Company: TVRD
Filing Date: 2025-05-30
Form Type: S-1
Source: 0001104659-25-054853
Chunk: 439

Company: Tvardi Therapeutics, Inc.
Filing Date: 2025-05-30
Form: S-1
Chunk 439
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 2024.

The Company determined that the modified lease agreement on September 26, 2024, or the Modification Date, was a lease with a termination date of November 1, 2024, which did not result in a separate contract. As a result, the Company remeasured the remaining consideration in the Assignment Agreements to include a cash lease payment of $ and a release payment of $ (that were both paid in September 2024), as well as a non-cash lease payment of $ that included the fair value of the leasehold improvements and furniture and fixtures that was assigned to the third party on November 1, 2024.

The Company reassessed the classification of the Assignment Agreements on the Modification Date and determined that the modified lease continued to be an operating lease. The Company also incurred $ of initial direct costs for the Assignment Agreements which were included within the ROU asset on September 26, 2024.

The Company remeasured the lease liability to be $ on the Modification Date and adjusted the amount of the ROU asset by the amount of the remeasurement of the lease liability. Also on September 26, 2024, the Company made a cash payment of $ which reduced the lease liability to $. This lease liability was relieved on November 1, 2024 when the Company transferred the leasehold improvements and furniture and fixtures on the termination date.

On September 30, 2024, the Company analyzed the recorded value of its ROU asset for impairment and determined that the carrying value was not recoverable. As a result, the Company recorded a full impairment charge of $ on its ROU asset, which was included within the Consolidated Statements of Comprehensive Loss for the year ended December 31, 2024.

Other information related to the leases (terminated in November 2024 and December 2023) was as follows:

| ​                                                                       
 ​                                                                       | ​ 
 ​ 
 ​ | ​                       
 Year Ended December 31, |     ​ 
  2024 | ​ | ​ |     ​ 
  2023 | ​ |
|:------------------------------------------------------------------------|:--|:------------------------|------:|:--|:--|------:|:--|
| Cash paid for amounts included in the measurement of lease liabilities: |   | ​                       |       |   | ​ |       | ​ |
| Operating cash outflows relating to operating leases                    | ​ | $                       | 4,363 | ​ | $ | 1,992