Acquisition

3 Months Ended

Mar. 31, 2025

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

Note 13. Acquisition

On February 25, 2025, the Company completed the acquisition of the assets owned by DSS Pure Air, Inc. (“DSS PureAir”), a related party and under common control of DSS, Inc., for $1,150,000 to be paid by 545,024 shares of the Company’s common stock calculated on a 10-day VWAP. Assets acquired included accounts receivable valued at approximately $4,000, prepaid assets of approximately $2,000, inventory valued at approximately $489,000, and intellectual property of the Celios air purification system of approximately $325,000, inclusive of a $330,000 premium paid for the assets acquired. This premium of $330,000 is accounted for in accordance with ASC 805-50, when assets are transferred between entities under common control, the premium should not be recorded as an asset or as part of the transaction price. Instead, the premium is recorded directly to equity, reflecting the fact that the transaction is essentially an internal transfer within the consolidated group.

Note 14. Supplemental Cash Flow Information

The following table summarizes supplemental cash flows of noncash investing and financing activities for the three months ended March 31, 2025 and 2024:

	2025		2024
Shares issued in lieu of cash as payment for legal services	$	29,000		-
Shares issued for acquisition of DSS PureAir assets	$	1,150,000		-

IMPACT BIOMEDICAL INC. 10-Q