Nuburu, Inc. (BURU) reports that its Board and management, following the Audit Committee’s recommendation, concluded on September 16, 2026 that the previously issued unaudited condensed consolidated financial statements for the three and six months ended June 30, 2026 should no longer be relied upon because of a material accounting error.
The error relates to the fair value of a convertible note receivable funded to Tekne S.p.A. in the principal amount of €13,000,000 ($14,852,214), where an incorrect Tekne equity value of €15.2 million ($17.4 million) was used instead of €25.4 million ($29.0 million) as of June 30, 2026. Correcting this input increased the conversion option’s value from €0.7 million ($0.8 million) to €1.3 million ($1.5 million) and raised the fair value of the Tekne Convertible Note Receivable from €20,523,000 ($23,446,999) to €21,189,000 ($24,208,000), increasing the Company’s assets by $761,001.
The change in fair value of convertible notes receivable for the three and six months ended June 30, 2026 increases by the same amount, and Nuburu will restate its Q2 2026 Form 10-Q in accordance with Accounting Standards Codification Topic 250. The Audit Committee and management discussed the restatement with WithumSmith+Brown, PC, the Company’s independent registered public accounting firm.
Nuburu, Inc. (BURU) received an amended Schedule 13G from Avondale Capital, LLC, Streeterville Capital LLC, Streeterville Management LLC, and John M. Fife reporting beneficial ownership of its common stock. The group reports beneficial ownership of 925,308 shares, representing 9.99% of Nuburu’s common stock, based on 9,262,345 shares outstanding as of August 12, 2026, adjusted for a recent reverse stock-split.
The shares are directly beneficially owned by Avondale, with the other filers reporting indirect ownership through a control chain. Under a Certificate of Designations for Series B Preferred Stock, Avondale’s holdings are subject to a contractual 9.99% ownership cap, limiting how many common shares it may own at any time.