Quarterly report pursuant to Section 13 or 15(d)

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

v3.22.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
 3 Months Ended
Mar. 31, 2022
Accounting Policies [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The following table present information about the Company’s financial instruments that are measured at fair value on a recurring basis:

 March 31, 2022
(Unaudited)

Level 1
Level 2
Level 3
Assets:
Money market funds $ 36,620  $ —  $ — 
Liabilities:
Warrants liability $ 3,194  $ —  $ 12,991 

December 31, 2021

Level 1
Level 2
Level 3
Assets:
Money market funds $ 4,515  $ —  $ — 
Liabilities:
Warrants liability $ 3,510  $ —  $ 15,462 
Schedule of Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
The change in the fair value of the Level 3 warrant liability is summarized below:

March 31,
December 31,
March 31,

2022

2021 2021
(Unaudited) (Unaudited)
Beginning of the period
 $ 15,462  $ 499  $ 499 
Additions* —  18,427  — 
Change in fair value (2,471) 1,616  1,349 
Conversion of Legacy Innovid Warrants on the Closing of the Transaction —  (5,080) — 
End of the period $ 12,991  $ 15,462  $ 1,848 
* Additions during the year ended December 31, 2021 represent Company Warrant liability assumed in the Transaction. See Note 5 for further detail.
Schedule of Key Inputs for Valuation of Private Placement Warrants
The key inputs into the Black-Scholes model for the Private Placement Warrants were as follows:

March 31,
 December 31,

2022 2021

(Unaudited)
Risk-free interest rate
 2.41  % 1.24  %
Expected dividends —  % —  %
Expected term (years)
 4.7 4.9
Expected volatility 55  % 55  %
Schedules of Concentration of Risk, by Risk Factor
During the three months ended March 31, 2022 and 2021, one of the Company’s customers accounted for more than 10% of the Company’s total revenues as presented below:
Three months ended March 31,

2022

2021
(Unaudited) (Unaudited)
Customer A
 10  % *)
*) less than 10%
Schedule of Operating ROU Assets and Lease Liabilities
Upon adoption, the Company recognized lease liabilities and corresponding ROU assets, adjusted for the accrued rent and remaining lease incentives received on the adoption date, as follows:
January 1, 2022
(Unaudited)
ROU assets Lease liabilities
Real Estate $ 3,878  $ 5,482 
Cars 50  49 
Total operating leases $ 3,928  $ 5,531 
The Company has the following operating ROU assets and lease liabilities:
March 31, 2022
(Unaudited)
ROU assets Lease liabilities
Real Estate $ 3,456  $ 4,893 
Cars 41  41 
Total operating leases $ 3,497  $ 4,934 
March 31, 2022
(Unaudited)
Lease liabilities
Current lease liabilities $ 1,681 
Non-current lease liabilities 3,253 
Total lease liabilities $ 4,934