文件號024-12515

10月份的初步發售通知 _，2024年

根據與這些相關的法規A的發售聲明 證券已向美國證券交易委員會備案。本初步發售通函中包含的信息爲 須完成或修改。這些證券不得在發行聲明之前出售，也不得接受購買要約 向委員會提交的是合格的。本初步發售通知不構成出售要約或招攬 在任何此類要約、招攬或出售屬於非法的州，也不得出售此類證券 在根據任何此類州的法律註冊或獲得資格之前。我們可以選擇履行交付最終產品的義務 通過在我們向您銷售完成後兩個工作日內向您發送通知來發送通知，其中包含最終地址的URL 可以獲得發行通知或提交該最終發行通知的發行聲明。

備註控股公司

多達75萬股

的

b系列15%累積可贖回永久 優先股

這是公開發行證券（「發行」） Remark Holdings，Inc.，特拉華州公司（「備註」、「公司」、「我們」、 或「我們的」）。此次發行爲b系列多達750，000股（「最大發行」）15%累計 可贖回永久優先股，每股價值100.00美元（「b系列優先股」或「股份」） 根據美國證券交易委員會第2級法規，發行價爲每股100.00美元 (the「委員會」或「SEC」）。請參閱「證券描述」。b系列優先股是 沒有先前交易市場的新發行。

自發行B系列優先股之日起 股票(如適用，「發行日期」)，股息應於B系列優先股每日應計，並應累加。 從幷包括適用的發行日期開始，並應支付給B系列優先股(以下簡稱「系列」)的持有人 B優先股東「)在每個季度結束後的第15天或之後，每季度拖欠的股息(每個，」股息“ 付款日期“)在上一財季最後一天交易結束時，這些持有人出現在我們的股票記錄中， 不管是不是一個工作日。股息將從合法可用金額中按相當於每年15%的利率支付 100.00美元，每股聲明價值。我們將保留相當於頭兩(2)年的金額(股息儲備) 股息支付(「股息託管期」)，從我們收到的收益，從每一次結束在一個單獨的 我們將維護的現金帳戶(「股息支付帳戶」)。

從各自兩（2）年後的日期開始 發行日期（「贖回期開始日期」），我們可以選擇贖回b系列優先股的股份， 全部或部分，現金贖回價格相當於每股100.00美元，加上所有應計和未付股息，但不包括 贖回日期。從贖回期開始日期開始，我們在到期時未支付的任何股息將成爲 Remark的累積債務，將自動從Remark籌集的任何超過150萬美元的融資金額中支付。 b系列優先股沒有規定到期日，不受任何償債基金或其他強制贖回的約束，並且應 不能轉換爲或交換我們的任何其他證券。b系列優先股持有者將沒有投票權 權利，但本發行通知中可能規定的除外。

發行將於本發行通函之日開始 並於（i）最大發行出售之日，（ii）自該日期起三（3）年之日（以較早者爲準）終止 本發行聲明的資格;或（iii）當我們因任何原因選擇終止發行時（在每種情況下， 「終止日期」）。要認購本次發行中的股份，請參閱題爲「認購程序」的小節 「分佈」。本次發行獲得委員會資格後，至少每十二（12）個月，Remark將提交一次 資格後修正案，包括其最近的財務報表，最長期限爲三（3）年，從 本發售聲明的資格日期。

這些證券是投機證券。對Remark ' s的投資 證券涉及重大風險。只有在您能夠承受投資的完全損失的情況下，您才應該購買這些證券。 請參閱「風險因素」。

我們將盡最大努力提供股份。因爲沒有 最低發行量，在批准本發行通知的任何認購後，我們將立即將上述收益存入我們的 銀行帳戶，並可根據「收益的使用」部分處置收益。

訂閱不可撤銷，購買價格不可退還 正如本發行通知中明確規定的那樣。我們經董事會決定，全權酌情發佈 本次發行下的股份用於現金、期票和/或服務，無需通知認購者。我們從訂閱者處收到的所有收益 在我們接受股份認購後，本次發行將可供我們使用。

股份銷售將於上市後兩個日曆日內開始 資格日期，根據規則251（d）（3）（i）（F），這將是連續發行。注：使用發行循環格式 在本發行通知中披露。

在「最大努力」的基礎上發行股份意味着 我們的高管將盡其商業上合理的最大努力來要約和出售股份。我們的官員不會收到任何 這些銷售的佣金或任何其他報酬。在代表我們發行股份時，官員們將依靠安全港 經修訂的1934年證券交易法第3a 4 -1條規定的經紀交易商登記。

本發售通知不構成出售要約或 招攬購買要約，在此類要約、招攬的任何州或司法管轄區也不得出售這些證券 或在根據任何此類州的法律註冊或獲得資格之前，銷售將是非法的。

一般來說，如果總計 您支付的購買價格超過您年收入或淨資產中較大者的百分之十（10%）。可能適用不同的規則 認可的投資者和非自然人。在就您的投資沒有超過適用閾值做出任何陳述之前， 我們鼓勵您審查法規A的第251（d）（2）（i）（C）條。有關投資的一般信息，我們鼓勵您參閱www.investor. gov。

Remark是一家控股公司，在特拉華州註冊成立，從事 通過其全資子公司運營。我們的大部分業務目前由我們成立的運營子公司進行 位於美國和英國。2024年之前，我們的很大一部分收入來自運營 由我們在中國成立並位於中國的運營子公司實施，但我們在第四季度開始減少在中國的業務 因此，我們預計我們在中國成立並位於中國的運營子公司將產生最小一部分（如果有的話） 2024年及以後的業務。有關中國相關風險的進一步描述，請參閱「風險因素-與我們歷史相關的風險 在中國的業務」。

我們在必要時幫助子公司的運營提供資金，方法是 根據債務或股權融資交易獲得現金後向其提供的出資或現金預付款。兩個人都沒有說 它的任何子公司都沒有記錄彼此之間的公司間收入的實質性金額，也沒有記錄過彼此之間的任何貸款 彼此之間。截至本發行通函日期，本公司並無任何附屬公司向本公司派發股息或分派股息 我們在美國的子公司偶爾會償還現金預付款。鑑於我們減少了中國子公司和 由於這些子公司的現金數額有限，我們預計不會有大量現金從這些子公司轉移出去。 向我們或我們的任何非中國子公司支付，我們不打算分配收益或清償任何欠款，如果有的話，根據 根據之前的可變利益實體協議，我們在2014年至晚些時候控制了現在的中國子公司 2021年。

我們的核數師Weinberg & Company是一家獨立註冊公衆 總部位於美國的會計師事務所目前受上市公司會計監督委員會（「PCAOB」）管轄 檢查並已接受PCAOb定期檢查。然而，如果PCAOb無法檢查Weinberg & Company的 未來的工作文件，無論是由於外國司法管轄區當局採取的立場還是其他原因，SEC 可以禁止我們的股票在全國證券交易所或場外交易市場交易 美國根據《控股外國公司責任法案》（「HFCA法案」）。我們的停止交易 股權股份或此類停止的威脅可能會對您的投資價值產生重大不利影響。請參閱“總結 - 《持有外國公司責任法案》。

投資我們的股票涉及高度風險。看到 「風險因素」討論您在投資我們股票時應考慮的某些風險。

目前，我們的普通股在場外交易中報價 OTCQX市場中的符號「MARK」。2024年10月14日，我們普通股的收盤價爲每股0.11美元。

美國證券交易委員會並未通過 所提供的任何證券或所提供條款的優點或對其的批准，也不會因準確性或完整性而被通過 任何提供通知或其他招攬材料。這些證券是根據豁免註冊而提供的 委員會;然而，委員會尚未獨立決定所提供的證券免於註冊。

本發行通函的日期為[●]， 2024

目錄

我們正在出售並尋求購買我們的證券的要約 僅在允許此類報價和銷售的司法管轄區。您應僅依賴本發行通知中包含的信息。 我們沒有授權任何人向您提供除本發售通函中包含的信息之外的任何信息。的 本發行通知中包含的信息僅在其日期時準確，無論其交付或任何銷售的時間如何 或交付我們的證券。本發行通函的交付以及我們證券的任何銷售或交付均不得根據 在任何情況下，均表明自本發行通函之日以來我們的事務沒有發生任何變化。本發售通函 將在聯邦證券法要求的範圍內更新並提供交付。

本發行通知是我們發行聲明的一部分 使用持續發行流程向SEC提交。我們可能會定期提供銷售循環補充，其中將添加， 更新或更改本發行通知中包含的信息。我們在本發行通函中做出的任何聲明都將被修改 或被我們在隨後的發行循環補充中做出的任何不一致的聲明所取代。我們提交的發行聲明 與美國證券交易委員會的文件包括對本發行通知中討論的事項提供更詳細描述的證據。

在本發行通函中，除非上下文另有說明， 提及「備註」、「我們」、「公司」、「我們的」和「我們」是指 Remark Holdings，Inc.的活動以及業務和運營的資產和負債及其子公司。

以下是風險因素的總結 影響我們的業務和產品

與我們的商業和工業有關的風險

與我們公司相關的風險

與本次發行和系列所有權相關的風險 b優先股

與我們在中國的歷史業務相關的風險

雖然我們的普通股股票在OTCQX上報價，但我們 要求我們在向SEC提交的文件中保持最新狀態，以便我們的普通股股份在OTCQX上保持報價並且不會被移動 前往OTC粉紅市場。

關於預防性聲明 前瞻性陳述

「摘要」下的一些陳述， 「風險因素」、「管理層對財務狀況和經營成果的討論和分析」、 「我們的業務」和本發行通函中的其他部分構成前瞻性陳述。前瞻性陳述 與期望、信念、預測、未來計劃和策略、預期事件或趨勢以及類似事項有關 不是歷史事實。在某些情況下，您可以通過「預期」、「相信」等術語來識別前瞻性陳述 「可能」、「估計」、「期望」、「打算」、「可能」、「計劃」、「潛力」、 「should」、「will」和「would」或這些術語的否定詞或其他類似術語。

您不應過度依賴前瞻性陳述。 本發行通知中列出的警告聲明（包括「風險因素」和其他地方）確定了重要的 您在評估我們的前瞻性陳述時應該考慮的因素。儘管本次發行中的前瞻性陳述 通知基於我們的信念、假設和期望，並考慮到我們目前可用的所有信息，我們不能 保證未來的交易、結果、績效、成就或結果。任何人都不能向任何投資者保證 我們的前瞻性陳述中反映的預期將會實現，或者與預期的偏離不會是重大的， 不利的。除法律要求外，我們不承擔重新發布本發行通知或以其他方式公開的義務 更新我們前瞻性陳述的陳述。

風險因素

投資該等股份涉及高度風險。你 應仔細考慮以下風險因素以及本發行通知中包含的其他信息，包括 在決定是否投資我們的股份之前，我們的綜合財務報表及其附註。其他風險和不確定性 我們不知道的事情可能會成爲影響我們的重要因素。如果其中任何風險實際發生，我們的業務、財務狀況 或者經營業績可能會受到影響，我們的股票價值可能會下降，您可能會損失全部或部分投資。一些陳述 本發行通知中的內容，包括以下風險因素的陳述，構成前瞻性陳述。(See「謹慎 關於前瞻性陳述的聲明」）。

與我們的商業和工業有關的風險

有關數據隱私的法律法規 正在不斷進化。不遵守這些法律和法規可能會損害我們的業務。

我們的業務涉及收集和保留 某些內部和外部數據和信息，包括我們的客戶、供應商和第三方的數據和信息。廉潔 保護此類信息和數據對我們和我們的業務至關重要。此類數據和信息的所有者希望我們能夠充分地 保護他們的個人信息。美國和國際上適用的隱私和數據保護法要求我們 對我們收集的個人信息嚴格保密，並採取足夠的安全措施來保護此類信息。

我們未能遵守現有隱私或 數據保護法律和法規可能會增加我們的成本，迫使我們改變或限制我們人工智能解決方案或結果的功能 在政府當局或其他人針對我們的訴訟或訴訟中，任何或全部可能導致巨額罰款 或針對我們的判斷，導致我們的聲譽受損，並對我們的財務狀況和結果造成負面影響 運營即使監管機構、媒體或消費者對我們的隱私和數據保護或消費者保護提出擔憂 這種做法沒有根據，我們的聲譽可能會受到損害，從而對我們的財務狀況造成重大負面影響 和運營結果。

隱私和數據保護法迅速 在可預見的未來，這種情況可能會繼續發生變化，這可能會對我們開發和定製的方式產生影響 人工智能產品和軟件。人工智能的增長和發展可能會促使人們呼籲制定更嚴格的消費者隱私保護法， 可能會給我們這樣的公司帶來額外的負擔。任何此類變化都需要我們投入法律和其他資源來解決 這樣的監管。

例如，在美國，加州消費者 《隱私法》(CCPA)於2020年1月1日生效，適用於加利福尼亞州的個人信息處理 居民。包括內華達州在內的其他州已經頒佈或正在考慮類似的隱私或數據保護法，這些法律可能適用於 我們。包括聯邦貿易委員會和商務部在內的美國政府也在繼續審查是否需要 對收集個人信息和互聯網上消費者行爲信息的監管或多或少有所不同 在移動設備上，美國國會正在考慮在這一領域進行監管的一些立法提案。不同政府 世界各地的消費者機構也呼籲出臺新的監管規定，改變行業做法。例如，GDPR開始生效 2018年5月25日。如果我們將人工智能業務擴展到歐盟成員國，GDPR將適用於我們。違反GDPR的行爲可能 導致重大處罰，歐盟國家仍在制定與某些部分相對應的國家法律 GDPR。

我們持續訪問公開的 來自合作伙伴的數據和數據可能會受到限制、中斷或終止，這將限制我們開發新產品的能力， 服務，或改進基於我們的人工智能平台的現有產品和服務。

我們基於人工智能的解決方案的成功取決於 在很大程度上依賴於我們持續攝取和處理公共領域中可用的大量數據的能力，這些數據由 我們的合作伙伴，以及我們免費訪問此類公開可用的數據或我們從合作伙伴那裏獲得的數據的任何中斷都將 限制我們開發新產品和服務或改進現有產品和服務的能力。雖然我們還沒有遇到 儘管到目前爲止，這種接入受到任何重大幹擾，但不能保證這一趨勢將繼續下去而不付出代價。公共數據源 可能會改變他們的政策以限制訪問或實施程序，以使我們更難或更昂貴地維護訪問，以及 合作伙伴可以決定終止我們與他們的現有協議。如果我們不再可以免費訪問公共數據或訪問數據 從我們的合作伙伴那裏，我們維護或改進現有產品或開發新的基於人工智能的解決方案的能力可能會受到嚴重限制。 此外，我們可能被迫向公共數據源或合作伙伴支付巨額費用以維持訪問，這將對我們造成不利影響 影響我們的財務狀況和經營結果。

我們的人工智能軟件和我們的應用軟件 技術含量很高，並且運行在非常複雜的第三方硬件平台上。如果此類軟件或硬件包含未檢測到的錯誤， 我們的人工智能解決方案可能無法正常運行，我們的業務可能會受到不利影響。

我們基於人工智能的解決方案和內部系統依賴 關於軟件，包括內部或由第三方開發或維護的軟件，這是高度技術性和複雜性的。此外, 我們基於人工智能的解決方案和內部系統依賴於此類軟件存儲、檢索、處理和管理海量數據的能力 數據。我們所依賴的軟件已經包含，並且現在或將來可能包含未檢測到的錯誤、錯誤或漏洞。 一些錯誤可能只有在基於AI的解決方案或應用軟件發佈供外部或內部使用後才會發現。 我們所依賴的軟件中的錯誤或其他設計缺陷可能會給我們的客戶帶來負面體驗，延誤產品 介紹或增強，導致測量或計費錯誤，或影響我們保護客戶數據的能力 或我們的知識產權。在我們所依賴的軟件中發現的任何錯誤、錯誤或缺陷都可能導致我們的 聲譽、用戶流失、收入損失或損害賠償責任，其中任何一項都可能對我們的業務和財務造成不利影響 結果。

我們的業務和運營將受到影響 以防系統故障。

我們的計算機系統很容易受到損壞 免受計算機病毒、未經授權的訪問、自然災害、恐怖主義、戰爭以及電信和電力故障的影響。如果這樣 如果發生事件並導致我們的運營中斷，則可能會導致我們的業務受到重大幹擾。盡 任何中斷或安全漏洞都會導致我們的數據或應用程序丟失或損壞，或不當披露 個人、機密或專有信息，我們可能會承擔責任，並且我們的業務可能會受到不利影響。

我們越來越依賴信息技術，而且 我們的系統和基礎設施面臨某些風險，包括網絡安全和數據泄露風險。

對我們的信息技術造成重大破壞 系統或信息安全漏洞可能會對我們的業務造成不利影響。我們基於人工智能的解決方案的規模和複雜性以及 信息技術系統，以及我們與之簽約的第三方供應商的系統，使這些系統具有潛在的脆弱性 爲我們的員工、合作伙伴或供應商的疏忽或故意行爲造成的中斷和安全漏洞、攻擊提供服務 惡意第三方，或由我們或第三方維護的對我們的系統基礎設施的故意或意外物理損壞 派對。違反我們的安全措施或意外損失、無意中披露、未經批准的傳播、挪用 或濫用專有信息或其他機密信息，無論是由於盜竊、黑客攻擊、欺詐、欺詐或其他原因 任何形式的欺騙，或任何其他原因，都可能對我們的業務或財務狀況產生不利影響。此外，任何這樣的中斷， 安全漏洞、機密信息的丟失或泄露可能導致財務、法律、商業和聲譽損害 並可能對我們的業務、財務狀況、運營結果或現金流產生重大不利影響。

我們未完成的高級擔保貸款協議包含某些 限制我們參與某些交易的能力並可能損害我們應對不斷變化的業務和 經濟狀況。

在……上面 2021年12月3日，我們與以下公司簽訂了優先擔保貸款協議(「原始Mudrick貸款協議」) 我們的子公司作爲擔保人(「擔保人」)和某些附屬於Mudrick Capital Management的機構貸款人， LP(統稱爲「Mudrick」)，據此Mudrick向我們提供信貸，包括本金中的定期貸款 3,000美元的萬(「Mudrick原始貸款」)。2023年3月14日，我們與以下公司簽訂了票據購買協議 Mudrick(「新Mudrick貸款協議」)，根據該協議，所有原來的Mudrick貸款被取消作爲交換 支付給穆德里克的新票據(「新穆德里克票據」)。2024年8月5日，我們達成了交換協議 與Mudrick合作，我們向Mudrick發行可轉換債券（「Mudrick可轉換債券」）以換取 針對之前未償還的不可轉換New Mudrick票據。根據Mudrick可轉換債券，我們需要 滿足各種契約，包括對我們未經穆德里克同意進行某些交易的能力的限制，以及 我們應對不斷變化的業務和經濟狀況的能力可能有限。這些限制包括，除其他外， 我們和子公司在以下方面的能力限制：

未經授權使用我們的知識產權 以及保護我們知識產權所產生的費用可能會對我們的業務產生不利影響。

我們認爲我們的版權、服務標誌、商標、 商業祕密和其他知識產權對我們的成功至關重要。第三方未經授權使用我們的知識產權 可能會對我們的業務和聲譽造成不利影響。我們依賴商標法和版權法、商業祕密保護和保密。 與我們的員工、客戶、業務夥伴和其他人達成協議，以保護我們的知識產權。儘管我們採取了預防措施， 第三方有可能在未經授權的情況下獲取和使用我們的知識產權。此外，其有效性、可實施性 互聯網相關行業的知識產權保護範圍是不確定的，而且仍在不斷演變。此外，訴訟 將來可能有必要執行我們的知識產權，保護我們的商業祕密或確定其有效性 以及他人專有權利的範圍。未來的訴訟可能會導致巨額費用和資源轉移。

我們可能受到知識產權的約束 侵權索賠，這可能迫使我們承擔巨額法律費用，並且如果被裁定對我們不利，則會造成重大破壞 我們的業務

我們無法確定我們的品牌和服務 不會侵犯第三方持有的有效專利、版權或其他知識產權。我們無法提供保證 我們將避免對侵犯第三方知識產權的指控進行辯護，無論 他們的優點。知識產權訴訟成本非常高，參與此類訴訟可能會消耗大量費用 我們的一部分管理和財務資源，無論我們是否獲勝。更多的資源可能會讓我們的一些 競爭對手比我們更有效地承擔複雜知識產權訴訟的成本;我們可能無力承擔 此類訴訟的費用。

我們是否應該遭受知識分子的不利後果 財產訴訟，我們可能會承擔重大責任，我們可能會被要求向第三方許可有爭議的權利，或者我們可能 必須停止使用該主題技術。如果我們被發現侵犯第三方知識產權，我們無法提供 保證我們能夠以商業上合理的條款（如果有的話）獲得此類知識產權的許可，或者 我們可以開發或獲得替代技術。如果我們未能以合理的成本獲得此類許可，此類失敗可能會嚴重影響 擾亂我們的業務開展，並可能消耗大量資源並造成重大不確定性。任何法律行動 我們或我們的合作者可能會導致：

上面討論的負面結果可能會產生不利的影響 影響我們開展業務的能力、財務狀況、運營結果和現金流。

我們面臨着來自更大、 更成熟的公司，我們可能無法有效競爭，這可能會減少對我們服務的需求。

我們提供的服務的市場越來越大 競爭激烈。我們幾乎所有的競爭對手都有更長的經營歷史，更大的客戶基礎，更高的品牌認知度 而且比我們擁有更多的財務、營銷和其他資源。我們的競爭對手可能會獲得更有利的收入安排 與廣告商合作，在營銷和促銷活動上投入更多資源，採取更積極的增長戰略，並致力於 在網站和系統開發上投入的資源比我們多得多。此外，互聯網媒體和廣告業 繼續經歷整合，包括收購提供旅行和金融相關內容和服務的公司 和付費搜索服務。行業整合導致了規模更大、更成熟、資金更雄厚的競爭對手 全神貫注。如果這些行業趨勢繼續下去，或者如果我們無法在互聯網媒體和付費搜索市場上競爭，我們的財務狀況 結果可能會受到影響。

此外，較大的公司可能會實施 搜索引擎或軟件中的政策和/或技術使消費者不太可能訪問我們的網站和 消費者點擊我們廣告商的贊助列表的可能性較小。此類技術的實施可以 導致我們的收入減少。如果我們無法成功與當前和未來的競爭對手競爭，我們的運營 結果將受到不利影響。

如果我們不能有效地管理我們的增長， 我們的經營業績將受到影響，我們的財務狀況可能會受到不利影響。

未來需要大幅增長 我們來實現我們的業務目標。只要我們有能力實現這種增長，這將對我們的 管理、運營和財務資源。此外，這種增長將需要我們進行大量的資本支出， 僱用、培訓和管理更多的勞動力，並分配寶貴的管理資源。我們必須通過適當的方式管理任何此類增長 每個領域的系統和控制。如果我們不能有效管理業務的增長，我們的業務、財務狀況、 經營業績和現金流可能會受到重大不利影響。

此外，隨着我們業務的增長，我們的技術 網絡基礎設施必須符合我們的需求。未來的需求很難預測，我們可能無法充分預測 除非我們花費大量資金來增強處理增加流量的能力，否則將應對大幅增長。此外，實施 網絡容量的增加包含一些執行風險，並可能導致無效或低效率。這可能會導致減少 爲我們的消費者和廣告商提供體驗，並損害我們的聲譽和與他們的關係，導致營銷能力下降， 對我們的經營業績產生負面影響。此外，網絡技術創新變革的步伐很快，如果我們不跟上 向上，我們可能會落後於競爭對手。升級和改進技術的成本可能會很高，並對我們的業務產生負面影響， 財務狀況、經營業績和現金流量。

與我們公司有關的風險

我們有經營虧損的歷史， 我們可能無法產生足夠的收入來支持我們的運營。

截至12月的一年內 2023年31日，自成立以來的每個財年，我們都出現了淨虧損，併產生了負現金流。 截至2024年6月30日，我們的累計赤字爲（4.367億）美元。

我們無法保證產生的收入 從我們業務的角度來看，將足以維持我們的長期運營。我們已採取措施降低運營成本， 我們並不斷評估進一步降低成本的其他機會。我們可能還需要通過股權獲得額外的資本 融資或債務融資。如果我們未能成功實施本文描述的計劃，這種失敗將造成重大影響 對我們的業務產生不利影響，包括可能停止運營。

債務和股票市場的狀況， 以及投資者對宏觀經濟和微觀經濟狀況的情緒波動（特別是由於全球經濟狀況） 供應鏈中斷、通貨膨脹和其他成本增加以及烏克蘭和中東的地緣政治衝突）將發揮作用 決定我們是否能夠成功獲得額外資本的主要作用。我們無法確定我們是否會成功 籌集資本，無論是通過股權融資、債務融資，還是通過剝離某些資產或業務，在商業上合理 條款，如果有的話。此外，如果我們通過發行股權獲得資本，此類交易可能會稀釋現有股東。

我們可能沒有足夠的現金來償還 我們未償還的高級擔保債務。

Mudrick可轉換債券有本金 金額約爲1，980萬美元，按年利率20.5%計算利息，並且如果不轉換爲我們的股份 普通股於2025年5月15日到期應付。我們的可用現金和其他流動資產目前不足以支付 全部義務。如果我們不在預定到期日或之前全額支付或轉換Mudrick可轉換債券， Mudrick將享有Mudrick可轉換債券和適用法律項下的所有權利，其中包括但不限於 取消Mudrick可轉換債券（由我們所有資產組成）的抵押品的贖回權。穆德里克的練習 任何此類權利都可能對我們的財務狀況產生重大不利影響。

我們依賴少數客戶 佔我們收入的很大一部分。

我們交易的業務量很集中 截至2024年6月30日的六個月內，除了小額金額外，我們的所有收入基本上都來自 一名客戶，而在截至2023年6月30日的六個月內，我們的三名客戶分別佔約40%、35%和11% 我們的收入。截至2024年6月30日，來自我們一位客戶的應收賬款淨額約佔我們應收賬款淨額的87%， 而截至2023年12月31日，來自我們三名客戶的應收賬款淨額分別約佔37%、34%和12% 我們的應收賬款淨額

我們的獨立註冊公共會計 公司截至2023年12月31日和2022年12月31日的財年報告對我們繼續運營的能力提出了重大懷疑 作爲一家「持續經營的企業」。

我們的獨立註冊公共會計 公司在截至2023年12月31日及截至2022年12月31日的經審計綜合財務報表報告中顯示 人們對我們作爲一個持續經營的企業的能力有很大的懷疑。「持續經營」的意見表明 編制財務報表時假設我們將繼續經營下去，不包括任何調整以反映 未來可能對資產的可回收性和分類的影響，或對以下負債的數額和分類的影響 如果我們不繼續作爲一個持續經營的企業，可能會導致這種情況。因此，您不應依賴我們的綜合資產負債表作爲指示。 可用於滿足債權人債權並可能可用於分配給股東的收益的數額， 在清算的情況下。在我們的財務報表中出現持續經營票據可能會對關係產生不利影響 我們正在開發，並計劃與第三方一起開發，因爲我們繼續將我們的產品商業化，這可能會使其變得困難 對於我們來說，籌集額外的資金，所有這些都可能對我們的業務和前景產生實質性的不利影響，並導致 你的投資遭受重大或全部損失。

我們繼續發展我們的業務戰略 並開發新的品牌、產品和服務，我們的未來前景很難評估。

我們正處於不同的發展階段， 考慮到我們的業務，包括由我們的人工智能平台驅動的人工智能業務，因此必須考慮我們的前景 鑑於公司早期階段經常遇到的諸多風險、不確定性、費用、延誤和困難 商業模式和產品的開發。其中一些風險和困難包括我們能夠：

Because of the early stage of development of certain of our business operations, we cannot be certain that our business strategy will be successful or that it will successfully address the risks described or alluded to above. Any failure by us to successfully implement our new business plans could have a material adverse effect on our business, financial condition, results of operations and cash flows. Furthermore, growth into new areas may require changes to our cost structure, modifications to our infrastructure and exposure to new regulatory, legal and competitive risks.

If we fail to manage our growth, we may need to improve our operational, financial and management systems and processes which may require significant capital expenditures and allocation of valuable management and employee resources. As we continue to grow, we must effectively integrate, develop and motivate new employees, including employees in international markets, while maintaining the beneficial aspects of our company culture. If we do not manage the growth of our business and operations effectively, the quality of our platform and efficiency of our operations could suffer, which could harm our brand, results of operations and business.

We cannot assure you that these investments will be successful or that such endeavors will result in the realization of the full benefits of synergies, cost savings, innovation and operational efficiencies that may be possible or that we will achieve these benefits within a reasonable period of time.

Risks Relating to this Offering and Ownership of the Series B Preferred Stock

We are establishing the Dividend Payment Account to hold the first two years of dividend payments for the holders of our Series B Preferred Stock, but after the Dividend Payment Escrow Period has expired, we may not be able to pay dividends on the Series B Preferred Stock unless we have sufficient cash on hand and meet certain financial and solvency requirements of Delaware law relating to the payment of dividends.

We cannot assure you that our business will generate sufficient cash flow from operations, raise additional capital and (or) that future borrowings will be available to us in an amount sufficient to enable us to make dividend distributions on the Series B Preferred Stock after the two-year Dividend Escrow Period has ended. Additionally, Under Delaware corporate law, Remark cannot make any dividend distributions if, after giving effect to such dividend distributions, either: (1) we would not be able to pay our debts as they become due in the usual course of business; or (2) our total assets would be less than the sum of our (i) total liabilities plus (ii) the amount needed to satisfy any preferential rights of certain stockholders on dissolution immediately after the distribution. There can be no assurances that we will satisfy such requirements after the two-year Dividend Escrow Period has ended.

The Series B Preferred Stock ranks junior to all of our indebtedness and other liabilities

In the event of our bankruptcy, liquidation, dissolution, or winding-up of our affairs, our assets will be available to pay obligations on the Series B Preferred Stock only after all of our indebtedness and other liabilities have been paid. The rights of holders of the Series B Preferred Stock to participate in the distribution of our assets will rank junior to the prior claims of our current and future creditors. Also, the Series B Preferred Stock effectively ranks junior to all our existing and future indebtedness and to the indebtedness and other liabilities of our existing subsidiaries and any future subsidiaries. Our existing subsidiaries are, and future subsidiaries would be, separate legal entities and have no legal obligation to pay any amounts to us in respect of dividends due on the Series B Preferred Stock. If we are forced to liquidate our assets to pay our creditors, we may not have sufficient assets to pay amounts due on any or all of the Series B Preferred Stock then outstanding. We may in the future incur debt and other obligations that will rank senior to the Series B Preferred Stock. Nevertheless, the Dividend Reserve that we will put into the Dividend Payment Account will not be our property but will be for the sole benefit of the Series B Preferred Stockholders, payable to them on a quarterly basis, if permitted under Delaware corporate law. As a result, such Dividend Reserve will not, in the ordinary course, be accessible to our third-party creditors.

Additionally, any convertible or exchangeable securities that we issue in the future may have rights, preferences, and privileges more favorable than those of the Series B Preferred Stock and may result in dilution to owners of the Series B Preferred Stock. We and, indirectly, our stockholders, will bear the cost of issuing and servicing such securities. Because our decision to issue debt or equity securities in any future offering will depend on market conditions and other factors beyond our control, we cannot predict or estimate the amount, timing, or nature of our future offerings. The holders of the Series B Preferred Stock will bear the risk of our future offerings, which may reduce the market price of the Series B Preferred Stock and will dilute the value of their holdings in us.

The Dividend Payment Account could be subject to the claims of creditors.

We will put the Dividend Reserve into the Dividend Payment Account we will create for the benefit of the holders of our Series B Preferred Stock. If we were to have insolvency issues and (or) file for bankruptcy, the proceeds held in the Dividend Payment Account could then be subject to the claims of creditors.

There is no established market for our Series B Preferred Stock, and no assurance that a market will develop and be sustained.

There is no established trading market for our Series B Preferred Stock, and we do not know if a market will develop for the Series B Preferred Stock or, if it does, how active it will be or whether it will be sustained. The liquidity of the market for the Series B Preferred Stock would depend on a number of factors, including prevailing interest rates, our financial condition and operating results, the number of holders of the Series B Preferred Stock, the market for the Series B Preferred Stock, and the interest of securities dealers in making a market in these securities. Further, we cannot predict with certainty the extent of investor interest in the Series B Preferred Stock or how liquid that market will be. Without an active trading market, the liquidity of these securities will be limited.

We may issue additional shares of Series B Preferred Stock and additional series of preferred stock that rank on parity with the Series B Preferred Stock as to dividend rights and rights upon liquidation.

We are allowed to issue additional shares of Series B Preferred Stock and additional series of preferred stock that could rank on parity with the Series B Preferred Stock as to dividend payments and rights upon our liquidation, dissolution, or winding up of our affairs pursuant to our Charter, without any vote of the holders of the Series B Preferred Stock. The issuance of additional shares of Series B Preferred Stock or additional series of preferred stock could have the effect of reducing the amounts available to the holders of Series B Preferred Stock in the form of dividends beyond the Dividend Escrow Period or upon our liquidation or dissolution or the winding up of our affairs.

If we redeem the Series B Preferred Stock, investors will no longer be entitled to dividends.

On or after the date that is two years after each Issue Date of Series B Preferred Stock, we may, at our option, redeem the Series B Preferred Stock, in whole or in part, at any time or from time-to-time, based upon the payment of the stated value of $100.00 per share of Series B Preferred Stock plus accrued dividends. Also, upon the occurrence of a Change of Control, we may, at our option, upon not less than 30 and nor more than 60 days’ written notice, redeem the Series B Preferred Stock, in whole or in part, within 150 days after the date of such written notice. We may have an incentive to redeem the Series B Preferred Stock voluntarily if market conditions allow us to issue other preferred stock or debt securities at a rate that is lower than the dividend on the Series B Preferred Stock. If we redeem the Series B Preferred Stock, then from and after the redemption date, dividends will cease to accrue on the shares of Series B Preferred Stock that have been redeemed, such shares of Series B Preferred Stock shall no longer be deemed outstanding and all rights as a holder of those shares will terminate, except the right to receive the redemption price plus accumulated and unpaid dividends, if any, payable upon redemption.

If you purchase the Shares, you will have no voting rights except for extremely limited voting rights for the Series B Preferred Stock.

The voting rights of a holder of Series B Preferred Stock are limited. Our shares of common stock are the only classes of our securities that carry full voting rights. The holders of Series B Preferred Stock have no voting rights except with respect to voting on amendments to our Charter that materially and adversely affect the rights of the holders of Series B Preferred Stock. Other than the limited circumstances described in the Offering Circular and except to the extent required by law, holders of Series B Preferred Stock do not have any voting rights. See “Description of Securities – Series B 15% Preferred Cumulative Redeemable Perpetual Preferred Stock.”

The Series B Preferred Stock is not convertible into our common stock.

The Series B Preferred Stock is not convertible into our common stock and earns dividends at a fixed rate. Accordingly, while there is currently a market for our common stock, an increase in market price of our common stock will not necessarily result in an increase in the market price of our Series B Preferred Stock. The market value of the Series B Preferred Stock will depend more on dividend rates for other preferred stock, commercial paper and other investment alternatives and our actual and perceived ability to pay dividends on, and in the event of dissolution, satisfy the liquidation preference with respect to the Series B Preferred Stock.

We are authorized to issue “blank check” preferred stock without stockholder approval, which could adversely impact the rights of holders of our securities.

我們修訂後的公司證書授權我們頒發 多達1，000，000股空白支票優先股，b系列優先股的股份將立即被指定 在本次發行首次收盤之前。我們未來發行的任何優先股都可能領先於我們的其他證券 股息優先權或清算優先權條款，並且可能比我們的普通股擁有更大的投票權。此外，這樣的首選 股票可能包含允許這些股票轉換爲普通股的條款，這可能會稀釋我們普通股的價值 向當前股東出售股票，並可能對我們普通股的市場價格（如果有的話）產生不利影響。此外，優先股 在某些情況下，可以用作阻止、推遲或防止備註控制權發生變化的方法。

大量增持股份 我們的普通股可能會根據現有證券的條款發行，這些發行將大大稀釋現有股東 並可能壓低我們普通股的市場價格。

截至2024年10月14日，我們有未償還的 允許購買多達約150股萬普通股的股票期權。同樣突出的還有(I)一個 發行與我們根據與Ionic Ventures，LLC(「Ionic」)達成的普通股購買協議有關的普通股的義務， (Ii)在Mudrick可轉換債券轉換後可發行的普通股股份；。(Iii)可發行的普通股股份。 在行使我們以私募方式向停戰資本總基金有限公司發出的認股權證(「投資者認股權證」)時， 可行使最多423,729股普通股，(Iv)購買最多12,712股普通股的認股權證 發行給AG.P./Alliance Global Partners及其指定人的普通股(「財務顧問認股權證」)， 可行使合共12,712股普通股，及(V)我們根據和解協議發行的認股權證 我們與中國品牌集團有限公司及其聯合官方清盤人簽訂了協議，規定有權購買571,000 普通股，每股行使價60.00美元(「CBG結算權證」)。

投資者令可立即行使 並將於2027年10月31日到期。然而，我們不得行使投資者令狀及其持有人 無權行使其投資者授權令的任何部分，但由於行使而導致該授權令 發行生效後，持有人將立即受益擁有超過4.99%的普通股已發行股份 行使投資者令狀後可發行的股份。財務顧問令可立即行使並將到期 發行五週年紀念日。

CBG結算令可在以下日期行使 僅以無現金爲基礎，因此無法就根據此類認購證購買的全部股份金額行使它們，並且它們實際上 除非普通股的適用市場價值超過適用，否則不得行使購買普通股股份 其條款下的行使價格。

The issuance of common stock pursuant to our agreement with Ionic, the Mudrick Convertible Debentures, and the outstanding warrants we issued prior to this Offering would substantially dilute the proportionate ownership and voting power of existing stockholders, and their issuance, or the possibility of their issuance, may depress the market price of our common stock.

Provisions in our Charter and under Delaware law could make an acquisition of Remark more difficult, which acquisition may be beneficial to stockholders.

Provisions in our Amended and Restated Certificate of Incorporation and Amended and Restated Bylaws, as well as provisions of the General Corporation Law of the State of Delaware (the “DGCL”), which may discourage, delay or prevent a merger with, acquisition of or other change in control of Remark, even if such a change in control would be beneficial to our stockholders, include the following:

Additionally, Section 203 of the DGCL prohibits a person who owns in excess of 15% of our outstanding voting stock from merging or combining with us for a period of three years after the date of the transaction in which the person acquired in excess of 15% of our outstanding voting stock, unless the merger or combination is approved in a prescribed manner. We have not opted out of the restriction under Section 203, as permitted under the DGCL.

While our shares are quoted on the OTCQX, we are required to remain current in our filings with the SEC for our shares of common stock to remain quoted on the OTCQX and not be moved to the OTC Pink Market.

While the common stock is quoted on the OTCQX, we will be required to remain current in our filings with the SEC in order for shares of the common stock to be eligible for quotation on the OTCQX. In the event that we become delinquent in our required filings with the SEC, quotation of the common stock on the OTCQX will be terminated following a 30 day grace period if we do not make our required filing during that time, and quotation of our shares of common stock will continue on the OTC Pink Sheets under the “Limited Information” tier. Given the reduced transparency of companies on the OTC Pink Sheets – Limited Information tier, trading for companies listed on this tier tends to be more attenuated and/or unpredictable. Therefore, if the common stock is not eligible for quotation on the OTCQX, investors in the common stock may find it difficult to sell their shares.

Risks Relating to Our Historical Operations in China

Uncertainties with respect to the Chinese legal system could adversely affect us.

As of the date of this Offering Circular, our business activities in China are limited. We could, however, potentially be subject to liability for any actions we took while we conducted significant business activities in China. There is uncertainty regarding how laws are interpreted in China. The Chinese legal system is a civil law system based on written statutes. Unlike the common law system, prior court decisions under the civil law system may be cited for reference but have limited precedential value. Since these laws and regulations are relatively new and the Chinese legal system continues to rapidly evolve, the interpretations of many laws, regulations and rules are not always uniform and the enforcement of these laws, regulations and rules involves uncertainties.

Since Chinese administrative and court authorities have significant discretion in interpreting and implementing statutory provisions and contractual terms, it may be difficult to evaluate the outcome of administrative and court proceedings and the level of legal protection we enjoy. These uncertainties may affect our judgment on the relevance of legal requirements and our ability to enforce our contractual rights or tort claims. In addition, the regulatory uncertainties may be exploited through unmerited or frivolous legal actions or threats in attempts to extract payments or benefits from us.

Furthermore, the Chinese legal system is based in part on government policies and internal rules, some of which are not published on a timely basis or at all and may have retroactive effect. As a result, we may not be aware of our violation of any of these policies and rules until sometime after the violation. In addition, any administrative and court proceedings in China may be protracted, resulting in substantial costs and diversion of resources and management attention. If we failed to comply with applicable Chinese laws or regulations, as interpreted and applied, and are subject to penalties or fines, it could have a material adverse effect on our operating results and our stock price.

Trading in our securities may be prohibited under the HFCA Act.

The HFCA Act was enacted on December 18, 2020, and states that if the SEC determines that a company has filed audit reports issued by a registered public accounting firm that has not been subject to inspection by the PCAOB for three consecutive years beginning in 2021, the SEC shall prohibit such shares from being traded on a national securities exchange or in the over-the-counter trading market in the United States. On December 2, 2021, the SEC adopted amendments to finalize rules implementing the submission and disclosure requirements in the HFCA Act. The rules apply to registrants that the SEC identifies as having filed an annual report with an audit report issued by a registered public accounting firm that is located in a foreign jurisdiction and that the PCAOB is unable to inspect or investigate completely because of a position taken by an authority in a foreign jurisdiction. The Consolidated Appropriations Act, 2023, which was signed into law on December 29, 2022, amended the HFCA Act to reduce the number of consecutive non-inspection years required to trigger the trading prohibition under the HFCA Act from three years to two years.

On December 16, 2021, the PCAOB issued a report on its determination that it is unable to inspect or investigate completely PCAOB-registered public accounting firms headquartered in mainland China and in Hong Kong because of positions taken by Chinese and Hong Kong authorities in those jurisdictions.

On August 26, 2022, the CSRC, the Ministry of Finance of the PRC, and the PCAOB signed a Statement of Protocol, taking the first step toward opening access for the PCAOB to completely inspect and investigate registered public accounting firms headquartered in mainland China and Hong Kong.

On December 15, 2022, the PCAOB vacated its 2021 determination that the positions taken by authorities in mainland China and Hong Kong prevented it from inspecting and investigating completely registered public accounting firms headquartered in those jurisdictions. In view of the PCAOB’s decision to vacate its 2021 determination and until such time as the PCAOB issues any new adverse determination, the SEC has stated that there are no issuers at risk of having their securities subject to a trading prohibition under the HFCA Act. Each year, the PCAOB will reassess its determinations on whether it can inspect and investigate completely audit firms in China, and if, in the future, the PCAOB determines it cannot do so, or if Chinese authorities do not allow the PCAOB complete access for inspections and investigations for two consecutive years, companies engaging China-based public accounting firms would be delisted pursuant to the HFCA Act.

Our auditor, Weinberg & Company, an independent registered public accounting firm headquartered in the United States, is currently subject to PCAOB inspections and has been inspected by the PCAOB on a regular basis. However, if the PCAOB is unable to inspect Weinberg & Company’s work papers in the future, whether as a result of a position taken by an authority in a foreign jurisdiction or other reason, the SEC could prohibit our equity shares from being traded on a national securities exchange or in the over-the-counter trading market in the United States pursuant to the HFCA Act. The cessation of trading of our equity shares, or the threat of such cessation, may materially and adversely affect the value of your investment.

DISTRIBUTION

This Offering Circular is part of an Offering Statement that we filed with the SEC, using a continuous offering process. Periodically, as we have material developments, we will provide an Offering Circular supplement that may add, update or change information contained in this Offering Circular. Any statement that we make in this Offering Circular will be modified or superseded by any inconsistent statement made by us in a subsequent Offering Circular supplement. The Offering Statement we filed with the SEC includes exhibits that provide more detailed descriptions of the matters discussed in this Offering Circular. You should read this Offering Circular and the related exhibits filed with the SEC and any Offering Circular supplement, together with additional information contained in our annual reports, semi-annual reports and other reports and information statements that we will file periodically with the SEC. See the section entitled “Additional Information” below for more details.

Offering Period and Expiration Date

This Offering will start on or after the Qualification Date and will terminate on the earlier of (i) the date on which the Maximum Offering is sold, (ii) the third anniversary of the date of qualification of this Offering Statement; (iii) when we have raised sufficient capital to list our common stock on the NYSE, CBOE, or NASDAQ; or (iv) when we elect to terminate the Offering for any reason (in each such case, the “Termination Date”). At least every 12 months after this Offering has been qualified by the Commission, Remark will file a post-qualification amendment to include its recent financial statements, over a maximum period of three (3) years, starting from the date of qualification of this Offering Statement.

Plan of Distribution

We have not retained a placement agent, underwriter, or broker-dealer with respect to this Offering and are not paying any underwriting discounts or commissions, except that we will pay introduction fees to registered broker-dealers. With such registered broker-dealers, we may enter into written agreements which will be non-exclusive, exist for a term of thirty (30) days and be cancellable by either party upon five (5) days written notice. We may agree to indemnify the registered broker-dealers against certain liabilities relating to or arising out of their activities under our agreements with them, including liabilities under the Securities Act, and to contribute to payments that registered broker-dealer may be required to make in respect of such liabilities.

There is no minimum number of securities or minimum aggregate proceeds for this Offering to close. We expect to have multiple closings of this Offering prior to the Termination Date.

We anticipate issuing the Series B Preferred Stock sold in this Offering in book-entry uncertificated form, unless the investor requests a certificate to be issued by Computershare LLC, our transfer agent.

Excluding the introduction fees payable to registered broker-dealers (if any), the expenses of the offering payable by us are estimated to be approximately $50,000, which includes legal and professional fees as well as other miscellaneous expenses.

The transfer agent and registrar for our Series B Preferred Stock is Computershare LLC. Computershare LLC address is P.O. Box 43006, Providence, RI 02940, and its telephone number is 1-800-522-6645 (U.S.) and 1-201-680-6528 (outside the U.S.).

Pricing of the Offering

The Offering Price of the Shares was determined by us. The principal factors considered in determining the Offering Price include:

Procedures for Subscribing

Potential investors who are “qualified purchasers” may subscribe to purchase our Shares. Any potential investor wishing to acquire our Shares, must:

Any potential investor will have ample time to review the subscription agreement, along with their counsel, prior to making any final investment decision. We shall only deliver such subscription agreement upon request after a potential investor has had ample opportunity to review this Offering Circular.

Right to Reject Subscriptions

After we receive your complete, executed subscription agreement and the funds required under the subscription agreement have been transferred to our bank account, we have the right to review and accept or reject your subscription in whole or in part, for any reason or for no reason. We will return all monies from rejected subscriptions immediately to you, without interest or deduction.

Acceptance of Subscriptions. Upon our acceptance of a subscription agreement, we will countersign the subscription agreement and issue the Shares subscribed at closing. Once you submit the subscription agreement and it is accepted, you may not revoke or change your subscription or request your subscription funds. All accepted subscription agreements are irrevocable.

State Law Exemption and Offerings to “Qualified Purchasers”

The Shares are being offered and sold to “qualified purchasers” (as defined in Regulation A under the Securities Act). As a Tier 2 offering pursuant to Regulation A under the Securities Act, this Offering will be exempt from state “Blue Sky” law review, subject to certain state filing requirements and anti-fraud provisions, to the extent that the Shares offered hereby are offered and sold only to “qualified purchasers”.

“Qualified purchasers” include any person to whom securities are offered or sold in a Tier 2 offering pursuant to Regulation A under the Securities Act. We reserve the right to reject any investor’s subscription in whole or in part for any reason, including if we determine, in our sole and absolute discretion, that such investor is not a “qualified purchaser” for purposes of Regulation A. We intend to offer and sell the Shares to qualified purchasers in every state of the United States.

Dividend Payment Account

We will the Dividend Reserve into the Dividend Payment Account we will maintain. We will offer our Shares on a “best efforts” basis, and since there is no minimum offering, upon the approval of any subscription to this Offering Circular, we shall immediately deposit the proceeds into our bank account and may dispose of the proceeds in accordance with the “Use of Proceeds”.

Other Selling Restrictions

Other than in the United States, no action has been taken by us that would permit a public offering of our Shares in any jurisdiction where action for that purpose is required. Our Shares may not be offered or sold, directly or indirectly, nor may this Offering Circular or any other offering material or advertisements in connection with the offer and sale of our Shares be distributed or published in any jurisdiction, except under circumstances that will result in compliance with the applicable rules and regulations of that jurisdiction. Persons into whose possession this Offering Circular comes are advised to inform themselves about and to observe any restrictions relating to this Offering and the distribution of this Offering Circular. This Offering Circular does not constitute an offer to sell or a solicitation of an offer to buy our Shares in any jurisdiction in which such an offer or solicitation would be unlawful.

An investment in our Shares may involve significant risks. Only investors who can bear the economic risk of the investment for an indefinite period of time and the loss of their entire investment should invest in our Shares. See “Risk Factors”.

USE OF PROCEEDS

For the purpose of calculating the net proceeds from the Offering that we can use, we deducted the approximate offering fees and expenses and the Dividend Reserve to determine the amount of net proceeds available for our use. The table below shows that if we sell the maximum of 750,000 Shares at the maximum price of $100 per Share, we can expect to be able to use, for the purposes identified, an estimate of approximately $47.2 million. The table below also shows the estimated net proceeds we would derive from this Offering assuming the sale of only 75%, 50% or 25% of the Shares.

We cannot assure you that this Offering will be completed, that we will sell all of the Shares or that sales will be made at the maximum end of the range.

The precise amounts that we will devote to each of the foregoing items, and the timing of expenditures, will vary depending on numerous factors. We reserve the right to change the use of proceeds at any time.

As indicated in the table above, if we sell only 75%, or 50%, or 25% of the Shares offered for sale in this Offering, we would expect to use the resulting net proceeds for the same purposes as we would use the net proceeds from a sale of 100% of the Shares, and in approximately the same proportions, until such time as such use of proceeds would leave us without working capital reserve. At that point we would expect to modify our use of proceeds by limiting our expansion.

The expected use of net proceeds from this Offering represents our intentions based upon our current plans and business conditions, which could change in the future as our plans and business conditions evolve and change. The amounts and timing of our actual expenditures, specifically with respect to working capital, may vary significantly depending on numerous factors and which may include amounts required to pay officers’ salaries, bonuses, accrued or deferred compensation, consulting fees, professional fees, ongoing public reporting costs, computer equipment costs, office-related expenses and other corporate expenses. None of the proceeds will be used for payments to Remark’s officers and directors or officers and directors of its subsidiaries, except as set forth in the preceding sentence. The precise amounts that we will devote to each of the foregoing items, and the timing of expenditures, will vary depending on numerous factors. As a result, our management will retain broad discretion over the allocation of the net proceeds from this Offering.

We expect to use as much as approximately $5.0 million of the net proceeds to pay the principal and related accrued but unpaid interest related to the Mudrick Convertible Debentures which, as of October 14, 2024, bear interest at a rate of 20.5% per annum and have an aggregate principal amount of approximately $19.8 million.

In the event we do not sell all of the Shares being offered, we may seek additional financing from other sources to support the intended use of proceeds indicated above. If we secure additional equity funding, investors in this Offering would be diluted. In all events, there can be no assurance that additional financing would be available to us when wanted or needed and, if available, on terms acceptable to us.

BUSINESS

Overview

Remark Holdings, Inc., incorporated in Delaware and based in Nevada, along with its subsidiaries (“Remark”, the “Company”, “we”, “us”, or “our”) constitute a diversified global technology business with leading AI-powered analytics, computer vision and smart agent solutions, delivered via an integrated suite of AI tools that help organizations understand their customer demographics and behavior while monitoring, understanding, and acting on potential security threats in real-time.

In providing services to our customers, we neither collect or store the personal data of any individual nor collect or store sensitive customer data. Our AI software solutions function by identifying characteristics; including size, shape, and color among many other general characteristics; of animate or inanimate objects as well as identifying behaviors such as fighting, falling, trespassing, and fare evasion in public transportation environments, among many other behaviors. When our customers use our solutions to, in part, identify persons in situations such as controlling access to certain customer facilities or to identify which persons are authorized to pick up a child from school, the data that can identify individual persons is the responsibility of, and is maintained by, our customers. Our algorithms and the data we use to test and train them are hosted on Microsoft Azure servers based in the U.S. and on AWS servers based in the U.K., with all such data being transitioned to Microsoft Azure. We neither maintain physical or virtual servers in China nor store any of our data in China, meaning that such data is not accessible by any Chinese organization or any level of the government of China. When we test our solutions on new devices, such as on a new type of UAV or robotic device, such testing is conducted in the U.S. or U.K. using servers based in the U.S. or U.K.

We train all our AI models on our FastAI model-training platform, which we offer as a software-as-a-service (“SaaS”) product for businesses that have AI model training needs. FastAI is built on large multimodal model technology that can train and tune up general and specific computer vision models (e.g., models that detect fire, smoke, bags, personnel, appearance, vehicles, etc.). As a SaaS platform, FastAI provides AI training infrastructures (i.e., GPU optimization, GPU resource management, open source frameworks, AI model compression, AI model distribution, and AI model release management, etc.) to ease the training and testing of computer vision models and other multimodal models. The FastAI platform also provides for automated sample annotation using zero-shot training technology, which can annotate training samples using the AI without significant human intervention. Our experience indicates that, on average, FastAI requires approximately 80% fewer samples to be labeled during testing and approximately 60% less training time, which collectively results in more than a 50% reduction in AI model training cost and a fast turn-around/delivery time. The FastAI license is a permanent license per each individual AI model that allows training and testing of the model via the Internet. Once a FastAI license is purchased for an AI model, there is no additional cost for re-training, upgrading or tuning up such model for customization. FastAI represents an ideal platform for training “smaller” models that solve real business problems with precision.

According to a report from IHS Markit, more than one billion security cameras were expected to be in service worldwide by the end of 2021. Other research reports indicate that one can estimate that approximately 400 million security cameras are in service outside of China. We believe the overwhelming majority of existing security cameras lack any form of AI-based analytical ability. Assuming conservatively that only 25% of the 400 million security cameras outside of China will be upgraded with AI-based functionality, and that $1,200 of revenue can be earned per camera stream per year for providing just a basic set of AI-based functionality, the total addressable market annually for upgrading standard security cameras to smart security cameras is potentially about $120 billion. If we can ramp up over five years to garner only about one percent of such potential total addressable market, the recurring revenue stream would approximate $1.2 billion per year. In addition to the market for retrofitting standalone security cameras, we also see significant potential regarding computer-vision-enabled robotic devices. The industrial robotics market alone is projected to reach approximately $35.7 billion by 2029, with a 10.5% compound annual growth rate from 2022 to 2029.

To begin capturing our portions of the described markets, the primary focus of our business is promoting and facilitating the safety of our customers and their customers through our SSP. The SSP, having won numerous industry and government benchmark tests for accuracy and speed, is a leading software solution for using computer vision to detect persons, objects and behavior in video feeds. Real-time alerts from the SSP allow operations staff to respond rapidly to prevent any events or activities that can endanger public security or workplace safety.

We generally configure and deploy the SSP to integrate with each customer’s IT infrastructure, including, in many cases, cameras already in place at the customer’s location(s). When necessary, we also sell and deploy hardware to create or supplement the customer’s monitoring capabilities. Because the SSP is camera-platform agnostic, we can deploy it for customers on anything configured with a camera such that a video feed is provided. For example, versions of the SSP can be configured for use in a motor vehicle, a UAV, a humanoid robot or other robotic device, in addition to being installed in video cameras on stationary mounts or on mobile mounts such as our Mobile Sentry unit. We have already successfully deployed versions of our AI software on robots and we continue to develop such capability, such that soon we expect to be able to port versions of our AI software onto more advanced humanoid robots.

The Mobile Sentry is a wheelable, trailer-style, solar-powered video analytics unit with a telescoping mast on which high-quality cameras are mounted. Based upon customer needs, the cameras may have normal vision and (or) thermal vision capability. The cameras work in conjunction with an edge-computing device that is also mounted to the unit. Optionally, UAVs, talk-down speakers, gunshot-sound detectors and other devices can be mounted to a Mobile Sentry unit to provide additional robust security and public safety functionality. The Mobile Sentry is an example of how we incorporate the SSP into modern IT architectural concepts, including edge computing, cloud computing and microservice architectures. Edge computing, for example, allows the SSP to conduct real-time computing tasks at distributed locations, while cloud computing can share computing resources on the Internet and provide unlimited expansion to support large organizations, thereby dramatically reducing initial costs while integrating numerous and varied sensors at distributed locations.

We have continued working to further expand our sales in the U.S., the U.K., and in Mexico, Central and South America, where we see demand for AI products and solutions in the retail, construction, public safety, workplace safety and public sector/government markets. At the same time, we have scaled down, and will continue to scale down, our operations in China until such operations are insignificant to our business, while we have been looking to expand our business in other parts of Asia. During the second quarter of 2024, we completed a large project for the Clark County School District in Nevada, and we expect additional orders from that client in the near future. We are also in the late stages of bidding on contracts with a large municipality in the U.S. and expect to make an announcement in late 2024. We have successfully signed initial contracts to assist expansion of our sales into South America, Malaysia, and India. Given the lack in those areas of AI companies specializing in computer vision, we believe we have a first-mover advantage with regard to targeting the same industries that we have successfully targeted in the U.S. and U.K.

In conjunction with the geographic diversification of our business, we believe we can more rapidly and more efficiently develop and increase our market presence in the various industries that we have identified as being most important by establishing business relationships with channel partners. To that end, we already have sales and marketing relationships with Microsoft, Oracle, Intel and NVIDIA which will provide us with access to their respective online marketplaces and to their worldwide salesforces, which will be incentivized to sell our solutions. We will continue working to establish additional such channel partners in the future.

我們的公司總部， 該公司負責行政、研發和運營職能，總部位於內華達州拉斯維加斯，同時我們還維護 位於英國倫敦的技術和研發團隊。我們的普通股在納斯達克資本市場有限責任公司（「納斯達克」）交易 由於我們不符合納斯達克上市的淨利潤標準，於2024年2月14日開業時被暫停 第5550（b）（3）條和納斯達克上市第5620（a）條中的年度股東大會要求。與停職同時進行 我們的股票在納斯達克交易後，我們的股票開始在場外粉紅市場交易，然後從2024年3月8日開始，我們的股票開始 在OTCQX市場上交易，股票代碼爲MARk。2024年4月9日，納斯達克提交了25-NSO表格作爲官方通知， 我們的普通股已退市。

2022年12月21日，我們生效 我們普通股的1比10反向拆分（「反向拆分」）。所有提及的股份或每股金額 本發行通函已進行追溯調整，以反映反向拆分的影響。

訴訟

我們沒有當前、懸而未決或威脅的法律 可能對我們的業務、財務狀況產生重大影響的訴訟或行政行動， 或運營以及任何當前、過去或即將暫停的交易。

設施

我們不擁有任何不動產。註釋 辦公室位於800 S。商業街，內華達州拉斯維加斯89106。我們的電話號碼是（702）701-9514，我們的電子郵件地址是 ir.remarkholdings.com.

員工

我們僱用了46名員工， 2024年10月14日，均爲全職員工。

附加信息

我們最初是成立的 2006年3月在特拉華州擔任HSW International，Inc.，我們更名爲Remark Media，Inc. 2011年12月，作爲我們的業務 不斷髮展，我們更名爲Remark Holdings，Inc. 2017年4月。

管理層的 財務狀況和運營結果的討論和分析

You should read the following discussion and analysis of our financial condition and results of our operations together with our consolidated financial statements and the notes thereto appearing elsewhere in this Offering Circular. This discussion contains forward-looking statements reflecting our current expectations, whose actual outcomes involve risks and uncertainties. Actual results and the timing of events may differ materially from those stated in or implied by these forward-looking statements due to a number of factors, including those discussed in the sections entitled “Risk Factors,” “Cautionary Statement regarding Forward-Looking Statements” and elsewhere in this Offering Circular. Please see the notes to our Financial Statements for information about our Critical Accounting Policies and Recently Issued Accounting Pronouncements.

Overview

Remark Holdings, Inc., incorporated in Delaware and based in Nevada, along with its subsidiaries (“Remark”, the “Company”, “we”, “us”, or “our”) constitute a diversified global technology business with leading AI-powered analytics, computer vision and smart agent solutions, delivered via an integrated suite of AI tools that help organizations understand their customer demographics and behavior while monitoring, understanding, and acting on potential security threats in real-time.

Our Business

We generate revenue by using the proprietary data and AI software platform we developed to deliver AI-based computer vision products, computing devices and software-as-a-service solutions for businesses in many industries. We continue to partner with top universities on research projects targeting algorithm, artificial neural network and computing architectures which we believe will keep us among the leaders in technology development.

The primary focus of our business is promoting and facilitating the safety of our customers and their customers through our Smart Safety Platform (the “SSP”). The SSP, having won numerous industry and government benchmark tests for accuracy and speed, is a leading software solution for using computer vision to detect persons, objects and behavior in video feeds. Real-time alerts from the SSP allow operations staff to respond rapidly to prevent any events or activities that can endanger public security or workplace safety.

We deploy the SSP to integrate with each customer’s IT infrastructure, including, in many cases, cameras already in place at the customer’s location(s). When necessary, we also sell and deploy hardware to create or supplement the customer’s monitoring capabilities. Such hardware includes, among other items, cameras, edge computing devices and/or our Smart Sentry units. The Smart Sentry is a large mobile camera unit with a telescoping mast on which a high-quality camera is mounted. Based upon customer needs, the camera may have either standard vision and/or thermal vision capability. The camera works in conjunction with an edge computing device that is also mounted to the unit. The Smart Sentry is an example of how we incorporate the SSP in modern IT architectural concepts, including edge computing and micro-service architectures. Edge computing, for example, allows the SSP to conduct expensive computing tasks at distributed locations without requiring large data transmission over the internet, thereby dramatically reducing costs while integrating numerous and varied sensors at distributed locations.

We customize and sell our innovative AI-based computer vision products and solutions, including the SSP, to customers in the retail, construction, public safety, workplace safety and public sector markets. We have also developed versions of our solutions for application in the transportation and energy markets.

Overall Business Outlook

Two primary factors have been affecting our business in recent quarters and occupying our focus as we plan for the future. We began 2023 having to deal with the slow economic recovery in China as municipalities and businesses there tried to return to fully-normalized operations following strict preventative measures related to the COVID-19 pandemic. As 2023 progressed, the rising political tensions between the U.S. and China reached a point that such tensions also negatively impacted our ability to complete projects in China on a similar pace as we had previously done by making it somewhat more difficult for an American company in the newer but rapidly-developing AI space to overcome politically-based perceptions and do business in China. Though we remain optimistic that political tensions between the U.S. and China will begin to relax, we expect that we may continue to face difficult-to-predict operating results in China for approximately the next 12 months. As a result, we began reducing staffing levels at our China subsidiaries early in the fourth quarter of 2023, such that we can still continue working with existing clients with our smaller footprint while saving on operating costs until such time as the political tensions ease and the business environment for American companies in the AI space in China becomes more conducive to again expand operations.

We have continued working to further expand our sales in the U.S., the U.K., and in Mexico, Central and South America, where we see demand for AI products and solutions in the workplace, government and public safety markets. At the same time, we have scaled down, and will continue to scale down, our operations in China until such operations are insignificant to our business, while we have been looking to expand our business in other parts of Asia. During the second quarter of 2024, we completed a large project for the Clark County School District in Nevada, and we expect additional orders from that client in the near future. We are also in the late stages of bidding on contracts with a large municipality in the U.S. and expect to make an announcement in late 2024. We have successfully signed initial contracts to assist expansion of our sales into South America, Malaysia, and India. Given the lack in those areas of AI companies specializing in computer vision, we believe we have a first-mover advantage with regard to targeting the same industries that we have successfully targeted in the U.S. and U.K.

In conjunction with the geographic diversification of our business, we believe we can more rapidly and more efficiently develop and increase our market presence in the various industries that we have identified as being most important by establishing business relationships with channel partners. To that end, we already have relationships with Microsoft, Oracle, Intel and NVIDIA which will provide us with access to their respective online marketplaces and to their worldwide salesforces, which will be incentivized to sell our solutions. We will continue working to establish additional such channel partners in the future.

Despite our efforts, pandemics of any type and any resulting preventative measures, as well as economic and geopolitical conditions in some international regions, could affect our business and we cannot be sure what the ultimate effects will be. We will continue to pursue geographic diversification, but anticipating when, or if, we can close on the opportunities in front of us is difficult. In addition, we may face a large number of well-known competitors which would make deploying our software solutions in the market segments we have identified difficult.

Inflation and Supply Chain

Other than the impact of inflation on the general economy, we do not believe that inflation has had a material effect on our operations to date. However, there is a risk that our operating costs could be subject to inflationary pressures in the future, which would have the effect of increasing our operating costs and cause additional stress on our working capital resources.

The high level of political tension described above has affected our ability to work with certain vendors in a timely manner. Though we have been able to complete contracts with our customers in China, such political tension has caused delays in the speed at which we can work with certain vendors to deploy our services and complete contracts in China. Also, as we work to increase our sales of computer-vision products and services in the U.S., Europe and South America and thereby geographically diversify our business, we could be subjected to the risk of supply chain disruptions with regard to high-technology products such as servers and related equipment that we use to train our AI software algorithms and which we plan to sell to customers to support operation of our computer-vision products and services.

Business Developments During 2024

如上所述，高 美國和中國之間的政治緊張程度，以及我們在中國的裁員，使我們很難完成 就像我們在前幾個時期所做的那樣，在中國進行重大項目。與此同時，我們繼續在中國境外建立業務， 在美國的一個大型學區取得成功我們預計未來幾個月該大型學區將收到更多訂單。

下表呈列 截至2024年6月30日和2023年6月30日的三個月和六個月內，我們的收入類別佔總合併收入的百分比。

關鍵會計估計

止六個月 2024年6月30日，我們在2023年表格第二部分第7項中披露了關鍵會計估計，因此沒有對關鍵會計估計做出重大變更 10-k，除非下文所述。

評估無限生活 無形資產進行減損

至少每年，我們都會在質量上 評估壽命不確定的無形資產，例如收入的遞延成本，以確定是否更有可能發生這種情況 資產已受損。如果我們確定此類資產更有可能出現損害，我們將此類資產的公允價值與 其公允價值以確定損失金額。

遞延成本餘額 鑑於供應商能夠進行安裝，但完成 中國的項目並完全收回收入餘額的遞延成本將需要額外的資本資源。雖然我們已經 我們將重點轉向擴大中國以外的業務，我們將繼續努力完成中國的項目，儘管我們可能會 如果我們的資本資源不足以完成所有此類項目，則必須在未來時期對資產進行損害。給定 我們對中國的資本資源有限，這可能會導致與推遲相關的項目進一步推遲完成 截至2024年6月30日，我們已將收入遞延成本餘額重新分類爲長期資產。

行動的結果

下表總結了我們未經審計的經營業績 截至2024年6月30日的三個月和六個月，下表的討論解釋了此類經營業績的重大變化 與截至2023年6月30日未經審計的三個月和六個月相比。

收入和收入成本。 截至2024年6月30日的三個月內，我們在中國裁員並重新調整海外工作重點，防止了 我們無法完成任何重大項目。我們努力將業務擴展到中國以外，最終完成了一個項目 美國的一個大型學區，導致我們確認約3.7億美元的收入。收入減少 中國部分抵消了在美國確認的幾乎所有收入，導致增加約5000萬美元。成本 銷售額與收入變化相關而增加。

止六個月 2024年6月30日，由於中國裁員和對外工作重新集中，導致項目未能完成 中國導致收入減少，幾乎完全抵消了我們完成後在美國帶來的收入增加 學區項目的。銷售成本隨着收入變化而增加。

技術與發展。 截至2024年6月30日的三個月內，由於我們的 我們中國業務的裁員。

止六個月 2024年6月30日，由於我們在中國裁員，工資相關費用減少約5000萬美元 運營截至2023年6月30日的六個月內，我們從政府獲得了約5000萬美元的可退還稅收抵免 英國因我們在其管轄範圍內的研究和開發活動而產生的損失，並報告了該金額作爲抵消 去花費。截至2024年6月30日止六個月內，我們沒有收到此類稅收抵免。研究時間的差異和 發展稅收抵免導致費用增加，幾乎完全抵消了工資相關費用的減少。

一般和行政。 截至2024年6月30日的六個月內，與業務發展相關的某些費用增加了約3000萬美元 以及不表明我們業務趨勢的其他費用的其他個別無關緊要的增加被部分抵消 由於估計變化導致特許經營稅減少2000萬美元，以及其他個別無關緊要的減少 其他不表明我們業務趨勢的費用。

損傷。 期間 截至2023年6月30日的三個月裏，我們確定我們已資本用於進行中的軟件開發的某些成本將 不再可收回，我們記錄了約20萬美元的損失。此外，我們還記錄了約 20萬美元與某些被視爲無法收回的預付費用有關。期間沒有記錄此類損傷 截至2024年6月30日的三、六個月。

利息支出。 興趣 截至2024年6月30日的六個月內，費用減少，因爲上一年同期包括約爲 我們記錄了與2023年3月14日簽訂2023年Mudrick貸款協議以及原始Mudrick相關的80萬美元 貸款協議，在本次發行包含的未經審計簡明合併財務報表附註10中描述 圓形的與延期費相關的增加被與2023年Mudrick相關的利率上漲部分抵消 由於我們在到期時沒有支付一定的本金而導致貸款協議。

與義務相關的財務成本 發行普通股.截至2024年6月30日止六個月的財務成本是由於設立和重新計量而產生的 發行普通股的義務是我們因從Ionia收到的CLARC預付款而產生的，所有這些都已描述 在本發行通函中包含的未經審計簡明合併財務報表註釋中的註釋12中。我們有更多的C 截至2024年6月30日止六個月的未償預付款比上年同期有所增加。

行動的結果

下表總結 我們截至2023年12月31日止年度的經營業績，下表的討論解釋了此類重大變化 與截至2022年12月31日的年度相比的經營業績。

收入和收入成本。 年內 截至2023年12月31日，我們在中國的項目完成量顯着放緩，首先是由於商業和經濟復甦努力 始於中國於2022年底取消大部分繁重的COVID-19相關限制後，經濟持續低迷，然後隨着 此前指出的美國和中國之間的政治緊張局勢繼續使我們完成項目比預期更困難。

截至12月31日止年度的收入成本， 2023年的下降主要與上述項目完成量的下降有關。此外，在截至12月31日的一年中， 2022年，我們在收入成本中記錄了約1.3億美元的庫存報廢，而我們沒有記錄重大金額 截至2023年12月31日止年度的庫存報廢情況。

銷售和市場營銷。 後期添加 2022年，我們的銷售團隊新增了三名人員，其中包括兩名高管職位，導致工資和相關人員增加了3000萬美元 截至2023年12月31日止年度的費用。

一般的和行政的。年內 截至2023年12月31日，我們記錄的壞賬支出比前一年減少了1200億美元萬，因爲在前一年，我們 我們不得不根據當時的最新信息重新評估從客戶那裏應收的金額，因此，我們基本上 增加了我們的信貸損失準備金，在我們評估當前預期的信貸損失時，需要審查的帳戶更少了。 我們的法律和其他專業費用減少了約70美元萬，主要是因爲截至12月的一年 2022年31日，包括與融資和提交登記報表修正案有關的費用，而我們沒有那麼多 2023年期間的類似活動。一般和行政費用總體減少的另一個原因是減少了1.5美元 與業務發展相關的某些費用，包括短期工作空間租金，爲100萬美元。最後，我們的股份薪酬 支出減少了180美元萬，原因是授予日期爲2021年7月8日的大量股票期權在 2023年1月，與2022年全年支出相比，原因是未支付現金獎金的數量減少 致我們在中國的員工。

損傷。 2023年期間，我們記錄了 與我們不再建立現金流來支持的軟件資產有關的約8000萬美元的損失繼續 確認此類資產，並且我們還確定我們已資本化用於進行中的軟件開發的某些成本將 不再可收回，我們記錄了約20萬美元的損失。此外，在2023年，我們認爲一定的預付費用 金額無法收回，因爲與某些物品相關的金額供應商已經開始爲我們定製，但我們必須 取消，因此我們記錄了約2000萬美元的損失。

利息支出。 我們執行了原件 2021年12月達成Mudrick貸款協議，根據該協議，我們獲得了本金總額的原始Mudrick貸款 3000萬美元。截至2022年12月31日止年度，我們記錄了利息費用約2.2億美元的攤銷 與原始Mudrick貸款相關的債務折扣和債務發行成本，但年內沒有任何此類攤銷 截至2023年12月31日，因爲債務貼現和債務發行成本已於2022年全額攤銷。利息支出也有所下降 因爲截至2023年12月31日的一年內，原始Mudrick貸款的未償債務本金顯着低於 上一年，儘管利率從16.5%上升到20.5%。部分抵消利息下降 費用是我們記錄的與2023年3月14日進入有關的修改和延期費約80萬美元 新Mudrick貸款協議。

與發行義務相關的財務成本 普通股。 截至2023年12月31日止年度的財務成本源於債務的建立和重新計量 發行與2022年和2023年向Ionia發行的債券相關的普通股以及CLARC預付款 我們從Ionic收到了這些信息，所有這些信息均在合併財務報表附註的註釋14中進行了描述。相關的幾項義務 截至2023年12月31日，除了與我們在2023年發行的債券相關的義務外，還存在未償還的應收賬款，而 截至2022年12月31日，我們唯一未履行的義務與我們於2022年10月向Ionia發行的債務有關。

投資損失。 2021年7月1日，作爲 涉及美國的業務合併的結果總部位於Sharecare，Inc.的企業（「Legacy Sharecare」）和Falcon Capital 收購公司，特殊目的收購公司，此類業務合併的倖存實體的普通股（「新 Sharecare」）在納斯達克證券市場有限責任公司上市，我們在Legacy Sharecare的股權轉換爲現金和公開股票 交易的New Sharecare普通股。由於New Sharecare的普通股在國家證券交易所交易， 我們能夠以公允價值重新衡量我們的投資。自2021年7月1日以來，New Sharecare股票價值穩步下跌， 導致截至2022年12月31日止年度的投資損失。2022年7月11日，我們交付了剩餘的6，250，000股 應我們的貸方的要求向他們提供了New Sharecare，因此，我們在截至12月31日的年度內沒有維持投資， 2023.

其他損失，淨。 截至12月的一年內 2022年31日，我們因在時限後生效的登記聲明而累積了4000萬美元的違約金 在此期間，我們被要求確保該登記聲明生效。截至今年，我們沒有進行類似活動 2023年12月31日。

流動資金和資本資源

持續經營的企業

期間 截至2024年6月30日止六個月，以及自成立以來的每個財年，我們都出現了運營虧損，導致 截至2024年6月30日，股東赤字爲（4，630萬）美元。此外，我們的業務歷來使用的現金多於 他們提供了。截至2024年6月30日止六個月，經營活動使用的淨現金爲6.1億美元。 截至六 2024年30日，我們的現金餘額爲40萬美元。此外，我們沒有按要求償還2023年Mudrick下的未償貸款 貸款協議到期時（更多信息請參閱註釋10），我們已累計約1.4億美元的拖欠工資稅.

我們的歷史 經常性經營虧損、營運資金不足和經營活動產生的負現金流導致和管理 得出的結論是，人們對我們繼續經營的能力存在很大疑問。 我們的獨立註冊 公共會計師事務所在其截至2023年12月31日的年度合併財務報表報告中還表示， 對我們繼續經營的能力存在重大懷疑。我們的合併財務報表不包括任何調整 這可能是由於這種不確定性的結果造成的。

我們打算資助我們未來的運營並會面 通過人工智能產品的收入增長以及熱成像產品的銷售來履行我們的財務義務。我們 然而，無法保證我們的業務產生的收入、收入和現金流足以維持我們的業務 提交本發行通知後十二個月內的運營情況。因此，我們正在積極評估戰略替代方案 包括債務和股權融資。

債務和股票市場的狀況 由於投資者對宏觀經濟和微觀經濟狀況的情緒波動（特別是由於COVID-19 大流行、全球供應鏈中斷、通貨膨脹和其他成本增加以及烏克蘭地緣政治衝突）將發揮主要作用 在決定我們是否能夠成功獲得額外資本方面發揮着重要作用。

多種因素，其中許多是外部因素 我們的控制權可能會影響我們的現金流;這些因素包括監管問題、競爭、金融市場和其他一般業務 條件根據財務預測，我們相信我們至少能夠滿足未來12年的持續要求 使用現有現金並基於以下一個或多個計劃的可能成功：

然而，預測本質上是不確定的， 我們計劃的成功在很大程度上超出了我們的控制範圍。因此，人們對我們繼續下去的能力存在很大疑問 作爲持續經營企業，我們可能會在2024年9月30日之前充分利用我們的現金資源。

泥巴貸款

十二月 2021年3月，我們簽訂了原始Mudrick貸款協議，據此，我們總共產生了原始Mudrick貸款 本金金額3000萬美元。原始Mudrick貸款最初按16.5%的年利率計算，直至原始到期 日期爲2022年7月31日，根據我們於2022年8月與Mudrick達成的修訂，年利率爲18.5%。的 修正案還將原始Mudrick貸款的到期日從2022年7月31日延長至2022年10月31日。然而，我們沒有做出 要求在2022年10月31日之前償還Original Mudrick貸款，這構成Original Mudrick項下的違約事件 貸款並引發原始Mudrick貸款利率上調至20.5%。

三月 2023年14日，我們簽訂了2023年Mudrick貸款協議，根據該協議，所有原始Mudrick貸款均被取消以換取 2023年Mudrick票據本金總額約爲1630萬美元。2023年Mudrick Note的興趣在於 年利率爲20.5%，自2023年5月31日起每月最後一個工作日支付。利率增加 2%，2023年Mudrick票據下的未償本金及其任何未付利息可能立即成爲 2023年Mudrick貸款協議項下發生任何違約事件時到期並應支付。所有未償金額 2023年Mudrick票據（包括所有應計和未付利息）將於2023年10月31日到期並全額支付。請參閱中的註釋10 本發行通知中包含的未經審計簡明合併財務報表註釋，以獲取有關以下方面的更多信息 2023年Mudrick筆記。

To secure the payment and performance of the obligations under the Original Mudrick Loan Agreements and the 2023 Mudrick Loan Agreement, we, together with the Guarantors, granted to TMI Trust Company, as the collateral agent for the benefit of Mudrick, a first priority lien on, and security interest in, all assets of Remark and the Guarantors, subject to certain customary exceptions.

In connection with our entry into the Original Mudrick Loan Agreements, we paid to Mudrick an upfront fee equal to 5.0% of the amount of the Original Mudrick Loans, which amount was netted against the drawdown of the Original Mudrick Loans. We recorded the upfront fee as a debt discount of $1.5 million, and recorded debt issuance cost totaling $1.1 million. We amortized the discount on the Original Mudrick Loans and the debt issuance cost over the life of the Original Mudrick Loans and, during the year ended December 31, 2022, we amortized $2.2 million of such discount and debt issuance cost. In consideration for the amendment we entered into with Mudrick in August 2022, we paid Mudrick an amendment and extension fee in the amount of 2.0% of the then unpaid principal balance of the Original Mudrick Loans, which was approximately $0.3 million, by adding such amount to the principal balance of the Original Mudrick Loans.

八月 2024年5月5日，我們與Mudrick Capital Management，LP簽訂了交換協議（「交換協議」）代表 本金總額約爲16.3美元的2023年Mudrick票據持有人（「投資者」） 百萬（「原始本金」），據此投資者和我們將2023年Mudrick票據交換爲新發行的， 我們發行的有擔保可轉換債券（「有擔保可轉換債券」）本金總額相等 原本金和原本金的應計和未付利息之和，總額約爲 3.7億美元。

有擔保 可轉換債券於2025年5月15日到期，年利率爲20.5%，利息以實物支付 我們向投資者發行如下所述的普通股。有擔保可轉換債券是可轉換的，價格爲 投資者隨時選擇購買等於有擔保本金金額的我們普通股股份 轉換的可轉換債券加上該本金額的所有應計和未付利息，轉換價格等於收盤價 轉換日期前一個交易日我們普通股的價格，底價爲0.10美元，但須遵守 (i)任何股票分拆、股票股息、資本重組或類似事件導致的公平調整以及（ii）可用性 可以爲此類轉換而保留的授權普通股股份。

在任何情況下 投資者是否有權轉換超過部分的有擔保可轉換債券的任何部分 其及其附屬公司實際擁有9.99%以上的普通股流通股，除非此類投資者 至少在該通知生效日期前六十一（61）天向我們發送書面通知，要求調整該條款 9.99%。有擔保可轉換債券規定投資者或任何聯屬公司均不得直接出售或以其他方式轉讓 或間接在任何交易日我們的任何普通股股票，其金額超過普通股交易量的10.0% 車輛.

此外， 我們可以以相當於有擔保本金總額100%的贖回價格贖回有擔保可轉換債券 待贖回的可轉換債券加上應計利息（如果有）。

在此之前 發生有擔保的可轉換債券中規定的違約事件，包括未能支付未償還本金 有擔保可轉換債券的金額及其到期時的所有應計和未付利息，違反交易所條款 協議、擔保可轉換債券或擔保協議(定義見下文)、違反備註或擔保人 (定義見下文)交易所協議、有擔保可轉換債券或擔保協議中的陳述和保證， 某些與備註或擔保人有關的破產事件，未能支付任何債務項下的到期和應付款項 超過100,000美元的評語或擔保人，或對評語或擔保人總計作出的最終判決 金額超過100,000美元，有擔保可轉換債券項下的所有欠款，連同年息22.5%的違約利息， 即到期並須予支付。此外，抵押品代理人(定義見下文)有權行使設定的補救措施 在安全協議中排在第四位。

有擔保 可轉換債券由我們的某些直接和間接子公司（「擔保人」）擔保，並有擔保 根據擔保，Remark和擔保人的所有資產（無論位於何處，無論是現在擁有還是以後獲得）以及 截至2024年8月5日的擔保協議（「擔保協議」），由我們作爲擔保人、投資者簽署 和Argent機構信託公司（「抵押代理人」）。

發行普通股的義務

日 2022年6月6日，我們根據《2022年債務購買協議》與Ironic簽訂了一份債券購買協議（「2022年債務購買協議」） 我們發行了原本金額爲280萬美元的可轉換次級債券（「2022年債券」） 收購價爲2.5億美元（見未經審計簡明合併財務報表附註中的註釋12 請參閱本報告以獲取更多詳細信息）。

在連接中 對於2022年債券，我們還於2022年10月6日與Ionic簽訂了購買協議(經某些信函修訂 Remark和Ionic之間的協議，日期爲2023年1月5日、2023年7月12日、2023年8月10日、2023年9月15日和2月 2024年1月14日和2024年1月9日的第一修正案(「經修訂的ELOC購買協議」)，其中規定， 根據條款以及其中規定的條件和限制，我們有權指示Ionic購買最多 在修訂的ELOC購買協議的36個月期限內，我們普通股的總價值爲5,000萬美元。在.之下 在滿足某些開始條件後，修訂ELOC採購協議，包括但不限於有效性 向美國證券交易委員會提交的轉售登記聲明登記此類股份，2022年債券應已完全轉換 轉換爲普通股或以其他方式已全部贖回並根據 2022年債券，我們有權向Ionic提交一份購買通知(每個，「購買通知」)，指示Ionic 在每個交易日購買任何金額不超過50萬美元的我們的普通股，每股價格等於80%(或如果我們的普通股爲70% 股票當時不是在納斯達克交易))在指定的 測算期。根據修訂的ELOC採購協議，我們需要向IONIC交付額外的數量 相當於購買時可交付普通股股數的2.5%的股份。(見 合併財務報表附註包括在本報告中，以了解更多細節)。

一月 2023年5月，我們與Ionia簽訂了一份書面協議（「2023年1月書面協議」），修訂了CLARC購買 協議根據2023年1月的信函協議，雙方同意（i）修改底價低於 Ionic無需根據CLARC購買協議購買我們的任何普通股股票，價格爲0.25美元至0.20美元，具體時間爲： 反向拆分後，（ii）將根據CLARC購買協議購買的每股購買價格修改爲平均價格的90% 指定測量期間（將在適用測量結束時開始）的兩個每日最低VWAP的 與2022年債務相關的期限和（iii）放棄CLARC購買協議中的某些要求，以允許一次性0.5美元 根據CLARC採購協議進行百萬美元的採購。參見本報告合併財務報表附註中的註釋12 了解更多細節。

On March 14, 2023, we entered into another debenture purchase agreement (the “2023 Debenture Purchase Agreement”) with Ionic pursuant to which we authorized the issuance and sale of two convertible subordinated debentures in the aggregate principal amount of $2.8 million for an aggregate purchase price of $2.5 million. The first debenture is in the original principal amount of $1.7 million for a purchase price of $1.5 million (the “First Debenture”), which was issued on March 14, 2023, and the second debenture is in the original principal amount of $1.1 million for a purchase price of $1.0 million (the “Second Debenture” and collectively with the First Debenture, the “2023 Debentures”). The terms of the 2023 Debentures are further described in Note 12 in the Notes to Consolidated Financial Statements included in this report.

在9月 2023年9月15日，我們和IONIC簽訂了一項信函協議(「2023年9月信函協議」)，該協議修訂了修訂後的ELOC 購買協議。根據2023年9月的《函件協議》，該協議重複了早先函件協議中所作的修改 2023年7月12日和2023年8月10日，雙方同意，除其他事項外，(I)允許Remmark提供一個或多個 向Ionic發出總額不超過2,000萬美元的不可撤銷書面通知(「豁免購買通知」)， 其中總金額減去之前的豁免購買通知的總金額，(Ii)修訂每股 申購價格爲申購豁免通知下申購金額的80%，爲兩個日均成交量最低的加權平均數 (Iii)修訂指明量度期間的定義，以規定 爲了計算最終購買價格，這種計量期從Ionic支付備註後的交易日開始 申購通知書中要求的金額，同時計算在主板市場交易的備註普通股的美元交易量 確定計量期的長度應從上一個計量期結束後的下一個交易日開始； 任何不符合購買協議條款和規定的額外豁免購買通知應 待IONIC批准後，v)修訂經修訂的ELOC採購協議第11(C)條，以增加額外承擔 費用從50萬美元到300萬美元(和vi)，雙方將在2023年9月29日之前修改債券交易 包括所謂的最惠國條款的文件，該條款將爲Ionic提供必要的保護，使其免受未來任何融資的影響， 結算、交換或其他交易，無論是與現有的或新的貸款人、投資者或交易對手進行的，如果該修訂 如果在2023年9月29日之前沒有做出承諾，額外承諾費將進一步增加到約380萬美元。

一月 2024年9月9日，我們與Ionic對經修訂的CLARC購買協議達成了一項修正案（「第一修正案」）。下 第一修正案中，雙方同意（i）澄清協議中的底價爲0.25美元，（ii）修改 定期購買通知下購買的每股購買價格爲兩個最低每日成交量加權平均值的80% 指定測量期內的平均價格（「VWAP」），（iii）增加我們提交購買的頻率 通知，在限制範圍內，以及（iv）修改CLARC購買協議第11（c）條，將額外承諾費從 50萬美元至約380萬美元。

二月 2024年14月14日，我們與Ionic簽訂了一份書面協議（「2024年2月書面協議」），該協議修改了經修訂的CLAC 購買協議。根據2024年2月的信函協議，雙方同意（i）重新定義定義 主要市場包括納斯達克資本市場和場外公告牌以外的市場，（ii）Ionic將剋制 因Remark被除名而強制執行任何不遵守修訂後的CLARC購買協議中的契約 納斯達克以及納斯達克任何相關交易暫停，以及（iii）澄清儘管 只要主要市場是OTCQX、OTCQb、 或OTCBb，每次定期購買不超過500，000美元。

現金流--經營活動

期間 截至2024年6月30日的六個月，我們在經營活動中使用的現金比上一年同期多9000萬美元 年經營活動中使用的現金增加主要是由於與工作要素相關的付款時間造成的 資本

現金流--投資活動

期間 截至2024年6月30日的六個月裏，我們購買了約6000萬美元的軟件供內部使用和其他運營資產，同時 2023年同期，投資活動爲極少數。

現金流--融資活動

在.期間 截至2024年6月30日的六個月，我們從融資活動中獲得的萬比同期多了約160萬美元 2023年的。根據修訂的ELOC，在截至2024年6月30日的6個月中，Iion向我們提供了總計約480美元的萬 購買協議，我們發行了24,965,987股普通股，我們預計將再發行48,746,999股 我們的普通股，我們在敲定協議之前從一個無關的潛在投資者/債權人那裏收到了280萬美元的萬， 我們還從高級管理層那裏收到了代表各種運營費用的70萬預付款，並償還了1.3萬美元 來自高級管理層的數百萬美元預付款。在2023年同期，我們從Ionic獲得了250萬美元的萬，以換取發行 對於可轉換債券，IONIC還向我們提供了總計300萬美元的萬，我們從高級員工那裏獲得了70美元的萬預付款 並償還了高級管理層預支的80美元萬，代表我們支付了各種運營費用。

表外安排

我們目前 沒有表外安排。

近期發佈的會計公告

請參閱 本報告包含的未經審計簡明合併財務報表註釋中的註釋2，以供討論最近 發佈可能影響我們的會計公告。

MANAGEMENT

The following table and paragraphs set forth information regarding our executive officers and directors, including the business experience for the past five years (and, in some instances, for prior years) of each such executive officer and director.

Executive Officer

陶開城曾擔任我們的首席執行官 自2012年12月起擔任首席執行官，自2012年10月起擔任聯席首席執行官，並擔任我們的董事會成員 自二零零七年起擔任董事(「董事會」)，並自二零一二年十月起擔任董事會主席。陶先生還擔任過董事長和 私人投資集團太平洋之星資本管理有限公司(「太平洋之星資本」)首席投資官，自 2004年1月。在創立太平洋之星資本之前，陶淵明是單一家族投資辦公室法拉資本集團的合夥人。 在那裏，他負責運營公司以外的全球流動性投資。陶先生一直是天堂娛樂的董事用戶 香港聯合交易所股份有限公司(聯交所代號：1180)，是一家在香港聯合交易所上市的公司，從事賭場服務及電子產品的開發、供應及銷售。 遊戲系統，自2014年4月以來。陶淵明之前在2010年5月至2011年3月期間是花花公子企業有限公司的董事員工。陶先生 畢業於紐約大學斯特恩商學院。

非僱員董事

西奧多·P·博茨有 自2007年起擔任本公司董事會成員。博茨一直擔任私人企業融資公司肯辛頓門資本有限責任公司的總裁 諮詢公司，自2001年4月以來。此前，博茨先生曾擔任電影公司Sterevision Entertainment，Inc.的首席財務官 娛樂公司，從2007年7月到2008年9月。在2000年前，博茨先生在瑞銀集團擔任高管職務，並 高盛在倫敦和紐約。博茨先生還擔任過INTAC的董事會成員和審計委員會主席 國際，Inc.從2002年開始，直到2006年與前身Remmark合併。博茨先生曾擔任董事會成員和董事長。 2012年至2018年擔任Crystal Peak Minerals(CPMMF)薪酬和審計委員會主席。博茨先生目前是 Essentia Analytics是一傢俬人持股的英國公司，爲活躍的投資組合開發和提供行爲分析 經理們。2003年至2012年，他擔任非營利性組織REACH Prep的董事會成員和發展主管 滿足費爾菲爾德縣和韋斯特切斯特縣貧困的非裔美國人和拉美裔兒童的教育需求。博茨先生 以最高榮譽畢業於威廉姆斯學院，並獲得紐約大學斯特恩商學院工商管理碩士學位。

佈雷特·拉特納 自2017年3月以來一直是我們董事會的成員。拉特納是好萊塢最成功的電影製作人之一。他的電影票房收入 全球票房超過20美元的億。他曾擔任金球獎和奧斯卡獲獎影片的執行製片人 《荒野獵人》由獲得金球獎提名的福克斯電視劇《越獄》的執行製片人兼董事主演萊昂納多·迪卡普里奧主演 根據他的熱門電影改編的電視連續劇《尖峯時刻》的執行製片人。拉特納先生和他的商業夥伴詹姆斯·帕克 2013年成立了RatPac Entertainment，一家電影金融和媒體公司。自成立以來，RatPac Entertainment已經共同資助了63部在影院上映的影片 全球票房收入超過116億美元億的電影。2017年，他在好萊塢步行街上獲得了一位令人垂涎的明星 名望。拉特納先生獲得了紐約大學蒂施藝術學院的美術學士學位。他目前正在參加 哈佛大學商學院研究生項目。

丹尼爾·斯坦 自2017年3月以來一直擔任我們的董事會成員。自2021年1月以來，斯坦先生一直擔任 他是CrosSix Analytics(Veeva Systems的一部分)的合夥人，負責監督所有媒體、支持和產品合作伙伴關係。他 自2012年起，高級副總裁在醫療保健公司CrosSix Solutions，Inc.擔任分析服務和產品戰略主管 以及分析和數據公司，在那裏他負責推動CrosSix產品套件的創新，包括數字和 基於電視的解決方案。在加入CrosSix之前，斯坦在Digitas和廣告公司Digitas Health工作了八年，在那裏 他在紐約領導了戰略和分析小組。在Digitas Health，他建立了一個團隊，專注於利用分析來幫助製藥 專注於健康的客戶優化了他們的營銷計劃和合作夥伴關係。斯坦先生帶來了20多年的媒體、市場營銷、醫療保健經驗 以及專注於產品、營銷和創新的代理經驗。此前，他曾在Scholastic工作，在那裏他開發了互動 和直銷計劃，以支持教師和家長，他在普華永道獲得了額外的醫療保健經驗， 在那裏，他爲大公司設計和建立了全面的健康和福利系統。斯坦先生畢業於華盛頓大學 賓夕法尼亞州，經濟學學士學位。在過去的五年裏，他沒有在任何其他董事會或委員會任職。

伊麗莎白·徐博士曾擔任會員 自2020年以來一直擔任我們的董事會成員。自2020年9月以來，她一直擔任私人領導層A2C領導力集團公司的首席執行官 Be The Change Foundation的主席，該基金會是一家公共非營利性組織，一直在幫助K-12學生和 工作中的專業人士建立他們的領導技能。徐博士被評爲2020年前50名多樣性領導者之一，作爲 2015年硅谷影響力女性，作爲高管年度女性，還獲得了來自各種組織的10多個其他獎項。 徐博士是國際變革性技術領導者和高級商業高管，擁有20多年的經驗 包括通過應用人工智能、物聯網和其他企業技術實現數字化轉型 在多個行業。她曾擔任斯坦福大學講師幾年，目前擔任創新與創業公司 她是麻省理工學院斯隆管理學院的顧問，也是國際女性科技協會的顧問。從2018年到2019年， 徐博士曾在泰國正大集團(正大集團)擔任集團首席技術官，正大集團是世界上最大的企業集團之一， 她推動了公司的技術戰略和進步，並監督了公司200多名員工的再培訓 各行各業的子公司。在此期間，她還擔任正大集團泰國子公司和 進行正大集團研發的美國。從2014年到2017年，徐博士擔任過幾個領導職務，包括 擔任全球信息技術服務管理領先企業BMC Software，Inc.的首席技術官。在BMC，她負責 公司的中央技術組織和數字服務管理BU工程組織。

董事資質

董事會由不同的 由各自領域的領導者組成的小組。現任董事中的一些人擁有國內和國際主要公司的高級領導經驗。 公司。在這些職位上，他們獲得了核心管理技能的經驗，如戰略和財務規劃、公共部門 公司財務報告、合規、風險管理和領導力發展。我們的一些董事也有服務經驗 在其他上市公司的董事會和董事會委員會任職，並了解企業管治常規和 趨勢，它提供了對不同業務流程、挑戰和戰略的理解。其他董事都有經驗 作爲私人投資和諮詢公司的負責人，這爲董事會帶來了金融專業知識和獨特的視角。我們的導演 也有其他使他們成爲有價值的成員的經驗，例如管理技術和媒體公司的經驗，或開發 以及在國際市場尋求投資或商機，這有助於洞察戰略和運營問題 面對評論。

We believe that the above-mentioned attributes, along with the leadership skills and other experiences of the directors described below, provide us with a diverse range of perspectives and judgment necessary to guide our strategies and monitor their execution.

Kai-Shing Tao

Theodore P. Botts

Brett Ratner

Daniel Stein

Elizabeth Xu

Family Relationships

There are no family relationships among our executive officers and directors.

Code of Business Conduct and Ethics

We have adopted a Code of Business Conduct and Ethics (the “Code of Ethics”) that applies to all of our employees, officers and directors. A copy of the Code of Ethics is publicly available on our website at ir.remarkholdings.com/corporate-governance. Amendments to the Code of Ethics or any grant of a waiver from a provision of the Code of Ethics requiring disclosure under applicable SEC rules will also be disclosed on our website.

Director Independence

The Board has determined that all of our current non-employee directors are independent within the meaning of SEC and Nasdaq rules. The Board has also determined that all directors serving on the Audit Committee, Nominating and Governance Committee and Compensation Committee are independent within the meaning of SEC rules.

Board Committees

Our Board has three standing committees to assist it with its responsibilities. We describe the three committees, the charters of which are available on our website at https://remarkholdings.com/ir.html#governance, below.

Audit Committee. The Audit Committee is comprised of directors who satisfy the SEC and Nasdaq audit committee membership requirements, and is governed by a Board-approved charter that contains, among other things, the committee’s membership requirements and responsibilities. The committee’s responsibilities include, but are not limited to:

Our Audit Committee is comprised of Messrs. Botts and Stein and Dr. Xu, each of whom is independent under applicable Nasdaq listing standards and Rule 10A-3 under the Exchange Act. Mr. Botts serves as Chairman of the Audit Committee.

The Board determined that Mr. Botts is an audit committee financial expert, as defined under the Exchange Act. The Board made a qualitative assessment of Mr. Botts’s level of knowledge and experience based on a number of factors, including his experience as a financial professional.

Compensation Committee. The Compensation Committee’s responsibilities include, but are not limited to:

Our Compensation Committee is comprised of Mr. Ratner and Dr. Xu, each of whom is independent under applicable Nasdaq listing standards and are “non-employee directors” as defined in rule 16b-3 promulgated under the Exchange Act. Mr. Ratner serves as Chairman of the Compensation Committee.

Nominating and Governance Committee. The Nominating and Governance Committee considers and makes recommendations on matters related to the practices, policies and procedures of the Board and takes a leadership role in shaping our corporate governance. The committee’s responsibilities include, but are not limited to:

When screening candidates for Board membership, the committee concerns itself with the composition of the Board with regard to depth of experience, balance of professional interests, required expertise and other factors. The committee evaluates prospective nominees that it identifies or which are referred to it by other Board members, management, stockholders or external sources, as well as evaluating all self-nominated candidates.

The committee has not formally established any specific, minimum qualifications that each candidate for the Board must meet, or specific qualities or skills that one or more directors must possess or a diversity policy. However, the committee, when considering a candidate, will factor into its determination the following qualities of a candidate:

The committee may also consider such other factors as it may deem to be in the best interests of Remark and its stockholders.

The committee uses the same criteria for evaluating candidates nominated by stockholders and self-nominated candidates as it does for those proposed by other Board members, management and search companies. For more information on how stockholders can nominate candidates for election as directors, see “Stockholder Proposals” below.

委員會確定提名人 首先評估具有與我們業務相關的技能和經驗並且願意繼續任職的現任董事 正在服役。這種做法平衡了服務連續性的價值與獲得新視角的價值。如果現任董事 如果在即將舉行的股東年度會議上競選連任，不希望繼續任職，委員會確定了技能 以及根據上述標準新提名人所需的經驗。委員會和董事會的現任成員將接受民意調查 推薦候選人。還可以進行研究以確定合格的個人。如果委員會認爲董事會要求 需要提名的其他候選人時，它可以探索替代來源來確定其他候選人，包括（如果適當） 一家第三方搜索公司。

我們的提名和治理委員會由 Ratner先生、Stein先生和Xu博士，根據適用的納斯達克上市標準，他們各自是獨立的。斯坦先生擔任主席 提名和治理委員會。

EXECUTIVE COMPENSATION

Summary Compensation Table

The following table presents the dollar amounts of salary (the only form of compensation during the years noted) earned by our named executive officer (“NEO”):

During 2023 and 2022, our NEO elected to defer a portion of his salary to future periods.

Employment Agreements

Mr. Tao is an “at will” employee and we do not have employment agreements with Mr. Tao.

Outstanding Equity Awards at Fiscal Year-End

The following table presents information regarding our NEO’s unexercised options to purchase our common stock as of December 31, 2023 (all stock awards to our NEO were fully vested as of December 31, 2023):

股權激勵計劃

我們已授予股票期權和限制性股票 根據我們於2010年6月15日通過的2010年股權激勵計劃（「2010年計劃」），我們於2月通過的2014年激勵計劃 2014年17月17日，並於2014年12月23日和2016年1月11日修訂（「2014年計劃」），我們的2017年激勵計劃於1月通過 2018年19日（「2017年計劃」）和我們於2022年7月5日通過的2022年激勵計劃（「2022年計劃」）。的量 我們授予收件人的股票期權或股票通常取決於他們在Remark中的特定地位及其成就 董事會制定的某些績效指標。薪酬委員會必須批准所有撥款。

雖然我們沒有正式的書面政策 與披露重大非公開信息相關的期權授予時間、補償 委員會不會尋求對股權授予的時間來利用有關我們公司的積極或消極信息 尚未公開披露。我們的做法是在董事被任命爲董事會成員時向他們授予股權獎勵 董事。我們打算每年同一時間向我們的高級職員和/或董事發放股權授予，無論是在完成 年度股東會議或與每個財年的上次董事會會議有關。期權授予有效 在薪酬委員會做出授予決定之日，期權的行使價格爲收盤價 在授予的工作日或如果授予是在週末或假日進行的，則在前一個工作日轉讓我們的普通股。

股權激勵計劃

我們已授予股票期權和限制性股票 根據我們於2010年6月15日通過的2010年股權激勵計劃，我們的2014年激勵計劃於2014年2月17日通過並於12月修訂 2014年23日和2016年1月11日，我們於2018年1月19日通過的2017年激勵計劃和於2022年7月5日通過的2022年激勵計劃。 我們授予收件人的股票期權或股票數量通常取決於他們在備註和 他們實現了董事會制定的某些績效指標。薪酬委員會必須批准所有撥款。

董事薪酬

薪酬委員會定期授予我們的 非僱員董事，享有基於股權的薪酬。非僱員董事在截至12月的年度內沒有獲得任何獎勵 2023年31日。截至2023年12月31日，每位非僱員董事均擁有購買普通股股份的期權，如下所述 桌子：

沒有非僱員董事擁有未歸屬的限制性股票股份 截至2023年12月31日。

安全 某些受益人的所有權和管理

下表列出了有關受益的信息 截至2024年10月14日，我們普通股的所有權由：

國有資產的金額和百分比 普通股根據美國證券交易委員會管理證券受益所有權確定的規則報告。SEC規則：

除腳註中另有說明外，每一項受益人 據我們所知，所列所有者對所示普通股股份擁有唯一投票權和投資權。的信息 與我們5%受益所有人的相關信息基於我們從此類持有人那裏收到的信息。受益所有權百分比爲 基於截至2024年10月14日的57，402，941股普通股。

除下文另有說明外， 下表爲：

轉交Remark Holdings，Inc.

800 S。商業街

內華達州拉斯維加斯89106

根據股權補償計劃獲授權發行的證券

下表提供了某些信息 截至2023年12月31日，有關我們的股權薪酬計劃（2010年股權激勵計劃、2014年激勵計劃、2017年激勵計劃） 計劃和2022年激勵計劃，均已得到我們的證券持有人的批准）：

2010年股權激勵計劃已到期，但根據 該計劃雖然有效，但仍然懸而未決。

一定的關係和 關聯交易

審查、批准或批准與關聯方的交易

我們收養了關聯方 交易政策規定，我們的執行官、董事、選舉董事提名人、超過 我們任何類別普通股的5%，以及上述人員的任何直系親屬均不得進入 未經我們的審計委員會審查和批准，與我們進行關聯方交易。制定了此類政策和程序 在審計委員會章程中。

截至2023年12月31日，我們的首席執行官 高級官員兼主席陶凱成（Kai-Shing Tao）代表Remark預付了總額約爲1.1美元的某些費用 百萬美元，截至2024年10月14日，其中2000萬美元仍未償還。截至2023年12月31日，約20萬美元 截至2024年10月14日，該金額大部分仍未償還。

在過去兩個完整的財年和本財年 或任何當前提議的交易，不存在涉及Remark的金額超過120，000美元（以較低者爲準）的交易 或過去三個財年年終總資產平均值的百分之一。

責任和賠償的限制 官員和董事

我們的憲章和修訂和 重述的章程（我們的「章程」）限制了我們高級職員和董事的責任，並規定我們將賠償我們的高級職員 和董事，在《特拉華州普通公司法》允許的最大範圍內。

作爲賠償的無限 對於根據《證券法》可能允許董事或高管承擔責任，我們獲悉，在 委員會認爲這種賠償違反公共政策，因此不可執行。

公司註冊證書 和章程條款

我們的公司註冊證書 和章程包括一些反收購條款，這些條款可能會鼓勵人們考慮主動招標 與我們的董事會進行談判的要約或其他單方面收購提案，而不是尋求未經談判的收購嘗試。 這些規定包括：

提前通知要求。 我們的章程規定了與提名候選人相關的股東提案的預先通知程序 選舉爲董事或將提交股東會議的新業務。這些程序規定股東通知 提案必須及時並以書面形式提交給我們的公司秘書。一般來說，爲了及時，必須向我們的委託人收到通知 執行辦公室在上一個週年日期之前不少於60個日曆日也不超過90個日曆日 年度股東大會。通知必須包含章程要求的信息，包括有關 提案和支持者。

股東特別會議. 我們的章程規定，股東特別會議只能由董事會召開。

沒有股東的書面同意. 我們的章程規定，股東要求或允許採取的任何行動必須在正式召開的年度或特別會議上實施 股東會議，未經股東書面同意不得實施。

附例的修訂. 只有董事會有權修改我們章程的任何條款。

優先股.我們 章程授權我們的董事會創建和發行權利，使我們的股東有權購買我們的股票或其他股票 證券我們的董事會有能力在不需要股東的情況下建立權利併發行大量優先股 批准可能會推遲或阻止我們控制權的變更。請參閱下面的「優先股」。

Delaware Takeover Statute

We are subject to Section 203 of the DGCL which, subject to certain exceptions, prohibits a Delaware corporation from engaging in any “business combination” (as defined below) with any interested stockholder for a period of three years following the date that such stockholder became an interested stockholder, unless: (1) prior to such date, the board of directors of the corporation approved either the business combination or the transaction that resulted in the stockholder becoming an interested stockholder; (2) on consummation of the transaction that resulted in the stockholder becoming an interested stockholder, the interested stockholder owned at least 85% of the voting stock of the corporation outstanding at the time the transaction commenced, excluding for purposes of determining the voting stock outstanding those shares owned (a) by persons who are directors and also officers and (b) by employee stock plans in which employee participants do not have the right to determine confidentially whether shares held subject to this plan will be tendered in a tender or exchange offer; or (3) on or subsequent to such date, the business combination is approved by the board of directors and authorized at an annual or special meeting of stockholders, and not by written consent, by the affirmative vote of at least 66 2⁄3% of the outstanding voting stock that is not owned by the interested stockholder.

Section 203 of the DGCL defines generally “business combination” to include: (1) any merger or consolidation involving the corporation and the interested stockholder; (2) any sale, transfer, pledge or other disposition of 10% or more of the assets of the corporation involving the interested stockholder; (3) subject to certain exceptions, any transaction that results in the issuance or transfer by the corporation of any stock of the corporation to the interested stockholder; (4) any transaction involving the corporation that has the effect of increasing the proportionate share of the stock of any class or series of the corporation beneficially owned by the interested stockholder; or (5) the receipt by the interested stockholder of the benefit of any loans, advances, guarantees, pledges or other financial benefits provided by or through the corporation. In general, Section 203 defines an “interested stockholder” as any entity or person beneficially owning 15% or more of the outstanding voting stock of the corporation and any entity or person affiliated with or controlling or controlled by such entity or person.

Disclosure of Commission Position on Indemnification for Securities Act Liabilities

Insofar as indemnification for liabilities under the Securities Act may be permitted to officers, directors or persons controlling Remark pursuant to the foregoing provisions, Remark has been informed that is it is the opinion of the SEC that such indemnification is against public policy as expressed in such Securities Act and is, therefore, unenforceable.

Review, Approval or Ratification of Transactions with Related Parties

We have adopted a related-party transactions policy under which our executive officers, directors, nominees for election as a director, beneficial owners of more than 5% of any class of our common stock, and any members of the immediate family of any of the foregoing persons are not permitted to enter into a related-party transaction with us without the consent of our audit committee. If the related party is, or is associated with, a member of our audit committee, the transaction must be reviewed and approved by another independent body of our Board of Directors, such as our governance committee. Any request for us to enter into a transaction with a related party in which the amount involved exceeds $120,000 and such party would have a direct or indirect interest must first be presented to our audit committee for review, consideration and approval. If advance approval of a related-party transaction was not feasible or was not obtained, the related-party transaction must be submitted to the audit committee as soon as reasonably practicable, at which time the audit committee shall consider whether to ratify and continue, amend and ratify, or terminate or rescind such related-party transaction. All of the transactions described above were reviewed and considered by, and were entered into with the approval of, or ratification by, our Board of Directors.

During the last two full fiscal years and the current fiscal year or any currently proposed transaction, there are transactions involving the issuer, in which the amount involved exceeds the lesser of $120,000 or one percent of the average of the issuer’s total assets at year-end for its last three fiscal years, except compensation awarded to executives.

Legal/Disciplinary History

None of Remark Holdings, Inc.’s Officers or Directors have been the subject of any criminal proceeding or named as a defendant in a pending criminal proceeding (excluding traffic violations and other minor offenses);

None of Remark Holdings, Inc.’s Officers or Directors have been the subject of any entry of an order, judgment, or decree, not subsequently reversed, suspended or vacated, by a court of competent jurisdiction that permanently or temporarily enjoined, barred, suspended or otherwise limited such person’s involvement in any type of business, securities, commodities, or banking activities;

None of Remark Holdings, Inc.’s Officers or Directors have been the subject of any finding or judgment by a court of competent jurisdiction (in a civil action), the Securities and Exchange Commission, the Commodity Futures Trading Commission, or a state securities regulator of a violation of federal or state securities or commodities law, which finding or judgment has not been reversed, suspended, or vacated; or

None of Remark Holdings, Inc.’s Officers or Directors has been the subject of any entry of an order by a self-regulatory organization that permanently or temporarily barred, suspended or otherwise limited such person’s involvement in any type of business or securities activities.

SECURITIES OFFERED

Current Offering

Remark is offering as much as an aggregate total of 750,000 Shares at an offering price of $100.00 per Share, pursuant to Tier 2 of Regulation A.

DESCRIPTION OF SECURITIES

Authorized Stock

Our Charter currently authorizes us to issue as many as 176,000,000 shares, including 175,000,000 shares of common stock, par value $0.001 per share, and 1,000,000 shares of preferred stock, par value $0.001 per share. As of close of business on October 14, 2024, there were 57,402,941 shares of common stock issued and outstanding and no shares of preferred stock issued and outstanding.

Common Stock

The following description of our common stock is a summary of the material provisions and terms of our common stock and is qualified by reference to our Charter and our Bylaws.

每股普通股使其持有者享有特權 對股東表決的所有事項有一票表決權。普通股股東無權就尊重進行累積投票 到董事的選舉。根據任何已發行優先股的優先權，普通股持有人可以收到 我們的董事會可能從合法用於該目的的資金中宣佈的任何股息。如果我們清算、解散 或清算，普通股持有人有權按比例分享償還債務和清算後剩餘的所有資產 優先股中任何已發行股份的優先權。普通股沒有優先購買權、轉換權或其他認購權 權利或贖回或償債基金條款。

優先股

我們目前被授權發行多達 1,000,000股優先股。我們的憲章授權董事會以一個或多個系列發行這些股票，以確定指定的股票 以及權力、偏好和相對、參與、選擇或其他特殊權利以及資格、限制和限制 其中包括股息權、換股或交換權、投票權(包括每股表決權)、贖回 權利和條款、清算優先權、償債基金條款和組成該系列的股份數量。我們的董事會 可以在未經股東批准的情況下發行具有投票權和其他權利的優先股，從而可能對投票權產生不利影響 以及普通股持有人的其他權利，而這些權利可能會使第三方更難獲得， 或阻止第三方試圖收購我們已發行的有投票權股票的大部分。緊接在第一次 本次發行結束後，我們將提交B系列優先股的指定證書(「指定證書」)。 將525,000股優先股指定爲B系列15%累計可贖回永久優先股。證書複印件 作爲附件A附在本文件中。

b系列15%優先累積可贖回永久優先 股票

我們將發行多達750，000股b系列優先股 股票，這些股票將全額支付且不可評估。該股份沒有獨立權利，不會被證明或發行 作爲獨立證券。b系列優先股是新發行的，沒有先前交易市場。

沒有到期、償債基金或強制贖回

b系列優先股沒有規定到期日，不得 受任何償債基金或其他強制贖回的限制，並且不得轉換爲或交換爲我們的任何其他證券。 除非我們決定贖回或以其他方式回購，否則b系列優先股的股份將無限期保持流通。 我們不需要預留資金來贖回b系列優先股。

排名

b系列優先股將在權利方面排名 我們清算、解散或清盤時的股息支付和資產分配：

分紅

B系列優先股的持有者有權獲得， 當董事會宣佈，從我們的合法可用資金中支付股息時，累計現金股息爲 B系列優先股每年所述價值每股100.00美元的15%的比率(相當於每年15美元 共享)。自每次發行日起，b系列優先股每日派發股息，並從 包括適用的發行日期，並應在每個股息支付日支付，該股息支付日按季度在或 在每個季度結束後的第15天后，B系列優先股的記錄持有人將出現在我們的股票上 在每個股息記錄日期，即上一財季最後一天的營業結束日記錄，無論是否 一個營業日；如果任何股息支付日期不是營業日，則本應是 在該股息支付日支付的股息，可在下一個營業日支付，其效力及作用與在該日支付的相同 股息支付日期，且不計利息、額外股息或其他款項，將在自 並在該股息支付日期後至該下一個營業日。B系列優先股的應付股息將爲 按360天一年計算，其中包括12個30天月，但對於部分股息期，股息支付 將按比例計分。在任何股利支付日支付的股利應包括累積到該日的股息，但不包括 股息支付日期。

不得授權對b系列優先股的股票進行股息 由我們的董事會支付或由我們隨時支付或撥出付款，當我們的任何協議的條款和規定，包括任何 與我們債務有關的協議，禁止授權、付款或撥出付款，或規定 授權、付款或撥出付款將構成違反協議或違反協議， 或者法律限制或禁止授權、付款或撥出付款。

儘管有上述規定，b系列優先的股息 無論我們是否有盈利，無論是否有合法資金可用於付款，股票都會累積 無論這些股息是否由董事會宣佈。b系列優先支付的任何股息 股票應首先計入與這些股票相關的最早累積但未付股息。

我們普通股和任何其他系列優先股的未來分配 股票（如果發行），包括b系列優先股，將由我們的董事會酌情決定，並將取決於，除其他外， 我們的經營業績、經營現金流、財務狀況和資本要求、任何債務償還要求，以及 我們董事會認爲相關的任何其他因素。因此，我們無法保證能夠對我們的系列進行現金分配 b優先股或未來任何時期的實際分配情況。

除非b系列優先所有股票的全額累積股息 股票已經或同時被申報並支付或申報，並且已經或同時有足夠支付該股票的金額 在過去所有股息期內指定支付，不得宣佈、支付或預留股息用於支付 我們可能發行的普通股或優先股的排名低於b系列優先股或與b系列優先股同等地位 支付股息或清算、解散或清盤時。也不得對股份宣佈或進行任何其他分配 我們可能發行的普通股或優先股，其排名低於b系列優先股或與b系列優先股同等地位 清算、解散或清盤時支付股息或分配資產。

未足額支付股息(或支付足夠股息的款項 對於B系列優先股和任何其他系列優先股的股份，我們可能 發行與B系列優先股股息支付平價的發行排名，所有在B系列優先股上宣佈的股息 我們可能發行的股票和任何其他優先股系列，在支付股息方面與B系列股票平價排名 應按比例宣佈優先股，以便B系列優先股和此類其他優先股每股宣佈的股息數額 我們可能發行的一系列優先股在任何情況下都應與應計每股股息的比率相同 B系列優先股和我們可能發行的其他系列優先股(不包括以下方面的任何應計項目 在優先股沒有累計股息的情況下，以前股息期間的未支付股息)相互關聯。不感興趣， 或代息款項，須就B系列優先股的任何股息支付或支付 這可能是拖欠的。

從贖回期開始日期開始，任何股息 我們在到期時未支付的b系列優先股應成爲Remark的累積債務，並自動支付 Remark籌集的任何資金超過150萬美元。

股息支付帳戶

在每次發行結束時，我們將撥出股息 付款帳戶金額等於前兩（2）年的股息支付或b系列優先股每股30.00美元。 在遵守特拉華州法律和任何其他適用要求的情況下，我們將從股息中進行股息分配 每季度向b系列優先股持有人支付帳戶，爲期兩（2）年。

我們將股息支付基金的收益投資於各種 資本保全工具，例如短期、投資級、附息證券和（或）貨幣市場基金。任何 股息支付帳戶賺取的投資收入將匯往Remark，用於運營資金或一般公司 目的，前提是股息支付帳戶有足夠的資金支付應向b系列優先股持有人支付的所有股息 發行結束後兩（2）年內的股票。

清算優先權

如果我們自願或非自願清算、解散， 或清盤時，b系列優先股股份持有人將有權從我們合法擁有的資產中獲得付款 分配給我們的股東，關於清算、解散或清盤時的資產分配，清算 每股100.00美元的優先權，加上等於截至付款日期（但不包括付款日期）的任何累積和未付股息的金額， 在向我們普通股或我們可能發行的任何其他類別或系列股本的持有人進行任何資產分配之前 在清算權方面，該公司排名僅次於b系列優先股。

如果在任何此類自願或非自願清算時， 解散或清盤，我們的可用資產不足以支付所有未償清算分配的金額 b系列優先股的股份以及我們股本其他類別或系列的所有股份的相應應付金額 我們可能會在資產分配方面發佈與B系列優先股同等的排名，然後是該系列的持有者 b優先股和所有其他此類類別或系列的股本應按比例分享任何此類資產分配 他們原本分別有權獲得的全額清算分配。

b系列優先股持有者將有權收到書面通知 付款前不少於三十（30）天且不多於六十（60）天的任何此類清算、解散或清盤 約會在支付其有權獲得的全部清算分配後，b系列優先的持有人 股票對我們的任何剩餘資產沒有權利或主張。我們與任何其他公司合併或合併爲任何其他公司， 信託、實體或任何其他實體與我們的關係，或出售、租賃、轉讓或轉讓我們的全部或絕大部分 財產或業務，不應被視爲我們的清算、解散或清盤（儘管此類事件可能會引發特別 可選擇贖回，具體程度如下）。

救贖

自每個日期起兩（2）年的日期和之後 發行（「贖回期開始日期」），我們可以根據我們的選擇，並且不少於三十（30）也不超過六十 (60)提前幾天書面通知，隨時或不定期將全部或部分b系列優先股贖回爲現金 贖回價格爲每股100.00美元，加上截至（但不包括）贖回日期的任何累積和未付股息。

贖回程序

如果我們選擇贖回b系列優先股，通知 贖回通知將郵寄給每位被要求贖回的b系列優先股記錄持有人，地址爲該持有人 正如我們的股票轉讓記錄中所示，贖回日期前不少於三十（30）且不超過六十（60）天，並且 將說明以下內容：

如果少於任何持有人持有的全部b系列優先股 將被贖回，郵寄給該持有人的通知還應具體說明該持有人持有的b系列優先股的股份數量 持有人將被贖回。未發出該通知或其郵寄有任何缺陷，均不影響該通知的有效性 贖回b系列優先股任何股份的程序，但通知是否有缺陷的持有人除外 給出

將贖回的B系列優先股持有者應退回 B系列優先股在贖回通知中指定的地點，並有權獲得贖回價格和任何 在退回後贖回時應支付的累積和未支付的股息。如贖回任何系列股份的通知 B優先股已經發放，如果我們已經不可撤銷地預留了贖回所需的資金，並以信託形式爲以下目的贖回 B系列優先股的持有者要求贖回，然後在贖回日起及之後(除非違約 應由吾等支付贖回價格加上累積及未支付的股息(如有)，股息將 如果B系列優先股的這些股票停止產生，則B系列優先股的這些股票不再被視爲已發行 這些股份持有人的所有權利將終止，但收取贖回價款加上累積和未支付的權利除外。 在贖回時支付的股息(如有)。如果任何贖回日期不是營業日，則贖回價格和累計 在贖回時支付的未支付股息，如有，可在下一個營業日支付，不包括利息、額外股息或其他 自該贖回日起至下一個營業日止的期間內的應付款項將累算。如果不是全部 在未贖回的B系列優先股中，按比例選擇要贖回的B系列優先股 (儘可能在實際可行的情況下不設立零碎股份)或我們決定的任何其他公平方法。

對於b系列優先股的任何贖回， 我們將以現金支付截至贖回日期（但不包括贖回日期）的任何累積和未付股息，除非贖回日期 股息記錄日期之後且相應股息支付日期之前，在這種情況下，b系列優先股的每位持有人 在該股息記錄日期營業結束時，有權根據相應股息獲得該股份的應付股息 支付日期，儘管該等股份在股息支付日期之前贖回。除上述規定外，我們將做出 對於待贖回的b系列優先股股份，不支付或補貼未付股息，無論是否拖欠。

除非b系列優先所有股票的全額累積股息 股票已經或同時被申報並支付或申報，並且已經或同時有足夠支付該股票的金額 被指定用於支付過去所有股息期的股息，除非全部未發行，否則不得贖回b系列優先股的股份 b系列優先股的股份同時被贖回，我們不會直接或間接購買或以其他方式收購 b系列優先股的任何股份（除非將其兌換爲排名低於b系列優先股的股本 關於清算、解散或清盤時股息的支付和資產的分配）;但前提是上述 不得阻止我們根據購買或交換要約購買或收購b系列優先股股份 對b系列優先股所有已發行股份的持有人的條款相同。

根據適用法律，我們可能會購買b系列優先股 公開市場上的股票、通過招標或私下協議。我們收購的任何b系列優先股股份都可能會退役， 重新分類爲授權但未發行的優先股，沒有指定類別或系列，此後可以重新發行 作爲任何類別或系列的優先股。

無轉換權

b系列優先股不可轉換爲我們的普通股。

投票權

b系列優先股的持有者沒有任何投票權， 除非特拉華州法律要求。對於b系列優先股持有人根據特拉華州法律有權投票的每一事項， b系列優先股的每股股份將有權獲得一票投票權。

沒有優先購買權

b系列優先股的持有者將不會有任何優先購買權 購買或認購我們的普通股或任何其他證券的權利。

紀錄保持者

我們和b系列優先股的轉讓代理可以認爲 並出於所有目的將任何b系列優先股的記錄持有者視爲其真正合法的所有者，我們和 轉讓代理人將受到任何相反通知的影響。

轉會代理和註冊處

Computershare LLC將擔任註冊商和轉讓代理 關於我們的b系列優先股。Computer share LLC的郵寄地址爲150 Royall Street，Canton，MA 02021。

股利政策

我們從未宣佈或支付股本現金股息。 我們目前打算保留任何未來收益用於業務運營，並且不打算申報或支付任何現金 可預見的未來的股息，但本發行通知中描述的b系列優先股除外。任何 根據適用的情況，董事會將酌情決定是否向我們的股本支付股息 法律，並將取決於我們的財務狀況、運營結果、資本要求、一般業務狀況和其他 我們董事會認爲相關的因素。

專家

本發行通知中包含的合併財務報表 截至2023年12月31日和2022年12月31日以及截至該日期的年度，已根據Weinberg & 公司，PA獨立註冊會計師事務所（出現在本文其他地方），並經所作爲專家授權 會計和審計領域。

法律事務

有關b系列優先股的某些法律事項 由此提供的內容將由Fox Rothschild LLP傳遞。

在哪裏可以找到更多 信息

我們已向美國證券交易委員會提交了A規則發行聲明 根據證券法規定的表格1-A，關於特此提供的B系列優先股。本發行通函，構成 作爲要約聲明的一部分，並不包含要約聲明或證物和附表中所列的所有信息 與之一同歸檔。有關本公司及在此發售的普通股的進一步資料，請參閱發售聲明及 展品及與之一併存檔的附表。本發售通告中包含的有關任何合同或其他內容的陳述 作爲要約聲明的證物提交的文件不一定完整，並且每一項此類聲明在 所有方面均參考作爲要約聲明證物的該合同或其他文件的全文。美國證券交易委員會 還維護一個互聯網網站，其中包含有關發行人的報告、委託書和其他信息，包括我們，該文件 與美國證券交易委員會實現電子對接。這個網站的地址是www.sec.gov。

完成該Tier 2 Regulation A產品後，我們將 必須遵守法規A第257條規定的某些持續披露要求。我們將被要求提交：年度 與SEC就Form 1-K提交的報告;與SEC就Form 1-SA提交的半年度報告;以及與SEC就Form 1-U提交的當前報告。這些 報告和其他信息將在公共資料室和SEC網站上供檢查和複製 上面提到過。如果我們決定並且不再有義務根據法規的要求提交和提供報告 A，包括當我們贖回股份時，我們將提交表格1-Z以終止我們根據A法規規定的報告義務。

註釋控股公司 和子公司

簡明綜合資產負債 片

（美元單位爲千美元，除外 份額和每股金額）

註釋控股公司

指數 財務報表

註釋控股公司 和子公司

簡明 綜合資產負債表

（美元單位爲千美元，除外 份額和每股金額）

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)

(dollars in thousands, except per share amounts)

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Unaudited Condensed Consolidated Statements of Stockholders’ Deficit

(in thousands, except number of shares)

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Unaudited Condensed Consolidated Statements of Cash Flows

(dollars in thousands)

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

NOTE 1. ORGANIZATION AND BUSINESS

Organization and Business

Remark Holdings, Inc. and its subsidiaries (“Remark”, “we”, “us”, or “our”) constitute a diversified global technology business with leading artificial intelligence (“AI”) and data-analytics solutions. The common stock of Remark Holdings, Inc. is traded in the OTCQX Best market under the ticker symbol MARK.

We primarily sell AI-based products and services. We currently recognize substantially all of our revenue from the U.S., with additional revenue from sales in the U.K. and China.

Going Concern

During the six months ended June 30, 2024, and in each fiscal year since our inception, we have incurred operating losses which have resulted in a stockholders’ deficit of $46.3 million as of June 30, 2024. Additionally, our operations have historically used more cash than they have provided. Net cash used in operating activities was $6.1 million during the six months ended June 30, 2024. As of June 30, 2024, our cash balance was $0.4 million. Also, we did not make required repayments of the outstanding loans under the 2023 Mudrick Loan Agreement when due (see Note 10 for more information) and we have accrued approximately $1.4 million of delinquent payroll taxes.

Our history of recurring operating losses, working capital deficiencies and negative cash flows from operating activities give rise to, and management has concluded that there is, substantial doubt regarding our ability to continue as a going concern. Our independent registered public accounting firm, in its report on our consolidated financial statements for the year ended December 31, 2023, has also expressed substantial doubt about our ability to continue as a going concern. Our consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

We intend to fund our future operations and meet our financial obligations through revenue growth from our AI and data analytics offerings. We cannot, however, provide assurance that revenue, income and cash flows generated from our businesses will be sufficient to sustain our operations in the twelve months following the filing of this Form 10-Q. As a result, we are actively evaluating strategic alternatives including debt and equity financings.

Conditions in the debt and equity markets, as well as the volatility of investor sentiment regarding macroeconomic and microeconomic conditions (in particular, as a result of the COVID-19 pandemic, global supply chain disruptions, inflation and other cost increases, and the geopolitical conflict in Ukraine), will play primary roles in determining whether we can successfully obtain additional capital. We cannot be certain that we will be successful at raising additional capital.

A variety of factors, many of which are outside of our control, may affect our cash flow; those factors include the lingering effects of the COVID-19 pandemic in China, regulatory issues, competition, financial markets and other general business conditions. Based on financial projections, we believe that we will be able to meet our ongoing requirements for at least the next 12 months with existing cash and based on the probable success of one or more of the following plans:

However, projections are inherently uncertain and the success of our plans is largely outside of our control. As a result, there is substantial doubt regarding our ability to continue as a going concern, and we may fully utilize our cash resources prior to September 30, 2024.

Reclassification

On our consolidated balance sheet for the year ended December 31, 2023, we reclassified approximately $0.4 million from Accrued expense and other current liabilities to Advances from related parties to conform to the current year presentation.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

We prepared the accompanying unaudited Condensed Consolidated Balance Sheet as of June 30, 2024, with the audited Consolidated Balance Sheet amounts as of December 31, 2023 presented for comparative purposes, and the related unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss, the Condensed Consolidated Statements of Cash Flows and the Condensed Consolidated Statements of Stockholders’ Deficit for the six months ended June 30, 2024 in accordance with the instructions for Form 10-Q. In compliance with those instructions, we have omitted certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with U.S. GAAP, though management believes the disclosures made herein are sufficient to ensure that the information presented is not misleading.

Our results of operations and our cash flows as of the end of the interim periods reported herein do not necessarily indicate the results we may experience for the remainder of the year or for any other future period.

Management believes that we have included all adjustments (including those of a normal, recurring nature) considered necessary to fairly present our unaudited Condensed Consolidated Balance Sheet and our unaudited Condensed Consolidated Statement of Stockholders’ Deficit, each as of June 30, 2024, as well as our unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss and Condensed Consolidated Statements of Cash Flows for all periods presented. You should read our unaudited condensed consolidated interim financial statements and footnotes in conjunction with our consolidated financial statements and footnotes included within the Annual Report on Form 10-K for the year ended December 31, 2023 (the “2023 Form 10-K”).

Consolidation

We include all of our subsidiaries in our condensed consolidated financial statements, eliminating all significant intercompany balances and transactions during consolidation.

Use of Estimates

We prepare our consolidated financial statements in conformity with GAAP. While preparing our financial statements, we make estimates and assumptions that affect amounts reported and disclosed in the consolidated financial statements and accompanying notes. Accordingly, actual results could differ from those estimates. On an ongoing basis, we evaluate our estimates, including those related to accounts receivable, deferred cost of revenue, share-based compensation, deferred income taxes, and inventory reserve, among other items.

Cash

Our cash consists of funds held in bank accounts.

We maintain cash balances in United States dollars (“USD”), British pounds (“GBP”), Chinese Yuan (“CNY”) and Hong Kong dollars (“HKD”).

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

The following table, reported in USD, disaggregates our cash balances by currency denomination (in thousands):

We maintain substantially all of our USD-denominated cash at a U.S. financial institution where the balances are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000. At times, however, our cash balances may exceed the FDIC-insured limit. As of June 30, 2024, we do not believe we have any significant concentrations of credit risk. Cash held by our non-U.S. subsidiaries is subject to foreign currency fluctuations against the USD, although such risk is somewhat mitigated because we transfer U.S. funds to China to fund local operations. If, however, the USD is devalued significantly against the CNY, our cost to further develop our business in China could exceed original estimates.

Fair Value of Financial Instruments

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants (an exit price). When reporting the fair values of our financial instruments, we prioritize those fair value measurements into one of three levels based on the nature of the inputs, as follows:

The fair value hierarchy requires us to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value. For some products or in certain market conditions, observable inputs may not be available.

We believe the reported carrying amounts for cash, receivables, prepaids and other current assets, accounts payable, accrued expense and other current liabilities, and short-term debt approximate their fair values because of the short-term nature of these financial instruments.

Foreign Currency Translation

We report all currency amounts in USD. Our overseas subsidiaries, however, maintain their books and records in their functional currencies, which are GBP in the United Kingdom (“U.K.”) and CNY in China.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

In general, when consolidating our subsidiaries with non-USD functional currencies, we translate the amounts of assets and liabilities into USD using the exchange rate on the balance sheet date, and the amounts of revenue and expense are translated at the average exchange rate prevailing during the period. The gains and losses resulting from translation of financial statement amounts into USD are recorded as a separate component of accumulated other comprehensive loss within stockholders’ deficit.

We used the exchange rates in the following table to translate amounts denominated in non-USD currencies as of and for the periods noted:

Revenue Recognition

AI-Based Products

We generate revenue by developing AI-based products, including fully-integrated AI solutions which combine our proprietary technology with third-party hardware and software products to meet end-user specifications. Under one type of contract for our AI-based products, we provide a single, continuous service to clients who control the assets as we create them. Accordingly, we recognize the revenue over the period of time during which we provide the service. Under another type of contract, we have performance obligations to provide fully-integrated AI solutions to our customer and we recognize revenue at the point in time when each performance obligation is completed and delivered to, tested by and accepted by our customer.

We recognize revenue when we transfer control of the promised goods or services to our customers, and we recognize an amount that reflects the consideration to which we expect to be entitled in exchange for those goods or services. If there is uncertainty related to the timing of collections from our customer, which may be the case if our customer is not the ultimate end user of our goods, we consider this to be uncertainty of the customer’s ability and intention to pay us when consideration is due. Accordingly, we recognize revenue only when we have transferred control of the goods or services and collectability of consideration from the customer is probable.

When customers pay us prior to when we satisfy our obligation to transfer control of promised goods or services, we record the amount that reflects the consideration to which we expect to be entitled as a contract liability until such time as we satisfy our performance obligation.

For contracts under which we have not yet completed the performance obligation, deferred costs are recorded for any amounts incurred in advance of the performance obligation.

For our contracts with customers, we generally extend short-term credit policies to our customers, typically up to one year for large-scale projects.

We record the incremental costs of obtaining contracts as an expense when incurred.

We offer extended warranties on our products for periods of one to three years. Revenue from these extended warranties is recognized on a straight-line basis over the warranty contract term.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

Other

We generate revenue from other sources, such as from advertising and marketing services. We recognize the revenue from these contracts at the point in time when we transfer control of the good sold to the customer or when we deliver the promised promotional materials or media content. Substantially all of our contracts with customers that generate Other revenue are completed within one year or less.

Inventory

We use the first-in first-out method to determine the cost of our inventory, then we report inventory at the lower of cost or net realizable value. We regularly review our inventory quantities on hand and record a provision for excess and obsolete inventory based primarily on our estimated sales forecasts. At June 30, 2024 and December 31, 2023, reserve for inventory was $2.2 million and $2.2 million, respectively.

Internal Use Software

We acquire or develop applications and other software that help us meet our internal needs with respect to operating our business. For such projects, planning cost and other costs related to the preliminary project stage, as well as costs incurred for post-implementation activities, are expensed as incurred. We capitalize costs incurred during the application development phase only when we believe it is probable the development will result in new or additional functionality. The types of costs capitalized during the application development phase include fees incurred with third parties for consulting, programming and other development activities performed to complete the software. We amortize our internal use software on a straight-line basis over an estimated useful life of three years. If we identify any internal use software to be abandoned, the cost less the accumulated amortization, if any, is recorded as amortization expense. Once we have fully amortized internal use software costs that we capitalized, we remove such amounts from their respective accounts.

Net Income (Loss) per Share

We calculate basic net income (loss) per share using the weighted-average number of common stock shares outstanding during the period. For the calculation of diluted net income (loss) per share, we give effect to all the shares of common stock that were outstanding during the period plus the number of additional common shares that would have been outstanding if all dilutive potential common shares had been issued, using the treasury stock method. Potential common shares are excluded from the computation when their effect is anti-dilutive. Dilutive potential shares of common stock consist of incremental shares of common stock issuable upon exercise of stock options and warrants.

For the six months ended June 30, 2024 and 2023, there were no reconciling items related to either the numerator or denominator of the loss per share calculation, as their effect would have been anti-dilutive.

Securities which may have affected the calculation of diluted earnings per share for the three and six months ended June 30, 2024 if their effect had been dilutive include 1,518,078 total outstanding options to purchase our common stock, 1,007,441 outstanding warrants to purchase our common stock, as well as an estimated 101,193,753 shares of our common stock issuable to Ionic Ventures, LLC (“Ionic”) in relation to our transactions with Ionic (see Note 12).

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

Segments

Existing GAAP, which establishes a management approach to segment reporting, defines operating segments as components of an entity about which separate, discrete financial information is available for evaluation by the chief operating decision maker. We have identified our Chief Executive Officer as our chief operating decision maker, who reviews operating results to make decisions about allocating resources and assessing performance based upon only one operating segment.

Recently Issued Accounting Pronouncements

In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosure, which is intended to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expense categories that are regularly provided to the chief operating decision maker and included in each reported measure of a segment’s profit or loss. The update also requires all annual disclosures about a reportable segment’s profit or loss and assets to be provided in interim periods and for entities with a single reportable segment to provide all the disclosures required by ASC 280, Segment Reporting, including the significant segment expense disclosures. For us, ASU 2023-07 will be effective on January 1, 2024 and interim periods beginning in fiscal year 2025, with early adoption permitted. The adoption of ASU 2023-07 did not have a material impact on our results of operations, financial position or cash flows.

We have reviewed all accounting pronouncements recently issued by the FASB and the SEC. The authoritative pronouncements that we have already adopted did not have a material effect on our financial condition, results of operations, cash flows or reporting thereof, and except as otherwise noted above, we do not believe that any of the authoritative pronouncements that we have not yet adopted will have a material effect upon our financial condition, results of operations, cash flows or reporting thereof.

NOTE 3. CONCENTRATION OF RISK

Revenue and Accounts Receivable

The disaggregation of revenue tables in Note 4 demonstrate the concentration in our revenue from certain products and the geographic concentration of our business. We also have a concentration in the volume of business we transacted with customers, as during the six months ended June 30, 2024, apart from a de minimis amount, essentially all of our revenue resulted from one customer, while during six months ended June 30, 2023, three of our customers represented about 40%, 35% and 11%, respectively, of our revenue. At June 30, 2024, net accounts receivable from one of our customers represented about 87% of our net accounts receivable, while at December 31, 2023, net accounts receivable from three of our customers represented about 37%, 34% and 12%, respectively, of our net accounts receivable.

Deferred Cost of Revenue

See Note 6 for a discussion of a risk concentration regarding our deferred cost of revenue.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

Cost of Sales and Accounts Payable

The various hardware we purchase to fulfill our contracts with customers is not especially unique in nature. Based on our analysis, we believe that should any disruption in our current supply chain occur, a sufficient number of alternative vendors is available to us, at reasonably comparable specifications and price, such that we would not experience a material negative impact on our ability to procure the hardware we need to operate our business.

NOTE 4. REVENUE

We primarily sell AI-based products and services based upon computer vision and other technologies.

We do not include disclosures related to remaining performance obligations because substantially all our contracts with customers have an original expected duration of one year or less or, with regard to our stand-ready obligations, the amounts involved are not material.

Disaggregation of Revenue

The following table presents a disaggregation of our revenue by category of products and services (in thousands):

The following table presents a disaggregation of our revenue by country (in thousands):

Significant Judgments

When accounting for revenue we make certain judgments, such as whether we act as a principal or as an agent in transactions or whether our contracts with customers fall within the scope of current GAAP regarding revenue, that affect the determination of the amount and timing of our revenue from contracts with customers. Based on the current facts and circumstances related to our contracts with customers, none of the judgments we make involve an elevated degree of qualitative significance or complexity such that further disclosure is warranted in terms of their potential impact on the amount and timing of our revenue.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

Contract Assets and Contract Liabilities

We do not currently generate material contract assets. During the six months ended June 30, 2024, our contract liability changed only as a result of routine business activity.

During the six months ended June 30, 2024 and 2023, the amount of revenue we recognized that was included in the beginning balance of Contract liability was not material.

During the six months ended June 30, 2024 and 2023, we did not recognize revenue from performance obligations that were satisfied in previous periods.

Certain Agreements Related to AI-Based Product Sales in China

We completed certain projects in China during the year ended December 31, 2023 worth approximately $1.4 million, but the agreement did not meet the criteria for revenue recognition on an accrual basis. We will recognize the revenue from such agreement as we receive the cash. We recognized approximately $0.4 million of such amount during the six months ended June 30, 2024.

NOTE 5. TRADE ACCOUNTS RECEIVABLE

Generally, it is not unusual for Chinese entities to pay their vendors on longer timelines than the timelines typically observed in U.S. commerce. Trade receivables related to our China AI projects at June 30, 2024 and December 31, 2023; including approximately $0.7 million and $0.7 million, respectively, of trade receivables from projects related to work with our China Business Partner (see Note 16 for more information regarding our China Business Partner and related accounting); represented essentially all our gross trade receivables in each such period. When evaluating for current expected credit losses during 2023, we took into account our historical experience as well as our expectations based upon how we believe the COVID-19 pandemic has caused lingering effects on us and our customers.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

NOTE 6. DEFERRED COST OF REVENUE

Deferred cost of revenue as of June 30, 2024 and December 31, 2023 of $0.0 million and $6.6 million, respectively, represent amounts we have paid in advance to vendors who provide services to us in relation to various projects in China. Specifically, the deferred cost of revenue balance as of June 30, 2024, a large percentage of which was paid to a single vendor in 2022 for project installations we expect will be provided to us through our China Business Partner (described in more detail in Note 16), will be utilized as the vendors install our software solutions and/or hardware at numerous sites across various regions of China for our customers and as the vendors perform other services for us pursuant to customer requirements. Because most of the projects for which we have engaged the vendors require purchases of hardware, equipment and/or supplies in advance of site visits, we made the prepayments in anticipation of several large batches of project installations. We did not make any additional advance payments to vendors in 2024 related to projects, and we were able to complete installations of projects that reduced by $0.4 million the deferred cost of revenue balance associated with the vendor which performs the project installations provided to us through our China Business Partner.

Lengthy COVID-19 related lockdowns that occurred in various regions in China during 2022 were the initial cause of delays in completing projects for which we had paid in advance. A slow recovery from such lockdowns in addition to increased political tensions between the U.S. and China led to our decision to reduce staff in China, all of which has made progress in completing projects slow. The balance of deferred cost of revenue as of June 30, 2024 can be fully recovered, given that the vendors are able to perform the installations, but completing the projects in China and fully recovering the deferred cost of revenue balance will require additional capital resources. While we have turned our focus to expanding our business outside of China, we will continue working to complete the projects in China, though we may have to impair the asset in future periods to the extent our capital resources are not sufficient to complete all such projects. Given that we have limited capital resources for China, which could cause further delays in completing the projects associated with the deferred cost of revenue, we have reclassified the balance of deferred cost of revenue as a long-term asset as of June 30, 2024.

NOTE 7. PREPAID EXPENSE AND OTHER CURRENT ASSETS

The following table presents the components of prepaid expense and other current assets (in thousands):

NOTE 8. PROPERTY AND EQUIPMENT

Property and equipment consist of the following (in thousands, except estimated lives):

For the six months ended June 30, 2024 and 2023, depreciation (and amortization of software) expense was not material.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

NOTE 9. ACCRUED EXPENSE AND OTHER CURRENT LIABILITIES

The following table presents the components of Accrued expense and other current liabilities (in thousands):

NOTE 10. NOTES PAYABLE

The following table presents our notes payable (in thousands) as of:

On December 3, 2021, we entered into a senior secured loan agreement (the “Original Mudrick Loan Agreement”) with certain of our subsidiaries as guarantors (the “Guarantors”) and certain institutional lenders affiliated with Mudrick Capital Management, LP (collectively, “Mudrick”), pursuant to which Mudrick extended credit to us consisting of term loans in the aggregate principal amount of $30.0 million (the “Original Mudrick Loans”). The Original Mudrick Loans bore interest at 16.5% per annum with an original maturity date of July 31, 2022.

As of December 31, 2022, the outstanding balance of the Original Mudrick Loans was $14.4 million, and approximately $0.8 million of accrued interest was included in Accrued expense and other current liabilities. During the three months ended March 31, 2023, prior to the 2023 Mudrick Loan Agreement (defined below) canceling the Original Mudrick Loans, we accrued approximately $0.6 million additional interest expense on the Original Mudrick Loans, of which $0.3 million was paid during such period.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

On March 14, 2023, we entered into a Note Purchase Agreement (the “2023 Mudrick Loan Agreement”) with Mudrick, pursuant to which all of the Original Mudrick Loans were cancelled in exchange for new notes payable to Mudrick (the “2023 Mudrick Notes”) in the aggregate principal amount of approximately $16.3 million. The principal balance of the 2023 Mudrick Notes at June 30, 2024 and December 31, 2023 included the $14.4 million outstanding balance of the Original Mudrick Loans, plus $1.1 million of accrued interest on the Original Mudrick Loans, plus a fee of approximately $0.8 million payable to Mudrick as consideration for cancelling the Original Mudrick Loans and converting all amounts outstanding thereunder into the 2023 Mudrick Notes. We recorded the $0.8 million as interest expense during the three months ended March 31, 2023.

The 2023 Mudrick Notes bore interest at a rate of 20.5% per annum, which was payable on the last business day of each month commencing on May 31, 2023. The interest rate increased by 2% and the principal amount outstanding under the 2023 Mudrick Notes and any unpaid interest thereon could become immediately due and payable upon the occurrence of any event of default under the 2023 Mudrick Loan Agreement. All amounts outstanding under the 2023 Mudrick Notes, including all accrued and unpaid interest, became due and payable in full on October 31, 2023.

To secure the payment and performance of the obligations under the Original Mudrick Loan Agreements and the 2023 Mudrick Loan Agreement, we, together with certain of our subsidiaries (the “Guarantors”), granted to TMI Trust Company, as the collateral agent for the benefit of Mudrick, a first priority lien on, and security interest in, all assets of Remark and the Guarantors, subject to certain customary exceptions.

We did not make required repayments of the outstanding loans under the 2023 Mudrick Loan Agreement that were due beginning on June 30, 2023, which constitute events of default for which we have not received a waiver as of the date of this Form 10-Q. Please see Note 17 for additional information regarding transactions with Mudrick.

Other Notes Payable

The Other notes payable in the table above represent individually immaterial notes payable issued for the purchase of operating assets. Such notes payable bear interest at a weighted-average interest rate of approximately 6.0% and have a weighted-average remaining term of approximately 3.4 years.

NOTE 11. FUNDS RECEIVED IN ADVANCE OF POTENTIAL FINANCING

As of June 30, 2024, we reported a liability of $2.8 million related to cash we received from an unrelated potential investor/creditor in advance of finalizing an agreement.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

NOTE 12. OBLIGATIONS TO ISSUE COMMON STOCK (TRANSACTIONS WITH IONIC)

Convertible Debentures

On October 6, 2022, we entered into a debenture purchase agreement (the “2022 Debenture Purchase Agreement”) and a purchase agreement (the “Original ELOC Purchase Agreement”) with Ionic. Pursuant to the 2022 Debenture Purchase Agreement, we issued a convertible subordinated debenture in the original principal amount of approximately $2.8 million (the “2022 Debenture”) to Ionic for a purchase price of $2.5 million. The 2022 Debenture automatically converted into shares of our common stock (the “2022 Debenture Settlement Shares”) on November 17, 2022 upon the effectiveness of a registration statement we filed pursuant to a registration rights agreement we entered into with Ionic. Upon issuance of the 2022 Debenture, we initially estimated the obligation to issue common stock at approximately $3.6 million. As of December 31, 2022, we estimated such obligation to have a fair value of $1.9 million, representing an additional 1,720,349 shares to be issued pursuant to the 2022 Debenture. When the measurement period for determining the conversion price of the 2022 Debenture was completed, we determined that the final number of 2022 Debenture Settlement Shares would be 3,129,668 (inclusive of 898,854 shares that were issued during 2022), resulting in the issuance of an additional 2,230,814 shares during 2023 with a fair value of $3.1 million.

On March 14, 2023, we entered into a new debenture purchase agreement (the “2023 Debenture Purchase Agreement”) with Ionic pursuant to which we authorized the issuance and sale of two convertible subordinated debentures in the aggregate principal amount of approximately $2.8 million for an aggregate purchase price of $2.5 million. The first debenture is in the original principal amount of approximately $1.7 million for a purchase price of $1.5 million (the “First 2023 Debenture”), which was issued on March 14, 2023, and the second debenture is in the original principal amount of approximately $1.1 million for a purchase price of $1.0 million (the “Second 2023 Debenture” and collectively with the First Debenture, the “2023 Debentures”), which was issued on April 12, 2023. The 2023 Debenture automatically converted into shares of our common stock (the “2023 Debenture Settlement Shares”) on June 26, 2023 upon the effectiveness of a registration statement we filed pursuant to a registration rights agreement we entered into with Ionic. Upon issuance of the First 2023 Debenture and the Second 2023 Debenture, we initially estimated the obligations to issue common stock at an aggregate of approximately $4.1 million, or equivalent estimated issuable shares of 3,669,228. As of December 31, 2023, we estimated that an aggregate total of 9,383,966 shares remained to be issued upon conversion in full of the 2023 Debentures, representing obligations with an aggregate fair value of $4.6 million. When the measurement period for determining the conversion price of the 2023 Debentures was completed, we determined that the final number of 2023 Debentures Settlement Shares would be 16,928,989 (inclusive of 657,000 shares that were issued during 2023), resulting in the issuance during the six months ended June 30, 2024 of an additional 16,271,989 shares with a fair value of $10.3 million in final settlement of the 2023 Debentures.

REMARK HOLDINGS, INC. AND SUBSIDIARIES

Notes to Unaudited Condensed Consolidated Financial Statements

For the Six Months Ended June 30, 2024 and 2023

Equity Line of Credit

The Original ELOC Purchase Agreement, as amended by those certain letter agreements by and between Remark and Ionic, dated as of January 5, 2023; July 12, 2023; August 10, 2023 and September 15, 2023; as well as the first amendment on January 9, 2024, and subsequent letter agreement on February 14, 2024 (as amended, the “Amended ELOC Purchase Agreement”), provides that, upon the terms and subject to the conditions and limitations set forth therein, we have the right to direct Ionic to purchase up to an aggregate of $50.0 million of shares of our common stock over the 36-month term of the Amended ELOC Purchase Agreement. Under the Amended ELOC Purchase Agreement, after the satisfaction of certain commencement conditions, including, without limitation, the effectiveness of a resale registration statement filed with the SEC registering such shares and that the 2022 Debenture shall have been fully converted into shares of common stock or shall otherwise have been fully redeemed and settled in all respects in accordance with the terms of the 2022 Debenture, we have the right to present Ionic with a purchase notice (each, a “Purchase Notice”) directing Ionic to purchase any amount up to $3.0 million of our common stock per trading day, at a per share price equal to 80% (or 70% if our common stock is not then trading on Nasdaq) of the average of the two lowest volume-weighted average prices (“VWAPs”) over a specified measurement period. With each purchase under the Amended ELOC Purchase Agreement, we are required to deliver to Ionic an additional number of shares equal to 2.5% of the number of shares of common stock deliverable upon such purchase. The number of shares that we can issue to Ionic from time to time under the Amended ELOC Purchase Agreement shall be subject to the condition that we will not sell shares to Ionic to the extent that Ionic, together with its affiliates, would beneficially own more than 4.99% of the outstanding shares of our common stock immediately after giving effect to such sale (the “Beneficial Ownership Limitation”).

In addition, Ionic will not be required to buy any shares of our common stock pursuant to a Purchase Notice on any trading day on which the closing trade price of our common stock is below $0.20 (as amended by the January 2023 Letter Agreement, as defined below). We will control the timing and amount of sales of our common stock to Ionic. Ionic has no right to require any sales by us, and is obligated to make purchases from us as directed solely by us in accordance with the Amended ELOC Purchase Agreement. The Amended ELOC Purchase Agreement provides that we will not be required or permitted to issue, and Ionic will not be required to purchase, any shares under the Amended ELOC Purchase Agreement if such issuance would violate Nasdaq rules, and we may, in our sole discretion, determine whether to obtain stockholder approval to issue shares in excess of 19.99% of our outstanding shares of common stock if such issuance would require stockholder approval under Nasdaq rules. Ionic has agreed that neither it nor any of its agents, representatives and affiliates will engage in any direct or indirect short-selling or hedging our common stock during any time prior to the termination of the Amended ELOC Purchase Agreement.

The Amended ELOC Purchase Agreement may be terminated by us at any time after commencement, at our discretion; provided, however, that if we sold less than $25.0 million to Ionic (other than as a result of our inability to sell shares to Ionic as a result of the Beneficial Ownership Limitation, our failure to have sufficient shares authorized or our failure to obtain stockholder approval to issue more than 19.99% of our outstanding shares), we will pay to Ionic a termination fee of $0.5 million, which is payable, at our option, in cash or in shares of common stock at a price equal to the closing price on the day immediately preceding the date of receipt of the termination notice. Further, the Amended ELOC Purchase Agreement will automatically terminate on the date that we sell, and Ionic purchases, the full $50.0 million amount under the agreement or, if the full amount has not been purchased, on the expiration of the 36-month term of the Amended ELOC Purchase Agreement.

On January 5, 2023, we and Ionic entered into a letter agreement (the “January 2023 Letter Agreement”) which amended the Original ELOC Purchase Agreement. Under the Letter Agreement, the parties agreed, among other things, to (i) amend the floor price below which Ionic will not be required to buy any shares of our common stock under the Amended ELOC Purchase Agreement from $0.25 to $0.20, determined on a post-reverse split basis, (ii) amend the per share purchase price for purchases under the Amended ELOC Purchase Agreement to 80% of the average of the two lowest daily VWAPs over a specified measurement period, which will commence at the conclusion of the applicable measurement period related to the 2022 Debenture and (iii) waive certain requirements in the Amended ELOC Purchase Agreement to allow for a one-time $0.5 million purchase under the Amended ELOC Purchase Agreement.