XML 101 R72.htm IDEA: XBRL DOCUMENT v3.20.4
Fair Value Measurements (Tables)
 3 Months Ended 9 Months Ended 12 Months Ended
Mar. 31, 2020
Sep. 30, 2020
Dec. 31, 2019
Schedule of Fair Value of Assets and Liabilities Measured on Recurring Basis  

The following table classifies the Company’s assets and liabilities measured at fair value on a recurring basis into the fair value hierarchy as of September 30, 2020 and December 31, 2019 (in thousands):

 

    Fair valued measured at September 30, 2020  
    Quoted prices
in active
markets
(Level 1)		     Significant
other observable
inputs
(Level 2)		     Significant
unobservable
inputs
(Level 3)		  
Financial Liabilities at Fair Value:                        
Profits interest sold                    -                                 -       2,119  
Warrant liability - Subsidiary     -       -       21  
Warrant liability     -       -       28,065  
Total Financial Liabilities at Fair Value   $ -     $ -     $ 30,205  

 

    December 31, 2019  
    Total     Level 1     Level 2     Level 3  
                         
Financial Assets at Fair Value:                                
Financial assets at fair value   $ 1,965     $ —     $ 1,965     $ —  
Total   $ 1,965     $ —     $ 1,965     $ —  
                                 
Financial Liabilities at Fair Value:                                
Convertible notes   $ 1,203     $ —     $ —     $ 1,203  
Profit share liability     1,971       —       —       1,971  
Derivative liability     376       —       —       376  
Warrant liability - subsidiary     24       —       —       24  
Total   $ 3,574     $ —     $ —     $ 3,574  
  
Schedule of Liability for Derivatives and Warrants  

The following table presents changes in Level 3 liabilities measured at fair value (in thousands) for the three and nine months ended September 30, 2020. Unobservable inputs were used to determine the fair value of positions that the Company has classified within the Level 3 category.

 

    Derivative -
Convertible
Notes		     Warrants
(assumed
from
subsidiary)		     Profits
Interests
Sold		     Warrant
Liability		     Embedded
Put Option		  
Fair value at December 31, 2019   $ 1,203     $ 24     $ 1,971     $ -     $ 376  
Change in fair value     (206 )     (3 )     148       (9,143 )     (220 )
Additions     3,583       -       -       50,743       172  
Redemption     (4,580 )     -       -       -       (328 )
Reclassification of warrant liabilities     -       -       -       (13,535 )     -  
Fair value at September 30, 2020   $ -     $ 21     $ 2,119     $ 28,065     $ -  
  
Schedule of Warrant Liabilities, Change in Using Black Scholes to Monte Carlo Simulation Assumptions  

The significant assumptions used in the valuation are as follows:

 

    September 30, 2020  
Fair value of underlying common shares   $ 9.00  
Exercise price   $ 2.75  
Expected dividend yield     — %
Expected volatility     50.7 %
Risk free rate     0.22 %
Expected term (years)     4.46  
  
Schedule of Fair Value of Liability Using Monte Carlo Simulation Model  

The Company used a Monte Carlo simulation model to estimate the fair value of the warrant liability at September 30, 2020:

 

    September 30, 2020  
Fair value of underlying common shares   $ 9.00  
Exercise price   $ 7.00  
Expected dividend yield     — %
Expected volatility     73.6 – 74.3 %
Risk free rate     0.12 %
Expected term (years)     1.12 – 1.19  

The Company used a Monte Carlo simulation model to estimate the fair value of the warrant liability at September 30, 2020:

 

 

    September 30, 2020  
Fair value of underlying common shares   $ 9.00  
Exercise price   $ 9.25  
Expected dividend yield     — %
Expected volatility     69.7 – 71.2 - %
Risk free rate     0.12 %
Expected term (years)     1.39 – 1.49  
  
Fubo TV Pre-Merger [Member]      
Schedule of Fair Value of Assets and Liabilities Measured on Recurring Basis    

The following table sets forth the fair value of our financial assets and liabilities measured on a recurring basis by level within the fair value hierarchy:

 

    As of December 31, 2019  
    Level 1     Level 2     Level 3     Total  
Financial Liability:                                
Fair value of convertible note derivatives liability   $ —     $ —     $ —     $ —  
Total financial liabilities   $ —     $ —     $ —     $ —  

 

    As of December 31, 2018  
    Level 1     Level 2     Level 3     Total  
Financial Liability:                                
Fair value of convertible note derivatives liability   $ —     $ —     $ —     $ —  
Total financial liabilities   $ —     $ —     $ —     $ —  
Schedule of Changes in Fair Value of Financial Liabilities
Balance – January 1, 2019     -  
Issuance of convertible note derivatives     2,120  
Change in fair value of Level 3 liabilities     -  
Settlement of convertible notes     (2,120 )
Balance – March 31, 2019   $ —  

  

The following table sets forth a summary of the changes in the fair value of our Level 3 financial liabilities:

 

Balance – January 1, 2018   $ 4,123  
Issuance of convertible notes derivatives     574  
Change in fair value of Level 3 liabilities     1,074  
Settlement of convertible notes     (5,771 )
         
Balance – December 31, 2018     -  
Issuance of convertible note derivatives     2,120  
Change in fair value of Level 3 liabilities     -  
Settlement of convertible notes     (2,120 )
Balance – December 31, 2019   $ —  
ARETE Wealth Management [Member]      
Schedule of Fair Value of Liability Using Monte Carlo Simulation Model  

The significant assumptions used in the valuation are as follows:

 

    September 30, 2020  
Fair value of underlying common shares   $ 9.00  
Exercise price   $ 5.00  
Expected dividend yield     — %
Expected volatility     60.0 %
Risk free rate     0.27 %
Expected term (years)     4.6