cancelled 25,000 shares of common stock owned by a board member. June 27, 2023, pursuant to Soo Yu’s employment agreement and the Company’s 2022 Equity Incentive Plan, the Company executed a Grant Agreement, through which Soo Yu was granted 1,033,591 shares of the Company’s common stock. Upon issuance, the shares were fully-vested and nonforfeitable with a total fair value of approximately $2.7 million. Pursuant to the Grant Agreement, the Company withheld 503,876 of the shares granted to satisfy Soo Yu’s tax obligation of approximately $1.3 million and recorded as income taxes withheld within the unaudited condensed consolidated balance sheet. See Restricted Stock roll-forward below. Treasury Stock On January 21, 2022, the Company’s board of directors authorized a share buyback program (the “Share Buyback Program”), pursuant to which the Company authorized the Share Buyback Program in an amount of up to three million dollars. During the six months ended June 30, 2023, the Company repurchased 236,630 shares at a cost of approximately $0.9 million or $3.97 per share through marketable securities account under the Share Buyback Program. The Company records treasury stock using the cost method. On March 6, 2023, the Company retired 644,499 shares of treasury stock with original cost of approximately $3.8 million. Warrants A summary of warrant activity for the six months ended June 30, 2023, is presented below: Warrants Weighted Total Weighted Outstanding as of December 31, 2022 444,796 $ 29.25 - 3.20 Outstanding as of June 30, 2023 444,796 $ 29.25 - 2.71 Restricted Stock Awards A summary of restricted stock awards activity for the six months ended June 30, 2023, is presented below: Number of Restricted Weighted Average Nonvested at December 31, 2022 8,068 $ 5.64 Granted 529,715 $ 2.58 Vested (537,783 ) 2.63 Nonvested at June 30, 2023 - $ - As of June 30, 2023, there is no unrecognized stock-based compensation expense related to restricted stock awards. Stock Options A summary of option activity under the Company’s stock option plan for the six months ended June 30, 2023 is presented below: Number of Shares Weighted Average Total Intrinsic Value Weighted Average Outstanding as of December 31, 2022 31,193 $ 302.97 $ - 7.9 Employee options expired (857 ) $ 9,719.07 Outstanding as of June 30, 2023 30,336 $ 36.97 $ - 7.6 Options vested and exercisable 26,578 $ 41.35 $ - 7.5 Stock-based compensation associated with the amortization of stock option expense was approximately $8,000 and $0 for the six months ended June 30, 2023, and 2022, respectively. All stock compensation was recorded as a component of general and administrative expenses. Estimated future stock-based compensation expense relating to unvested stock options is approximately $7,000. |
Revenue
Revenue | 6 Months Ended |
Jun. 30, 2023 | |
Revenue [Abstract] | |
Revenue | Note 13. Revenue The following table presents our total revenues disaggregated by revenue type for the three and six months ended June 30, 2023 and 2022 (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Underwriting $ 43 $ - $ 43 $ - Commissions 14 - 14 - Other 14 - $ 14 - Total $ 71 $ - $ 71 $ - |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | Note 14. Commitments and Contingencies Legal Proceedings In the past, in the ordinary course of business, the Company actively pursued legal remedies to enforce its intellectual property rights and to stop unauthorized use of the Company’s technology. Other than ordinary routine litigation incidental to the business, the Company is not aware of any material, active or pending legal proceedings brought against it. |
Regulatory
Regulatory | 6 Months Ended |
Jun. 30, 2023 | |
Regulatory [Abstract] | |
Regulatory | Note 15. Regulatory Dominari Securities, the Company’s broker-dealer subsidiary, is registered with the SEC as an introducing broker-dealer and is a member of FINRA. The Company’s broker-dealer subsidiary is subject to SEC Uniform Net Capital Rule (Rule 15c3-1) which requires the maintenance of minimum net capital and requires that the ratio of aggregate indebtedness to net capital, both as defined, shall not exceed 15 to 1. As such, the subsidiary is subject to the minimum net capital requirements promulgated by the SEC and has elected to calculate minimum capital requirements using the basic method permitted by Rule 15c3-1. As of June 30, 2023, Dominari Securities had net capital of approximately $7.3 million, which was approximately $7.2 million in excess of required minimum net capital of $0.1 million. |
Related Party Transaction
Related Party Transaction | 6 Months Ended |
Jun. 30, 2023 | |
Related Party Transaction [Abstract] | |
Related Party Transaction | Note 16. Related Party Transaction In 2021, the Company engaged the services of Revere Securities, LLC (“Revere”) to strategically manage and build the Company’s investment processes. Kyle Wool, Board Member, is also a member of the board of directors of Revere. The Company incurred fees of approximately $0.08 million and $0.6 million during the six months ending June 30, 2023, and 2022, respectively. These fees were included in general and administrative expense in the unaudited condensed consolidated statements of operations. |
Segment Reporting
Segment Reporting | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Segment Reporting | Note 17. Segment Reporting The Company operates in two reportable business segments: (1) Dominari Securities and (2) Legacy AIkido Pharma. The Dominari Securities reportable business segment represents the Company’s broker-dealer business, which is composed of underwriting and transactional service activities. The Legacy AIkido Pharma reportable business segment includes Aikido Labs, which manages the investments holdings of the legacy entity. Prior to the FPS Acquisition, the Company operated as a single operating segment comprised of Legacy AIkido Pharma. The chief operating decision-maker (“CODM”) has access to and regularly reviews internal financial reporting for each business and uses that information to make operational decisions and allocate resources. Accounting policies applied by the reportable segments are the same as those used by the Company and described in the “ Summary of Significant Accounting Policies. The measures of segment profitability that are most relied upon by the CODM are gross revenues and net loss, as presented within the table below and reconciled to the statement of operations. Three Months Ended June 30, 2023 Dominari Securities Legacy AIkido Pharma Consolidated Revenue $ 71 $ - $ 71 Operating Costs General and administrative 6,957 2,123 $ 9,080 Research and development 2 2 Loss from operations $ (6,886 ) $ (2,125 ) $ (9,011 ) Other (expenses) income Other income - Interest income 44 116 160 Loss on marketable securities 400 400 Unrealized loss on note receivable (212 ) (212 ) Total other (expenses) income $ 44 $ 304 $ 348 Net loss $ (6,842 ) $ (1,821 ) $ (8,663 ) Six Months Ended June 30, 2023 Dominari Securities Legacy AIkido Pharma Consolidated Revenue $ 71 $ - $ 71 Operating Costs General and administrative 8,056 4,857 12,913 Research and development 3 3 Loss from operations $ (7,985 ) $ (4,860 ) $ (12,845 ) Other (expenses) income Other income - - Interest income 44 253 297 Loss on marketable securities 335 335 Unrealized loss on note receivable (212 ) (212 ) Total other (expenses) income $ 44 $ 376 $ 420 Net loss $ (7,941 ) $ (4,484 ) $ (12,425 ) |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”), and in conformity with the rules and regulations of the SEC. In the opinion of management, these financial statements contain all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the results of the interim periods presented. The condensed balance sheet at December 31, 2022, was derived from audited annual financial statements but does not contain all of the footnote disclosures from the annual financial statements. Accordingly, these financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. The Company’s policy is to consolidate all entities that it controls by ownership of a majority of the membership interest or outstanding voting stock. The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries, Aikido Labs, Dominari Financial, and Dominari Securities. All significant intercompany balances and transactions have been eliminated in consolidation. Results for interim periods are not necessarily indicative of results to be expected for a full year or any future period. |
Use of Estimates | Use of Estimates The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with U.S. GAAP. This requires management to make estimates and assumptions that affect certain reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements, and the reported amounts of revenue and expenses during the period. The Company’s significant estimates and assumptions include stock-based compensation, the valuation of investments, the valuation of notes receivable and the valuation allowance related to the Company’s deferred tax assets. Certain of the Company’s estimates could be affected by external conditions, including those unique to the Company and general economic conditions. It is reasonably possible that these external factors could have an effect on the Company’s estimates and could cause actual results to differ from those estimates and assumptions. |
Deposits with clearing broker | Deposits with clearing broker Deposits with Dominari Securities’ clearing broker consisted of approximately $7.1 million held in money market funds and liquid insured deposits maintained by the Company with its clearing broker as of June 30, 2023. |
Leases | Leases The Company accounts for its leases under ASC 842, Leases Leases |
Revenue | Revenue The Company recognizes revenues under ASC 606 - Revenue from Contracts with Customers . The following provides detailed information on the recognition of the Company’s revenues from contracts with customers: ● Underwriting services include underwriting and placement agent services in both the equity and debt capital markets, including private equity placements, initial public offerings, follow-on offerings, and underwriting and distributing public and private debt. Underwriting and placement agent revenues are recognized at a point in time on trade-date, as the client obtains the control and benefit of the underwriting offering at that point. Costs associated with underwriting transactions are deferred until the related revenue is recognized or the engagement is otherwise concluded and are recorded on a gross basis within the general and administrative line item in the unaudited condensed consolidated statements of operations as the Company is acting as a principal in the arrangement. Any expenses reimbursed by the Company’s clients are recognized as other income. ● Commissions are earned by executing, transactions for clients primarily in equity, equity-related, and debt products. Commission revenues associated with trade execution are recognized at a point in time on trade-date. Commissions revenues are generally paid on settlement date and the Company records receivables to account for timing between trade-date and payment on settlement date. |
Recently adopted accounting standards | Recently adopted accounting standards In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805) Accounting for Contract Assets and Contract Liabilities from Contracts with Customers |
Effect of new accounting pronouncements not yet adopted | Effect of new accounting pronouncements not yet adopted In June 2022, the FASB issued ASU 2022-03, Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions . In March 2023, the FASB issued ASU 2023-01, Leases |
Effect of new accounting pronouncements to be adopted in future periods | Effect of new accounting pronouncements to be adopted in future periods The Company reviewed all other recently issued accounting pronouncements and concluded that they were either not applicable or not expected to have a significant impact on these unaudited condensed consolidated financial statements. |
FPS Acquisition (Tables)
FPS Acquisition (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
FPS Acquisition [Abstract] | |
Schedule of Fair Values of the Assets Acquired And Liabilities | The following table summarizes the fair values of the assets acquired and liabilities assumed of FPS at the date of acquisition: March 27, 2023 (Unaudited) ASSETS Cash and cash equivalents $ 92 Deposits with Clearing Broker-Dealer 3,550 Other receivables 53 Prepaid and other current assets 89 Total assets acquired 3,784 Liabilities Accrued expenses $ 273 Accrued commissions 25 Wealth management liabilities 62 Total liabilities assumed 360 Total net assets of FPS Acquisition 3,424 |
Investments in Marketable Sec_2
Investments in Marketable Securities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Marketable Securities | The realized gain or loss, unrealized gain or loss, and dividend income related to marketable securities for the three and six months ended June 30, 2023 and 2022, which are recorded as a component of gains and (losses) on marketable securities on the unaudited condensed consolidated statements of operations, are as follows ($ in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Realized loss $ (432 ) $ (344 ) $ (487 ) $ (568 ) Unrealized gain (loss) 643 (1,967 ) 514 (2,299 ) Dividend income 188 72 308 131 Total $ 400 $ (2,239 ) $ 335 $ (2,736 ) |
Short-Term Investments (Tables)
Short-Term Investments (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Short-Term Investments [Abstract] | |
Schedule of Short-Term Investments | The following table presents the Company’s short-term investments as of June 30, 2023, and December 31, 2022 ($ in thousands): June 30, December 31, Investment in Vicinity Motor Corp. 13 13 Total 13 13 |
Schedule of Quantitative Information Regarding Level 3 Fair Value Measurements Inputs | The following table provides quantitative information regarding Level 3 fair value measurement inputs at their measurement dates: June 30, December 31, Option term (in years) 1.3 1.8 Volatility 76.9 % 76.90 % Risk-free interest rate 4.47 % 4.47 % Expected dividends 0.00 % 0.00 % Stock price $ 0.96 $ 0.96 |
Long-Term Investments (Tables)
Long-Term Investments (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Long-Term Investments [Abstract] | |
Schedule of Long-Term Investments | The following table presents the Company’s long-term investments as of June 30, 2023, and December 31, 2022 ($ in thousands): Cost Basis June 30, December 31, Investment in Kerna Health Inc $ 2,140 $ 4,940 $ 4,940 Investment in Kaya Now 1,500 - - Investment in Tevva Motors 1,972 2,794 2,794 Investment in ASP Isotopes 1,300 - - Investment in AerocarveUS Corporation 1,075 1,075 1,000 Investment in Qxpress 1,000 1,000 1,000 Investment in Masterclass 170 170 170 Investment in Kraken 597 597 597 Investment in Epic Games 3,500 3,500 3,500 Investment in Tesspay 1,240 2,500 2,500 Investment in SpaceX 3,500 3,674 3,674 Investment in Databricks 1,200 1,200 1,200 Investment in Discord 476 476 476 Investment in Thrasio 300 300 300 Investment in Automation Anywhere 476 476 476 Investment in Anduril 476 476 476 Total $ 20,922 $ 23,178 $ 23,103 |
Notes Receivable (Tables)
Notes Receivable (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Notes Receivable [Abstract] | |
Schedule of Notes Receivable | The following table presents the Company’s notes receivable as of June 30, 2023 ($ in thousands): Maturity Date Stated Interest Rate Principal Amount Interest Receivable Fair Value Notes receivable, at fair value Convergent convertible note - current 01/29/2023 8 % $ 1,000 $ 199 $ 1,199 Convergent convertible note - non-current 01/29/2023 8 % $ 500 $ - $ 500 Raefan Industries LLC Investment 12/31/2023 8 % $ 4,518 $ 623 $ 5,141 American Innovative Robotics Investment 04/01/2027 8 % $ 1,100 $ 22 $ 1,122 Notes receivable, at fair value - current portion $ 6,339 Notes receivable, at fair value - non-current portion $ 1,622 |
Fair Value of Financial Asset_2
Fair Value of Financial Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value of Financial Assets and Liabilities [Abstract] | |
Schedule of Fair Value Assets and Liabilities | The following table presents the Company’s assets and liabilities that are measured at fair value as of June 30, 2023, and December 31, 2022 ($ in thousands): Fair value measured as of June 30, 2023 Total at Quoted Significant other Significant unobservable inputs 2023 (Level 1) (Level 2) (Level 3) Assets Marketable securities: Equities $ 20,675 $ 20,675 $ - $ - Total marketable securities $ 20,675 $ 20,675 $ - $ - Short-term investment $ 13 $ - $ - $ 13 Notes receivable at fair value, current portion $ 6,339 $ - $ - $ 6,339 Notes receivable at fair value, non-current portion $ 1,622 $ - $ - $ 1,622 Fair value measured as of December 31, 2022 Total at Quoted Significant other Significant 2022 (Level 1) (Level 2) (Level 3) Assets Marketable securities: Equities $ 7,130 $ 7,130 $ - $ - Total marketable securities $ 7,130 $ 7,130 $ - $ - Short-term investment $ 13 $ - $ - $ 13 Notes receivable at fair value, current portion $ 7,474 $ - $ - $ 7,474 Notes receivable at fair value, non-current portion $ 1,100 $ - $ - $ 1,100 |
Schedule of Fair Value on a Recurring Basis | The following table sets forth a summary of the changes in the fair value of the Company’s Level 3 financial assets that are measured at fair value on a recurring basis ($ in thousands): Short-term investment at December 31, 2022 $ 13 Short-term investment at June 30, 2023 $ 13 Notes receivable at fair value, current portion at December 31, 2022 $ 7,474 Collection of principal outstanding (500 ) Note receivable, Convergent Therapeutics, non-current portion (500 ) Unrealized loss on note receivable (212 ) Accrued interest receivable 77 Notes receivable at fair value, current portion at June 30, 2023 $ 6,339 Notes receivable at fair value, non-current portion at December 31, 2022 $ 1,100 Note receivable, Convergent Therapeutics, non-current portion 500 Accrued interest receivable 22 Notes receivable at fair value, non-current portion at June 30, 2023 $ 1,622 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Schedule of Lease Assets and Liabilities | The tables below represent the Company’s lease assets and liabilities as of June 30, 2023: June 30, Assets: Operating lease right-of-use-assets $ 3,530 Liabilities: Current Operating 353 Long-term Operating 3,259 $ 3,612 |
Schedule of Summarize Quantitative Information about The Company’s Operating Leases | The following tables summarize quantitative information about the Company’s operating leases, under the adoption of ASC 842: June 30, 2023 Weighted-average remaining lease term – operating leases (in years) 7.0 Weighted-average discount rate – operating leases 10.0 % |
Schedule of Lease Expense to Current Period Operations | During the six months ended June 30, 2023, the Company recorded approximately $0.4 million of lease expense to current period operations. Three Months Ended Six Months Ended June 30, June 30, Operating leases Operating lease cost $ 179 $ 313 Operating lease expense 179 313 Short-term lease rent expense 33 63 Net rent expense $ 212 $ 376 |
Schedule of Supplemental Cash Flow Information Related To Leases | Supplemental cash flow information related to leases were as follows: Six Months June 30, Operating cash flows - operating leases $ 72 Right-of-use assets obtained in exchange for operating lease liabilities $ 2,796 |
Schedule of Future Minimum Payments | As of June 30, 2023, future minimum payments during the next five years and thereafter are as follows: Operating Leases Remaining Period Ended December 31, 2023 $ 327 Year Ended December 31, 2024 750 Year Ended December 31, 2025 688 Year Ended December 31, 2026 688 Year Ended December 31, 2027 688 Year Ended December 31, 2028 770 Thereafter 1,166 Total 5,077 Less present value discount (1,465 ) Operating lease liabilities $ 3,612 |
Net Loss per Share (Tables)
Net Loss per Share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Net Loss per Share [Abstract] | |
Schedule of Computation of Diluted Loss Per Share | Securities that could potentially dilute loss per share in the future that were not included in the computation of diluted loss per share for the six months ended June 30, 2023, and 2022 are as follows: As of June 30, 2023 2022 Convertible preferred stock 34 34 Warrants to purchase common stock 444,796 444,796 Options to purchase common stock 30,336 198,574 Total 475,166 643,404 |
Stockholders_ Equity and Conv_2
Stockholders’ Equity and Convertible Preferred Stock (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Stockholders’ Equity and Convertible Preferred Stock [Abstract] | |
Schedule of Warrant Activity | A summary of warrant activity for the six months ended June 30, 2023, is presented below: Warrants Weighted Total Weighted Outstanding as of December 31, 2022 444,796 $ 29.25 - 3.20 Outstanding as of June 30, 2023 444,796 $ 29.25 - 2.71 |
Schedule of Restricted Stock Awards Activity | A summary of restricted stock awards activity for the six months ended June 30, 2023, is presented below: Number of Restricted Weighted Average Nonvested at December 31, 2022 8,068 $ 5.64 Granted 529,715 $ 2.58 Vested (537,783 ) 2.63 Nonvested at June 30, 2023 - $ - |
Schedule of Stock Option Activity | A summary of option activity under the Company’s stock option plan for the six months ended June 30, 2023 is presented below: Number of Shares Weighted Average Total Intrinsic Value Weighted Average Outstanding as of December 31, 2022 31,193 $ 302.97 $ - 7.9 Employee options expired (857 ) $ 9,719.07 Outstanding as of June 30, 2023 30,336 $ 36.97 $ - 7.6 Options vested and exercisable 26,578 $ 41.35 $ - 7.5 |
Revenue (Tables)
Revenue (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Revenue [Abstract] | |
Schedule of Total Revenues Disaggregated By Revenue | The following table presents our total revenues disaggregated by revenue type for the three and six months ended June 30, 2023 and 2022 (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Underwriting $ 43 $ - $ 43 $ - Commissions 14 - 14 - Other 14 - $ 14 - Total $ 71 $ - $ 71 $ - |
Segment Reporting (Tables)
Segment Reporting (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Segment Profitability That Are Most Relied Upon By the Codm Are Gross Revenues and Net Loss | The measures of segment profitability that are most relied upon by the CODM are gross revenues and net loss, as presented within the table below and reconciled to the statement of operations. Three Months Ended June 30, 2023 Dominari Securities Legacy AIkido Pharma Consolidated Revenue $ 71 $ - $ 71 Operating Costs General and administrative 6,957 2,123 $ 9,080 Research and development 2 2 Loss from operations $ (6,886 ) $ (2,125 ) $ (9,011 ) Other (expenses) income Other income - Interest income 44 116 160 Loss on marketable securities 400 400 Unrealized loss on note receivable (212 ) (212 ) Total other (expenses) income $ 44 $ 304 $ 348 Net loss $ (6,842 ) $ (1,821 ) $ (8,663 ) Six Months Ended June 30, 2023 Dominari Securities Legacy AIkido Pharma Consolidated Revenue $ 71 $ - $ 71 Operating Costs General and administrative 8,056 4,857 12,913 Research and development 3 3 Loss from operations $ (7,985 ) $ (4,860 ) $ (12,845 ) Other (expenses) income Other income - - Interest income 44 253 297 Loss on marketable securities 335 335 Unrealized loss on note receivable (212 ) (212 ) Total other (expenses) income $ 44 $ 376 $ 420 Net loss $ (7,941 ) $ (4,484 ) $ (12,425 ) |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Details) $ in Millions | Jun. 30, 2023 USD ($) |
Accounting Policies [Abstract] | |
Money market funds | $ 7.1 |
FPS Acquisition (Details)
FPS Acquisition (Details) - USD ($) | 6 Months Ended | ||
Oct. 04, 2022 | Jun. 30, 2023 | Sep. 09, 2022 | |
FPS Acquisition (Details) [Line Items] | |||
Cash | $ 3,400,000 | ||
Transaction costs | 900,000 | ||
Net loss | 7,700,000 | ||
Revenue | 70,000 | ||
Professional service costs | $ 5,400,000 | ||
FPS Purchase Agreement [Member] | |||
FPS Acquisition (Details) [Line Items] | |||
Membership interests rate | 20% | 80% | 100% |
Consideration amount | $ 2,000,000 | ||
Additional consideration | $ 1,600,000 | ||
Percentage of acquired membership interest | 100% | ||
Cash | $ 3,600,000 | ||
Purchase price | 1 | ||
Net assets | 3,400,000 | ||
Receivable amount | 200,000 | ||
Transaction costs | $ 300,000 |
FPS Acquisition (Details) - Sch
FPS Acquisition (Details) - Schedule of Fair Values of the Assets Acquired And Liabilities - Business Combination [Member] $ in Thousands | Mar. 27, 2023 USD ($) |
ASSETS | |
Cash and cash equivalents | $ 92 |
Deposits with Clearing Broker-Dealer | 3,550 |
Other receivables | 53 |
Prepaid and other current assets | 89 |
Total assets acquired | 3,784 |
Liabilities | |
Accrued expenses | 273 |
Accrued commissions | 25 |
Wealth management liabilities | 62 |
Total liabilities assumed | 360 |
Total net assets of FPS Acquisition | $ 3,424 |
Investments in Marketable Sec_3
Investments in Marketable Securities (Details) - Schedule of Marketable Securities - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Schedule of marketable securities [Abstract] | ||||
Realized loss | $ (432) | $ (344) | $ (487) | $ (568) |
Unrealized gain (loss) | 643 | (1,967) | 514 | (2,299) |
Dividend income | 188 | 72 | 308 | 131 |
Total | $ 400 | $ (2,239) | $ 335 | $ (2,736) |
Short-Term Investments (Details
Short-Term Investments (Details) - Schedule of Short-Term Investments - Investment in Vicinity Motor Corp. [Member] - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Short-Term Investments (Details) - Schedule of Short-Term Investments [Line Items] | ||
Investment in Vicinity Motor Corp. | $ 13 | $ 13 |
Total | $ 13 | $ 13 |
Short-Term Investments (Detai_2
Short-Term Investments (Details) - Schedule of Quantitative Information Regarding Level 3 Fair Value Measurements Inputs - Vicinity Motor Corp [Member] - $ / shares | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Short-Term Investments (Details) - Schedule of Quantitative Information Regarding Level 3 Fair Value Measurements Inputs [Line Items] | ||
Option term (in years) | 1 year 3 months 18 days | 1 year 9 months 18 days |
Volatility | 76.90% | 76.90% |
Risk-free interest rate | 4.47% | 4.47% |
Expected dividends | 0% | 0% |
Stock price (in Dollars per share) | $ 0.96 | $ 0.96 |
Long-Term Investments (Details)
Long-Term Investments (Details) - USD ($) $ in Thousands | 1 Months Ended | ||
Nov. 22, 2021 | Jun. 30, 2023 | Mar. 31, 2023 | |
Long-Term Investments [Abstract] | |||
Purchase shares | 250,000 | 64,377 | |
Purchase amount | $ 1,000 | $ 80 | |
Additional purchased shares | 150,000 | ||
Investment | $ 1,080 |
Long-Term Investments (Detail_2
Long-Term Investments (Details) - Schedule of Long-Term Investments - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | $ 20,922 | |
Long-term investments, Total | 23,178 | $ 23,103 |
Investment In Kerna Health Inc [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 2,140 | |
Long-term investments, Total | 4,940 | 4,940 |
Investment in Kaya Now [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 1,500 | |
Long-term investments, Total | ||
Investment in Tevva Motors [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 1,972 | |
Long-term investments, Total | 2,794 | 2,794 |
Investment in ASP Isotopes [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 1,300 | |
Long-term investments, Total | ||
Investment in AerocarveUS Corporation [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 1,075 | |
Long-term investments, Total | 1,075 | 1,000 |
Investment in Qxpress [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 1,000 | |
Long-term investments, Total | 1,000 | 1,000 |
Investment in Masterclass [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 170 | |
Long-term investments, Total | 170 | 170 |
Investment in Kraken [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 597 | |
Long-term investments, Total | 597 | 597 |
Investment in Epic Games [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 3,500 | |
Long-term investments, Total | 3,500 | 3,500 |
Investment in Tesspay [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 1,240 | |
Long-term investments, Total | 2,500 | 2,500 |
Investment in SpaceX [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 3,500 | |
Long-term investments, Total | 3,674 | 3,674 |
Investment in Databricks [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 1,200 | |
Long-term investments, Total | 1,200 | 1,200 |
Investment in Discord [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 476 | |
Long-term investments, Total | 476 | 476 |
Investment in Thrasio [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 300 | |
Long-term investments, Total | 300 | 300 |
Investment in Automation Anywhere [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 476 | |
Long-term investments, Total | 476 | 476 |
Investment in Anduril [Member] | ||
Long-Term Investments (Details) - Schedule of Long-Term Investments [Line Items] | ||
Long-term investments, Cost Basis | 476 | |
Long-term investments, Total | $ 476 | $ 476 |
Notes Receivable (Details)
Notes Receivable (Details) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Notes Receivable (Details) [Line Items] | ||
Principal amount | $ 1,800,000 | |
Accrued interest | 250,000 | |
Interest income | 100,000 | |
Impairment loss | $ 0 | |
Convergent Therapeutics, Inc. Investment [Member] | ||
Notes Receivable (Details) [Line Items] | ||
Convertible promissory note percentage | 8% | |
Promissory note maturity date | Jan. 29, 2023 | |
Principal amount | $ 1,800,000 | |
Convergent Therapeutics, Inc. Investment [Member] | Notes Payable [Member] | ||
Notes Receivable (Details) [Line Items] | ||
Principal amount | 500,000 | |
Raefan Industries LLC Investment [Member] | ||
Notes Receivable (Details) [Line Items] | ||
Interest income receivable | 600,000 | |
Unrealized loss | 200,000 | |
American Innovative Robotics, LLC Investment [Member] | ||
Notes Receivable (Details) [Line Items] | ||
Interest income | 44,000 | |
Impairment charges | $ 500,000 | |
Kaya Now Promissory Note [Member] | ||
Notes Receivable (Details) [Line Items] | ||
Interest income | $ 10,000 |
Notes Receivable (Details) - Sc
Notes Receivable (Details) - Schedule of Notes Receivable $ in Thousands | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Convergent Convertible Note - Current [Member] | |
Notes receivable, at fair value | |
Maturity Date | Jan. 29, 2023 |
Stated Interest Rate | 8% |
Principal Amount | $ 1,000 |
Interest Receivable | 199 |
Fair Value | $ 1,199 |
Convergent Convertible Note - Non-Current [Member] | |
Notes receivable, at fair value | |
Maturity Date | Jan. 29, 2023 |
Stated Interest Rate | 8% |
Principal Amount | $ 500 |
Interest Receivable | |
Fair Value | $ 500 |
Raefan Industries LLC Investment [Member] | |
Notes receivable, at fair value | |
Maturity Date | Dec. 31, 2023 |
Stated Interest Rate | 8% |
Principal Amount | $ 4,518 |
Interest Receivable | 623 |
Fair Value | $ 5,141 |
American Innovative Robotics Investment [Member] | |
Notes receivable, at fair value | |
Maturity Date | Apr. 01, 2027 |
Stated Interest Rate | 8% |
Principal Amount | $ 1,100 |
Interest Receivable | 22 |
Fair Value | 1,122 |
Notes Receivable, at Fair Value - Current Portion [Member] | |
Notes receivable, at fair value | |
Fair Value | 6,339 |
Notes Receivable, at Fair Value - Non-Current Portion [Member] | |
Notes receivable, at fair value | |
Fair Value | $ 1,622 |
Fair Value of Financial Asset_3
Fair Value of Financial Assets and Liabilities (Details) - Schedule of Fair Value Assets and Liabilities - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Marketable securities: | ||
Equities | $ 20,675 | $ 7,130 |
Total marketable securities | 20,675 | 7,130 |
Short-term investment | 13 | 13 |
Notes receivable at fair value, current portion | 6,339 | 7,474 |
Notes receivable at fair value, non-current portion | 1,622 | 1,100 |
Quoted prices in active markets (Level 1) [Member] | ||
Marketable securities: | ||
Equities | 20,675 | 7,130 |
Total marketable securities | 20,675 | 7,130 |
Short-term investment | ||
Notes receivable at fair value, current portion | ||
Notes receivable at fair value, non-current portion | ||
Significant other observable inputs (Level 2) [Member] | ||
Marketable securities: | ||
Equities | ||
Total marketable securities | ||
Short-term investment | ||
Notes receivable at fair value, current portion | ||
Notes receivable at fair value, non-current portion | ||
Significant unobservable inputs (Level 3) [Member] | ||
Marketable securities: | ||
Equities | ||
Total marketable securities | ||
Short-term investment | 13 | 13 |
Notes receivable at fair value, current portion | 6,339 | 7,474 |
Notes receivable at fair value, non-current portion | $ 1,622 | $ 1,100 |
Fair Value of Financial Asset_4
Fair Value of Financial Assets and Liabilities (Details) - Schedule of Fair Value on a Recurring Basis - Fair Value, Inputs, Level 3 [Member] - USD ($) $ in Thousands | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Short-term investment at December 31, 2022 | $ 13 |
Short-term investment at June 30, 2023 | 13 |
Notes receivable at fair value, current portion at December 31, 2022 | 7,474 |
Notes receivable at fair value, non-current portion at December 31, 2022 | 1,100 |
Collection of principal outstanding | (500) |
Note receivable, Convergent Therapeutics, non-current portion | (500) |
Unrealized loss on note receivable | (212) |
Accrued interest receivable | 77 |
Notes receivable at fair value, current portion at June 30, 2023 | 6,339 |
Note receivable, Convergent Therapeutics, non-current portion | 500 |
Accrued interest receivable | 22 |
Notes receivable at fair value, non-current portion at June 30, 2023 | $ 1,622 |
Leases (Details)
Leases (Details) - USD ($) | 6 Months Ended | ||
Sep. 23, 2022 | Jun. 30, 2023 | Jan. 11, 2023 | |
Leases [Abstract] | |||
Lease commencement date, description | The initial term of the Company’s Lease is seven (7) years commencing on July 11, 2022 (“Commencement Date). | ||
Rent payment | $ 49,368 | $ 12,874 | |
Increase rent amount | $ 51,868 | $ 13,502 | |
Lease cost | $ 400,000 | ||
Lease term | 5 years |
Leases (Details) - Schedule of
Leases (Details) - Schedule of Lease Assets and Liabilities - Operating lease [Member] $ in Thousands | Jun. 30, 2023 USD ($) |
Assets: | |
Operating lease right-of-use-assets | $ 3,530 |
Liabilities: | |
Current operating liabilities | 353 |
Long -term operating liabilities | 3,259 |
Total | $ 3,612 |
Leases (Details) - Schedule o_2
Leases (Details) - Schedule of Summarize Quantitative Information about The Company’s Operating Leases | Jun. 30, 2023 |
Schedule of summarize quantitative information about the company’s operating leases [Abstract] | |
Weighted-average remaining lease term – operating leases (in years) | 7 years |
Weighted-average discount rate – operating leases | 10% |
Leases (Details) - Schedule o_3
Leases (Details) - Schedule of Lease Expense to Current Period Operations - USD ($) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 | Jun. 30, 2023 | |
Operating leases | ||
Operating lease cost | $ 179 | $ 313 |
Operating lease expense | 179 | 313 |
Short-term lease rent expense | 33 | 63 |
Net rent expense | $ 212 | $ 376 |
Leases (Details) - Schedule o_4
Leases (Details) - Schedule of Supplemental Cash Flow Information Related To Leases $ in Thousands | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Schedule of supplemental cash flow information related to leases [Abstract] | |
Operating cash flows - operating leases | $ 72 |
Right-of-use assets obtained in exchange for operating lease liabilities | $ 2,796 |
Leases (Details) - Schedule o_5
Leases (Details) - Schedule of Future Minimum Payments $ in Thousands | Jun. 30, 2023 USD ($) |
Schedule of future minimum payments [Member] | |
Remaining Period Ended December 31, 2023 | $ 327 |
Year Ended December 31, 2024 | 750 |
Year Ended December 31, 2025 | 688 |
Year Ended December 31, 2026 | 688 |
Year Ended December 31, 2027 | 688 |
Year Ended December 31, 2028 | 770 |
Thereafter | 1,166 |
Total | 5,077 |
Less present value discount | (1,465) |
Operating lease liabilities | $ 3,612 |
Net Loss per Share (Details) -
Net Loss per Share (Details) - Schedule of Computation of Diluted Loss Per Share - shares | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Total | 475,166 | 643,404 |
Convertible preferred stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Total | 34 | 34 |
Warrants to purchase common stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Total | 444,796 | 444,796 |
Options to purchase common stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Total | 30,336 | 198,574 |
Stockholders_ Equity and Conv_3
Stockholders’ Equity and Convertible Preferred Stock (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||
Mar. 06, 2023 | Jun. 27, 2023 | Jan. 21, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Mar. 20, 2023 | |
Stockholders’ Equity and Convertible Preferred Stock (Details) [Line Items] | ||||||||
Shares cancelled (in Shares) | 644,499 | 25,000 | ||||||
Common stock retirement shares | $ 644,499 | |||||||
Granted shares | $ 503,876 | |||||||
Total fair value | 2,700,000 | |||||||
Restricted Stock, Value, Shares Issued Net of Tax Withholdings | 1,300,000 | |||||||
Share Buyback Program amount | $ 3,000,000 | |||||||
Share repurchased (in Shares) | 236,630 | |||||||
Amount of cost | $ 0.9 | |||||||
Price per share (in Dollars per share) | $ 3.97 | $ 3.97 | ||||||
Retired shares of treasury stock (in Shares) | 644,499 | |||||||
Original cost | $ 3,800,000 | |||||||
Stock-based compensation expense | $ 1,370,000 | $ 105,000 | $ 1,375,000 | $ 105,000 | ||||
Estimated future stock-based compensation expense | 7,000 | |||||||
Over-Allotment Option [Member] | ||||||||
Stockholders’ Equity and Convertible Preferred Stock (Details) [Line Items] | ||||||||
Stock-based compensation expense | 8,000 | 0 | ||||||
Common Stock [Member] | ||||||||
Stockholders’ Equity and Convertible Preferred Stock (Details) [Line Items] | ||||||||
Granted shares | $ 1,033,591 | |||||||
Stock-based compensation expense |
Stockholders_ Equity and Conv_4
Stockholders’ Equity and Convertible Preferred Stock (Details) - Schedule of Warrant Activity - Warrant [Member] - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Class of Warrant or Right [Line Items] | ||
Outstanding beginning balance, Warrants | 444,796 | |
Outstanding beginning balance, Weighted Average Exercise Price | $ 29.25 | |
Outstanding beginning balance, Total Intrinsic Value | ||
Outstanding beginning balance, Weighted Average Remaining Contractual Life | 3 years 2 months 12 days | |
Outstanding ending balance, Warrants | 444,796 | |
Outstanding ending balance, Weighted Average Exercise Price | $ 29.25 | |
Outstanding ending balance, Total Intrinsic Value | ||
Outstanding ending balance, Weighted Average Remaining Contractual Life | 2 years 8 months 15 days |
Stockholders_ Equity and Conv_5
Stockholders’ Equity and Convertible Preferred Stock (Details) - Schedule of Restricted Stock Awards Activity | 6 Months Ended |
Jun. 30, 2023 $ / shares shares | |
Stockholders’ Equity and Convertible Preferred Stock (Details) - Schedule of Restricted Stock Awards Activity [Line Items] | |
Number of Restricted Stock Awards, beginning balance | shares | 8,068 |
Weighted Average Grant Day Fair Value, beginning balance | $ / shares | $ 5.64 |
Number of Restricted Stock Awards, ending balance | shares | |
Weighted Average Grant Day Fair Value, ending balance | $ / shares | |
Number of Restricted Stock Awards, Granted | shares | 529,715 |
Weighted Average Grant Day Fair Value, Granted | $ / shares | $ 2.58 |
Number of Restricted Stock Awards, Vested | shares | (537,783) |
Weighted Average Grant Day Fair Value, Vested | $ / shares | $ 2.63 |
Stockholders_ Equity and Conv_6
Stockholders’ Equity and Convertible Preferred Stock (Details) - Schedule of Stock Option Activity | 6 Months Ended |
Jun. 30, 2023 USD ($) $ / shares shares | |
Stockholders’ Equity and Convertible Preferred Stock (Details) - Schedule of Stock Option Activity [Line Items] | |
Outstanding beginning balance, Number of Shares | shares | 31,193 |
Outstanding beginning balance, Weighted Average Exercise Price | $ / shares | $ 302.97 |
Outstanding ending balance, Intrinsic Value | $ | |
Outstanding beginning balance, Weighted Average Remaining Contractual Life | 7 years 10 months 24 days |
Outstanding ending balance, Number of Shares | shares | 30,336 |
Outstanding ending balance, Weighted Average Exercise Price | $ / shares | $ 36.97 |
Outstanding ending balance, Intrinsic Value | $ | |
Outstanding ending balance, Weighted Average Remaining Contractual Life | 7 years 7 months 6 days |
Number of Shares, Options vested and exercisable | shares | 26,578 |
Weighted Average Exercise Price, Options vested and exercisable | $ / shares | $ 41.35 |
Total Intrinsic Value, Options vested and exercisable | $ | |
Weighted Average Remaining Contractual Life (in years), Options vested and exercisable | 7 years 6 months |
Number of Shares, Employee options expired | shares | (857) |
Weighted Average Exercise Price, Employee options expired | $ / shares | $ 9,719.07 |
Revenue (Details) - Schedule of
Revenue (Details) - Schedule of Total Revenues Disaggregated By Revenue - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Schedule of total revenues disaggregated by revenue [Abstract] | ||||
Underwriting | $ 43 | $ 43 | ||
Commissions | 14 | 14 | ||
Other | 14 | 14 | ||
Total | $ 71 | $ 71 |
Regulatory (Details)
Regulatory (Details) $ in Millions | Jun. 30, 2023 USD ($) |
Regulatory (Details) [Line Items] | |
Net capital amount | $ 0.1 |
Excess amount | 7.2 |
Dominari Securities [Member] | |
Regulatory (Details) [Line Items] | |
Net capital amount | $ 7.3 |
Related Party Transaction (Deta
Related Party Transaction (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Related Party Transaction [Abstract] | ||
Incurred fees | $ 80 | $ 600 |
Segment Reporting (Details) - S
Segment Reporting (Details) - Schedule of Segment Profitability That Are Most Relied Upon By the Codm Are Gross Revenues and Net Loss - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 | Jun. 30, 2023 | |
Dominari Securities [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | $ 71 | $ 71 |
Operating Costs | ||
General and administrative | 6,957 | 8,056 |
Loss from operations | (6,886) | (7,985) |
Other (expenses) income | ||
Interest income | 44 | 44 |
Total other (expenses) income | 44 | 44 |
Net loss | (6,842) | (7,941) |
Legacy AIkido Pharma [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | ||
Operating Costs | ||
General and administrative | 2,123 | 4,857 |
Research and development | 2 | 3 |
Loss from operations | (2,125) | (4,860) |
Other (expenses) income | ||
Other income | ||
Interest income | 116 | 253 |
Loss on marketable securities | 400 | 335 |
Unrealized loss on note receivable | (212) | (212) |
Total other (expenses) income | 304 | 376 |
Net loss | (1,821) | (4,484) |
Consolidated [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 71 | 71 |
Operating Costs | ||
General and administrative | 9,080 | 12,913 |
Research and development | 2 | 3 |
Loss from operations | (9,011) | (12,845) |
Other (expenses) income | ||
Other income | ||
Interest income | 160 | 297 |
Loss on marketable securities | 400 | 335 |
Unrealized loss on note receivable | (212) | (212) |
Total other (expenses) income | 348 | 420 |
Net loss | $ (8,663) | $ (12,425) |