Fair Value Measurements and Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2024

Fair Value Disclosures [Abstract]

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following tables present the fair value hierarchy for assets and liabilities measured at fair value on a recurring basis as of June 30, 2024 and December 31, 2023 (in thousands):

	June 30, 2024
	Level 1		Level 2		Level 3		Total
Financial assets:
Money market funds(1)	$	2,884	$	—	$	—	$	2,884
Long-term receivable from GCBP		—		—		4,839		4,839
Total financial assets	$	2,884	$	—	$	4,839	$	7,723
Financial liabilities:
CVR derivative liability, noncurrent	$	—	$	—	$	4,839	$	4,839
Warrant liability, noncurrent		—		—		5,634		5,634
Total financial liabilities	$	—	$	—	$	10,473	$	10,473

	December 31, 2023
	Level 1		Level 2		Level 3		Total
Financial assets:
Money market funds(1)	$	5,860	$	—	$	—	$	5,860
Long-term receivable from GCBP		—		—		4,722		4,722
Total financial assets	$	5,860	$	—	$	4,722	$	10,582
Financial liabilities:
CVR derivative liability	$	—	$	—	$	4,722	$	4,722
Warrant liability, noncurrent		—		—		12,835		12,835
Total financial liabilities	$	—	$	—	$	17,557	$	17,557

(1)Included in cash and cash equivalents on the accompanying condensed consolidated balance sheets.

Summary of Assumptions to Fair Value of Warrant Liability Based on Black-Scholes Option Pricing Model

The fair value of the warrant liability is estimated based on the Black-Scholes option pricing model using the following weighted-average assumptions:

	June 30, 2024			December 31, 2023
Share price	$	11.93		$	25.70
Exercise price	$	4,915.00		$	4,915.00
Dividend yield		—	%		—	%
Risk-free interest		4.35	%		3.88	%
Term (years)		9.33			9.83
Expected volatility		83.00	%		84.00	%

Changes in Estimated Fair Value of Level 3 Financial Assets and Liabilities

The following table sets forth the changes in the estimated fair value of the Company’s Level 3 financial assets and liabilities (in thousands):

	Long-term receivable		CVR derivative		Warrant
	from GCBP		liability, noncurrent		liability
Balance at December 31, 2023	$	4,722	$	4,722	$	12,835
Changes in fair value		117		117		(7,201	)
Balance at June 30, 2024	$	4,839	$	4,839	$	5,634

Cash Equivalents

Cash equivalents consisted of the following (in thousands):

June 30, 2024	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value
Money market funds (cash equivalents)	$	2,884	$	—	$	—	$	2,884
Total financial assets	$	2,884	$	—	$	—	$	2,884
Classified as:
Cash and cash equivalents							$	2,884
Total financial assets							$	2,884

December 31, 2023	Amortized cost		Gross unrealized gains		Gross unrealized losses		Estimated fair value
Money market funds (cash equivalents)	$	5,860	$	—	$	—	$	5,860
Total financial assets	$	5,860	$	—	$	—	$	5,860
Classified as:
Cash and cash equivalents							$	5,860
Total financial assets							$	5,860