Alset(AEI)

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Morning Market Movers: GLXG, LAC, AIHS, RMSG See Big Swings
RTTNews· 2025-10-01 12:03
Core Insights - Premarket trading is showing notable activity with early price movements indicating potential opportunities before the market opens [1] Premarket Gainers - Galaxy Payroll Group Limited (GLXG) increased by 39% to $5.34 - Lithium Americas Corp. (LAC) rose by 31% to $7.52 - Senmiao Technology Limited (AIHS) gained 22% to $2.45 - The AES Corporation (AES) saw a 10% increase to $14.53 - Strive, Inc. (ASST) also increased by 10% to $2.77 - Shoulder Innovations, Inc. (SI) rose by 9% to $13.78 - Top KingWin Ltd (WAI) increased by 8% to $3.80 - Southland Holdings, Inc. (SLND) saw a 7% increase to $4.61 - CaliberCos Inc. (CWD) rose by 6% to $4.75 - Mannatech, Incorporated (MTEX) increased by 5% to $10.53 [3] Premarket Losers - Real Messenger Corporation (RMSG) decreased by 16% to $2.01 - Etoiles Capital Group Co., Ltd (EFTY) fell by 14% to $14.45 - Enanta Pharmaceuticals, Inc. (ENTA) dropped by 13% to $10.41 - CollPlant Biotechnologies Ltd. (CLGN) saw an 11% decrease to $2.39 - Fortress Biotech, Inc. (FBIO) declined by 10% to $3.30 - Uni-Fuels Holdings Limited (UFG) fell by 9% to $7.52 - Alset Inc. (AEI) decreased by 9% to $2.30 - JFB Construction Holdings (JFB) saw a 5% decline to $12.20 - SHF Holdings, Inc. (SHFS) dropped by 5% to $6.80 - Phio Pharmaceuticals Corp. (PHIO) decreased by 5% to $2.34 [4]
3 Real Estate Stocks Flash Strong Momentum Signals As Fed Is Expected To Cut Rates - Alset (NASDAQ:AEI)
Benzinga· 2025-09-10 08:47
Core Insights - The Federal Reserve's potential interest rate cut is driving significant momentum in the real estate sector, with several companies experiencing notable performance improvements [1][2][9] Company Performance - Alset Inc. (AEI) saw its momentum percentile ranking increase from 80.69 to 95.75, a change of 15.06 percentage points, with a year-to-date gain of 46.38% and a 112.63% increase over the past year [8] - Offerpad Solutions Inc. (OPAD) improved its momentum score from 76.97 to 92.14, reflecting a 15.17 percentage point gain, with a year-to-date increase of 57.09% and a 15.66% rise over the year [8] - Paramount Group Inc. (PGRE) moved its momentum ranking from 88.37 to 89.75, a modest increase of 1.38 points, with a year-to-date gain of 45.97% and a 50.21% increase over the year [8] Market Context - The anticipation of a Federal Reserve interest rate cut has historically benefited the real estate sector by lowering borrowing costs and increasing demand for both commercial and residential properties [2][9] - The CME Group's FedWatch tool indicates a 100% likelihood of an interest rate cut in the upcoming Federal Reserve decision [9]
Alset EHome International Inc. (NASDAQ:AEI) Struggles in the Market
Financial Modeling Prep· 2025-09-09 15:00
Company Overview - Alset EHome International Inc. (NASDAQ:AEI) is focused on developing sustainable housing solutions and eco-friendly homes, integrating technology to improve living standards [1] - AEI is currently facing market challenges, as indicated by its stock performance [1] Stock Performance - AEI is trading at $2.20, with analysts setting a target price of $1.94, indicating a negative growth potential of -11.60% [2] - This forecast reflects a lack of optimism from analysts regarding AEI's future performance, potentially due to market factors or company-specific issues [2] Peer Comparison - In comparison, Landsea Homes Corporation (NASDAQ:LSEA) is trading at $11.31, with a target price of $11.47, suggesting a positive growth potential of 1.45% [3] - LSEA's higher target price indicates a more favorable outlook from analysts regarding its market prospects compared to AEI [3]
Alset(AEI) - 2025 Q2 - Quarterly Report
2025-08-14 20:07
[PART I FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20FINANCIAL%20INFORMATION) This section presents the unaudited condensed consolidated financial statements and management's analysis of Alset Inc.'s financial condition and operations [Item 1. Financial Statements (Unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) This section presents Alset Inc.'s unaudited condensed consolidated financial statements, including balance sheets, statements of operations, equity, and cash flows, with detailed explanatory notes [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) This subsection provides a snapshot of the company's financial position at specific dates, detailing assets, liabilities, and equity Condensed Consolidated Balance Sheet Highlights | Metric | June 30, 2025 ($) | December 31, 2024 ($) | Change ($) | Percentage Change (%) | | :-------------------------------- | :-------------- | :---------------- | :----- | :---------------- | | Total Current Assets | $44,006,537 | $59,760,342 | $(15,753,805) | -26.36% | | Total Assets | $86,011,525 | $96,761,977 | $(10,750,452) | -11.11% | | Total Current Liabilities | $4,071,022 | $5,476,601 | $(1,405,579) | -25.67% | | Total Liabilities | $4,738,149 | $6,563,126 | $(1,824,977) | -27.81% | | Total Stockholders' Equity | $81,273,376 | $90,198,851 | $(8,925,475) | -9.90% | - Cash and Cash Equivalents decreased from **$27,243,787** at December 31, 2024, to **$25,584,862** at June 30, 2025[9](index=9&type=chunk) - Investment in Securities at Fair Value - Related Party decreased significantly from **$12,342,624** to **$0** in current assets, but a new noncurrent asset of **$4,961,358** appeared for the same category, indicating reclassification or changes in related party investments[9](index=9&type=chunk) [Condensed Consolidated Statements of Operations and Other Comprehensive Loss](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Other%20Comprehensive%20Loss) This subsection details the company's financial performance over specific periods, including revenue, expenses, and net loss Condensed Consolidated Statements of Operations Highlights | Metric | Three Months Ended June 30, 2025 ($) | Three Months Ended June 30, 2024 ($) | Six Months Ended June 30, 2025 ($) | Six Months Ended June 30, 2024 ($) | | :--------------------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Total Revenue | $1,098,962 | $1,127,046 | $2,167,265 | $7,213,253 | | Loss from Operations | $(2,755,461) | $(2,809,472) | $(6,687,579) | $(5,075,984) | | Total Other Non-Operating (Expense) Income, Net | $(6,085,681) | $1,659,507 | $(11,615,507) | $(3,387,772) | | Net Loss | $(8,841,142) | $(1,149,965) | $(18,346,034) | $(8,463,756) | | Net Loss Attributable to Common Stockholders | $(8,221,441) | $(1,239,114) | $(16,554,918) | $(8,008,771) | | Net Loss Per Share - Basic and Diluted | $(0.71) | $(0.13) | $(1.49) | $(0.87) | - Total Revenue decreased by **2%** for the three months ended June 30, 2025, compared to the same period in 2024, and by **70%** for the six months ended June 30, 2025, primarily due to reduced property sales[11](index=11&type=chunk)[259](index=259&type=chunk) - The Company experienced a significant increase in Net Loss, from **$(1,149,965)** to **$(8,841,142)** for the three months, and from **$(8,463,756)** to **$(18,346,034)** for the six months ended June 30, 2025, largely driven by foreign exchange transaction losses and other non-operating expenses[11](index=11&type=chunk)[269](index=269&type=chunk)[270](index=270&type=chunk) [Condensed Consolidated Statements of Stockholders' Equity](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Stockholders'%20Equity) This subsection outlines changes in the company's equity accounts, including common stock, additional paid-in capital, and accumulated deficit Condensed Consolidated Statements of Stockholders' Equity Highlights | Metric | Balance at January 1, 2025 ($) | Balance at June 30, 2025 ($) | Change ($) | | :--------------------------------- | :------------------------- | :----------------------- | :----- | | Common Stock (Shares) | 9,235,119 | 11,709,219 | +2,474,100 | | Common Stock (Par Value) | $9,235 | $11,709 | +$2,474 | | Additional Paid in Capital | $334,023,233 | $337,071,493 | +$3,048,260 | | Accumulated Deficit | $(251,851,540) | $(268,406,458) | $(16,554,918) | | Accumulated Other Comprehensive Income (Loss) | $(849,862) | $4,138,435 | +$4,988,297 | | Total Alset Inc. Stockholders' Equity | $81,331,066 | $72,815,179 | $(8,515,887) | | Total Stockholders' Equity | $90,198,851 | $81,273,376 | $(8,925,475) | - The Company issued **1,500,000 shares** of common stock in January 2025, generating **$1,205,000** in net proceeds for working capital and general corporate purposes[14](index=14&type=chunk)[173](index=173&type=chunk)[175](index=175&type=chunk) - Accumulated Other Comprehensive Income (Loss) significantly improved from a loss of **$(849,862)** to a gain of **$4,138,435**, primarily due to foreign currency translation adjustments[14](index=14&type=chunk)[93](index=93&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This subsection presents the cash inflows and outflows from operating, investing, and financing activities over specific periods Condensed Consolidated Statements of Cash Flows Highlights (Six Months Ended June 30) | Cash Flow Activity | 2025 ($) | 2024 ($) | | :----------------- | :------------ | :------------- | | Operating Activities | $(6,374,812) | $(5,897,249) | | Investing Activities | $1,675,912 | $19,616,855 | | Financing Activities | $2,326,244 | $(21,351,570) | | Net Decrease in Cash and Cash Equivalents and Restricted Cash | $(2,372,656) | $(7,631,964) | - Net cash used in operating activities increased in 2025, mainly due to purchases of trading securities and paying off payables[278](index=278&type=chunk) - Net cash provided by investing activities significantly decreased in 2025 compared to 2024, primarily because 2024 included large cash withdrawals from a trust account for redemptions (**$21,102,871**)[279](index=279&type=chunk) - Net cash provided by financing activities in 2025 was driven by proceeds from common stock issuance (**$2,614,983**), contrasting with net cash used in 2024 due to repayment of HWH's shares[280](index=280&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=12&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) This subsection provides detailed explanations of the accounting policies, significant transactions, and other relevant information supporting the financial statements - Alset Inc. is a diversified holding company with operations in real estate, financial services, digital transformation technologies, biohealth activities, and consumer products across multiple countries[21](index=21&type=chunk) - The Company has four operating segments: real estate, digital transformation technology, biohealth, and other business activities, with performance evaluated by Co-CEOs based on net income (loss) and operating income (loss)[22](index=22&type=chunk)[115](index=115&type=chunk)[116](index=116&type=chunk) - Significant related party transactions include convertible loans to Value Exchange International Inc. (VEII) and Sharing Services Global Corp. (SHRG), and the acquisition of New Energy Asia Pacific Inc. (NEAPI) from the CEO for **$83,000,000** in a convertible promissory note[134](index=134&type=chunk)[139](index=139&type=chunk)[153](index=153&type=chunk) - As of June 30, 2025, the Company owned **132 single-family residential rental properties** with an aggregate investment of **$31,000,000**, generating rental revenue[64](index=64&type=chunk)[119](index=119&type=chunk)[120](index=120&type=chunk) - The Company recorded a **$450,000** out-of-period adjustment to increase other non-operating expenses for an overpayment error in 2024, deemed immaterial to prior financial statements[110](index=110&type=chunk) - Subsequent to June 30, 2025, the CEO converted the entire **$83,000,000** Convertible Note for NEAPI acquisition into **27,666,667 restricted shares** of the Company's common stock on July 23, 2025[210](index=210&type=chunk)[212](index=212&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=49&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section offers management's analysis of the company's financial condition, operational results, liquidity, and the impact of various economic factors [Business Overview](index=49&type=section&id=Business%20Overview) This subsection describes Alset Inc.'s diversified business model, its subsidiaries, and strategic approach to investments - Alset Inc. is a diversified holding company operating through subsidiaries in real estate, financial services, digital transformation technologies, biohealth, and consumer products across the US, Singapore, Hong Kong, Australia, South Korea, and China[216](index=216&type=chunk) - The company manages a significant portion of its principal businesses through its **85.8% owned subsidiary**, Alset International Limited, traded on the Singapore Stock Exchange[216](index=216&type=chunk) - Alset Inc. holds minority ownership interests in several public companies, including **36.9%** in American Pacific Financial, Inc. (APF), **43.6%** in DSS Inc., **45.8%** in Value Exchange International Inc. (VEII), **0.5%** in American Premium Water Corporation (APW), and **29%** in Sharing Services Global Corporation (SHRG)[217](index=217&type=chunk) - The company's strategy involves acquiring majority/control stakes in innovative businesses, providing global capital and management services, and actively managing a portfolio of trading securities for short-term profits[218](index=218&type=chunk)[219](index=219&type=chunk) [Recent Developments](index=50&type=section&id=Recent%20Developments) This subsection highlights key events and transactions that have recently impacted the company's operations and financial standing - On April 15, 2025, the CEO, Chan Heng Fai, was awarded **1,000,000 restricted shares** of common stock valued at **$840,000** as compensation for services[223](index=223&type=chunk) - The Company regained compliance with Nasdaq's minimum **$1 bid price** requirement by July 17, 2025, after receiving a non-compliance notice on May 13, 2025[224](index=224&type=chunk)[225](index=225&type=chunk) - On January 9, 2024, a business combination between Alset Capital Acquisition Corp. and HWH International Inc. (HWH-NV) was completed, resulting in HWH International Inc. becoming a Nasdaq-listed company (HWH) focused on lifestyle offerings[226](index=226&type=chunk)[227](index=227&type=chunk)[229](index=229&type=chunk) - In September 2024, Alset Inc. and Alset International Limited converted **$300,000** and **$3,501,759** of HWH's debt, respectively, into HWH common stock at **$0.63 per share**[230](index=230&type=chunk)[231](index=231&type=chunk) - The Company completed the sale of **70 lots** in July 2024 (**$3,800,000**), **72 lots** in October 2024 (**$3,900,000**), and **63 lots** in December 2024 (**$3,800,000**) from its Lakes at Black Oak and Alset Villas projects[235](index=235&type=chunk) - The Company entered into multiple convertible loan agreements with Value Exchange International, Inc. (VEII) and Sharing Services Global Corp. (SHRG) between July 2024 and June 2025, providing credit lines and loans with conversion options and warrants[237](index=237&type=chunk)[238](index=238&type=chunk)[241](index=241&type=chunk)[242](index=242&type=chunk)[243](index=243&type=chunk)[244](index=244&type=chunk)[245](index=245&type=chunk)[246](index=246&type=chunk)[247](index=247&type=chunk)[248](index=248&type=chunk) - On May 8, 2025, the Company agreed to acquire New Energy Asia Pacific Inc. (NEAPI) from its CEO for **$83,000,000** via a convertible promissory note, with the closing occurring on July 23, 2025[250](index=250&type=chunk)[252](index=252&type=chunk) [Matters that May or Are Currently Affecting Our Business](index=55&type=section&id=Matters%20that%20May%20or%20Are%20Currently%20Affecting%20Our%20Business) This subsection discusses internal and external factors, including operational challenges and public health issues, that could influence the company's performance - Challenges include improving revenue through cross-selling, identifying and integrating complementary acquisitions, attracting skilled personnel, and controlling operating expenses[256](index=256&type=chunk) - The company also considers the potential effects of public health issues, such as epidemics or pandemics, on its business[256](index=256&type=chunk) [Results of Operations](index=55&type=section&id=Results%20of%20Operations) This subsection provides a detailed analysis of the company's revenue, cost of revenues, gross margin, and operating expenses over specific periods Revenue Performance (YoY Change) | Segment | Three Months Ended June 30, 2025 ($) | Three Months Ended June 30, 2024 ($) | Change (Dollars) ($) | Change (Percentage) (%) | | :---------- | :------------------------------- | :------------------------------- | :--------------- | :------------------ | | Real Estate | $716,042 | $705,011 | $11,031 | 2% | | Other | $382,920 | $422,035 | $(39,115) | -9% | | Total Revenue | $1,098,962 | $1,127,046 | $(28,084) | -2% | | Segment | Six Months Ended June 30, 2025 ($) | Six Months Ended June 30, 2024 ($) | Change (Dollars) ($) | Change (Percentage) (%) | | :---------- | :----------------------------- | :----------------------------- | :--------------- | :------------------ | | Real Estate | $1,433,847 | $6,458,005 | $(5,024,158) | -78% | | Other | $733,418 | $755,248 | $(21,830) | -3% | | Total Revenue | $2,167,265 | $7,213,253 | $(5,045,988) | -70% | - The significant decrease in total revenue for the six months ended June 30, 2025, was primarily due to the sale of remaining properties in the Lakes at Black Oak and Alset Villas projects in 2024[259](index=259&type=chunk)[260](index=260&type=chunk) Cost of Revenues and Gross Margin Performance (YoY Change) | Metric | Three Months Ended June 30, 2025 ($) | Three Months Ended June 30, 2024 ($) | Change (Dollars) ($) | Change (Percentage) (%) | | :----------------- | :------------------------------- | :------------------------------- | :--------------- | :------------------ | | Total Cost of Revenues | $843,046 | $829,958 | $13,088 | 2% | | Gross Margin | $255,916 | $297,088 | $(41,172) | -13.86% | | Metric | Six Months Ended June 30, 2025 ($) | Six Months Ended June 30, 2024 ($) | Change (Dollars) ($) | Change (Percentage) (%) | | :----------------- | :----------------------------- | :----------------------------- | :--------------- | :------------------ | | Total Cost of Revenues | $1,620,575 | $5,488,325 | $(3,867,750) | -70% | | Gross Margin | $546,690 | $1,724,928 | $(1,178,238) | -68.30% | - Operating expenses for the six months ended June 30, 2025, increased by **6%** to **$7,234,269**, primarily due to a bonus paid to the CEO[268](index=268&type=chunk) - Other non-operating income shifted to a significant expense of **$(6,085,681)** for the three months and **$(11,615,507)** for the six months ended June 30, 2025, mainly due to foreign exchange transaction losses[269](index=269&type=chunk) [Liquidity and Capital Resources](index=58&type=section&id=Liquidity%20and%20Capital%20Resources) This subsection assesses the company's ability to meet its short-term and long-term financial obligations and fund its operations - Total assets decreased by **11.11%** from **$96,761,977** at December 31, 2024, to **$86,011,525** at June 30, 2025, mainly due to decreases in cash and investment securities[273](index=273&type=chunk) - Cash and cash equivalents decreased from **$27,243,787** to **$25,584,862** during the first six months of 2025[273](index=273&type=chunk) - The Company expects to collect approximately **$8,000,000** in developer reimbursements for the Lakes at Black Oak and Alset Villas projects within the next twelve months[276](index=276&type=chunk) - Management believes that available cash and favorable cash revenue from real estate projects are sufficient to fund operations for at least the next 12 months[276](index=276&type=chunk) [Impact of Inflation](index=59&type=section&id=Impact%20of%20Inflation) This subsection evaluates the current and potential future effects of inflation on the company's financial results and operating condition - Inflation has not had a material impact on the Company's results of operations for the six months ended June 30, 2025, or the year ended December 31, 2024[281](index=281&type=chunk) - The Company cannot assure that future inflation will not adversely impact its operating results and financial condition[281](index=281&type=chunk) [Impact of Foreign Exchange Rates](index=59&type=section&id=Impact%20of%20Foreign%20Exchange%20Rates) This subsection explains the influence of foreign currency fluctuations on the company's financial performance, particularly concerning intercompany loans - Foreign exchange rate changes on intercompany loans (approximately **$30,000,000** between Singapore and US entities) are the primary cause of significant fluctuations in foreign currency transaction gains or losses[282](index=282&type=chunk) - The Company expects continued significant impact from foreign exchange rate volatility on its results of operations in 2025, as intercompany loans are not expected to be repaid in the short term[282](index=282&type=chunk) [Emerging Growth Company Status](index=59&type=section&id=Emerging%20Growth%20Company%20Status) This subsection clarifies the company's status as an 'emerging growth company' and its election regarding accounting standard compliance - Alset Inc. is an 'emerging growth company' as defined by the JOBS Act[283](index=283&type=chunk) - The Company has elected to take advantage of exemptions for complying with new or revised accounting standards, delaying adoption until they apply to private companies[283](index=283&type=chunk) [Seasonality](index=59&type=section&id=Seasonality) This subsection describes how seasonal factors affect the company's real estate business costs and sales patterns - The real estate business is subject to seasonal shifts in costs, as certain work is more likely to be performed at specific times of the year[284](index=284&type=chunk) - Periodic spikes in sales are anticipated when the company commences the sales process at a particular location for home building[284](index=284&type=chunk) [Item 3. Quantitative and Qualitative Disclosure About Market Risk](index=60&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosure%20About%20Market%20Risk) As a smaller reporting company, Alset Inc. is not required to provide quantitative and qualitative disclosures about market risk - The Company is exempt from providing market risk disclosures as it qualifies as a 'smaller reporting company' under Regulation S-K[285](index=285&type=chunk) [Item 4. Controls and Procedures](index=60&type=section&id=Item%204.%20Controls%20and%20Procedures) This section evaluates the effectiveness of the company's disclosure controls and procedures and reports on changes in internal control over financial reporting [Evaluation of Disclosure Controls and Procedures](index=60&type=section&id=Evaluation%20of%20Disclosure%20Controls%20and%20Procedures) This subsection presents management's conclusion on the effectiveness of the company's disclosure controls and procedures - Management concluded that the Company's disclosure controls and procedures were not effective as of June 30, 2025[286](index=286&type=chunk) [Changes in the Company's Internal Controls Over Financial Reporting](index=60&type=section&id=Changes%20in%20the%20Company's%20Internal%20Controls%20Over%20Financial%20Reporting) This subsection reports on any material changes to the company's internal control over financial reporting during the quarter - There were no material changes in the Company's internal control over financial reporting during the quarter ended June 30, 2025[287](index=287&type=chunk) [PART II OTHER INFORMATION](index=60&type=section&id=PART%20II%20OTHER%20INFORMATION) This section provides additional information not covered in the financial statements, including legal proceedings, risk factors, equity sales, and exhibits [Item 1. Legal Proceedings](index=60&type=section&id=Item%201.%20Legal%20Proceedings) This section states that there are no legal proceedings applicable to the Company - Not applicable[288](index=288&type=chunk) [Item 1A. Risk Factors](index=60&type=section&id=Item%201A.%20Risk%20Factors) As a smaller reporting company, Alset Inc. is not required to provide a discussion of risk factors - Risk factors disclosure is not applicable to smaller reporting companies[289](index=289&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=60&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the Company's common stock repurchase program and the activity during the quarter Common Stock Repurchase Activity (Q2 2025) | Period | Total Shares Purchased | Average Price Paid per Share ($) | Total Shares Purchased as Part of Publicly Announced Plans | Maximum Number of Shares Yet to be Purchased Under Plans ($) | | :---------------------- | :--------------------- | :--------------------------- | :--------------------------------------------------------- | :------------------------------------------------------- | | April 1 – April 30, 2025 | - | - | - | - | | May 1 – May 31, 2025 | - | - | - | - | | June 1 – June 30, 2025 | 25,900 | $1.0039 | 25,900 | $973,126 | | Total | 25,900 | $1.0039 | 25,900 | $973,126 | - On June 23, 2025, the Board approved a new stock repurchase program authorizing up to **$1,000,000** of common stock repurchases until December 31, 2025[290](index=290&type=chunk) [Item 3. Defaults Upon Senior Securities](index=61&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This section confirms that there were no defaults upon senior securities - None reported[291](index=291&type=chunk) [Item 4. Mine Safety Disclosures](index=61&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This section states that mine safety disclosures are not applicable to the Company - Not applicable[292](index=292&type=chunk) [Item 5. Other Information](index=61&type=section&id=Item%205.%20Other%20Information) This section indicates that there is no other information to report - Not applicable[293](index=293&type=chunk) [Item 6. Exhibits](index=61&type=section&id=Item%206.%20Exhibits) This section lists all documents filed as exhibits to the Form 10-Q, including various agreements and certifications - Key exhibits include the Incentive Compensation Plan Stock Award Agreement, Amended Term Sheet, and certifications from executive officers (302 and 906 of Sarbanes-Oxley Act)[294](index=294&type=chunk) [SIGNATURES](index=62&type=section&id=SIGNATURES) This section provides the official signatures of the company's executive officers, certifying the accuracy of the report - The report is signed by Chan Heng Fai (Chairman of the Board and CEO), Chan Tung Moe (Co-CEO), Rongguo Wei (Co-CFO), and Lui Wai Leung Alan (Co-CFO) on August 14, 2025[299](index=299&type=chunk)
Alset Inc. Announces Stock Repurchase Program
Globenewswire· 2025-06-23 20:15
Core Viewpoint - Alset Inc. has announced a new stock repurchase program authorizing the buyback of up to $1,000,000 of its outstanding common stock, reflecting confidence in the company's long-term prospects and commitment to shareholder value [1][5]. Summary by Sections Stock Repurchase Program - The stock repurchase program is authorized to be executed until December 31, 2025, or until the full amount is utilized [2]. - The company has granted its broker complete discretion over repurchase decisions within agreed pricing and size parameters, with the option to suspend or discontinue the program at any time [3]. Company Overview - As of June 23, 2025, Alset Inc. had 11,735,119 shares of common stock issued and outstanding [4]. - Alset Inc. is a diversified holding company focused on developing smart and sustainable home communities, financial services, digital transformation technologies, biohealth activities, and consumer products [6]. Management Perspective - The Chairman and CEO of Alset Inc. stated that the current market price does not reflect the company's intrinsic value, emphasizing the diversified portfolio and strategic growth initiatives [5].
Alset(AEI) - 2025 Q1 - Quarterly Report
2025-05-15 20:19
[PART I FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20FINANCIAL%20INFORMATION) Comprehensive financial data for the period, including statements, notes, and management's analysis [Item 1. Financial Statements (Unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) Unaudited Q1 2025 financial statements show decreased revenue, increased net loss, and a decline in assets and cash flow Condensed Consolidated Balance Sheets Condensed Consolidated Balance Sheet Highlights (in USD) | Account | March 31, 2025 (Unaudited) | December 31, 2024 (Audited) | | :--- | :--- | :--- | | **Assets** | | | | Cash and Cash Equivalents | $25,194,810 | $27,243,787 | | Total Current Assets | $54,055,693 | $59,760,342 | | Real Estate - Rental Properties | $30,426,990 | $30,695,669 | | **Total Assets** | **$90,464,745** | **$96,761,977** | | **Liabilities & Equity** | | | | Total Current Liabilities | $4,818,269 | $5,476,601 | | **Total Liabilities** | **$5,654,372** | **$6,563,126** | | **Total Stockholders' Equity** | **$84,810,373** | **$90,198,851** | Condensed Consolidated Statements of Operations and Other Comprehensive Income Condensed Consolidated Statements of Operations (in USD) | Metric | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Total Revenue | $1,068,303 | $6,086,207 | | Loss from Operations | ($3,932,118) | ($2,266,513) | | Net Loss | ($9,504,892) | ($7,313,792) | | Net Loss Attributable to Common Stockholders | ($8,333,477) | ($6,769,658) | | Net Loss Per Share - Basic and Diluted | ($0.78) | ($0.73) | Condensed Consolidated Statements of Stockholders' Equity - Total stockholders' equity decreased from **$90.2 million** at the beginning of 2025 to **$84.8 million** at March 31, 2025, primarily driven by a net loss of **$9.5 million**, partially offset by common stock issuance and foreign currency adjustments[13](index=13&type=chunk) - The company issued **1,500,000** shares of common stock and warrants, contributing **$1.2 million** to stockholders' equity during the first quarter of 2025[13](index=13&type=chunk) Condensed Consolidated Statements of Cash Flows Condensed Consolidated Statements of Cash Flows (in USD) | Cash Flow Activity | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Net Cash Used in Operating Activities | ($3,756,154) | ($1,509,247) | | Net Cash Used in Investing Activities | ($461,505) | ($1,758,503) | | Net Cash Provided by (Used in) Financing Activities | $2,333,452 | ($240,182) | | **Net Decrease in Cash** | **($1,884,207)** | **($3,507,932)** | Notes to Condensed Consolidated Financial Statements (Unaudited) - The company is a diversified holding company with four operating segments: real estate, digital transformation technology, biohealth, and other business activities, operating across multiple countries[20](index=20&type=chunk)[21](index=21&type=chunk) - For the three months ended March 31, 2024, one customer in the property development business accounted for **100%** of that segment's revenue, with no such concentration in 2025[117](index=117&type=chunk) - The company holds significant influence over publicly traded companies including DSS, Inc. (**43.6%** ownership), Value Exchange International Inc. (**48.7%** ownership), and Sharing Services Global Corp. (**29.0%** ownership, accounted for using the fair value option)[43](index=43&type=chunk) - A business combination between Alset Capital Acquisition Corp. and HWH International Inc. on January 9, 2024, was treated as a common control transaction with no effect on consolidated financial statements[137](index=137&type=chunk)[138](index=138&type=chunk)[141](index=141&type=chunk) - On January 2, 2025, the company sold **1,500,000** shares of common stock in a registered direct offering, receiving net proceeds of approximately **$1.2 million**[175](index=175&type=chunk)[178](index=178&type=chunk) - Subsequent to quarter-end, the company sold its equity interest in Impact Biomedical Inc., received a Nasdaq non-compliance notice for its stock price falling below **$1.00**, and awarded **1,000,000** restricted shares to its CEO[208](index=208&type=chunk)[210](index=210&type=chunk)[214](index=214&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=48&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the **82%** revenue decline to completed real estate sales, with net loss widening due to lower revenues and higher expenses Revenue by Segment (in USD) | Segment | Q1 2025 | Q1 2024 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Real Estate | $717,805 | $5,752,994 | ($5,035,189) | -88% | | Biohealth | $0 | $535 | ($535) | -100% | | Other | $350,498 | $332,678 | $17,820 | 5% | | **Total Revenue** | **$1,068,303** | **$6,086,207** | **($5,017,904)** | **-82%** | - The decrease in revenue is mainly attributed to the sale of the remaining properties in the Lakes at Black Oak and Alset Villas projects during 2024[257](index=257&type=chunk)[258](index=258&type=chunk) - Operating expenses increased by **14%** YoY, primarily due to impairment of goodwill and a note receivable, and a **$450,000** expense for an overpayment by a lot purchaser in 2024[265](index=265&type=chunk) - The company's cash position decreased from **$27.2 million** at year-end 2024 to **$25.2 million** as of March 31, 2025, with management believing available cash and **$8 million** in expected reimbursements are sufficient for the next 12 months[269](index=269&type=chunk)[272](index=272&type=chunk) - On May 13, 2025, Nasdaq issued a non-compliance notice due to the stock price falling below **$1.00** for **30** consecutive business days, granting **180** days to regain compliance[225](index=225&type=chunk)[214](index=214&type=chunk) - The company plans to acquire New Energy Asia Pacific Inc. (NEAPI) from its CEO for **$83 million** via a convertible promissory note, marking a strategic move into sustainable solutions[249](index=249&type=chunk)[251](index=251&type=chunk) [Item 3. Quantitative and Qualitative Disclosure About Market Risk](index=59&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosure%20About%20Market%20Risk) As a "smaller reporting company," Alset Inc. is not required to provide the information for this item - The Company is not required to provide information for this item as it qualifies as a "smaller reporting company" under Regulation S-K[281](index=281&type=chunk) [Item 4. Controls and Procedures](index=59&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were not effective as of March 31, 2025 - Management concluded that the company's disclosure controls and procedures were not effective as of March 31, 2025[282](index=282&type=chunk) - No changes occurred during the quarter that materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[283](index=283&type=chunk) [PART II OTHER INFORMATION](index=59&type=section&id=PART%20II%20OTHER%20INFORMATION) Details on legal proceedings, risk factors, equity sales, defaults, mine safety, and other relevant disclosures [Item 1. Legal Proceedings](index=59&type=section&id=Item%201.%20Legal%20Proceedings) The company reported no material legal proceedings - Not applicable[284](index=284&type=chunk) [Item 1A. Risk Factors](index=59&type=section&id=Item%201A.%20Risk%20Factors) As a smaller reporting company, this section is not applicable - Not applicable to smaller reporting companies[285](index=285&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=59&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities - Not applicable[286](index=286&type=chunk) [Item 3. Defaults Upon Senior Securities](index=59&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) The company reported no defaults upon senior securities - None[287](index=287&type=chunk) [Item 4. Mine Safety Disclosures](index=59&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This section is not applicable to the company - Not Applicable[288](index=288&type=chunk) [Item 5. Other Information](index=59&type=section&id=Item%205.%20Other%20Information) The company reported no other information - Not applicable[289](index=289&type=chunk) [Item 6. Exhibits](index=60&type=section&id=Item%206.%20Exhibits) The report includes key agreements for securities, compensation, and acquisition, along with required CEO and CFO certifications - Key exhibits filed include agreements related to a securities purchase, placement agency services, an incentive compensation plan, and an amended term sheet for a potential acquisition[290](index=290&type=chunk) - Certifications from the Chief Executive Officers and Chief Financial Officers pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act of 2002 are included[290](index=290&type=chunk) [SIGNATURES](index=61&type=section&id=SIGNATURES) Formal attestations by authorized company officers confirming the accuracy and completeness of the report
Alset(AEI) - 2024 Q4 - Annual Report
2025-03-31 20:06
PART I [Business](index=5&type=section&id=Item%201%2E%20Business) Alset Inc. is a diversified holding company operating through its subsidiary in real estate, technology, and biohealth, with a strategy of acquiring and incubating businesses focused on sustainable living - Alset Inc. is a **diversified holding company** with three principal business segments: real estate, digital transformation technology, and biohealth, primarily managed through its **85.7% owned subsidiary**, Alset International Limited[13](index=13&type=chunk)[15](index=15&type=chunk) Revenue Contribution by Segment (FY 2024 vs FY 2023) | Segment | 2024 Revenue % | 2023 Revenue % | | :--- | :--- | :--- | | Property Development | 79% | 82% | | Other Business Activities | 7% | 5% | - The company holds **significant equity interests** in several other publicly traded companies, including **DSS Inc. (48.9%)**, **Value Exchange International, Inc. (indirect 48.7%)**, **Sharing Services Global Corporation (29.0%)**, and **Impact Biomedical Inc. (39.7%)**[14](index=14&type=chunk) - The real estate segment includes the development of EHome communities, with a key project being 'Lakes at Black Oak' near Houston, Texas, and a portfolio of **132 single-family rental homes**[25](index=25&type=chunk)[32](index=32&type=chunk)[37](index=37&type=chunk) - A key strategic initiative is the planned acquisition of New Energy Asia Pacific Inc (NEAPI) from the company's CEO for **$103.75 million** to expand into the electric vehicle market[56](index=56&type=chunk)[57](index=57&type=chunk)[58](index=58&type=chunk) [Risk Factors](index=16&type=section&id=Item%201A%2E%20Risk%20Factors) The company faces significant risks from a material weakness in internal controls, a history of net losses, and high dependence on its founder and CEO who holds majority ownership - Management has identified a **material weakness in internal controls** due to a limited number of staff, preventing proper segregation of duties and timely financial disclosure evaluation[98](index=98&type=chunk)[99](index=99&type=chunk)[100](index=100&type=chunk) Recent Financial Performance | Fiscal Year | Revenue | Net Loss | | :--- | :--- | :--- | | 2024 | $21,115,899 | $(4,165,816) | | 2023 | $22,088,507 | $(61,278,733) | - The company operates as a holding company and is **dependent on distributions from its subsidiaries** to meet obligations[103](index=103&type=chunk) - Several officers and directors serve in similar roles at subsidiaries and other non-majority owned businesses, creating **potential conflicts of interest** in time allocation[115](index=115&type=chunk)[117](index=117&type=chunk) - The company's success is **significantly dependent on its founder, Chairman, and CEO**, Chan Heng Fai, whose loss could materially harm the business[120](index=120&type=chunk) - The principal stockholder, Chan Heng Fai, owns approximately **62.6% of the outstanding common stock**, giving him significant influence over corporate decisions[176](index=176&type=chunk) [Unresolved Staff Comments](index=33&type=section&id=Item%201B%2E%20Unresolved%20Staff%20Comments) This section is not applicable as the company is a smaller reporting company - Not applicable to smaller reporting companies[180](index=180&type=chunk) [Cybersecurity](index=33&type=section&id=Item%201C%2E%20Cybersecurity) The company integrates cybersecurity into its risk management framework, with oversight by the Audit Committee and day-to-day management led by the CEO - Cybersecurity risk management is integrated into the company's broader risk management framework to foster a company-wide culture of security[182](index=182&type=chunk) - The Board's **Audit Committee has been delegated oversight** of cybersecurity, data privacy, and other IT risks, receiving periodic reports from management[184](index=184&type=chunk)[185](index=185&type=chunk) - The management team, led by the CEO, is responsible for assessing and managing material risks from cybersecurity threats[186](index=186&type=chunk) - The company reports that it has **not encountered any cybersecurity challenges** that have materially impaired its operations or financial standing[183](index=183&type=chunk) [Properties](index=33&type=section&id=Item%202%2E%20Properties) The company's main properties include the 'Lakes at Black Oak' development and a portfolio of 132 single-family rental homes in Texas - The company's primary real estate development project is 'Lakes at Black Oak' in Magnolia, Texas, where it has retained four model lots to build single-family rental homes[188](index=188&type=chunk)[189](index=189&type=chunk) - The 'Alset Villas' community, comprising 63 lots, was **fully sold** to Century Land Holdings of Texas, LLC in December 2024[191](index=191&type=chunk) - The company owns **132 single-family rental homes** in Montgomery and Harris Counties, Texas, acquired for a total cost of **$30,998,258**[192](index=192&type=chunk)[193](index=193&type=chunk) [Legal Proceedings](index=35&type=section&id=Item%203%2E%20Legal%20Proceedings) The company is not a party to any pending legal proceedings, and none are known to be contemplated - The Company is **not currently a party to any pending legal proceedings**, and none are known to be contemplated[196](index=196&type=chunk) [Mine Safety Disclosures](index=35&type=section&id=Item%204%2E%20Mine%20Safety%20Disclosures) This section is not applicable to the company - Not applicable[198](index=198&type=chunk) PART II [Market for Registrant's Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities](index=36&type=section&id=Item%205%2E%20Market%20for%20Registrant's%20Common%20Equity%2C%20Related%20Stockholder%20Matters%2C%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's common stock (AEI) trades on Nasdaq, with five shareholders of record as of March 2025, and it does not anticipate paying dividends or repurchasing stock - The company's common stock trades on the **Nasdaq Capital Market** under the symbol **'AEI'**[200](index=200&type=chunk) - As of March 31, 2025, there were **5 shareholders of record**, not including those holding shares in 'street name'[201](index=201&type=chunk) - The company has **never paid dividends** on its common stock and does not plan to in the foreseeable future, retaining earnings for growth[202](index=202&type=chunk) - The company **did not repurchase any of its equity securities** during 2024[206](index=206&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=36&type=section&id=Item%207%2E%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Revenue decreased 4% to $21.1 million in 2024, but the net loss significantly narrowed to $4.2 million from $61.3 million due to gains on securities and investments Consolidated Financial Summary (FY 2024 vs FY 2023) | Metric | 2024 | 2023 | | :--- | :--- | :--- | | Total Revenue | $21,115,899 | $22,088,507 | | Net Loss | $(4,165,816) | $(61,278,733) | Revenue by Segment (FY 2024 vs FY 2023) | Segment | 2024 Revenue | 2023 Revenue | Change % | | :--- | :--- | :--- | :--- | | Real Estate | $19,608,184 | $20,963,661 | -6% | | Digital Transformation | $0 | $28,117 | -100% | | Biohealth | $0 | $12,758 | -100% | | Other | $1,507,715 | $1,083,971 | 39% | | **Total** | **$21,115,899** | **$22,088,507** | **-4%** | - The **significant decrease in net loss** was primarily due to a realized gain on securities investment of **$461,247** in 2024 versus a loss of **$11,375,747** in 2023[273](index=273&type=chunk) - Cash and cash equivalents increased slightly to **$27.2 million** at year-end 2024, while total assets decreased to **$96.8 million** from $126.3 million[276](index=276&type=chunk) - Net cash provided by operating activities was **$5.2 million** in 2024, down from $7.5 million in 2023, mainly from property sales[282](index=282&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=52&type=section&id=Item%207A%2E%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section is not applicable as the company is a smaller reporting company - Not applicable to smaller reporting companies[329](index=329&type=chunk) [Financial Statements and Supplementary Data](index=53&type=section&id=Item%208%2E%20Financial%20Statements%20and%20Supplementary%20Data) Consolidated financial statements show decreased assets to $96.8 million and a narrowed net loss of $4.2 million in 2024, with stockholders' equity at $90.2 million Consolidated Balance Sheet Highlights | Account | Dec 31, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | Cash and Cash Equivalents | $27,243,787 | $26,921,727 | | Total Assets | $96,761,977 | $126,314,028 | | Total Liabilities | $6,563,126 | $9,066,700 | | Total Stockholders' Equity | $90,198,851 | $96,790,317 | Consolidated Statement of Operations Highlights | Account | 2024 | 2023 | | :--- | :--- | :--- | | Total Revenue | $21,115,899 | $22,088,507 | | Loss from Operations | $(4,117,076) | $(2,872,654) | | Net Loss | $(4,165,816) | $(61,278,733) | | Net Loss Per Share | $(0.43) | $(6.52) | Consolidated Cash Flow Highlights | Activity | 2024 | 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $5,156,047 | $7,478,823 | | Net cash provided by (used in) investing activities | $17,468,306 | $(2,128,986) | | Net cash (used in) provided by financing activities | $(21,419,083) | $3,187,489 | [Changes in and Disagreements with Accountants on Accounting and Financial Disclosures](index=107&type=section&id=Item%209%2E%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosures) This section is not applicable to the company - Not applicable[619](index=619&type=chunk) [Controls and Procedures](index=107&type=section&id=Item%209A%2E%20Controls%20and%20Procedures) Management concluded disclosure controls were ineffective due to a material weakness from limited staffing, with plans to remediate by hiring additional qualified personnel - Management concluded that **disclosure controls and procedures were ineffective** as of December 31, 2024[621](index=621&type=chunk) - A **material weakness** was identified due to limited staff, which prevents segregation of duties and restricts timely evaluation of financial statement disclosures[624](index=624&type=chunk) - The company plans to remediate the material weakness by **hiring additional qualified personnel** with relevant financial and SEC reporting experience[627](index=627&type=chunk) [Other Information](index=108&type=section&id=Item%209B%2E%20Other%20Information) No directors or officers adopted or terminated Rule 10b5-1 trading arrangements during the fourth quarter of 2024 - No directors or officers adopted or terminated any Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the quarter ended December 31, 2024[628](index=628&type=chunk) [Disclosure Regarding Foreign Jurisdictions That Prevent Inspections](index=108&type=section&id=Item%209C%2E%20Disclosure%20Regarding%20Foreign%20Jurisdictions%20That%20Prevent%20Inspections) This section is not applicable to the company - Not applicable[629](index=629&type=chunk) PART III [Directors, Executive Officers and Corporate Governance](index=109&type=section&id=Item%2010%2E%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) The company is led by founder and CEO Chan Heng Fai, with a board structure that includes Audit, Nominations, and Compensation committees composed of independent directors - The executive team is led by founder, Chairman, and CEO **Chan Heng Fai**, and Co-CEO **Chan Tung Moe**[631](index=631&type=chunk) - Chan Heng Fai has extensive experience in banking, finance, and corporate restructuring and serves on the boards of several affiliated companies[632](index=632&type=chunk)[633](index=633&type=chunk)[634](index=634&type=chunk) - The Board of Directors has three main committees: **Audit, Nominations and Corporate Governance, and Compensation**, with the Audit Committee including a designated financial expert[663](index=663&type=chunk)[664](index=664&type=chunk) - The company has adopted a written **code of ethics** and an **insider trading policy** applicable to all directors, officers, and employees[659](index=659&type=chunk)[662](index=662&type=chunk) [Executive Compensation](index=115&type=section&id=Item%2011%2E%20Executive%20Compensation) Executive compensation is led by CEO Chan Heng Fai's $448,430 salary, with bonuses tied to market cap growth and a new 2025 incentive plan for up to 2.1 million shares 2024 Named Executive Officer Compensation | Name | Position | 2024 Salary | 2024 Bonus | 2024 Total Compensation | | :--- | :--- | :--- | :--- | :--- | | Chan Heng Fai | Chairman & CEO | $448,430 | - | $448,430 | | Chan Tung Moe | Co-CEO | $293,640 | $83,141 | $376,781 | | Lui Wai Leung Alan | Co-CFO | $199,326 | - | $199,326 | | Rongguo Wei | Co-CFO | $232,073 | - | $232,073 | | Charles MacKenzie | Chief Development Officer | - | - | $360,000 (All Other) | - CEO Chan Heng Fai's employment agreement entitles him to **bonus payments equal to 5% of the growth in market capitalization** and 5% of the growth in net asset value annually[678](index=678&type=chunk) - In 2024, compensation for independent members of the Board of Directors was increased to **$5,000 per quarter**[695](index=695&type=chunk) - The 2018 Incentive Compensation Plan was replaced by the **2025 Incentive Compensation Plan**, covering up to **2,147,024 shares** of common stock[689](index=689&type=chunk)[617](index=617&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=119&type=section&id=Item%2012%2E%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Founder and CEO Chan Heng Fai beneficially owns 62.6% of outstanding common stock, giving him significant control over the company - As of March 31, 2025, there were **10,735,119 shares of common stock outstanding**[699](index=699&type=chunk) Beneficial Ownership of Principal Stockholder | Name | Shares Beneficially Owned | Percentage of Outstanding Shares | | :--- | :--- | :--- | | Chan Heng Fai | 6,718,742 | 62.6% | - All directors and executive officers as a group beneficially own 6,718,742 shares, representing **62.6% of the outstanding common stock**[701](index=701&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=120&type=section&id=Item%2013%2E%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) The company engages in numerous related-party transactions, notably the planned $103.75 million acquisition of a company from its CEO and various loans to affiliates - The company has a planned acquisition of New Energy Asia Pacific Inc from its CEO, Chan Heng Fai, for **$103.75 million**, to be paid in a convertible promissory note[742](index=742&type=chunk)[743](index=743&type=chunk)[745](index=745&type=chunk) - On January 9, 2024, affiliated entities Alset Capital Acquisition Corp and HWH International Inc **completed a business combination**, with the combined entity now trading as HWH International Inc (Nasdaq: HWH)[717](index=717&type=chunk)[719](index=719&type=chunk)[721](index=721&type=chunk) - The company reorganized its home rental business by purchasing American Home REIT Inc (AHR) from its subsidiary for **$26.25 million**[729](index=729&type=chunk)[730](index=730&type=chunk)[731](index=731&type=chunk) - The company and its subsidiaries have provided **multiple convertible loans** to affiliates Value Exchange International Inc (VEII) and Sharing Services Global Corp (SHRG) throughout 2023 and 2024[733](index=733&type=chunk)[747](index=747&type=chunk)[749](index=749&type=chunk) [Principal Accounting Fees and Services](index=127&type=section&id=Item%2014%2E%20Principal%20Accounting%20Fees%20and%20Services) The company paid its auditor, Grassi & Co, a total of $274,343 in 2024, down from $330,341 in 2023, primarily for audit services Accounting Fees Paid (FY 2024 vs FY 2023) | Fee Category | 2024 | 2023 | | :--- | :--- | :--- | | Audit Fees | $268,178 | $275,370 | | Audit-Related Fees | $0 | $48,806 | | Tax Fees | $6,165 | $6,165 | | All Other Fees | $0 | $0 | | **Total** | **$274,343** | **$330,341** | - The company engaged **Grassi & Co., CPAs, P.C.** as its independent registered public accounting firm for the fiscal year ending December 31, 2024[759](index=759&type=chunk) PART IV [Exhibit and Financial Statement Schedules](index=128&type=section&id=Item%2015%2E%20Exhibit%20and%20Financial%20Statement%20Schedules) This section lists the consolidated financial statements and all exhibits filed with the Form 10-K, including material contracts and required certifications - This section lists the consolidated financial statements filed with the report, including the Balance Sheets, Statements of Operations, Statements of Stockholders' Equity, and Statements of Cash Flows[762](index=762&type=chunk) - A detailed list of exhibits is provided, including underwriting agreements, certificates of incorporation, bylaws, material contracts, incentive plans, and required certifications under the Sarbanes-Oxley Act[763](index=763&type=chunk)[764](index=764&type=chunk)[769](index=769&type=chunk) [Form 10-K Summary](index=131&type=section&id=Item%2016%2E%20Form%2010-K%20Summary) No Form 10-K summary is provided in this section - None[768](index=768&type=chunk)
Alset Inc. Announces Closing of $1.5 Million Registered Direct Offering Priced at the Market Under Nasdaq Rules
Globenewswire· 2025-01-03 19:08
Company Overview - Alset Inc. is a diversified company engaged in the development of EHome communities, real estate, financial services, digital transformation technologies, biohealth activities, and consumer products with operations in the United States, Singapore, Hong Kong, and South Korea [1][4] - The company's mission is to provide a healthy living ecosystem that drives long-term exponential growth, building liquidity and value for shareholders [4] Recent Offering - Alset Inc. announced the closing of a registered direct offering for an aggregate of 1,500,000 shares of common stock at a purchase price of $1.00 per share, resulting in gross proceeds of approximately $1.5 million before expenses [1][2] - The offering was conducted under Nasdaq rules and was made pursuant to an effective shelf registration statement previously filed with the U.S. Securities and Exchange Commission (SEC) [3] Use of Proceeds - The net proceeds from the offering, along with existing cash, are expected to be used for general corporate purposes and working capital [2]
Alset Inc. Announces $1.5 Million Registered Direct Offering Priced at the Market Under Nasdaq Rules
Globenewswire· 2025-01-02 20:28
Core Viewpoint - Alset Inc. has announced a registered direct offering with institutional investors for approximately $1.5 million in common stock and pre-funded warrants at a price of $1.00 per share, aiming to utilize the proceeds for general corporate purposes and working capital [1][3]. Group 1: Offering Details - The offering includes the sale of 1,500,000 shares of common stock or pre-funded warrants, priced at $1.00 per share for common stock and $0.999 for each pre-funded warrant [2]. - Pre-funded warrants are immediately exercisable and can be exercised at any time until fully exercised, with a one-for-one decrease in the number of common stock shares offered for each pre-funded warrant sold [2]. Group 2: Financial Proceeds and Use - The aggregate gross proceeds from the offering are expected to be approximately $1.5 million, with the transaction anticipated to close on or about January 3, 2025, pending customary closing conditions [3]. - The net proceeds from the offering, along with existing cash, will be used for general corporate purposes and working capital [3]. Group 3: Legal and Regulatory Aspects - Aegis Capital Corp. is acting as the exclusive placement agent for the offering, while Sichenzia Ross Ference Carmel LLP and Kaufman & Canoles, P.C. are serving as U.S. counsel for the company and Aegis Capital Corp., respectively [4]. - The offering is made under an effective shelf registration statement previously filed with the SEC, with a final prospectus supplement to be filed and available on the SEC's website [5].
Alset(AEI) - 2024 Q3 - Quarterly Report
2024-11-14 21:15
Ownership and Equity Interests - Alset Inc. owns 85.7% of Alset International, which is traded on the Singapore Stock Exchange, and collectively owns 88.1% of HWH International Inc. [245] - Alset Inc. has minority ownership interests, including a 36.9% equity interest in American Pacific Financial, Inc., a 44.4% equity interest in DSS Inc., and a 48.7% equity interest in Value Exchange International Inc. [246] - The Company currently owns 21,179,275 shares of VEII, representing approximately 48.7% ownership [264] - The company received 70,426,832 shares of SHRG directly and 55,197,696 shares indirectly through its majority-owned subsidiaries, totaling 89,732 shares after a 1-for-1,400 reverse split, representing 29% of SHRG's issued and outstanding shares [265] Mergers, Acquisitions, and Stock Transactions - The merger between Alset Capital and HWH Nevada resulted in the issuance of 12,500,000 shares of New HWH common stock, with Alset International receiving 10,900,000 shares [250] - Alset Inc. converted $300,000 of HWH's debt into 476,190 shares of HWH's common stock, and Alset International Limited converted $3,501,759 of HWH's debt into 5,558,347 shares of HWH's common stock [253] - Alset Inc. entered into a Stock Purchase Agreement to purchase 6,500,000 shares of HWH International Inc. for $4,095,000, secured by a promissory note with a 5% interest rate [254] - The acquisition of Hapi Travel Limited resulted in a deemed dividend of $214,174 due to the purchase price exceeding identifiable equity [257] - Hapi Metaverse converted $1,300,000 of the principal amount loaned to VEII into 7,344,632 shares of VEII's Common Stock and received warrants to purchase 36,723,160 shares at $0.1770 per share [261] - The company issued a $250,000 convertible loan to SHRG with a 10% interest rate, convertible into SHRG shares at the average closing market price within three days of conversion notice [266] - HWH International purchased a $250,000 convertible note from SHRG, convertible into 148,810 shares of SHRG common stock, along with warrants for 148,810 shares at $1.68 per share [267] - HWH International entered into a $250,000 convertible note with SHRG, convertible into 89,286 shares of SHRG common stock at an 8% interest rate [268] - The company plans to acquire New Energy Asia Pacific Inc. for $103,750,000, payable via a convertible promissory note with a 3% annual interest rate and a conversion price of $12.00 per share [272] Revenue and Financial Performance - The company's revenue for the three months ended September 30, 2024, was $4,960,711, a 401% increase compared to $990,199 in the same period in 2023 [280] - Revenue from the Real Estate segment for the three months ended September 30, 2024, was $4,539,699, a 538% increase compared to $711,634 in the same period in 2023 [280] - The company's net loss for the nine months ended September 30, 2024, was $6,994,516, compared to a net loss of $27,162,596 in the same period in 2023 [279] - The company had net income of $1,469,239 in the three months ended September 30, 2024 compared to a net loss of $17,026,008 in the same period of 2023 [297] - Gross margin increased from $409,140 to $2,010,887 in the three months ended September 30, 2023 and 2024, respectively [293] - Cost of revenues increased from $581,059 in the three months ended September 30, 2023 to $2,949,824 in the three months ended September 30, 2024 [291][292] - Operating expenses increased from $2,486,044 in the three months ended September 30, 2023 to $2,974,667 in the three months ended September 30, 2024 [294] Real Estate and Lot Sales - The sale of 142 single-family residential lots in Magnolia, Texas, is anticipated to generate approximately $7.4 million, with $3.8 million already realized from the sale of 70 lots [259] - The company expects to improve liquidity and financial position through continued lot sales to regional and national builders, with recent sales generating approximately $7.7 million [282][283] - Revenue from the lease of model houses in Montgomery County, Texas was $6,300 and $18,900 for the three and nine months ended September 30, 2024, respectively [285][286] - The company anticipates selling 142 single-family residential lots for approximately $7.4 million and 63 lots for approximately $3.3 million in the Lakes at Black Oak project [303] Cash Flow and Financing Activities - Cash decreased from $26,921,727 as of December 31, 2023 to $16,679,183 as of September 30, 2024 [299] - Net cash used in financing activities was $21,370,610 in the nine months ended September 30, 2024, compared to net cash provided of $3,408,560 in the same period in 2023 [307] - Repayment of $398,000 of note payable and $21,102,871 of HWH's shares contributed to the cash used in financing activities in the first nine months of 2024 [307] - The company borrowed $130,261 from a commercial loan in the first nine months of 2024 [307] - Proceeds from stock issuance of $3,433,921 contributed to the cash provided by financing activities in the first nine months of 2023 [307] Foreign Exchange and Market Risks - Foreign exchange rate changes on intercompany loans of approximately $26 million and $23 million on September 30, 2024 and December 31, 2023, respectively, caused significant fluctuations in foreign currency transaction gain or loss [309] - The company expects foreign exchange rate fluctuations to significantly impact results of operations in 2024 due to the intercompany loan balance remaining at approximately $26 million [309] - Inflation has not had a material impact on the company's results of operations for the nine months ended September 30, 2024 or the year ended December 31, 2023 [308] Business Segments and Revenue Sources - HWH World, the company's biohealth segment in South Korea, recognized $0 and $12,786 in revenue for the nine months ended September 30, 2024 and 2023, respectively [287] - Revenue from the Digital Transformation Technology segment was $0 and $28,094 for the nine months ended September 30, 2024 and 2023, respectively [288] - Revenue from other businesses, including financial services, food and beverage, and new ventures, was $421,012 and $1,176,260 for the three and nine months ended September 30, 2024, respectively [290] Regulatory and Reporting Considerations - The company is an "emerging growth company" and may take advantage of certain exemptions from reporting requirements under the JOBS Act [310] - The real estate business is subject to seasonal shifts in costs, which may impact expenses of subsidiary Alset EHome Inc [311] - The company is not required to provide quantitative and qualitative disclosures about market risk as a "smaller reporting company" [312] New Energy and Electric Vehicles - New Energy Asia Pacific has signed MOUs totaling $42 million in value for electric vehicles and charging stations, with plans to expand revenues significantly in the coming months [273]