XML 24 R11.htm IDEA: XBRL DOCUMENT v3.24.3
Capital Structure
 9 Months Ended
Sep. 30, 2024
Equity [Abstract]  
Capital Structure Capital Structure
On September 13, 2024, the Company filed a Registration Statement on Form S-1 with the U.S. Securities and Exchange Commission (“SEC”) in connection with its initial public offering (“IPO”), as amended on September 30, 2024, and declared effective by the SEC on October 3, 2024 (the “Registration Statement”). On October 7, 2024, the Company issued 1,850,000 shares of Class A common stock, par value of $0.01 (“Class A Common Stock”), at a public offering price of $22.00 per share. On October 7, 2024, the Company completed its IPO and received total net proceeds of $37.1 million, after deducting the underwriters’ discount and reimbursements for the underwriters’ legal and other out of pocket expenditures. The net proceeds less other related expenses, including audit fees, legal fees, listing fees, and other expenses, totaled $33.6 million.

On October 10, 2024, the Company used a portion of the net proceeds to fully repay $10.0 million in short-term borrowings. The Company subsequently closed the line of credit on October 11, 2024.

On November 1, 2024, the Company issued an additional 142,897 shares of Class A Common Stock as a result of the underwriters' exercise of their 30-day option to purchase up to an additional 277,500 shares of its Class A Common Stock. The issuance resulted in net proceeds to the Company of approximately $2.9 million, after deducting underwriting discounts and commissions.

In connection with the IPO, on October 3, 2024, the Company filed an Amended and Restated Certificate of Incorporation with the Secretary of State of the State of Delaware, which established two new classes of common stock, the Class A Common Stock and Class B common stock, par value $0.01 per share (“Class B Common Stock”), and reclassified and converted each outstanding share of the Company’s existing common stock, par value $1.00 per share (“Old Common Stock”), into 170 shares of Class B Common Stock (the “Reclassification”). The Amended and Restated Certificate of Incorporation with the Secretary of State of the State of Delaware also changed the number of authorized shares of Preferred Stock from 100,000 to 10,000,000.

As of September 30, 2024, the Company had 26,876 shares of Old Common Stock issued and outstanding and no shares of Class A Common Stock and Class B Common Stock issued and outstanding. After giving effect to the Reclassification, which was retroactively applied to the financial statements, the Company had no shares of Old Common Stock and Class A Common Stock issued and outstanding and 4,568,920 shares of Class B Common Stock issued and outstanding. Because the Reclassification was applied retroactively to all periods presented, a share that was previously reported as Old Common stock at $1.00 par value and Additional Paid in Capital, is now reported as 170 shares of Class B Common Stock at $0.01 par value and Additional Paid in Capital. The following table sets forth selected balance sheet components as of September 30, 2024:
•On an unadjusted basis, giving no effect to the Reclassification;
•On an as adjusted basis, giving effect to the Reclassification transactions described above; and
•On an as further adjusted basis after giving effect to (1) the Reclassification, (2) the Company’s receipt of     
the net proceeds from the IPO, after deducting underwriting discounts and commission and other direct expenses of the offering, and (3) the use of a portion of the net proceeds to repay the outstanding principal balance of $10.0 million of borrowings under the Company’s unsecured line of credit with a correspondent bank.
As of September 30, 2024
UnadjustedAs adjusted for ReclassificationAs Further Adjusted for IPO
(dollars in thousands, except per share data)
Cash and cash equivalents$639,767 $639,767 $666,293 
Debt: Short-term borrowings$10,000 $10,000 $— 
Stockholders’ equity:
Preferred Stock, no par value; 100,000 shares authorized, none issued and outstanding, unadjusted; no par value, 10,000,000 shares authorized, none issued and outstanding, as adjusted for Reclassification and as further adjusted for IPO
$— $— $— 
Old Common Stock, $1.00 par value; 200,000 shares authorized, 26,876 shares issued and outstanding, unadjusted; no shares authorized, no shares issued and outstanding, as adjusted for Reclassification and as further adjusted for IPO
$27 $— $— 
Class A Common Stock, $0.01 par value; no shares authorized, no shares issued and outstanding, unadjusted; 20,000,000 shares authorized, no shares issued and outstanding, as adjusted for Reclassification; 20,000,000 shares authorized, 1,992,897 shares issued and outstanding, as further adjusted for IPO
$— $— $20 
Class B Common Stock, $0.01 par value; no shares authorized, no shares issued and outstanding, unadjusted; 10,000,000 shares authorized, 4,568,920 shares issued and outstanding, as adjusted for Reclassification and as further adjusted for IPO
$— $46 $46 
Additional paid-in capital$38,295 $38,276 $74,782 
Retained earnings$73,901 $73,901 $73,901 
Accumulated other comprehensive loss$(7,380)$(7,380)$(7,380)
Total stockholders’ equity$104,843 $104,843 $141,369