The Company records share-based compensation expense in respect of options, multi-year performance based restricted share units (“MRSUs”) and restricted share units (“RSUs”) issued under its share incentive plans. Share-based compensation expense amounted to $1,196 and $1,073 in the quarters ended December 31, 2019 and December 31, 2018, respectively, and $3,375 and $3,576 in the nine month periods ended December 31, 2019 and December 31, 2018, respectively.

	Number of Share Options Outstanding			Weighted Average Exercise Price		Weighted Average Remaining Contractual Life (Months)
Outstanding — March 31, 2019		1,936,397		$	7.77		78
Granted		85,623			8.69		120
Exercised		(85,920	)		4.70		—
Forfeited		(76,121	)		12.84		—
Outstanding —December 31, 2019		1,859,979		$	7.75		70
Exercisable — December 31, 2019		1,513,110		$	7.91		63

The closing price of the Company’s ordinary shares on The Nasdaq Global Market at December 31, 2019 was $9.51.

The following table summarizes the options granted in the current financial year with their exercise prices, the fair value of ordinary shares as of the applicable grant date, and the intrinsic value:

Grant Date

Number of

Options Granted

Exercise Price

Ordinary

Fair Value Per

Share at Grant

Date

Per Share

Intrinsic

Value of

Options

July 16, 2019

28,517

10.52

6.48

October 31, 2019

57,106

7.78

4.90

The fair value of each share incentive grant was determined by the Company using the Black-Scholes options pricing model.

Assumptions used in the option pricing models are discussed below. Each of these inputs is subjective and generally requires significant judgment to determine.

Expected volatility. The expected volatility was based on the historical share volatilities of a number of the Company’s publicly listed peers over a period equal to the expected terms of the options, as the Company did not have a sufficient trading history to use the volatility of its own ordinary shares.

Fair value of ordinary shares. The fair value of the ordinary shares was based upon the closing price of the Company’s shares on The Nasdaq Global Market on the last trading day prior to the date of grant.

Risk-Free Interest Rate. The risk-free interest rate was based on the US Treasury 10-year bond yield in effect at the time of grant.

Expected term. The expected term was determined after giving consideration to the contractual terms of the share-based awards, graded vesting schedules ranging from one to three years and expectations of future employee behavior as influenced by changes to the terms of the Company’s share-based awards.

Expected dividend. According to the terms of the awards, the exercise price of the options is adjusted to take into account any dividends paid. As a result dividends were not required as an input to the model, as these reductions in the share price are offset by a corresponding reduction in exercise price.

A summary of the assumptions applicable to the share options issued in the current financial year is as follows:

	July 16, 2019			October 31, 2019
Risk-free interest rate		2.10	%		1.77	%
Expected lives (years)		6			6
Volatility		67.39	%		70.14	%
Dividend yield		—			—
Grant date fair value (per share)	$	10.52		$	7.78
Number granted		28,517			57,106

Number

of RSUs

Outstanding

Weighted

Average

Remaining

Vesting Period

(Months)

Period in which the

target must be

achieved

RSUs subject to time based vesting

726,839

N/A

RSUs subject to milestone based vesting

55,000

N/A

At December 31, 2019, 726,839 RSUs were subject to time-based vesting and the weighted average remaining vesting period was 11 months. In addition, 55,000 RSUs were subject to vesting based on the achievement of various business milestones related mainly to the development, approval and marketing of MosaiQ.