Subsequent Events

9 Months Ended

Sep. 30, 2023

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

On October 30, 2023, the Company converted 2,438,643 options and 2,963,829 restricted stock awards granted at the time of the Company’s IPO that were originally eligible to vest based on the achievements of certain returns of our sponsor after it owned and controlled less than 50% of our outstanding stock to time-based awards that vest in full on April 30, 2025, subject to a continuous service requirement through the vesting date. The fair value of these options and restricted stock awards on the modification date was approximately $10 million and $33 million, respectively. Stock compensation expense will be recognized ratably over the vesting period.

The fair value of the modified stock options was estimated using a Black-Scholes option pricing model using the following assumptions:

Annual dividend yield	—%
Expected term (years)	6.5
Risk-free interest rate	4.82
Expected volatility	49.8
Exercise price	$22.00