Company: MIRA
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010301
Chunk: 7

Company: MIRA PHARMACEUTICALS, INC.
Filing Date: 2025-05-14
Form: 10-Q
Item: Item 8
Chunk 7
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 of accounts
payable paid on behalf of a related party, specifically research and development payables. There has been no related party activity since
December 31, 2024.

License
agreement - See Note 3.

Note
5. Stockholders’ equity:

Capital
stock

The
Company has the authority to issue 110,000,000 shares of capital stock, consisting of 100,000,000 shares of Common Stock and 10,000,000
shares of undesignated Preferred Stock, whose rights and privileges will be defined by the Board of Directors when a series of Preferred
Stock is designated.

On
August 12, 2024, the Company filed a shelf registration statement with the SEC to facilitate the issuance of our common stock and entered
into an At The Market Offering Agreement (the “ATM Agreement”) with Rodman & Renshaw LLC,
under which the Company may offer and sell shares of its Common Stock, with an aggregate offering amount sold of up to $19,268,571. On
September 24, 2024, the Company filed a prospectus supplement to amend the shelf registration statement to update the maximum amount
eligible to be sold under the ATM Agreement to $75 million.

For
the three months ended March 31, 2025, under the ATM Agreement, the Company has sold and issued 2,802
shares of Common Stock at an average price per
share of $1.33 and
received net proceeds of approximately $3,000,
after deducting commissions and other fees of approximately $300.

Stock-based
compensation

The
fair value of each option award is estimated on the grant date using the Black-Scholes valuation model that uses assumptions for expected
volatility, expected dividends, expected term, and the risk-free interest rate. Expected price volatility is based on the historical
volatilities of a peer group as the Company does not have a multi-year trading history for its shares. Industry peers consist of several
public companies in the biotech industry similar to the Company in size, stage of life cycle and product indications. The Company intends
to continue to consistently apply this process using the same or similar public companies until a sufficient amount of historical information
regarding the volatility of the Company’s own stock price becomes available, or unless circumstances change such that the identified
companies are no longer similar to the Company, in which case, more suitable companies whose share prices are publicly available would
be