Company: TVRD
Filing Date: 2025-10-20
Form Type: S-1/A
Source: 0001104659-25-100896
Chunk: 367

Company: Tvardi Therapeutics, Inc.
Filing Date: 2025-10-20
Form: S-1/A
Chunk 367
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 0.33 | ​ | ​ |
| Time to dissolution (in years)                       | ​ | ​ | ​                     | ​ |    n/a | ​ | ​ |
| Interest rate (risk-free)                            | ​ | ​ | ​                     | ​ |  4.37% | ​ | ​ |
| Conversion discount rate                             | ​ | ​ | ​                     | ​ | 20.00% | ​ | ​ |

Since the Company elected the fair value option to account for the Convertible Notes, at the time of conversion, the fair value was measured as the quoted market price of the Company’s common shares into which the Convertible Notes were exchanged. The fair value was determined to be the closing market trading price of the Company’s common stock on April 16, 2025, the first day of trading for the Company’s common stock following the closing of the Merger. Under the fair value option, any change in fair value was recorded to the Company’s condensed consolidated statements of operations and comprehensive income (loss) as a gain or loss from a fair value measurement. At the time of conversion, the fair value of the Convertible Notes was $23.1 million, calculated as 1,265,757 shares of common stock at the closing market trading price on April 16, 2025. The $12.8 million change in fair value when comparing the $23.1 million at the time of conversion to the $35.9 million recorded value of the Convertible Notes immediately prior to the conversion date was recorded to the Company’s condensed consolidated statements of operations and comprehensive income (loss) as a gain within other income, net for the three months ended June 30, 2025. For the six months ended June 30, 2025, the net change in fair value recorded to the Company’s condensed consolidated statements of operations and comprehensive income (loss) within other income, net was $7.8 million. The following table presents the changes in the fair value of the Level 3 Convertible Notes (in thousands):

| ​                                                               
 Balance as of December 31, 2024                                 
 Interest accrued during the three months ended March 31, 2025   | ​ 
 ​ 
 ​ | ​ 
 ​ 
 ​ | Amounts 
 ​       
 ​       | ​ |  30,259 
     558 | ​ 
 ​ | ​ 
 ​ 
 ​ |
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