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Subsequent Events
6 Months Ended
Jun. 30, 2022
Subsequent Events [Abstract]  
Subsequent Events

11. Subsequent Events

 

In July 2022, the Company prepaid the remaining outstanding principal balance, equal to $25.0 million, together with approximately $1.7 million of accrued interest, fees and other amounts due under the Term Loan with Hercules. In connection with the prepayment, the Term Loan with Hercules was terminated, and all obligations, liens and security interests under the Term Loan were released, discharged and satisfied.

 

In July 2022, the Company issued 4,358,891 stock option awards intended to enhance the Company’s ability to retain its employees and provide them continuing incentives to execute against the strategic realignment plan, and in recognition of the commitments of the directors in developing and overseeing the same. Accordingly, as of the date of this filing, there were 375,666 shares available for grant under the Company’s 2020 Equity Incentive Plan.

 

Subsequent to June 30, 2022 and through August 10, 2022, the Company issued and sold 33,628,000 shares of common stock under the Sales Agreement for net proceeds of $15.9 million. As of August 10, 2022, the Company had the ability to offer and sell shares of common stock having an aggregate offering price of up to $68.4 million.

 

On July 29, 2022, Catalent provided formal notice of payment breach and demand for full payment from the Company under the Multiple Facility Clinical Supply and Services Agreement ( the “MSA”) between Catalent and the Company, dated as of July 31, 2020. Catalent has demanded payment of the past due balance of $12.8 million by August 8, 2022 to cure this breach. If the Company does not cure this payment breach, Catalent shall, among other things, be entitled to terminate the MSA by providing further notice of such termination to the Company. The Company continues to negotiate with Catalent but has been unable to reach an agreement.