In October 2023, the Company executed a noncancelable operating lease for new premises to be used for office, research and development and laboratory purposes (“General Atomics Court Lease”). The General Atomics Court Lease has a five-year term with an option to extend for another three-year period subject to certain conditions, which the Company is not reasonably certain to exercise and therefore was not considered in determining the right-of-use (“ROU”) assets and lease liabilities balance.

In August 2025, the Company signed an amendment to the General Atomics Court Lease for additional space (“General Atomics Court Lease Expansion”). The General Atomics Court Lease Expansion commenced for accounting purposes in October 2025. The General Atomics Court Lease Expansion expires in December 2027 with an option to extend through October 2029, which the Company is not reasonably certain to exercise and therefore was not considered in determining the ROU assets and lease liabilities balance. Upon commencement of the General Atomics Court Lease Expansion, the Company recorded an additional ROU asset and lease liability of approximately $1.4 million.

In November 2025, the Company leased certain equipment used in connection with its on-going Phase 2 clinical trial of PIPE-791 for the treatment of IPF. The leases are accounted for as operating leases and have lease terms expiring in 2028. The Company recorded an ROU asset and lease liability of approximately $1.9 million.

Below is a summary of the Company’s operating lease right-of-use assets and lease liabilities as of March 31, 2026 and 2025 (in thousands, except for years and %):


	March 31, 2026			December 31, 2025
Operating lease right-of-use assets	$	7,016		$	7,639

Operating lease liability obligations, current	$	2,303		$	2,341
Operating lease liability obligations, less current portion	4,651			5,909
Total lease liability obligations	$	6,954		$	8,250

Weighted-average remaining lease term	3.3			3.4
Weighted-average discount rate	8.9		%	8.9		%

During the three months ended March 31, 2026 and 2025, the Company recognized $0.5 million and $0.4 million, respectively, in operating lease expenses, which are included in operating expenses in the Company’s statements of operations and comprehensive loss.


2026	$	1,779
2027	2,636
2028	2,000
2029	1,556
Total minimum lease payments	7,971
Less: Amount representing interest	1,017
Total lease liability obligations	6,954
Less: Current portion of operating lease liabilities	2,303
Operating lease liabilities, net of current portion	$	4,651

From time to time, the Company may become involved in various legal proceedings and claims that arise in the ordinary course of the Company’s business activities. As of March 31, 2026, the Company was not a party to any material legal proceedings.

The Company has various manufacturing, clinical, research and other contracts with vendors in the conduct of the normal course of its business. Such contracts are generally terminable with advanced written notice and payment for any products or services received by the Company through the effective time of termination and any non-cancelable and non-refundable obligations incurred by the vendor at the effective time of the termination. In the case of terminating a clinical trial agreement at a particular site, the Company would also be obligated to provide continued support for appropriate medical procedures at that site until completion or termination.