v3.26.1
DEBT
 3 Months Ended
Mar. 31, 2026
Debt Disclosure [Abstract]  
DEBT
NOTE 8—DEBT
The table below summarizes our debt outstanding:
(in thousands)Effective Interest RateContractual Interest RateMarch 31, 2026December 31, 2025
Short-term debt:
Loan payable7.1%7.1%$— $107 
Total short-term debt$— $107 
Long-term debt:
April 2030 convertible notes13.1%2.5%$11,471 $11,471 
July 2030 convertible notes6.4%5.5%122,500 122,500 
Less: unamortized discount(6,192)(6,610)
Total long-term debt, net of unamortized discount$127,779 $127,361 
Total debt$127,779 $127,468 
As of March 31, 2026 and December 31, 2025, the estimated fair value of our debt was approximately $126.1 million and $119.5 million, respectively. The estimated fair value of our long-term convertible notes is based on Level 3 inputs utilizing the discounted cash flow model. The discount rate applied in the valuation model is based on the yield of U.S Treasury securities with similar remaining contractual terms, plus a credit spread derived from the Intercontinental Exchange Bank of America U.S. corporate bond option-adjusted spread indices for issuers with similar credit risk profiles.
The total interest expense on our debt was $2.2 million with contractual interest rate expense of $1.8 million and amortization of debt discount and issuance costs of $0.4 million.
SHORT-TERM DEBT
In April 2025, we entered into a Director and Officer insurance policy for $666.3 thousand, where we borrowed a total of $516.5 thousand. The financed insurance premiums are payable over ten months and have a contractual annual interest rate of 7.1% which is calculated using a 365-day calendar year. During the first quarter 2026, we fully repaid the outstanding balance of $106.7 thousand related to the insurance policy borrowings.
LONG-TERM DEBT
During the first quarter 2026, we did not have any new issuances of senior notes.
July 2030 Convertible Notes
On July 7, 2025, we issued $112.5 million in aggregate principal amount, in a private offering, of 5.5% convertible senior notes due July 1, 2030 ("July Notes"). Additionally, the initial purchasers of the private offering exercised the right to purchase additional July Notes, as granted under the terms of the private offering, resulting in an additional issuance of 10.0 million in aggregate principal amount of the July Notes. Our July Notes bear interest at an annual rate of 5.5% which is calculated based on a 360-day year, payable semiannually in arrears.
April 2030 Convertible Notes
On April 4, 2025, we issued $42.0 million in aggregate principal amount, in a private offering, of 2.5% convertible notes due April 6, 2030 ("April Notes"). The April 2030 Convertible Notes bear interest at an annual rate of 2.5% per year, accrued daily and payable quarterly in arrears on March 31, June 30, September 30 and December 31 each year. None of our April 2030 convertible notes were converted to common stock during the first quarter of 2026.
The table below shows the future payments associated with our long-term debt as of March 31, 2026:
(in thousands)
Remaining 2026$— 
2027 through 2029$— 
2030 and thereafter$133,971