Note 17 - Related Party Transactions |
6 Months Ended | ||
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May 31, 2023 | |||
| Notes to Financial Statements | |||
| Related Party Transactions Disclosure [Text Block] |
The following transactions are in the normal course of operations and are measured at the amount of consideration established and agreed to by related parties. Amounts due to related parties are unsecured, non-interest bearing and due on demand.
The Company pays royalties to the Company's Chief Technology Officer ("CTO") for sales on fintail projectiles. The Company expensed $0.01 million and $0 for royalties due to the Company's CTO during the six months ended May 31, 2023 and 2022, respectively. Balances payable to the CTO for royalties were $0.01 million and $0 as of May 31, 2023 and November 30, 2022 respectively.
During 2022, the Company and the CTO agreed to waive all future rights and entitlements under a certain purchase and sale agreement, including without limitation any right, title, or interest in the intellectual property or royalty fees except for those on the fintail projectiles in December 2021 in exchange for 200,000 RSUs. Refer to Note 20, "Commitments and Contingencies - Royalty Payments," for additional information.
The Company subleases office premises at its Massachusetts headquarters to a corporation owned and controlled by the Chief Executive Officer ("CEO") of the Company beginning July 1, 2020, with no stated termination date. Sublease payments received were $0.06 million and $0.06 million for the six months ended May 31, 2023 and 2022, respectively. Sublease payments received were $0.03 million and $0.03 million for the three months ended May 31, 2023 and 2022, respectively.
Fusady is owned, in equal 25% shares, by four individual investors. These four individuals also each own 25% of Bersa S.A. Bersa S.A. is a distributor of the Company’s products in Argentina. The Company’s sales to Bersa S.A. were less than $0.05 million and $0.1 million for the three and six months ended May 31, 2023, respectively. The Company had accounts receivable from Bersa S.A. of $2.7 million and $4.0 million as of May 31, 2023 and November 30, 2022 respectively.
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