secwatch / observer
8-K filed June 20, 2023, 7:59 PM ET CIK 0001431959
other material confidence high sentiment negative materiality 0.90

META MATERIALS INC.: restructuring charge — Meta Materials: $15.3M cash, $282M goodwill impairment, restructuring, going concern doubt

META MATERIALS INC.

Key facts

Extracted from this filing and checked against the source text.

Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.95

META MATERIALS INC. entered into Amendment No. 1 to At Market Issuance Sales Agreement with Ladenburg Thalmann & Co. Inc. valued at Reaffirmed Ladenburg as sole Sales Agent and reduced commission rate from 3.0% to 2.25% on gross pro (effective 2023-06-20).

Action
entry
Agreement
atm program
Counterparty
Ladenburg Thalmann & Co. Inc.
Value
Reaffirmed Ladenburg as sole Sales Agent and reduced commission rate from 3.0% to 2.25% on gross pro
Effective
2023-06-20
Exact text from the filing
Amendment No. 1 (the “Amendment”) to the ATM Program, dated as of June 20, 2023 by and between the Company and Ladenburg Thalmann & Co. Inc. reaffirmed our relationship with Ladenburg as the sole Sales Agent of the ATM Program. The Amendment also adjusted the Original Agreement to reduce the fixed commission rate from 3.0% to 2.25% on the gross proceeds from each sale of Common Stock under the ATM Program. On June 20, 2023, we filed prospectus supplement no. 1 to our prospectus supplement dated February 10, 2023 and our prospectus dated November 18, 2022 relating to the ATM Program to describe the changes summarized above. The Amendment is filed as Exhibit 1.1 and incorporated by reference herein. The foregoing description of the Amendment does not purport to be complete and is qualified in its entirety by reference to such exhibit.
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Restructurings & Charges SEC 8-K Item 2.05/2.06 confidence 0.9

META MATERIALS INC. announced a impairment with charges of approximately $282 million affecting goodwill.

Type
impairment
Charge
approximately $282 million
Affected area
goodwill
Exact text from the filing
we expect to incur non-cash impairment charges related to our current carrying value of goodwill of approximately $282 million during the second quarter ending June 30, 2023.
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Restructurings & Charges SEC 8-K Item 2.05/2.06 confidence 0.9

META MATERIALS INC. announced a restructuring with charges of between $1.9 million and $3.2 million affecting corporate structure; realignment of Holography Technology and Wireless Sensing and Radio Wave Imaging Technology.

Type
restructuring
Charge
between $1.9 million and $3.2 million
Affected area
corporate structure; realignment of Holography Technology and Wireless Sensing and Radio Wave Imaging Technology
Exact text from the filing
and consolidation charges, not factoring in potential losses arising from the impairment of goodwill and long-term assets as described below, are expected to be between $1.9 million and $3.2 million and are expected to be spread across the fiscal year concluding on December 31, 2023. We expect the realignment and consolidation plan will reduce our operating
View on SEC.gov

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Source: SEC EDGAR
accession 0000950170-23-028789
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