CID Holdco Settles $368K Executive Debt With 808,502 Shares at $6.00 Deemed Price
DAIC has more than doubled off its 52-week low of $0.37.
Summary
CID Holdco's CEO, CFO and CTO forgave $368,107.25 of personal loans in exchange for 55,613 shares at a deemed $6.00 each plus ~$37,075 cash, and the company committed 752,889 more shares to other creditors on the same terms. No cash was raised, and the debt forgiveness reverses if the cash portion isn't paid by December 31, 2026.
Key Events · Financing and Capital Events · DAIC
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Executives Forgive $368K of Company Debt
CEO Nabrotzky, CFO/COO Maddox and CTO Nambiar cancelled $368,107.25 in principal and accrued interest owed under their February 2026 executive notes.
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808,502 Shares Issued at $6.00 Deemed Price
55,613 shares go to the three executives and 752,889 shares are committed to other creditors, all at a deemed $6.00 per share — well above the $1.20 market price — with no cash proceeds to the company.
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Cash Portion Due December 31, 2026
The company must pay roughly 10% of the forgiven debt in cash (~$37,075 to executives plus a similar share for other creditors) by December 31, 2026, or the waivers terminate and the full debt is reinstated while lenders keep the shares.
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Resale Registration and Lock-Up Terms
A resale registration statement is required by November 30, 2026, and all settlement and creditor shares are locked up through April 15, 2027.
Analysis · DAIC · Technology
Three named executive officers — the CEO, CFO/COO and CTO — forgave $368,107.25 of loans they had personally extended to the company, taking stock at a deemed $6.00 per share plus about $37,075 in cash instead of repayment. That removes a related-party liability from a balance sheet that, as previously disclosed in the September 25 10-Q, carries substantial doubt about its ability to continue as a going concern. The company also committed to issue another 752,889 shares to unaffiliated creditors on the same terms, so roughly 808,502 new shares are being created to retire debt rather than raise cash — no proceeds come in. The deemed $6.00 price is far above the $1.20 where the stock trades today, so the real economic value handed to the lenders is a fraction of the face amount, and the shares are locked up until April 15, 2027, which limits near-term selling pressure. The catch: if the company misses the December 31, 2026 cash payment deadline, the forgiveness unwinds and the full debt comes back — while the lenders keep the shares.
How filings like this one have moved
In the 30 days to Oct 16, 2026, 29.5% of the 1476 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.41%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, DAIC was trading at $1.20 on NASDAQ in the Technology sector, with a market capitalization of approximately $2.8M. The 52-week trading range was $0.37 to $74.75. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.