v3.25.2
Share-based Payments
 3 Months Ended
May 31, 2025
Share-based Payments  
Share-based Payments

16. Share-based Payments

 

Stock Options

 

The following table summarizes the continuity of the Company’s stock options during the three-month periods ended May 31, 2025 and 2024:

 

 

 

2025

 

 

2024

 

 

 

Number of stock options

 

 

Weighted average exercise price

 

 

Number of stock options

 

 

Weighted average exercise price

 

Outstanding, beginning of period

 

 

2,771,216

 

 

$5.25

 

 

 

2,772,000

 

 

$5.10

 

Granted

 

 

2,801,922

 

 

 

1.16

 

 

 

199,216

 

 

 

2.89

 

Exercised

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Forfeited

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Expired

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Outstanding, end of period

 

 

5,573,138

 

 

$3.19

 

 

 

2,971,216

 

 

$4.95

 

Exercisable, end of period

 

 

2,711,727

 

 

$4.98

 

 

 

1,890,000

 

 

$6.39

 

 

The Company applies the fair value method of accounting for stock-based compensation awards granted. Fair value is calculated based on a Black-Scholes option pricing model. The principal components of the pricing model for the stock options granted in the three-month period ended May 31, 2025 and 2024 were as follows:

 

 

 

2025

 

 

2024

 

Exercise price

 

$

1.16

 

 

 

2.89

 

Risk-free interest rate

 

3.68% –  3.72%

 

 

 

4.09%

Expected dividend yield

 

 

0%

 

 

0%

Expected volatility

 

81% –  82%

 

 

 

73%

Expected life

 

3.5 – 5.0 years

 

 

7 years

 

 

The weighted-average grant-date fair value of options granted during the periods ended May 31, 2025 and 2024 was $0.62 and $2.03, respectively.

 

A summary of the Company’s nonvested shares as of May 31, 2025, and changes during the period ended May 31, 2025 were as follows:

 

 

 

Number of stock options

 

 

Weighted-average grant-date fair value

 

Nonvested, beginning of period

 

 

731,216

 

 

$1.88

 

Granted

 

 

2,270,000

 

 

 

0.64

 

Exercised

 

 

-

 

 

 

-

 

Forfeited

 

 

-

 

 

 

-

 

Vested

 

 

(139,805)

 

 

2.09

 

Nonvested, end of period

 

 

2,861,411

 

 

$0.89

 

 

During the three-month periods ended May 31, 2025 and 2024, stock-based compensation expense attributable to stock options amounted to $486 and $146, respectively.

Restricted Stock Units

 

The following table summarizes the continuity of the restricted stock units during the three-month periods ended May 31, 2025 and 2024:

 

 

 

2025

 

 

2024

 

 

 

Number of units

 

 

Weighted average fair value price

 

 

Number of units

 

 

Weighted average fair value price

 

Outstanding, beginning of period

 

 

4,466,958

 

 

$6.32

 

 

 

4,368,897

 

 

$6.53

 

Granted

 

 

-

 

 

 

-

 

 

 

40,000

 

 

 

2.85

 

Settled

 

 

(98,087)

 

 

3.41

 

 

 

(9,837)

 

 

8.31

 

Forfeited

 

 

(387,750)

 

 

2.87

 

 

 

-

 

 

 

-

 

Outstanding, end of period

 

 

3,981,121

 

 

$6.73

 

 

 

4,399,060

 

 

$6.49

 

Outstanding vested, end of period

 

 

1,689,255

 

 

$6.02

 

 

 

1,727,575

 

 

$6.07

 

 

The Company applies the fair value method of accounting for awards granted through the issuance of restricted stock units. Fair value is calculated based on the intrinsic value at grant date multiplied by the number of restricted stock unit awards granted.

 

During the three-month periods ended May 31, 2025 and 2024, stock-based compensation attributable to RSUs amounted to $(111), which includes $(268) for forfeitures recorded in the period,  and $224, respectively.

 

Stock-Based Compensation Expense

 

During the three-month periods ended May 31, 2025 and 2024, stock-based compensation included in research and development expenses amounted to $312 and $129, respectively, and in general and administrative expenses amounted to $63 and $241, respectively.