Item 5. Market for Registrant’s Common Equity
Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
Market Information
Our common stock is traded on the Nasdaq Stock Market under the symbol SMXT.
Stockholders
As of March 15, 2026, we had 88 stockholders of record. Based on information provided to us we believe that we have more than 2,950 beneficial owners of our common stock.
Transfer Agent
Continental Stock Transfer & Trust Company, One State Street, 30th floor, New York, New York 10004-1561 is the transfer agent for our common stock.
Dividends
We have never paid or declared any cash dividends on our common stock, and we do not anticipate paying any cash dividends on our common stock in the near future. We intend to retain all available funds and any future earnings to fund the development and expansion of our business. Any future determination to pay dividends will be at the discretion of our board of directors and will depend upon a number of factors, including our results of operations, financial condition, future prospects, contractual restrictions, restrictions imposed by applicable law and other factors our board of directors deems relevant.
Securities Authorized for Issuance Under Equity Compensation Plans
The following table gives information concerning common stock that may be issued by us with respect to compensation plans, including individual compensation arrangements) as of December 31, 2025:
Equity Compensation Agreements Information
Plan category
Number of securities to be issued upon exercise of outstanding options, warrants and rights
(#)
Weighted average exercise price of outstanding options, warrants, and rights
($)
Number of securities remaining available for future issuance under equity compensation plans (excluding outstanding options and warrants)
(#)
As of December 31, 2025
Equity compensation plans approved by security holders
6,045,941
$ 5.01
9,074,059
Equity compensation plans not approved by security holders
149,802
$ 3.50
0
Total
6,195,743
9,074,059
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Use of Proceeds from Our Initial Public Offering
The net proceeds from our initial public offering were approximately $18.6 million. As of March 15, 2026, we used approximately $0.8 million to make compensation payments due to our former executive vice president and $0.1 million to a former employee pursuant to our agreements with them. Our initial public offering was commenced on February 28, 2024 pursuant to a registration statement on Form S-1, File. No. 333-26606, which was declared effective by the SEC on February 12, 2024.
We invested $7.0 million from the proceeds of our initial public offering in an 8% promissory note issued by Webao Limited, a Hong Kong based social media company (“Webao”). This note has been paid as of the date of this annual report and the proceeds are used for working capital. We also invested RMB 5,000,000, or approximately $688,000, in a 5% note due June 25, 2024 issued by Qingdao. The initial maturity was June 25, 2024 and it was extended twice at the request of the maker to December 31, 2025. The principal amount of RMB 3,655,525, or approximately $522,599, of this note is outstanding on the date of this annual report. The note is shown on our balance sheet as held to maturity debt investments. The note was fully paid in February 2026. The proceeds of this note have been and will be used for working capital.
The balance of the proceeds was used for working capital, which included $5.5 million principal payments on convertible notes and $276,000 payment on legal settlement with former EB-5 noteholders.
Recent Sales of Common Stock
In December 2025 and January 2026, we issued a total of 2,603,622 shares of common stock to two accredited investors for a total of $1,518,535. The shares were issued at prices per share ranging from $0.548 and $0.70 which represented a 25% discount from the market price of the common stock. No brokers were involved in the sales. The issuance of the shares was exempt from registration pursuant to Section 4(a)(2) of the Securities Act as a transaction not involving a public offering. The proceeds from the sale are being used for working capital.
Item 6. [ Reserved ]
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Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.