Financial Data and Key Metrics Changes - The company reported approximately $22.3 million in cash and current assets after accounting for liabilities at year-end [38] - Operating expenses were about $10 million, with a cash burn of $5.7 million for the year [39] - Post spin-out of the clearing platform and PatentVest, operating expenses are expected to decrease to about $6 million annually, enhancing financial leverage [40][41] Business Line Data and Key Metrics Changes - MDB Capital has successfully launched 18 IPOs, with all but the most recent trading at significant premiums to their IPO prices, indicating strong market positioning [6] - The company has invested around $4 million annually in MDB Direct and PatentVest since going public, establishing them as distinct assets with independent value [20][37] Market Data and Key Metrics Changes - The company is focusing on the public venture market, which is increasingly appealing to individual investors rather than traditional institutional investors [24] - The market for patent prosecution in the U.S. is estimated to be between $10 billion and $15 billion, presenting a significant opportunity for growth [30] Company Strategy and Development Direction - The company aims to scale its operations to launch 3-5 companies per year, leveraging AI to streamline processes and reduce time to market [11][18] - MDB Capital is exploring strategic partnerships to monetize its clearing operations and enhance distribution capabilities [23][25] Management's Comments on Operating Environment and Future Outlook - Management acknowledges macroeconomic risks and challenges in the microcap market, but remains optimistic about the potential for portfolio companies to execute successfully [42][43] - The company is confident in its ability to generate significant equity value from its current assets, with all principal assets having billion-dollar potential [41][49] Other Important Information - The company is in the process of developing AI-driven tools to enhance its operational efficiency and reduce the time required for due diligence [12][14] - MDB Capital is planning to take POLX public later this year, with expectations for significant clinical trial results that could impact its valuation [35][36] Q&A Session Summary Question: Can you talk about Q, ClearSign, and Beat? Also, what about Buda? - ClearSign is on a long commercialization journey with promising prospects due to its unique burner technology [52] - HeartBeam has achieved FDA approval for a groundbreaking ECG device, which could save millions of lives [53] - Buda is positioned to lead in the fresh juice market, capitalizing on a global shift towards fresh products [56] Question: What is the outlook for eXoZymes regarding dilution? - eXoZymes has a capital-efficient model with minimal expected dilution due to its focus on significant market opportunities [61][62] Question: How will the spin-out of PatentVest impact shareholders? - Both MDB Direct and PatentVest are fully owned by the company, and the goal is to secure funding and take them public by 2027 [64][65] Question: What does the deal pipeline look like for the next 12-24 months? - The company anticipates a strong deal pipeline but emphasizes the need to enhance distribution capabilities to successfully sell these opportunities [66][67] Question: Have you considered a SaaS model for PatentVest? - The company believes that AI will significantly disrupt the SaaS model, as it can perform tasks more efficiently than traditional methods [70][74]

Financial Data and Key Metrics Changes - The company reported a cash burn of approximately $5.7 million for the year, with fixed operating expenses around $10 million [38][39] - After accounting for investments in clearing operations and PatentVest, the effective cash burn was reduced to $1.7 million [39] - The company anticipates a significant reduction in operating expenses to about $6 million annually post spin-out of its clearing platform and PatentVest [39][41] Business Line Data and Key Metrics Changes - MDB Capital Holdings has successfully launched 18 IPOs, with all but one trading at a significant premium to their IPO prices, indicating strong market performance [6] - The company aims to scale its operations to launch 3-5 companies per year, enhancing its impact and portfolio for investors [5][41] Market Data and Key Metrics Changes - The company has been investing approximately $4 million annually in MDB Direct and PatentVest, which are seen as valuable independent assets [20][37] - The market for patent prosecution in the U.S. is estimated to be between $10 billion and $15 billion, presenting a significant opportunity for growth [30] Company Strategy and Development Direction - The company is focusing on leveraging AI to enhance its operational efficiency and reduce the time required to prepare companies for public offerings, potentially compressing timelines from months to weeks [11][18] - MDB Capital Holdings is exploring strategic partnerships to monetize its clearing operations and PatentVest, aiming for a public offering in 2027 [62] Management's Comments on Operating Environment and Future Outlook - The management expressed optimism about the future, citing the potential for all four principal assets to achieve billion-dollar valuations [48] - Concerns were raised about macroeconomic risks and the challenges faced by microcap companies in the current market environment [42] Other Important Information - The company is in discussions to spin out its clearing operations and PatentVest as independent entities, which are expected to enhance shareholder value [62] - The management highlighted the importance of addressing distribution challenges to successfully launch new companies [66] Q&A Session Summary Question: Can you talk about ClearSign, HeartBeam, and Buda? - ClearSign is on a commercialization journey with promising prospects. HeartBeam has received FDA approval for a groundbreaking ECG device, while Buda is positioned to lead in the fresh juice market, capitalizing on a growing consumer trend [50][51][54] Question: What is the outlook for eXoZymes regarding dilution? - eXoZymes is expected to have minimal dilution due to its capital-efficient operations and significant opportunities in NCT and cannabinoids [58][60] Question: How will the spin-out of PatentVest impact shareholders? - Both MDB Direct and PatentVest are wholly owned by the company, and the goal is to secure funding and take them public, which could provide significant value to shareholders [62] Question: What does the deal pipeline look like for the next 12-24 months? - The company anticipates a strong deal pipeline but emphasizes the need to solve distribution challenges to successfully launch new companies [64][66] Question: How does the company view the SaaS model for PatentVest? - The management believes that SaaS will be overshadowed by AI advancements, as AI can significantly enhance the efficiency of patentability analysis [68][70]

Core Points - MDB Capital Holdings, LLC plans to host a Zoom webinar on November 20, 2025, at 4:30 p.m. Eastern Time to provide a business update for Q3 2025 [1] - The call will be led by CEO Christopher Marlett, who may be joined by other management team members to discuss recent developments, ongoing initiatives, and anticipated milestones [2] - Investors can pre-register for the webinar and access it through MDB's investor relations website [2] Company Overview - MDB Capital Holdings, LLC, founded in 1997, focuses on launching disruptive technology companies through a unique public venture capital approach [3] - The firm emphasizes community-driven financings of early-stage leaders via early public offerings, primarily on NASDAQ, and post-IPO offerings for qualifying companies [3] - MDB Capital operates under the MDB Capital brand, which includes subsidiaries like MDB Capital, a venture-focused broker-dealer, and PatentVest, an integrated IP strategy and law firm [3]

MDB's Business Model and Strategy - MDB aims to transform disruptive technology "Big Ideas" into valuable public companies[9] - The company's goal is to enable investors to create a portfolio of 10–12 MDB curated public venture companies over time[11] - MDB's platform helps stand up and launch disruptive tech new category leaders[14] - MDB is curating deals with companies that have the potential to become market leaders in the technology category at valuations that make them financeable in the public markets[23] Market Opportunity and IPO Trends - There is pent-up demand for IPOs among early-stage micro-cap companies, but fewer completed listings[21] - A valuation mismatch between issuers and VCs is restraining micro-cap companies from launching IPOs[22] - MDB is focused on curating deals with the right companies at the right valuations to take them public[23] Financial Performance and Investments - MDB closed a public offering for HeartBeam, Inc (NASDAQ: BEAT) with gross proceeds of approximately $11.5 million[26] - The company completed LOIs for 3 new "Big Idea" companies to launch in 2025[26] - As of March 31, 2025, MDB's total cash and securities were $67.1 million, compared to $93.2 million on December 31, 2024[28] - Investments in eXoZymes were valued at $40.9 million for GAAP purposes as of March 31, 2025[30] Investor Community and Initiatives - MDB increased its MDBH shareholder base by 4.5%[27] - The company onboarded 111 new MDB Direct accounts, a 26% increase in Q1 2025[27]

Financial Data and Key Metrics Changes - The company reported a modest increase in its shareholder base, onboarding several new accounts interested in the HeartBeam offering [30] - Net current assets decreased by approximately $2.3 million, with less than $2 million in cash utilized during the quarter [36][37] - The enterprise value calculation indicates that the company was trading at a significant discount to its enterprise value at year-end, which has slightly decreased due to volatility in HeartBeam and Exozymes [34][35] Business Line Data and Key Metrics Changes - The company is pivoting towards companies that are closer to product revenue and value creation, indicating a shift in focus from traditional deep tech ideas [19][50] - The company has three new Letters of Intent (LOIs) with a biotech firm, a profitable beverage company, and a healthcare software company, all of which are expected to perform well in the public markets [20][21][23] Market Data and Key Metrics Changes - The venture market is experiencing a significant backlog of companies that could potentially go public, with many venture firms seeking to exit investments due to a lack of new fund formations [12][15] - The current environment is seen as favorable for small IPOs, with a growing number of companies that could be well-valued in public markets [18][51] Company Strategy and Development Direction - The company aims to curate public venture capital as a preferred alternative to traditional venture capital, focusing on transforming big ideas into valuable public companies [5][6] - The management is excited about the potential for IPOs, believing that the current market dynamics will allow for better valuations and opportunities for public investors [15][16] - The company is expanding its investor community, focusing on capital allocators rather than just deal buyers, to enhance its deal flow [50][45] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the challenging operating environment but remains optimistic about the potential for future growth and the ability to bring new companies public [24][51] - The management believes that the current market conditions will lead to a resurgence in small IPOs, reversing long-term downtrends [18][51] - The company is committed to finding extraordinary businesses at the right valuations, which will represent great return opportunities for investors [20][52] Other Important Information - The company has restructured its executive compensation plan to align better with shareholder interests, converting a significant amount of stock into options [32][33] - PatentVest is seen as a critical component of the company's strategy, providing essential business development and IP strategy support to portfolio companies [69][70] Q&A Session Summary Question: Can you just talk about the one company that you have that you're financing, the 20,000,000 for the potential cure for diabetes? - The company being financed is PaulX Bio [54] Question: How does management interpret the persistent discount of the MDBH stock price relative to the IPO price? - Management attributes the discount to supply and demand dynamics, noting that market perceptions can change over time [56][59] Question: What is the future dividend policy of the company? - The dividend policy will depend on the impact of share distribution on the companies involved and the company's cash flows [60][62] Question: How does MDB make money when taking a venture public? - MDB earns equity through pre-IPO financing and charges cash fees, often receiving a blend of cash and equity [65][66] Question: Can you share how much of MDB's value is due to its share of ownership of the companies you've taken public? - The value is significantly tied to the performance of companies like Exozymes and HeartBeam, with potential for substantial impact on MDB's stock price [77][79] Question: Do you ever consider acquisition of companies instead of IPOs? - Currently, the focus is on public venture, but acquisitions could be considered if they align with the company's strategy [81] Question: How many firms do you see out there that are doing what MDB Capital is doing currently? - Management believes there are very few firms that effectively compete with MDB's unique approach to public venture capital [82][84]

Financial Data and Key Metrics Changes - The company reported a modest increase in its shareholder base, onboarding several new accounts interested in the HeartBeam offering [29] - Net current assets decreased by approximately $2.3 million, with less than $2 million in cash utilized during the quarter [35] Business Line Data and Key Metrics Changes - The company is pivoting towards companies that are closer to product revenue and value creation, indicating a shift in focus from deep tech ideas to more profitable ventures [19][48] - The company has three letters of intent (LOIs) with new companies, including a biotech firm with a pre-money valuation of $20 million, a profitable beverage company, and a healthcare software company [20][22][23] Market Data and Key Metrics Changes - The current venture market is characterized by a significant number of companies that have received funding but have not gone public, creating opportunities for the company to take these firms public [11][12] - The company noted a backlog of IPO opportunities due to changing market dynamics, with investors preferring companies that are capital light and closer to profitability [15][17] Company Strategy and Development Direction - The company aims to scale its operations by bringing three to four new investment opportunities to the public market each year, focusing on companies that can resonate in the changing marketplace [43][44] - The management emphasized the importance of valuation and the need to find extraordinary businesses at the right values to provide great return opportunities for investors [20][50] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the small IPO market, suggesting it will be robust and may reverse long-standing downtrends [17] - The management acknowledged the current challenging environment for small companies but remains confident in the company's ability to curate and take public viable businesses [24][49] Other Important Information - The company has restructured its executive compensation plan to align better with shareholder interests, converting a significant amount of stock compensation to options [31][32] - PatentVest is seen as a critical component for value creation, assisting in business development and strategy for the companies it works with [66][70] Q&A Session Summary Question: Can you talk about the company financing the $20 million for the potential cure for diabetes? - The company financing this is PaulX Bio [52] Question: How does management interpret the persistent discount of the MDBH stock price relative to the IPO price? - Management believes it is primarily a supply and demand issue, noting that market perceptions can change over time [54][56] Question: What is the future dividend policy? - The dividend policy will depend on the impact of share distribution on the companies involved and the company's cash flows [58][60] Question: How does the company make money when taking a venture public? - The company earns equity through pre-IPO financing and charges cash fees, often receiving a blend of cash and equity [62][63] Question: How much of MDB's value is due to its share of ownership of the companies taken public? - The company believes that if it had gone public at a better time, its valuation would be significantly higher [74][76] Question: Does the company consider acquisitions instead of IPOs? - Currently, the focus is on public ventures, but the company would consider acquisitions if they are accretive to its public venture strategy [79] Question: How many firms are doing what MDB Capital is doing currently? - Management believes there are very few firms left that can effectively take small companies public, highlighting the company's unique position [81][82]

Company Overview and Strategy - MDB Capital aims to transform deep technology "Big Ideas" into valuable public companies[6] - The company's goal is to enable investors to create a portfolio of 10–12 MDB curated venture-stage companies over time[7] - MDB's platform helps stand up and launch deep tech new category leaders[10] Pipeline and Due Diligence - In 2024, MDB screened 8,964 private and public companies and further examined 219 to identify deep tech ideas[21] - The number of private companies reviewed increased by 107% from 3,391 in 2023 to 7,025 in 2024[22] - The number of public companies under surveillance increased by 35% from 1,432 in 2023 to 1,939 in 2024[22] - Companies further examined increased by 366% from 47 in 2023 to 219 in 2024[22] Financial Performance and Investments - MDB's direct assets increased significantly by 2,092% from $2,016,959 in 2023 to $44,215,968 in 2024[22] - The company completed an IPO for Invizyne Technologies (now eXoZymes Inc (EXOZ)) in November 2024, raising $15 million[21,40] - MDB's initial investment of $5.9 million in eXoZymes translated into a $150 million market cap company[40] - MDB owns 47% of eXoZymes' outstanding stock[40] Market Positioning and Future Outlook - MDB is well-positioned for 2025 due to a significant increase in micro-cap deal opportunities and a growing demand for micro-cap financing[29,34] - Venture Capital fundraising declined by nearly 58% in 2023 and by 23-25% in 2024[31]