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Stock Based Compensation
 3 Months Ended
Jun. 30, 2021
Share-based Payment Arrangement [Abstract]  
Stock Based Compensation Stock Based Compensation
The 2020 Equity Incentive Plan (the “2020 Plan”) was approved by Transphorm Technology’s board of directors on February 10, 2020 and Transphorm Technology’s stockholders on February 12, 2020, and became effective on the business day immediately prior to the closing of the Merger. Our stockholders approved the 2020 Plan on February 11, 2020. We assumed the 2020 Plan in connection with the Merger. The 2020 Plan provides for the grant of incentive stock options, within the meaning of Section 422 of the Internal Revenue Code of 1986, as amended (the “Code”), to our employees and our parent and subsidiary corporations’ employees, and for the grant of nonstatutory stock options, stock appreciation rights, restricted stock, restricted stock units (“RSUs”), performance units, and performance shares to our employees, directors, and consultants and our parent and subsidiary corporations’ employees and consultants. As of June 30, 2021, there were 922,037 restricted stock units outstanding under the 2020 Plan, 2,462,414 stock options outstanding under the 2020 Plan, and 3,648,248 shares available for grant (which includes an automatic increase on April 1, 2021 of 2,026,599 shares) under the 2020 Plan.

Subject to the adjustment provisions of the 2020 Plan, and the automatic increase described in the 2020 Plan, the maximum aggregate number of shares of our common stock that may be issued under the 2020 Plan is 5,050,000 shares of our common stock, which includes (i) 2,588,077 shares initially reserved for issuance, plus (ii)
any shares of our common stock subject to issued and outstanding awards under the 2007 Plan or 2015 Plan that were assumed in the Merger and that, on or after the closing of the Merger, expire or otherwise terminate without having been exercised or issued in full, are tendered to or withheld by us for payment of an exercise price or for tax withholding obligations, or are forfeited to or repurchased by us due to failure to vest, with the maximum number of shares to be added to the 2020 Plan pursuant to this clause (ii) equal to 2,461,923 shares. Subject to the adjustment provisions of the 2020 Plan, the number of shares of common stock available for issuance under the 2020 Plan will also include an annual increase on the first day of each fiscal year beginning with our 2022 fiscal year and ending on (and including) our 2030 fiscal year, in an amount equal to the least of: 5,000,000 shares of our common stock; five percent (5%) of the outstanding shares of our common stock on the last day of the immediately preceding fiscal year; or such number of shares of our common stock as the administrator of the 2020 Plan may determine.
Stock Options
The following table summarizes stock option activity and related information for the periods presented:
Number of OptionsWeighted Average Exercise Price per Share
Weighted Average Remaining Contractual Term
(in Years)
Aggregate Intrinsic Value
(1)
(in thousands)
Outstanding at April 1, 20212,543,125 $4.82 6.05$— 
Options granted— $— 
Options exercised(31,925)$4.21 
Options canceled(48,786)$6.85 
Outstanding at June 30, 20212,462,414 $4.79 5.82$720 
Exercisable at June 30, 20212,224,780 $4.65 5.43$690 
Outstanding at April 1, 20202,458,091 $4.74 6.58$— 
Options granted— $— 
Options exercised— $— 
Options canceled(3,404)$3.51 
Outstanding at June 30, 20202,454,687 $4.74 6.33$— 
Exercisable at June 30, 20202,251,243 $4.83 6.22$— 
(1) Intrinsic value represents the excess of the fair value on the last day of the period, which was $4.58 and $3.01 as of June 30, 2021 and 2020, respectively, over the exercise price, multiplied by the number of options.

Restricted Stock

Restricted Stock Awards
RSAs are grants of shares of our common stock that vest in accordance with terms and conditions established by the Company’s Board of Directors. Recipients of RSAs generally will have voting and dividend rights with respect to such shares upon grant without regard to vesting, unless the RSA agreement provides otherwise. Shares of restricted stock that do not vest are subject to forfeiture. In September 2020, we granted 123,501 RSAs outside of our 2020 Plan, 98,450 of which were fully vested on the date of grant and the remainder of which vested in January 2021. In December 2020, we granted 12,000 RSAs outside of our 2020 Plan, all of which were fully vested on the date of grant. There were no RSAs outstanding as of March 31, 2021 and no RSA activities during the three months ended June 30, 2021.
Restricted Stock Units

RSUs are grants of shares of our common stock that vest in accordance with terms and conditions established by the administrator of the 2020 Plan. Subject to the provisions of the 2020 Plan, the administrator determines the terms and conditions of RSUs, including the vesting criteria. We granted 816,180 RSUs during the three months ended September 30, 2020, 4,000 of which were fully vested on the date of grant. The remainder of the RSUs are scheduled to vest as follows: one third will vest on each of January 1, 2022, January 1, 2023 and July 1, 2023, in each case subject to the RSU holders’ continued status as a service provider to the Company through each vesting date. We granted 137,452 RSUs during the three months ended March 31, 2021, which are scheduled to vest in various periods, beginning immediately and ending on February 2025, in each case subject to the RSU holders’ continued status as a service provider to the Company through each vesting date.

The following table summarizes RSU activity and related information for the period presented:
Number of SharesWeighted-Average Grant Date Fair Value Per Share
Outstanding at April 1, 2021935,397 $3.96 
Granted— $— 
Vested(1,000)$3.75 
Canceled(12,360)$4.00 
Outstanding at June 30, 2021922,037 $3.96 

Stock-Based Compensation

The accompanying unaudited condensed consolidated statement of operations and comprehensive loss includes stock-based compensation expense for the periods presented as follows (in thousands):
Three Months Ended June 30,
20212020
Cost of revenue$27 $11 
Research and development127 40 
Sales and marketing36 5 
General and administrative307 48 
Total$497 $104 
Unrecognized Stock-Based Compensation

Unrecognized stock-based compensation expense as of dates presented was as follows (in thousands):
June 30, 2021June 30, 2020
Unrecognized ExpenseAverage Expected Recognition Period (in years)Unrecognized ExpenseAverage Expected Recognition Period (in years)
Stock options$256 3.26$224 1.00
Restricted stock2,176 1.59— —
Total$2,432 1.77$224 1.00