At June 30, 2024, the Company had in place a stock option plan for directors, officers, employees, and consultants of the Company (“Stock Option Plan”). As of June 30, 2024, there were 540,595 awards available under the plan for issuance.

The Stock Option Plan provides for the granting of options to purchase Common Shares. Under the terms of the Stock Option Plan, the exercise price of the stock options granted under the Stock Option Plan may not be lower than the closing price of the Company’s Common Shares on the Nasdaq Capital Market at the close of such market the day preceding the grant. The maximum number of Common Shares that may be issued upon exercise of options granted under the Stock Option Plan shall not exceed 20% of the aggregate number of issued and outstanding shares of the Company as of July 28, 2022. The terms and conditions for acquiring and exercising options are set by the Company’s Board of Directors, subject to, among others, the following limitations: the term of the options cannot exceed ten years and (i) all options granted to a director will be vested evenly on a monthly basis over a period of at least twelve (12) months, and (ii) all options granted to an employee will be vested evenly on a quarterly basis over a period of at least thirty-six (36) months.

The total number of options issued to any one consultant within any twelve-month period cannot exceed 2% of the Company’s total issued and outstanding Common Shares (on a non-diluted basis). The total number of options issued within any twelve-month period to all directors, employees and/or consultants of the Company (or any subsidiary of the Company) conducting investor relations services, cannot exceed in the aggregate 2% of the Company’s issued and outstanding Common Shares (on a non-diluted basis), calculated at the date an option is granted to any such person.

The following table summarizes information about activities within the Stock Option Plan for the three-month period ended June 30, 2024:


	Number of options		Weighted-average exercise price		Remaining Contractual Term (years)		Aggregate Intrinsic Value (in thousands)
			$
Outstanding, March 31, 2024		721,793		3.68		9.08		527
Granted		198,130		2.96
Outstanding, June 30, 2024		919,923		3.53		9.05		241
Exercisable, June 30, 2024		378,174		4.41		8.65		115

The weighted-average grant date fair value of awards for options granted during the three months ended June 30, 2024 was $2.52. The fair value of options granted was estimated using the Black-Scholes option pricing model, resulting in the following weighted-average assumptions for the options granted:


	June 30, 2024	June 30, 2023
	Weighted-average	Weighted-average
Exercise price	$2.96	—
Share price	$2.96	—
Dividend	—	—
Risk-free interest	4.43%	—
Estimated life (years)	5.81	—
Expected volatility	114.37%	—

Compensation expense recognized under the Stock Option Plan is summarized as follows:


	Three months ended
	June 30, 2024		June 30, 2023
	$		$
Research and development expenses		65		2
General and administrative expenses		173		76
		238		78

As of June 30, 2024, there was $689 of total unrecognized compensation cost, related to non-vested stock options, which is expected to be recognized over a remaining weighted-average vesting period of 1.39 years.

The Company established an equity incentive plan (the “Equity Incentive Plan”) for employees, directors, and consultants. The Equity Incentive Plan provides for the issuance of 1,483,140 restricted share units, performance share units, restricted shares, deferred share units and other stock-based awards, subject to restricted conditions as may be determined by the Board of Directors. There were no such awards outstanding as of June 30, 2024, and no stock-based compensation was recognized for the three months ended June 30, 2024.