Nexgel, Inc. Liquidation Value

This filing is a 10-K/A (Amendment No. 1) for NEXGEL, INC. for fiscal year ended December 31, 2025, filed April 30, 2026. The amendment adds only Part III governance and compensation disclosures omitted from the original March 31, 2026 10-K; it contains no financial statements and makes no changes to balance sheet figures. All balance sheet data derives from the original 10-K XBRL tags provided in TAG_CONTEXT.

Under a liquidation lens, NXGL presents negative recovery to equity. Total assets of $10.5M carry significant non-cash components that haircut substantially: PP&E gross $3.3M (net $2.0M after $1.4M accumulated depreciation) recovers at 50-70%, yielding roughly $1.0-1.4M. Inventory net $2.1M (with a $271K existing reserve against $2.4M gross) recovers at 60%, or approximately $1.3M. Goodwill of $1.1M and indefinite-lived intangibles of $0.6M recover at 0% under liquidation convention; finite-lived intangibles net $81K similarly receive 0%. The operating lease ROU asset of $2.0M has no standalone liquidation value; the corresponding ASC 842 liability of $2.2M remains at face. AR net $673K recovers at 90-95%, or approximately $605-640K. Restricted cash of $741K (fully current) and unrestricted cash of $317K recover at 100%, aggregating approximately $1.1M in liquid assets.

Total liabilities at face are $5.6M, including current liabilities of $3.0M (AP, accrued liabilities, operating and finance lease current portions, deferred revenue, notes payable current $99K) and non-current liabilities comprising operating lease non-current $1.9M, finance lease non-current $242K, and long-term notes payable $489K. The aggregate operating lease commitment under ASC 842 totals $2.4M undiscounted, which does not extinguish on wind-up.

MFFAIS-reported liquidation values confirm deeply negative recovery: cash LV -$2.8M, liquid LV -$2.1M, operating LV -$28K. Accumulated deficit stands at -$21.0M. Net loss for fiscal 2025 was -$3.0M on $11.4M revenue. Operating cash outflow was -$1.3M. The company burned cash at pace with only $317K unrestricted cash at year-end versus total liabilities of $5.6M. Post-period, the original 10-K discloses issuance of Series A Convertible Notes (10% coupon, $1.8M gross proceeds, February 2026) and a signed Asset Purchase and Exclusive License Agreement with Celularity Inc. requiring a $15M upfront payment — neither transaction is reflected in the December 31, 2025 balance sheet but materially affects the post-period liability and capitalization profile. These items are disclosed in the original 10-K narrative but are not tagged in the 10-K/A XBRL. Management also confirmed material weaknesses in internal controls over financial reporting as of December 31, 2025 (inadequate journal entry approval controls, super-user access not segregated), noted in the original 10-K. The 10-K/A itself adds no financial data, so no balance sheet comparison between this amendment and its predecessor is possible.