v3.26.1
Fair Value Measurements
 3 Months Ended
Mar. 31, 2026
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
ASC Topic 820, Fair Value Measurement, establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value, as follows: Level 1 Inputs - unadjusted quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date; Level 2 Inputs - other than quoted prices included in Level 1 inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability; and Level 3 Inputs - unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at measurement date.
Assets and liabilities measured at fair value on a recurring basis as of March 31, 2026 are as follows:
TotalLevel 1Level 2Level 3
Liabilities
Contingent consideration
$5,774 $— $— $5,774 
Total financial liabilities
$5,774 $— $— $5,774 
In connection with the contingent consideration, the Company was not able to pay the first $1,000 Milestone 1 payment within the contractual due date as a result of the Company’s limited cash balance. The Company and GPCR re-negotiated the repayment terms and the Milestone 1 payment is now payable in shares of the Company’s common stock.
Assumptions utilized in the valuation of Level 3 liabilities are described as follows:
As of March 31, 2026
MilestoneProbability Of SuccessPayment DateDiscount Rate
1100.0%1/16/20269.28%
211.7%3/31/20279.28%
310.8%6/30/20289.28%
410.8%6/30/20289.28%
510.8%12/31/203014.28%
610.8%12/31/203114.28%
710.8%12/31/203214.28%
The following table sets forth a summary of the changes in the fair value of Level 3 contingent consideration that are measured at fair value on a recurring basis:
Three Months Ended March 31,2026
Year Ended December 31,2025
Contingent consideration
Beginning balance
$6,799 $— 
Contingent consideration assumed in the GPCR USA acquisition
— 5,246 
Change in fair value of contingent consideration
188 1,553 
Ending balance
$6,987 $6,799 
At March 31, 2026 and December 31, 2025, current portion of contingent consideration of $1,213 and $995, respectively, was included in accrued expenses and other current liabilities.
Cash and cash equivalents were measured using level 1 inputs as of March 31, 2026. The Company recognizes transfers between levels of the fair value hierarchy as of the end of the reporting period. There were no transfers within the hierarchy during the period ended March 31, 2026 and the year ended December 31, 2025. The carrying amount of the Company’s receivables and payables approximate their fair value due to their maturity.
The Company uses the market approach and Level 1 and Level 2 inputs to value its cash equivalents and Level 2 inputs to value its short-term investments. The Company uses the market approach and Level 3 inputs to value its liabilities. There were no liabilities measured at fair value on a recurring basis as of March 31, 2026.