Company: ERAS
Filing Date: 2025-03-20
Form Type: 10-K
Source: 0000950170-25-042682
Chunk: 308

Company: Erasca, Inc.
Filing Date: 2025-03-20
Form: 10-K
Item: Item 6
Chunk 308
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 restricted and continued to vest in accordance with the original vesting schedule. The Company had the option to repurchase any unvested shares at the original purchase price upon any voluntary or involuntary termination. The shares purchased by the employees and non-employees pursuant to the early exercise of stock options were not deemed, for accounting purposes, to be outstanding until those shares vested. The cash received in exchange for exercised and unvested shares related to stock options granted was recorded as a liability for the early exercise of stock options on the accompanying consolidated balance sheets and were transferred into common stock and additional paid-in capital as the shares vested. As of December 31, 2024 and 2023, there were zero shares and 371,876 shares subject to repurchase by the Company, respectively. As of December 31, 2024 and 2023, the Company recorded $0 and $464,000 of liabilities associated with shares issued with repurchase rights, respectively, which is recorded in accrued expenses and other current liabilities. 

 F-22

 The assumptions used in the Black-Scholes option pricing model to determine the fair value of the employee and nonemployee stock option grants were as follows: 

        Year Ended December 31,

        2024
         
        2023

        Risk-free interest rate
         
        3.56%-4.64%
         
        3.46%-4.73%

        Expected volatility
         
        81.36%-83.91%
         
        82.01%-85.81%

        Expected term (in years)
         
        5.28-6.08
         
        5.50-6.08

        Expected dividend yield
         
        --%
         
        --%
       
      Effective May 21, 2024, and in accordance with the terms of the 2021 Plan, the Company's board of directors approved a stock option repricing (the Option Repricing) whereby the exercise price of each Repriced Option (as defined below) was reduced to $2.35 per share, the closing stock price on May 21, 2024. For purposes of the Option Repricing, “Repriced Options” are 7,478,918 outstanding stock options as of May 21, 2024 (vested and unvested) granted under the 2021 Plan and held by those eligible employees of the Company identified by the Company's board of