|3 Months Ended|
Mar. 31, 2023
Stock-based compensation for the periods presented was as follows (in thousands):
Stock-based compensation expense included within research and development in the three months ended March 31, 2023 include an incremental charge of approximately $0.5 million from stock option modifications related to the acceleration of vesting and extension of exercise period of vested stock option grants made to a former officer whose employment ended in March 2023. Stock-based compensation expense included within selling, general and administrative in the three months ended March 31, 2022 include an incremental charge of approximately $0.8 million from stock option modifications to extend the exercise period of the stock option grants made to our two former Board of Directors whose terms expired in May 2022.
During the three months ended March 31, 2023, we granted stock options to purchase 2,620,000 shares of common stock with weighted-average grant-date fair value of $1.42 per share, and 952 stock options were exercised. As of March 31, 2023, there were 35,909,499 stock options outstanding, of which, 2,870,000 are outstanding performance-based stock options wherein the achievement of the corresponding corporate-based milestones were not considered probable as of March 31, 2023. Accordingly, none of the $5.3 million grant date fair value for these awards has been recognized as stock-based compensation expense as of March 31, 2023.
The fair value of each option award is estimated on the date of grant using the Black-Scholes option pricing model. The following table summarizes the weighted-average assumptions relating to options granted pursuant to our Equity Incentive Plans (2018 Equity Incentive Plan and Inducement Plan) for the periods presented:
During the three months ended March 31, 2023, we granted 1,207,600 RSUs with a grant-date weighted-average fair value of $1.87 per share, and 266,256 RSUs were released. The RSUs granted generally vest over 4 years. As of March 31, 2023, there were 1,988,498 RSUs outstanding.
As of March 31, 2023, there was approximately $16.5 million of unrecognized stock-based compensation cost which is expected to be recognized over a remaining weighted-average period of years, related to time-based stock options, performance-based stock options wherein achievement of the corresponding corporate-based milestones was considered as probable, and RSUs.
As of March 31, 2023, there were 7,646,459 shares of common stock available for future grant under our Equity Incentive Plans.
Employee Stock Purchase Plan
Our Purchase Plan provides for a -month offering period comprises four six-month purchase periods with a look-back option. A look-back option is a provision in our Purchase Plan under which eligible employees can purchase shares of our common stock at a price per share equal to the lesser of 85% of the fair market value on the first day of the offering period or 85% of the fair market value on the purchase date. Our Purchase Plan also includes a feature that provides for a new offering period to begin when the fair market value of our common stock on any purchase date during an offering period falls below the fair market value of our common stock on the first day of such offering period. This feature is called a “reset.” Participants are automatically enrolled in the new offering period.
Our previous -month offering period under our Purchase Plan ended on June 30, 2022, and a new twenty-four-month offering period started on July 1, 2022. The fair value of awards under our Purchase Plan is estimated on the date of our new offering period using the Black-Scholes option pricing model, which is being amortized over the requisite service periods. As of March 31, 2023, unrecognized stock-based compensation cost related to our Purchase Plan amounted to $0.7 million, which is expected to be recognized over the remaining weighted average period of years.
As of March 31, 2023, there were 3,437,633 shares reserved for future issuance under the Purchase Plan.
The entire disclosure for share-based payment arrangement.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef