Convertible Instruments and Accrued Interest (Tables)
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3 Months Ended |
12 Months Ended |
Aug. 31, 2025 |
May 31, 2025 |
| Convertible Instruments and Accrued Interest |
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| Schedule of information on dividends of convertible preferred stock |
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August 31, 2025 |
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May 31, 2025 |
(in thousands except conversion rate) |
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Series B |
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Series C |
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Series D |
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Series B |
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Series C |
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Series D |
Shares of preferred stock outstanding |
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19 |
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6 |
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9 |
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19 |
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6 |
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9 |
Common stock conversion rate |
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10:1 |
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2,000:1 |
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1,250:1 |
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10:1 |
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2,000:1 |
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1,250:1 |
Total shares of common stock if converted |
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190 |
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12,670 |
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10,565 |
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190 |
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12,670 |
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|
10,565 |
Undeclared dividends |
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$ |
25 |
|
$ |
— |
|
$ |
— |
|
$ |
24 |
|
$ |
— |
|
$ |
— |
Accrued dividends |
|
$ |
— |
|
$ |
3,929 |
|
$ |
4,713 |
|
$ |
— |
|
$ |
3,769 |
|
$ |
4,500 |
Total shares of common stock if dividends converted |
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|
50 |
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7,858 |
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9,426 |
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48 |
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7,538 |
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9,000 |
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May 31, 2025 |
|
May 31, 2024 |
(in thousands except conversion rate) |
|
Series B |
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Series C |
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Series D |
|
Series B |
|
Series C |
|
Series D |
Shares of preferred stock outstanding |
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|
19 |
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|
6 |
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|
9 |
|
|
19 |
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|
6 |
|
|
9 |
Common stock conversion rate |
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10:1 |
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2,000:1 |
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1,250:1 |
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|
10:1 |
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2,000:1 |
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|
1,250:1 |
Total shares of common stock if converted |
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190 |
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|
12,670 |
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|
10,565 |
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|
190 |
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|
12,670 |
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|
10,565 |
Undeclared dividends |
|
$ |
24 |
|
$ |
— |
|
$ |
— |
|
$ |
19 |
|
$ |
— |
|
$ |
— |
Accrued dividends |
|
$ |
— |
|
$ |
3,769 |
|
$ |
4,500 |
|
$ |
— |
|
$ |
3,135 |
|
$ |
3,656 |
Total shares of common stock if dividends converted |
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|
48 |
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|
7,538 |
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|
9,000 |
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38 |
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6,270 |
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7,312 |
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| Schedule of outstanding balances of convertible notes and accrued interest |
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August 31, 2025 |
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May 31, 2025 |
(in thousands) |
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April 2, 2021 Note |
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April 23, 2021 Note |
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Total |
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April 2, 2021 Note |
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April 23, 2021 Note |
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Total |
Convertible notes payable outstanding principal |
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$ |
2,831 |
|
$ |
24,369 |
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$ |
27,200 |
|
$ |
2,831 |
|
$ |
24,369 |
|
$ |
27,200 |
Accrued interest on convertible notes |
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5,504 |
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11,073 |
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16,577 |
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|
5,378 |
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|
12,773 |
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|
18,151 |
Outstanding convertible notes payable, net and accrued interest |
|
$ |
8,335 |
|
$ |
35,442 |
|
$ |
43,777 |
|
$ |
8,209 |
|
$ |
37,142 |
|
$ |
45,351 |
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May 31, 2025 |
|
May 31, 2024 |
(in thousands) |
|
April 2, 2021 Note |
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April 23, 2021 Note |
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Total |
|
April 2, 2021 Note |
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April 23, 2021 Note |
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Total |
Convertible notes payable outstanding principal |
|
$ |
2,831 |
|
$ |
24,369 |
|
$ |
27,200 |
|
$ |
2,831 |
|
$ |
27,369 |
|
$ |
30,200 |
Less: Unamortized debt discount and issuance costs |
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— |
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— |
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— |
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(45) |
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(362) |
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(407) |
Convertible notes payable, net |
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2,831 |
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24,369 |
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27,200 |
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2,786 |
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27,007 |
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29,793 |
Accrued interest on convertible notes |
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|
5,378 |
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12,773 |
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18,151 |
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|
4,634 |
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10,593 |
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15,227 |
Outstanding convertible notes payable, net and accrued interest |
|
$ |
8,209 |
|
$ |
37,142 |
|
$ |
45,351 |
|
$ |
7,420 |
|
$ |
37,600 |
|
$ |
45,020 |
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| Schedule of changes to outstanding balance of convertible notes, including accrued interest |
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(in thousands) |
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April 2, 2021 Note |
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April 23, 2021 Note |
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Total |
Outstanding balance at May 31, 2025 |
|
$ |
8,209 |
|
$ |
37,142 |
|
$ |
45,351 |
Interest expense |
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|
126 |
|
|
550 |
|
|
676 |
Fair market value of shares exchanged for repayment |
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|
— |
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|
(2,250) |
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|
(2,250) |
Outstanding balance at August 31, 2025 |
|
$ |
8,335 |
|
$ |
35,442 |
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$ |
43,777 |
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(in thousands) |
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April 2, 2021 Note |
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April 23, 2021 Note |
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Total |
Outstanding balance at May 31, 2024 |
|
$ |
7,420 |
|
$ |
37,600 |
|
$ |
45,020 |
Amortization of issuance discount and costs |
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|
45 |
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|
362 |
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|
407 |
Interest expense |
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|
744 |
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|
3,680 |
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|
4,424 |
Fair market value of shares and warrants exchanged for repayment |
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|
— |
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(4,273) |
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(4,273) |
Difference between market value of
common shares and reduction of principal |
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|
— |
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|
(227) |
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|
(227) |
Outstanding balance at May 31, 2025 |
|
$ |
8,209 |
|
$ |
37,142 |
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$ |
45,351 |
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| Summary of key terms of the outstanding convertible notes |
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August 31, 2025 |
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April 2, 2021 Note |
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April 23, 2021 Note |
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Interest rate per annum |
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|
6 |
% |
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|
6 |
% |
Conversion price per share upon five trading days' notice |
|
$ |
10.00 |
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$ |
10.00 |
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Party that controls the conversion rights |
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Investor |
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Investor |
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Maturity date |
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April 5, 2026 |
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April 23, 2026 |
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Security interest |
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All Company assets excluding intellectual property |
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