Binah Capital Group Q2 2024: $195M Assets, Preferred Stock Details

TL;DR

Binah Capital Group Q2: $195M assets, watch out for Series A preferred stock redemption clauses.

AI Summary

Binah Capital Group, Inc. filed its 10-Q for the period ending June 30, 2024. The company reported total assets of $195 million. Key liabilities include accounts payable and accrued expenses of $736,000 and other liabilities of $3.05 million. The filing also details redemption provisions for its Series A Redeemable Convertible Preferred Stock, with specific dates and conditions outlined for the first through fourth anniversaries of its funding date.

Why It Matters

This filing provides insight into Binah Capital Group's financial position and the terms surrounding its redeemable preferred stock, which could impact future capital structure and shareholder value.

Risk Assessment

Risk Level: medium — The details surrounding redeemable preferred stock and its potential redemption trigger points introduce financial and strategic risks.

Key Numbers

• $195.0M — Total Assets (Financial position as of June 30, 2024)
• $736K — Accounts Payable and Accrued Expenses (Short-term obligations)
• $3.05M — Other Liabilities (Additional liabilities reported)

Key Players & Entities

• Binah Capital Group, Inc. (company) — Filer of the 10-Q
• 20240630 (date) — End of reporting period
• $195,000,000 (dollar_amount) — Total assets
• $736,000 (dollar_amount) — Accounts payable and accrued expenses
• $3,049,000 (dollar_amount) — Other liabilities
• Series A Redeemable Convertible Preferred Stock (company) — Type of preferred stock with redemption terms

FAQ

Key Financial Figures

• $0.0001 — ch registered Common Stock, par value $0.0001 per share BCG The Nasdaq Stock Mark
• $11.50 — of Common Stock at an exercise price of $11.50 per share BCGWW The Nasdaq Stock Ma

Filing Documents

• tmb-20240630x10q.htm (10-Q) — 1475KB
• tmb-20240630xex10d1.htm (EX-10.1) — 116KB
• tmb-20240630xex10d2.htm (EX-10.2) — 121KB
• tmb-20240630xex31d1.htm (EX-31.1) — 11KB
• tmb-20240630xex31d2.htm (EX-31.2) — 11KB
• tmb-20240630xex32d1.htm (EX-32.1) — 6KB
• tmb-20240630xex32d2.htm (EX-32.2) — 6KB
• 0001410578-24-001477.txt ( ) — 5477KB
• tmb-20240630.xsd (EX-101.SCH) — 42KB
• tmb-20240630_cal.xml (EX-101.CAL) — 37KB
• tmb-20240630_def.xml (EX-101.DEF) — 121KB
• tmb-20240630_lab.xml (EX-101.LAB) — 327KB
• tmb-20240630_pre.xml (EX-101.PRE) — 231KB
• tmb-20240630x10q_htm.xml (XML) — 603KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements 1 Condensed Consolidated Statements of Financial Condition as of June 30, 2024 (Unaudited) and December 31, 2023 1 Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2024 and 2023 (Unaudited) 2 Condensed Consolidated Statements of Changes in Stockholders' Equity for the three and six months ended June 30, 2024 and 2023 (Unaudited) 3 Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2024 and 2023 (Unaudited) 4 Notes to Unaudited Condensed Consolidated Financial Statements 5 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 19 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 32 Item 4.

Controls and Procedures

Controls and Procedures 32

OTHER INFORMATION

PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 33 Item 1A.

Risk Factors

Risk Factors 33 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 33 Item 3. Defaults Upon Senior Securities 33 Item 4. Mine Safety Disclosures 33 Item 5. Other Information 33 Item 6. Exhibits 37

SIGNATURES

SIGNATURES 38 Table of Contents

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements. BINAH CAPITAL GROUP, INC. CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (in thousands except for share and per share amounts) Unaudited June 30, 2024 December 31, 2023 ASSETS Assets: Cash, cash equivalents and restricted cash $ 7,025 $ 7,621 Receivables: Commission receivable 8,836 8,220 Due from clearing broker 471 631 Other 1,132 1,587 Property and equipment, net 745 974 Right of use asset 4,034 4,332 Intangible assets, net 1,291 1,580 Goodwill 39,839 39,839 Other assets 2,689 2,626 TOTAL ASSETS $ 66,063 $ 67,410 LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities: Accounts payable, accrued expenses and other liabilities $ 8,844 $ 9,082 Commissions payable 10,642 10,676 Operating lease liability 4,104 4,381 Notes payable, net of unamortized debt issuance costs of $ 594 and $ 645 as of June 30, 2024 and December 31, 2023, respectively 19,705 20,822 Promissory notes-affiliates 5,463 12,177 Due to members — 5,169 TOTAL LIABILITIES 48,758 62,307 Mezzanine Equity: Redeemable Series A Convertible Preferred Stock, par value $ 0.0001 , 2,000,000 shares authorized, 1,519,500 shares outstanding at June 30, 2024 14,595 — Stockholders' Equity and Members' Equity: Common stock, $ 0.0001 par value, 55,000,000 authorized, 16,602,460 issued and outstanding at June 30, 2024 — — Additional paid-in-capital 23,719 — Accumulated deficit ( 21,008 ) — Members' equity attributed to Legacy Wentworth Management Services LLC — 5,103 Total Stockholders' Equity , Mezzanine Equity and Members' Equity Attributable to Wentworth Management Services LLC 17,306 5,103 TOTAL LIABILITIES, MEZZANINE EQUITY AND STOCKHOLDERS' EQUITY $ 66,063 $ 67,410 The accompanying notes are an integral part of these unaudited condensed financial statements. 1 Table of Contents BINAH CAPITAL GROUP, INC. CONDENSED CONSOLIDATED STA

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View this 10-Q filing on SEC EDGAR