Quarterly report pursuant to Section 13 or 15(d)

Common Stock (Tables)

v3.24.1.u1
Common Stock (Tables)
 3 Months Ended
Mar. 31, 2024
Equity [Abstract]  
Summary of Stock Options Activity

Stock option transactions and the number of stock options outstanding are summarized below:

 

 

 

Number of

 

 

Weighted

 

 

 

Optioned

 

 

Average

 

 

 

Common

 

 

Exercise

 

 

 

Shares

 

 

Price

 

Balance, December 31, 2023

 

 

1,461,980

 

 

$

12.12

 

Granted

 

 

466,500

 

 

 

4.55

 

Expired

 

 

(37

)

 

 

25,938.00

 

Balance, March 31, 2024

 

 

1,928,443

 

 

$

9.79

 
Summary of Fair Value of Each Stock Award for Employees and Directors

The fair value of each stock award for employees and directors is estimated on the grant date and for consultants at each reporting period, using the Black-Scholes option-pricing model based on the weighted-average assumptions noted in the following table:

 

 

 

Three Months Ended

 

 

 

March 31,

 

 

 

2024

 

 

2023

 

Risk-free interest rates

 

 

4.00

%

 

 

3.53

%

Expected dividend yield

 

 

0

%

 

 

0

%

Expected life

 

5.65 years

 

 

5.8 years

 

Expected volatility

 

 

90.15

%

 

 

121.57

%

Forfeiture rate

 

 

0.00

%

 

 

0.00

%
Summary of Share-Based Compensation Expense

The results for the periods set forth below included share-based compensation expense for stock options, restricted stock units and employee share purchase plan compensation expenses in the following expense categories of the consolidated statements of loss (in thousands):

 

 

 

Three Months Ended

 

 

 

March 31,

 

 

 

2024

 

 

2023

 

Research and development

 

$

413

 

 

$

383

 

General and administrative

 

$

875

 

 

 

702

 

Total stock-based compensation

 

$

1,288

 

 

$

1,085

 
Summary of Restricted Stock Unit Award Activity

The following table summarizes our restricted stock unit award activity during the three months ended March 31, 2024:

 

 

 

 

 

Weighted

 

 

 

Number

 

 

Average

 

 

 

of

 

 

Grant Date

 

 

 

Shares

 

 

Fair Value

 

Balance, December 31, 2023

 

 

507,875

 

 

$

5.65

 

Granted

 

 

721,000

 

 

 

4.55

 

Balance, March 31, 2024

 

 

1,228,875

 

 

$

5.00

 
Summary of Outstanding Warrants

The following is a summary of outstanding warrants to purchase common stock as of March 31, 2024:

 

 

 

Total

 

 

 

 

 

 

 

 

Outstanding

 

 

Exercise

 

 

 

 

 

and

 

 

price per

 

 

 

 

 

Exercisable

 

 

Share

 

 

Expiration Date

(1) Warrants issued in May 2019 financing

 

 

60,000

 

 

$

90.000

 

 

May 2025

(2) Warrants issued in December 2019 financing

 

 

510,924

 

 

$

2.310

 

 

December 2024

(3) Warrants issued in April 2020 financing

 

 

182,461

 

 

$

7.240

 

 

April 2025

(4) Warrants issued in April 2020 financing

 

 

24,375

 

 

$

7.320

 

 

April 2025

(5) Warrants issued in April 2020 financing

 

 

25,270

 

 

$

7.590

 

 

April 2025

(6) Pre-Funded warrants issued in August 2020 financing

 

 

142,857

 

 

$

0.001

 

 

*

(7) Warrants issued in December 2020 financing

 

 

50,000

 

 

$

8.750

 

 

December 2025

(8) Warrants issued in November 2022 financing

 

 

4,093,141

 

 

$

4.500

 

 

November 2029

(9) Warrants issued in February 2024 financing

 

 

13,086,151

 

 

$

4.906

 

 

**

 

*The pre-funded warrants do not have an expiration date.

**These warrants, the 2024 Warrants, have an exercise price of $4.906 per share (provided, however, that the purchaser may elect to exercise the warrants for pre-funded warrants in lieu of shares of common stock at an exercise price of $4.906, minus $0.001, the exercise price of each pre-funded warrant). These warrants are immediately exercisable for shares of common stock or pre-funded warrants in lieu thereof, and will expire on the earlier of (i) three and one-half years following the date of issuance and (ii) 30 days following our public disclosure of the acceptance of an NDA for cytisinicline by the FDA in a Day 74 Letter or equivalent correspondence.