Note 8 STOCK-BASED COMPENSATION

Equity Incentive Plan

The Company maintains the 2024 Equity Incentive Plan (the “Plan”), under which the Company may grant stock options, restricted stock units, and other equity awards to employees, directors, and consultants. As of December 31, 2025, 2,096,679 shares were authorized for issuance under the Plan, of which 1,096,679 shares were granted in the form of stock options, and 1,000,000 shares were issued to executives in the form of common stock. The Plan currently maintains 0 shares available for issuance.

Stock Option Activity

Stock-Based Compensation Expense

As of December 31, 2025, total unrecognized compensation cost related to unvested awards was $1,121,242, which is expected to be recognized over a weighted-average period of 2.56 years.

Parent Awards to Subsidiary Employees

Certain equity awards of the Company have been granted to employees who are now employees of Lokahi Therapeutics (“the BioBusiness”). Because there is no recharge arrangement (an agreement in which the subsidiary reimburses the parent for the cost of stock-based awards granted to the subsidiary’s employees), between the Company and the BioBusiness, the Company recognizes the stock-based compensation expense associated with these awards in its consolidated statement of operations. In the standalone financial statements of Lokahi, the expense is offset by a corresponding capital contribution from the Company. For the year end December 31, 2025, stock-based compensation of $38,055 was attributable to Lokahi employees.