The Company’s share-based compensation plan, the Amended and Restated 2017 Employee, Director and Consultant Equity Incentive Plan, or the 2017 Plan, provided for the issuance of incentive stock options, restricted and unrestricted stock awards, and other stock-based awards. The 2017 Plan was terminated in connection with the Merger.

The Company recognized compensation costs related to stock-based awards, including stock options, based on the estimated fair value of the awards on the date of grant. The Company granted options with an exercise price equal to the fair market value of the Company’s stock on the date of the option grant. The options were subject to four-year vesting with a one-year cliff and had a contractual term of 10 years.

The aggregate intrinsic value of stock options exercised during the nine months ended September 30, 2024 was $65.3 million. Aggregate intrinsic value of stock options exercised was calculated using the fair value of common stock on the date of exercise. The total fair value of stock options vested during the nine months ended September 30, 2024 was $42.5 million. Following the Merger, there was no activity under the 2017 Plan and no stock options remained outstanding under the 2017 Plan.

All outstanding options with an exercise price less than or equal to the total consideration of $35.00 vested immediately upon the Merger and were settled for the consideration of: (i) $30.00 per share in cash, less the applicable exercise price of their stock option and (ii) one contingent value right per share, representing the right to receive a contingent payment of $5.00 in cash upon the achievement of a regulatory milestone. All outstanding options with an exercise price which exceeded the total consideration of $35.00 were canceled upon the Merger for no consideration.

The Company did not grant any stock options under the 2017 Plan during the nine months ended September 30, 2025 or September 30, 2024.


	NINE MONTHS ENDED SEPTEMBER 30, 2024

Research and development		$	32,809
General and administrative		18,725
Total stock-based compensation expense		$	51,534

No expense was recognized under the 2017 Plan during the three and nine months ended September 30, 2025 or the three months ended September 30, 2024. As of September 30, 2025, the Company had no remaining unrecognized stock-based compensation expense related to its stock options under the 2017 Plan following the termination of the plan subsequent to the Merger.

In connection with the Separation, the Company adopted the 2024 Omnibus Incentive Plan, or the 2024 Plan, which provides for the issuance of incentive stock options, restricted and unrestricted stock awards, and other stock-based awards. As of September 30, 2025, an aggregate of 4.0 million shares of common stock were authorized for issuance under the 2024 Plan, of which 0.4 million remained available for issuance.

The Company recognizes compensation costs related to stock-based awards, including stock options, based on the estimated fair value of the awards on the date of grant. The Company grants stock options with an exercise price equal to the fair market value of the Company’s stock on the date of the option grant. The stock options are generally subject to four-year vesting with a one-year cliff, or one-year vesting. All options have a contractual term of 10 years.

A summary of the Company’s stock option activity under its 2024 Plan for the nine months ended September 30, 2025 is as follows (in thousands, except for per share data and years):


	Number of Shares	Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (In Years)	Aggregate Intrinsic Value



Outstanding as of December 31, 2024	3,660	$	15.84
Granted	378	$	17.86
Exercised	(22)	$	15.86
Forfeited	(426)	$	15.86
Outstanding as of September 30, 2025	3,590	$	16.05	8.7	$	63
Vested and exercisable as of September 30, 2025	1,176	$	15.84	8.3	$	21

The aggregate intrinsic value of stock options exercised during the nine months ended September 30, 2025 was $0.2 million. There were no stock options exercised during the nine months ended September 30, 2024. The total fair value of stock options vested during the nine months ended September 30, 2025 was $15.0 million. No stock options vested during the nine months ended September 30, 2024. The Company expects all outstanding stock options to vest.

The weighted-average assumptions used by the Company to estimate the fair value of stock option grants using the Black-Scholes option pricing model, as well as the resulting weighted-average fair value, for the nine months ended September 30, 2025 and September 30, 2024 were as follows:


	NINE MONTHS ENDED SEPTEMBER 30,
	2025			2024
Risk-free interest rate	3.92		%	4.56		%
Expected volatility	86.70		%	86.32		%
Expected dividend yield	—		%	—		%
Expected term (in years)	5.99			6.06
Weighted average fair value	$	13.32		$	11.89


	THREE MONTHS ENDED SEPTEMBER 30,				NINE MONTHS ENDED SEPTEMBER 30,
	2025		2024		2025		2024
Research and development	$	2,048	$	1,717	$	4,886	$	2,320
General and administrative	1,127		1,248		3,509		1,682
Total stock-based compensation expense	$	3,175	$	2,965	$	8,395	$	4,002

As of September 30, 2025, the Company had $28.7 million of total unrecognized stock-based compensation expense related to its stock options, which is expected to be recognized over a weighted-average period of 2.8 years.