Company: RNAC
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001453687-25-000085
Chunk: 114

Company: Cartesian Therapeutics, Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 8
Chunk 114
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 consolidated statements of operations and comprehensive loss during the three months ended March 31, 2025 and 2024, respectively. Following the stockholder approval of the conversion of the Series A Preferred Stock into shares of common stock, the options exercisable for shares of Series A Preferred Stock became exercisable for shares of common stock.

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Stock-Based Compensation ExpenseStock-based compensation expense by classification included within the consolidated statements of operations and comprehensive loss, was as follows (in thousands): Three Months EndedMarch 31, 20252024Research and development$1,275 $712 General and administrative1,233 719 Total stock-based compensation expense$2,508 $1,431 Stock OptionsThe estimated grant date fair values of stock option awards granted under the 2016 Plan and the 2018 Inducement Incentive Award Plan were calculated using the Black-Scholes option pricing model based on the following weighted-average assumptions: Three Months EndedMarch 31, 20252024Risk-free interest rate4.46 %3.95 %Dividend yield— — Expected term (in years)6.206.20Expected volatility97.44 %95.37 %Weighted-average fair value of common stock$17.46 $19.78 The expected term of the Company’s stock options granted has been determined utilizing the “simplified” method for awards that qualify as “plain-vanilla” options. Under the simplified method, the expected term is presumed to be the midpoint between the vesting date and the end of the contractual term. The Company utilizes this method due to lack of historical exercise data and the plain nature of its stock-based awards. Expected volatilities are based on the Company’s historical volatility.The weighted-average grant date fair value of stock options granted during the three months ended March 31, 2025 and 2024 was $14.03 and $15.79, respectively. As of March 31, 2025, total unrecognized compensation expense related to unvested common stock options was $17.9 million, which is expected to be recognized over a weighted average period of 3.2 years.The following table summarizes the stock option activity under the 2016 Plan, the 2018 Inducement Incentive Award Plan, and the Old Cartesian Plan for options for common stock:   Weighted-average  Number ofremainingAggregate common stockWeighted-averagecontractual termintrinsic value