Artelo Biosciences, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

LEASE

LEASE

12 Months Ended

Dec. 31, 2022

NOTE 7 - LEASE

On May 12, 2021, the Company entered into a lease arrangement for office space with Beckman/Lomas LLC, an entity controlled by a close family member of a director. Effective June 1, 2022, the related party had divested its interests in the property, and as such, no longer constitutes a related party transaction.

On April 19, 2022, the Company entered into a lease arrangement for office space with an annual rent of $13 (£11) and the term of the arrangement is from April 2022 through September 2023.

The following summarizes right-of use asset and lease information about the Company’s operating lease as of December 31, 2022, December 31, 2021, and August 31, 2021:

	Year ended			Four months ended			Year ended
	December 31,			December 31,			August 31,
	2022			2021			2021

Lease cost
Operating lease cost	$	39		$	10		$	7

Other information
Cash paid for operating cash flows from operating leases	$	43		$	7		$	2
Right-of-use assets obtained in exchange for new operating lease liability	$	20		$	-		$	97

Weighted-average remaining lease term — operating leases (year)		1.57			2.67			3.00
Weighted-average discount rate — operating leases		2.98	%		3.00	%		3.00	%

Future minimum lease payments under the operating lease liability has non-cancelable lease payments at December 31, 2022 as follows:

	Total
Year Ended December 31,
2023		40
2024		24
Thereafter		-
		64
Less: Imputed interest		(1	)
Operating lease liabilities		63

Operating lease liability - current		40
Operating lease liability - non-current	$	23