Company: GROVW
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001628280-25-025541
Chunk: 206

Company: Grove Collaborative Holdings, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 8
Chunk 206
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 liquidity event is not deemed probable until such event occurs, no compensation cost related to the performance condition was recognized prior to the Business Combination on June 16, 2022. Subsequently, the Company recorded stock-based compensation expense of $4.6 million for service periods completed prior to the Business Combination. As of March 31, 2025, the market-based vesting criteria had not been met and there is no unrecognized compensation expense related to these market-based stock options. 

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Table of ContentsGrove Collaborative Holdings, Inc.Notes to Condensed Consolidated Financial Statements (continued)(Unaudited)

Restricted Stock Units (RSUs) The following table summarizes the activity for all RSUs under all of the Company’s equity incentive plans for the three months ended March 31, 2025:Number of SharesWeighted–Average Grant Date Fair Value Per ShareUnvested – December 31, 20244,657,655 $2.62 Granted2,440,808 $1.61 Vested(780,026)$3.44 Forfeited(555,648)$3.85 Balance – March 31, 20255,762,789 $1.96 CEO AwardIn August 2023, the Company’s Board of Directors granted its Chief Executive Officer an aggregate of 850,000 Class A common stock RSUs (the “CEO Award”) separate from the Grove Collaborative Holdings, Inc. 2022 Equity and Incentive Plan. A portion of the CEO Award contains market based vesting requirements consisting of four tranches that vest separately upon the Company’s public stock price meeting certain price thresholds. Additionally, the CEO Award also contains a service requirement with 25% of the shares vesting each year from the grant date for four years. The CEO Award has a total aggregate value of $2.0 million. During each of the three month periods ended March 31, 2025 and 2024, the Company recorded $0.1 million of stock-based compensation expense related to the CEO Award.      Employee Stock Purchase PlanIn May 2022, the Company’s board of directors adopted the 2022 Employee Stock Purchase Plan (the “ESPP”), which was subsequently approved by the Company’s stockholders. The ESPP went into effect on November 16, 2022. Subject to certain limitations contained therein, the ESPP allows eligible employees to contribute, through payroll deductions, up to 20% of their eligible