Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements (Tables)

v3.20.2
Fair Value Measurements (Tables)
6 Months Ended
Jun. 30, 2020
Fair Value Disclosures [Abstract]  
Schedule of Warrants Outstanding [Table Text Block]
As of June 30, 2020, the following warrants for the purchase of Qumu's common stock were outstanding and exercisable:
Description
 
Number of underlying warrant shares
 
Warrant exercise price
(per share)
 
Warrant expiration date
Warrant issued in conjunction with October 2016 debt financing ("Hale warrant")
 
314,286

 
$
2.80

 
October 21, 2026
Warrant issued to sales partner, iStudy Co., Ltd. ("iStudy warrant")
 
100,000

 
$
2.43

 
August 31, 2028
Total warrants outstanding
 
414,286

 
 
 
 

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The Company’s liabilities measured at fair value on a recurring basis and the fair value hierarchy utilized to determine such fair values is as follows at June 30, 2020 and December 31, 2019 (in thousands):
 
 
 
Fair Value Measurements Using
 
Total Fair
Value at
June 30, 2020
 
Quoted Prices in
Active Markets
(Level 1)
 
Significant Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
Liabilities:
 
 
 
 
 
 
 
Warrant liability - Hale
$
1,224

 
$

 
$

 
$
1,224

Warrant liability - iStudy
258

 

 

 
258

Warrant liability
$
1,482

 
$

 
$

 
$
1,482

Derivative liability
$
35

 
$

 
$

 
$
35

Total
$
1,517

 
$

 
$

 
$
1,517

 
 
 
Fair Value Measurements Using
 
Total Fair
Value at
December 31, 2019
 
Quoted Prices in
Active Markets
(Level 1)
 
Significant Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
Liabilities:
 
 
 
 
 
 
 
Warrant liability - ESW
$
2,149

 
$

 
$

 
$
2,149

Warrant liability - Hale
645

 

 

 
645

Warrant liability - iStudy
145

 

 

 
145

Total
$
2,939

 
$

 
$

 
$
2,939


Schedule of Unobservable Inputs [Table Text Block]
The following table represents the significant unobservable input used in the fair value measurement of Level 3 warrant liability instruments:
 
June 30, 2020
Probability-weighted timing of change in control
5.2 years

Schedule of Changes in Fair Value of Liabilities Measured on Recurring Basis
The following table summarizes the changes in fair value measurements for the six months ended June 30, 2020:
 
 
Warrant liability
 
Derivative liability
 
Total
Balance at December 31, 2019
 
$
2,939

 
$

 
$
2,939

Cancellation of ESW warrant liability (Note 3)
 
(1,855
)
 

 
(1,855
)
Issuance of derivative liability upon cancellation of ESW warrant
 

 
140

 
140

Change in fair value
 
398

 
(105
)
 
293

Balance at June 30, 2020
 
$
1,482

 
$
35

 
$
1,517