Common Stock Warrant Liability |
6 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
| Common Stock Warrant Liability | Common Stock Warrant Liability On the date of the funding of each Additional Loan Draw under the Perceptive Agreement, the Company will issue to Perceptive the Additional Warrants to purchase a number of shares of common stock equal to 0.025 times the dollar amount of delayed draw term loans funded on such date, with an exercise price equal to a 25% premium to the 10-day volume weighted average price of the Company’s common stock for the period ending on the business day immediately preceding such date. The Additional Warrants will not be issued legally until the Additional Loan Draws occur but are considered issued for accounting purposes upon execution of the Perceptive Agreement. The Additional Warrants do not meet the requirements for equity classification, and are recorded as liabilities on the condensed consolidated balance sheets. The Additional Warrants are recorded at fair value upon issuance, are subject to remeasurement to fair value at each reporting date, with any changes in fair value recognized in other (expense) income, net in the condensed consolidated statements of operations and comprehensive loss, and were accounted for as debt discount. The Additional Warrants had a fair value of $0.3 million and $0.2 million as of the issuance date and June 30, 2026, respectively. The change in fair value was less than $0.1 million during both the three and six months ended June 30, 2026. The Company values the common stock warrant liability using a probability-weighted Black-Scholes Merton option-pricing model (Note 4).
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