Quarterly report pursuant to Section 13 or 15(d)

Stockholders' Equity

v3.22.1
Stockholders' Equity
3 Months Ended
Mar. 31, 2022
Federal Home Loan Banks [Abstract]  
Stockholders' Equity
5. STOCKHOLDERS’ EQUITY
Follow-On
Public Offering
On February 23, 2022, the Company completed the
Follow-On
Offering, in which it issued 3,880,000 shares of its common stock,
Pre-Funded
Warrants to purchase up to 3,880,000 shares of its common stock, and Common Warrants to purchase up to 7,760,000 shares of its common stock. The aggregate offering price for each share of common stock and accompanying Common Warrant was $1.41. The aggregate offering price for each Pre
-F
unded Warrant and accompanying Common Warrant was $1.4099. In the aggregate, the Company received net proceeds of $10.0 million, after deducting approximately $0.9 million of underwriting discounts and estimated other offering expenses.
Pre-Funded
Warrants
Each
Pre-Funded
Warrant entitles the holder to purchase one share of the Company’s common stock at an exercise price of $0.0001 per share. The
Pre-Funded
Warrants have no expiration and were recorded as a component of stockholders’ equity within additional
paid-in
capital. Per the terms of the
Pre-Funded
Warrants, the holder of an outstanding
Pre-Funded
Warrant is not entitled to exercise any portion of such warrant if, upon exercise of such portion of the warrant, the holder’s ownership of the Company’s common stock (together with its affiliates) or the combined voting power of the Company’s securities beneficially owned by such holder (together with its affiliates) would exceed 9.99 
percent after giving effect to the exercise. On May 4, 2022, the Company received a notice of exercise with respect to the full exercise of all outstanding Pre-Funded Warrants.
Common Stock Warrants
Each Common Warrant entitles the holder to purchase one share of common stock at an exercise price of $1.41 per share. The Common Warrants will be exercisable beginning August 23, 2022
,
and expire on August 23, 2027. The Common Warrants are recorded as a liability in the Company’s consolidated balance sheet. Per the terms of the Common Warrants, a holder of an outstanding warrant is not entitled to exercise any portion of such warrant if, upon exercise of such portion of the warrant, the holder’s ownership of the Company’s common stock (together with its affiliates) or the combined voting power of the Company’s securities beneficially owned by such holder (together with its affiliates) would exceed the 4.99 percent after giving effect to the exercise.
Warrant transactions for the three months ended March 31, 2022, are as follows:

 
 
  
Number of
Pre-Funded

Warrants
 
  
Weighted

Average
Exercise
Price
 
  
Number of
Common

Warrants
 
  
Weighted
Average
Exercise
Price
 
Outstanding as of December 31, 2021:
                                    
Issued
     3,880,000      $ 0.0001        7,760,000     $ 1.41  
Forfeited/canceled
     —                   —            
Exercised
     —                   —            
    
 
 
    
 
 
    
 
 
   
 
 
 
Outstanding as of March 31, 2022:
     3,880,000      $ 0.0001        7,760,000     $ 1.41  
    
 
 
    
 
 
    
 
 
   
 
 
 
Exercisable as of March 31, 2022:
     3,880,000      $ 0.0001        —         —    
    
 
 
    
 
 
    
 
 
   
 
 
 
ATM Facility
On September 21, 2021, the Company entered into an ATM Facility with Jefferies LLC who is acting as sole selling agent. Under the terms of the ATM Facility, the Company may, from
time-to-time,
issue common stock having an aggregate offering value of up to $50.0 million. At its discretion, the Company determines the timing and number of shares to be issued under the ATM Facility. During the three-month period ended March 31, 2022, the Company did not issue any shares of common stock under the ATM Facility.