|
The
following table summarizes option activity:
| Schedule of our option activity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Options
(in thousands) |
|
|
Weighted
Average
Exercise
Price per
share |
|
|
Weighted
Average
Remaining
Option
Term
(in years) |
|
|
Aggregate
Intrinsic
Value
(in thousands) |
|
| Outstanding at December 31,
2022 |
|
|
927 |
|
|
$ |
7.97 |
|
|
|
8.34 |
|
|
$ |
- |
|
| Granted |
|
|
1,025 |
|
|
|
1.34 |
|
|
|
- |
|
|
|
- |
|
| Forfeited or
expired |
|
|
(16 |
) |
|
|
119.39 |
|
|
|
- |
|
|
|
- |
|
| Outstanding
at June 30, 2023 |
|
|
1,936 |
|
|
|
3.56 |
|
|
|
8.57 |
|
|
|
- |
|
| Exercisable
at June 30, 2023 |
|
|
1,690 |
|
|
|
3.88 |
|
|
|
8.48 |
|
|
|
- |
|
During
August and September 2022, our Board granted 125,000 options to purchase common stock at $1.52 per share and 900,000 options to
purchase common stock at $1.31 per share which are subject to shareholder approval of an amendment to increase the number of shares reserved
for issuance under our 2015 Plan. The options vest monthly over a 12-month period from the grant dates. The shares underlying these options
were approved by our stockholders on June 29, 2023 and have been included in the table above as of June 30, 2023.
The
following table summarizes the stock-based compensation expense recorded for awards under our stock option plans (in thousands):
| Schedule of the stock-based compensation expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three Months Ended |
|
|
Six Months Ended |
|
| |
|
June 30, |
|
|
June 30, |
|
| (in thousands) |
|
2023 |
|
|
2022 |
|
|
2023 |
|
|
2022 |
|
| Research and development |
|
$ |
26 |
|
|
$ |
123 |
|
|
$ |
54 |
|
|
$ |
246 |
|
| Selling, general
and administrative |
|
|
239 |
|
|
|
94 |
|
|
|
500 |
|
|
|
197 |
|
| Total stock-based
compensation |
|
$ |
265 |
|
|
$ |
217 |
|
|
$ |
554 |
|
|
$ |
443 |
|
We
use the Black-Scholes-Merton option-pricing model with the following assumptions to estimate the fair value of our stock options:
| Schedule of assumptions to estimate the fair value of options |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three Months Ended |
|
|
Six Months Ended |
|
| |
|
June 30, |
|
|
June 30, |
|
| |
|
2023 |
|
|
2022 |
|
|
2023 |
|
|
2022 |
|
| Weighted-average risk-free
interest rate |
|
|
4.06 |
% |
|
|
- |
% |
|
|
4.06 |
% |
|
|
1.5 |
% |
| Expected dividend payments |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
| Expected
holding period (years)1 |
|
|
5.5 |
|
|
|
- |
|
|
|
5.5 |
|
|
|
5.4 |
|
| Weighted-average
volatility factor 2 |
|
|
1.08 |
|
|
|
- |
|
|
|
1.08 |
|
|
|
1.13 |
|
| Estimated
forfeiture rates for options granted3 |
|
|
7 |
% |
|
|
- |
% |
|
|
7 |
% |
|
|
5 |
% |
| (1) |
Expected
holding period is based on historical experience of similar awards, giving consideration to the contractual terms of the stock-based
awards, vesting schedules and the expectations of future employee behavior. |
| (2) |
Weighted
average volatility is based on the historical volatility of our common stock. |
| (3) |
Estimated
forfeiture rates are based on historical data. |
As
of June 30, 2023, there was approximately $0.2 million of total unrecognized compensation expense related to non-vested stock options
subject to shareholder approval. This expense is expected to be recognized over a weighted-average period of approximately 0.2 year.
|