Company: LENZ
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001815776-25-000056
Chunk: 311

Company: LENZ Therapeutics, Inc.
Filing Date: 2025-07-30
Form: 10-Q
Item: Part I, Item 1
Chunk 311
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 and Option Agreement (“Option Agreement”), resulting in the issuance of additional shares of common stock. The Company identified the Seed Financing as an observable price change under the measurement alternative, and adjusted the equity investment from zero to an estimated fair value of $1.3 million at the time of the Seed Financing. In May 2025, the private company executed an extension of the initial seed funding round (“Seed Extension”), which the Company identified as an observable price change under the measurement alternative, and resulted in a $0.2 million increase in the fair value of the equity investment. There were no other upward or downward adjustments to the carrying value of the Company's investment without a readily determinable fair value during the three and six months ended June 30, 2025 and 2024.

5.    Accrued Liabilities

Accrued liabilities consist of the following (in thousands):June 30, 2025December 31,2024Accrued payroll and related expenses$2,941 $3,564 Research and development accrued expenses2,208 808 Sales, general, and administrative accrued expenses1,776 1,109 Operating lease liability, current portion482 567 Other accrued liabilities137 101 Total accrued liabilities$7,544 $6,149 

6.    Commitments and Contingencies

Operating LeasesCommencing on April 1, 2022, LENZ OpCo entered into a lease agreement for office space in Del Mar, California, which was subsequently amended to expand the office space leased and extend the term (the “Del Mar lease”). In April 2024, the Company entered into a lease agreement for office space in Solana Beach, California (the “Lomas lease”). As of June 30, 2025, the weighted average remaining lease term was 2.0 years, and the weighted average discount rate used to determine the right-of-use assets and corresponding operating lease liabilities was 7.7%. Cash paid for operating leases approximated rent expense for the periods presented.

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Maturities of the Company's operating lease liabilities as of June 30, 2025 are as follows (in thousands):2025$274 2026511 2027361 Total undiscounted lease payments 1,146 Less: present value adjustment(95)Operating lease liabilities$1,051 Rent expense for the three months ended June 30, 2025 and 2024 was $0