Company: OCEA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-011080
Chunk: 91

Company: Ocean Biomedical, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 1
Chunk 91
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 power and 68% of
the equity interests in Poseidon.

Stock-Based Compensation

The Company recognizes stock-based
compensation costs for equity-based compensation awards granted to employees, nonemployees, and directors in accordance with U.S. GAAP.
The Company estimates the fair value and the resulting amounts using the Black-Scholes option-pricing model. The fair value is recognized
on a straight-line basis over the requisite service periods but accelerated to the extent that grants vest sooner than on a straight-line
basis. Forfeitures are accounted for as they occur and requires management to make a number of other assumptions, including the volatility
of the underlying shares, the risk-free interest rate, and expected dividends. Expected volatility is based on the historical share volatility
of a set of comparable publicly traded companies over a period of time equal to the expected term of the grant or option.

Stock-based compensation for
the three months ended March 31, 2025 and 2024, consisted of costs related to (i) stock options granted to non-employee directors in the
first quarter of 2023 and (ii) warrants issued to advisors and consultants, as discussed below. The following table summarizes the allocation
of stock-based compensation for the stock options, warrants, and Class B profit interests for the three months ended March 31, 2025 and
2024, respectively:

Schedule of Allocation of Stock-based Compensation

    (in thousands) 
    2025  
    2024 

    For the Three Months Ended  March 31, 
  
    (in thousands) 
    2025  
    2024 
  
    Stock-based compensation: 

    Research and development 
    $-  
     - 
  
    General and administrative 
     186  
     186 
  
    Total stock-based compensation 
    $186  
     186 

    26

10. Warrants

As of March 31, 2025, and December
31, 2024, the following warrants to purchase common stock were outstanding:

Schedule of Warrants

    March 31, 2025 

    Issuance Date  
    Number of Shares Issuable  
    Exercise Price  
    Classification  
    Expiration
  
    Lender/Name 

    Second Street Capital (1) (2) 
     February 2023  
     426,427  
    $8.06