0001558370-22-006260 | 10-Q | XBRL Viewer

Three Months Ended March 31,

Stock options and RSUs

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Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2022	Apr. 27, 2022
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Mar. 31, 2022
Entity File Number	001-36177
Entity Registrant Name	GlycoMimetics, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	06-1686563
Entity Address, Address Line One	9708 Medical Center Drive
Entity Address, City or Town	Rockville
Entity Address, State or Province	MD
Entity Address, Postal Zip Code	20850
City Area Code	240
Local Phone Number	243-1201
Title of 12(b) Security	Common Stock, $0.001 par value
Trading Symbol	GLYC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		52,392,444
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Entity Central Index Key	0001253689
Current Fiscal Year End Date	--12-31
Amendment Flag	false

Balance Sheets - USD ($)	Mar. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 76,516,226	$ 90,254,890
Prepaid expenses and other current assets	947,392	533,804
Total current assets	77,463,618	90,788,694
Property and equipment, net	350,055	368,842
Prepaid research and development expenses	2,221,407	1,560,607
Deposits	52,320	52,320
Operating lease right-of-use asset	1,377,371	1,576,185
Total assets	81,464,771	94,346,648
Current liabilities:
Accounts payable	2,276,173	2,107,615
Accrued expenses	9,477,026	8,715,368
Lease liabilities	1,028,534	1,001,407
Total current liabilities	12,781,733	11,824,390
Lease liabilities, net of current portion	651,786	918,607
Total liabilities	13,433,519	12,742,997
Stockholders' equity:
Preferred stock; $0.001 par value; 5,000,000 shares authorized, no shares issued and outstanding at March 31, 2022 and December 31, 2021
Common stock; $0.001 par value; 100,000,000 shares authorized; 52,392,444 shares issued and outstanding at March 31, 2022; 52,313,894 shares issued and outstanding at December 31, 2021	52,392	52,314
Additional paid-in capital	455,528,891	454,448,327
Accumulated deficit	(387,550,031)	(372,896,990)
Total stockholders' equity	68,031,252	81,603,651
Total liabilities and stockholders' equity	$ 81,464,771	$ 94,346,648

Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2022	Dec. 31, 2021
Balance Sheets
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	52,392,444	52,313,894
Common stock, shares outstanding	51,738,894	49,017,622

Statements of Operations and Comprehensive Loss - USD ($)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Statements of Operations and Comprehensive Loss
Revenue from collaboration and license agreements		$ 1,055,441
Costs and expenses:
Research and development expense	9,603,922	11,147,236
General and administrative expense	5,056,188	4,188,110
Total costs and expenses	14,660,110	15,335,346
Loss from operations	(14,660,110)	(14,279,905)
Interest income	7,069	5,846
Net loss and comprehensive loss	$ (14,653,041)	$ (14,274,059)
Basic net loss per common share (in dollars per share)	$ (0.28)	$ (0.28)
Diluted net loss per common share (in dollars per share)	$ (0.28)	$ (0.28)
Basic weighted-average number of common shares outstanding (in shares)	52,331,391	50,697,183
Diluted weighted-average number of common shares outstanding (in shares)	52,331,391	50,697,183

Statements of Stockholders' Equity - USD ($)	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Total
Balance at Dec. 31, 2020	$ 49,018	$ 437,639,991	$ (309,469,553)	$ 128,219,456
Balance, shares at Dec. 31, 2020	49,017,622
Issuance of common stock, net of issuance costs	$ 2,517	9,557,182		9,559,699
Issuance of common stock, net of issuance costs, shares	2,517,603
Exercise of options	$ 4	4,235		4,239
Exercise of options, shares	3,785
Stock-based compensation		1,614,185		1,614,185
Net loss			(14,274,059)	(14,274,059)
Balance at Mar. 31, 2021	$ 51,539	448,815,593	(323,743,612)	125,123,520
Balance, shares at Mar. 31, 2021	51,539,010
Balance at Dec. 31, 2021	$ 52,314	454,448,327	(372,896,990)	81,603,651
Balance, shares at Dec. 31, 2021	52,313,894
Vesting of restricted stock units	$ 78	(78)
Vesting of restricted stock units, shares	78,550
Stock-based compensation		1,080,642		1,080,642
Net loss			(14,653,041)	(14,653,041)
Balance at Mar. 31, 2022	$ 52,392	$ 455,528,891	$ (387,550,031)	$ 68,031,252
Balance, shares at Mar. 31, 2022	52,392,444

Statements of Cash Flows - USD ($)	3 Months Ended		12 Months Ended
Statements of Cash Flows - USD ($)	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Operating activities
Net loss	$ (14,653,041)	$ (14,274,059)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation	59,308	68,088
Loss on disposal of assets		2,174
Non-cash lease expense	198,814	180,586
Stock-based compensation	1,080,642	1,614,185
Changes in assets and liabilities:
Prepaid expenses and other current assets	(413,588)	85
Prepaid research and development expenses	(660,800)
Accounts payable	168,558	50,861
Accrued expenses	761,658	(1,552,381)
Lease liabilities	(239,694)	(214,810)
Net cash used in operating activities	(13,698,143)	(14,125,271)	$ (57,500,000)
Investing activities
Purchases of property and equipment	(40,521)	(3,060)
Net cash used in investing activities	(40,521)	(3,060)
Financing activities
Proceeds from issuance of common stock, net of issuance costs		9,559,699
Proceeds from exercise of stock options		4,239
Net cash provided by financing activities		9,563,938
Net change in cash and cash equivalents	(13,738,664)	(4,564,393)
Cash and cash equivalents, beginning of period	90,254,890	137,035,017	137,035,017
Cash and cash equivalents, end of period	$ 76,516,226	$ 132,470,624	$ 90,254,890

Description of the Business

3 Months Ended

Mar. 31, 2022

Description of the Business

Description of the Business

1. Description of the Business

GlycoMimetics, Inc. (the Company), a Delaware corporation headquartered in Rockville, Maryland, was incorporated in 2003. The Company is a clinical stage biotechnology company focused on the discovery and development of novel glycomimetic drugs to address unmet medical needs resulting from diseases in which carbohydrate biology plays a key role. Glycomimetics are molecules that mimic the structure of carbohydrates involved in important biological processes. Using its expertise in carbohydrate chemistry and knowledge of carbohydrate biology, the Company is developing a pipeline of proprietary glycomimetics that inhibit disease-related functions of carbohydrates, such as the roles they play in inflammation, cancer and infection.

Going Concern

3 Months Ended

Mar. 31, 2022

Going Concern

Going Concern

2. Going Concern

The accompanying unaudited financial statements have been prepared assuming that the Company will continue as a going concern within one year after the date that the financial statements are issued. During 2021, the Company incurred a net loss of $63.4 million and had net cash flows used in operating activities of $57.5 million. At March 31, 2022, the Company had $76.5 million in cash and cash equivalents and had no committed source of additional funding from either debt or equity financings, although the Company may, in its discretion, sell equity securities under the terms of its existing at-the-market sales agreement (see Note 8), subject to certain conditions and limitations. Management believes that given the Company’s current cash position and forecasted negative cash flows from operating activities over the next twelve months, including the completion of its planned Phase 3 clinical trial of uproleselan, there is substantial doubt about its ability to continue as a going concern after the date that is one year from the date that these unaudited financial statements are issued, without obtaining additional financing or entering into another form of non-equity or debt arrangement.

The Company’s ability to fund its operations is dependent upon management’s plans, which include raising additional capital in the near term primarily through a combination of equity and debt financings, collaborations, strategic alliances and marketing, distribution or licensing arrangements and in the longer term, from revenue related to product sales, to the extent its product candidates receive marketing approval and can be commercialized. There can be no assurances that new financings or other transactions will be available to the Company on commercially acceptable terms, or at all. Also, any collaborations, strategic alliances and marketing, distribution or licensing arrangements may require the Company to give up some or all of its rights to a product or technology, which in some cases may be at less than the full potential value of such rights. If the Company is unable to obtain additional capital, the Company will assess its capital resources and may be required to delay, reduce the scope of or eliminate some or all of its operations, which may have a material adverse effect on the Company’s business, financial condition, results of operations and ability to operate as a going concern.

The accompanying unaudited financial statements do not include any adjustments that might be necessary if the Company is not able to continue as a going concern.

Significant Accounting Policies

3 Months Ended

Mar. 31, 2022

Significant Accounting Policies

Significant Accounting Policies

3. Significant Accounting Policies

There have been no material changes to the significant accounting policies previously disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, filed with the United States Securities and Exchange Commission (the SEC) on March 3, 2022 (the Form 10-K).

Basis of Accounting

The accompanying unaudited financial statements were prepared based on the accrual method of accounting in accordance with U.S. generally accepted accounting principles (GAAP).

Unaudited Financial Statements

The accompanying balance sheet as of March 31, 2022, statements of operations and comprehensive loss and stockholders’ equity for the three months ended March 31, 2022 and 2021 and statements of cash flows for the three months ended March 31, 2022 and 2021 are unaudited. These unaudited financial statements have been prepared in accordance with the rules and regulations of the SEC for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete annual financial statements. These unaudited financial statements should be read in conjunction with the audited financial statements and the accompanying notes for the year ended December 31, 2021 contained in the Form 10-K. The unaudited interim financial statements have been prepared on the same basis as the annual financial statements and in the opinion of management reflect all adjustments (consisting of normal recurring adjustments) necessary to state fairly the Company’s financial position as of March 31, 2022 and its results of operations and changes in its stockholders’ equity for the three months ended March 31, 2022 and 2021 and its cash flows for the three months ended March 31, 2022 and 2021. The December 31, 2021 balance sheet included herein was derived from audited financial statements, but does not include all disclosures including notes required by GAAP for complete annual financial statements. The financial data and other information disclosed in these notes to the financial statements related to the three months ended March 31, 2022 and 2021 are unaudited. Interim results are not necessarily indicative of results for an entire year or for any future period.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Although actual results could differ from those estimates, management does not believe that such differences would be material.

Fair Value Measurements

The Company had no assets or liabilities that were measured using quoted prices for similar assets and liabilities or significant unobservable inputs (Level 2 and Level 3 assets and liabilities, respectively) as of March 31, 2022 and December 31, 2021. The carrying value of cash held in money market funds of $74.5 million and $88.3 million as of March 31, 2022 and December 31, 2021, respectively, is included in cash and cash equivalents and approximates market values based on quoted market prices (Level 1 inputs). The Company did not transfer any assets measured at fair value on a recurring basis between levels during the three months ended March 31, 2022 and 2021.

Concentration of Credit Risk

Credit risk represents the risk that the Company would incur a loss if counterparties failed to perform pursuant to the terms of their agreements. Financial instruments that potentially expose the Company to concentrations of credit risk consist primarily of cash and cash equivalents. Cash and cash equivalents consist of money market funds with major financial institutions in the United States. These funds may be redeemed upon demand and, therefore, bear minimal risk. The Company does not anticipate any losses on such balances.

Revenue Recognition

The Company applies Accounting Standards Codification, or ASC, Topic 606, Revenue from Contracts with Customers (Topic 606), to all contracts with customers, except for contracts that are within the scope of other standards, such as leases, insurance, collaboration arrangements and financial instruments. Under Topic 606, an entity recognizes revenue when its customer obtains control of promised goods or services in an amount that reflects the consideration which the entity expects to receive in exchange for those goods and services. To determine revenue recognition for arrangements that an entity determines are within the scope of Topic 606, the entity performs the following five steps: (i) identify the contract(s) with the customer(s); (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods and

services it transfers to the customer. At contract inception, the Company assesses the goods or services promised within each contract that falls under the scope of Topic 606, determines those that are performance obligations and assesses whether each promised good or service is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied.

The Company enters into licensing agreements which are within the scope of Topic 606, under which it licenses certain of its drug candidates’ rights to third parties. The terms of these arrangements typically include payment of one or more of the following: non-refundable, up-front license fees; development, regulatory and commercial milestone payments; and royalties on net sales of the licensed product, if and when earned. See Note 10 for additional information regarding the Company’s license agreements.

In determining the appropriate amount of revenue to be recognized as it fulfills its obligation under each of its agreements, the Company performs the five steps under Topic 606 described above. As part of the accounting for these arrangements, the Company must develop assumptions that require judgment to determine the stand-alone selling price, which may include forecasted revenues, development timelines, reimbursement of personnel costs, discount rates and probabilities of technical and regulatory success.

Licensing of Intellectual Property: If the license to the Company’s intellectual property is determined to be distinct from the other performance obligations identified in the arrangement, the Company recognizes revenue from non-refundable, up-front fees allocated to the license when the license is transferred to the licensee and the licensee is able to use and benefit from the license. For licenses that are bundled with other promises, the Company utilizes judgment to assess the nature of the combined performance obligation to determine whether the combined performance obligation is satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress for purposes of recognizing revenue from non-refundable, up-front fees. The Company evaluates the measure of progress each reporting period, and, if necessary, adjusts the measure of performance and related revenue recognition.

Milestone Payments: At the inception of each arrangement that includes development milestone payments, the Company evaluates whether the milestones are considered probable of being reached and estimates the amount to be included in the transaction price using the most likely amount method. If it is probable that a significant revenue reversal will not occur, the associated milestone value is included in the transaction price. Milestone payments that are not within the control of the Company or the licensee, such as regulatory approvals, are not considered probable of being achieved until those approvals are received. The transaction price is then allocated to each performance obligation on a relative stand-alone selling price basis, for which the Company recognizes revenue as or when the performance obligations under the contract are satisfied. At the end of each subsequent reporting period, the Company re-evaluates the probability of achievement of such development milestones and any related constraint and, if necessary, adjusts its estimate of the overall transaction price. Any such adjustments are recorded on a cumulative catch-up basis, which would affect license, collaboration and other revenues and earnings in their period of adjustment.

Royalties: For arrangements that include sales-based royalties, including milestone payments based on the level of sales, and for which the license is deemed to be the predominant item to which royalties relate, the Company recognizes revenue at the later of (i) when the related sales occur or (ii) when the performance obligation to which some or all of the royalty has been allocated has been satisfied (or partially satisfied). To date, the Company has not recognized any royalty revenue from its license agreements.

Manufacturing and Supply: The obligations under the Company’s agreements may include clinical and/or commercial manufacturing products to be provided by the Company to the counterparty. The services are generally determined to be distinct from the other promises or performance obligations identified in the arrangement. The Company recognizes the transaction price allocated to these services as revenue at a point in time when transfer of control of the related products to the customer occurs.

Accruals for Clinical Trial Expenses

Clinical trial costs primarily consist of expenses incurred under agreements with contract research organizations (CROs), investigative sites, laboratory testing expenses, data management and consultants that conduct the Company's clinical trials. Clinical trial expenses are a significant component of research and development expenses, and the Company outsources a significant portion of these clinical trial activities to third parties. The accrual for site and patient

costs includes inputs such as estimates of patient enrollment, patient cycles incurred, clinical site activations, estimated project duration and other pass-through costs. These inputs are required to be estimated due to a lag in receiving the actual clinical information from third parties. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred, and are reflected on the balance sheets as a prepaid asset or accrued expenses. These third-party agreements are generally cancellable, and related costs are recorded as research and development expenses as incurred. Except for payments made in advance of services, clinical trial costs are expensed as incurred. Non-refundable advance clinical payments for goods or services that will be used or rendered for future research and development activities are recorded as a prepaid asset and recognized as expense as the related goods are delivered or the related services are performed. When evaluating the adequacy of the accrued expenses, management assessments include: (i) an evaluation by the project manager of the work that has been completed during the period; (ii) measurement of progress prepared internally and/or provided by the third-party service provider; (iii) analyses of data that justify the progress; and (iv) the Company’s judgment. Significant judgments and estimates may be made in determining the accrued balances at the end of any reporting period. Actual results could differ from the estimates made. The Company’s historical clinical accrual estimates have not been materially different from the actual costs. Clinical trial accruals that are due longer than one year are classified as noncurrent accrued expenses.

Stock-Based Compensation

Stock-based payments are accounted for in accordance with the provisions of ASC 718, Compensation—Stock Compensation. The fair value of stock-based payments is estimated, on the date of grant, using the Black-Scholes-Merton model. The resulting fair value is recognized ratably over the requisite service period, which is generally the vesting period of the option. The Company accounts for forfeitures as they occur.

The Company has elected to use the Black-Scholes-Merton option pricing model to value any options granted. The Company will reconsider use of the Black-Scholes-Merton model if additional information becomes available in the future that indicates another model would be more appropriate or if grants issued in future periods have characteristics that prevent their value from being reasonably estimated using this model.

A discussion of management’s methodology for developing some of the assumptions used in the valuation model follows:

Expected Dividend Yield—The Company has never declared or paid dividends and has no plans to do so in the foreseeable future.

Expected Volatility—Volatility is a measure of the amount by which a financial variable such as share price has fluctuated (historical volatility) or is expected to fluctuate (expected volatility) during a period. The Company bases the expected volatility on the historical volatility of the Company’s publicly traded common stock.

Risk-Free Interest Rate—This is the U.S. Treasury rate for the week of each option grant during the year, having a term that most closely resembles the expected life of the option.

Expected Term—This is a period of time that the options granted are expected to remain unexercised. Options granted have a maximum term of 10 years. The Company estimates the expected life of the option term to be 6.25 years. The Company uses a simplified method to calculate the average expected term.

Net Loss Per Common Share

Basic net loss per common share is determined by dividing net loss by the weighted-average number of common shares outstanding during the period, without consideration of common stock equivalents. Diluted net loss per share is computed by dividing net loss by the weighted-average number of common stock equivalents outstanding for the period. The treasury stock method is used to determine the dilutive effect of the Company’s stock options and restricted stock units (RSUs).

The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted-average common shares outstanding, as they would be anti-dilutive:

Comprehensive Loss

Comprehensive loss comprises net loss and other changes in equity that are excluded from net loss. For the three months ended March 31, 2022 and 2021, the Company’s net loss equaled comprehensive net loss and, accordingly, no additional disclosure is presented.

Recently Issued Accounting Standards

Accounting Standards Not Yet Adopted

There have been no new accounting pronouncements that have significance, or potential significance, to the Company’s unaudited financial statements for the quarter ended March 31, 2022.

Prepaid Expenses and Other Current Assets

3 Months Ended

Mar. 31, 2022

Prepaid Expenses and Other Current Assets

Prepaid Expenses and Other Current Assets

4. Prepaid Expenses and Other Current Assets

The following is a summary of the Company’s prepaid expenses and other current assets:


	March 31,		December 31,
	2022		2021
Prepaid research and development expenses	$	459,866	$	273,396
Other prepaid expenses		482,751		259,061
Other receivables		4,775		1,347
Prepaid expenses and other current assets	$	947,392	$	533,804

Property and Equipment

3 Months Ended

Mar. 31, 2022

Property and Equipment

Property and Equipment

5. Property and Equipment

Property and equipment, net consists of the following:


	March 31,		December 31,
	2022		2021
Furniture and fixtures	$	346,906	$	345,712
Laboratory equipment		1,440,088		1,406,346
Office equipment		17,762		17,762
Computer equipment		311,369		305,784
Leasehold improvements		616,133		616,133
Property and equipment		2,732,258		2,691,737
Less accumulated depreciation		(2,382,203)		(2,322,895)
Property and equipment, net	$	350,055	$	368,842

Depreciation expense was $59,308 and $68,088 for the three months ended March 31, 2022 and 2021, respectively.

Accrued Expenses

3 Months Ended

Mar. 31, 2022

Accrued Expenses

Accrued Expenses

6. Accrued Expenses

The following is a summary of the Company’s accrued expenses:


	March 31,		December 31,
	2022		2021
Accrued research and development expenses	$	7,401,146	$	5,824,365
Accrued bonuses		1,051,123		2,152,302
Accrued consulting and other professional fees		347,476		299,607
Accrued employee benefits		567,386		348,752
Other accrued expenses		109,895		90,342
Accrued expenses	$	9,477,026	$	8,715,368

Leases

3 Months Ended

Mar. 31, 2022

Leases

Leases

7. Leases

At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the circumstances present. The Company determines a lease exists if the contract conveys the right to control an identified asset for a period of time in exchange for consideration. Control is considered to exist when the lessee has the right to obtain substantially all of the economic benefits from the use of an identified asset as well as direct the right to use of that asset. Leases with a term greater than one year are recognized on the balance sheet as right-of-use assets, lease liabilities and, if applicable, long-term lease liabilities. The Company has elected not to recognize on the balance sheet leases with terms of one year or less on the lease commencement date. If a contract is considered to be a lease, the Company recognizes a lease liability based on the present value of the future lease payments over the expected lease term, with an offsetting entry to recognize a right-of-use asset.

The interest rate implicit in lease contracts is typically not readily determinable. As such, the Company utilizes the appropriate incremental borrowing rate, which is the rate incurred to borrow on a collateralized basis over a term similar to the term of the lease for which the rate is estimated. Certain adjustments to the right-of-use asset may be required for items such as initial direct costs paid or incentives received.

The Company leases office and research space in Rockville, Maryland under an operating lease with a term from June 15, 2015 through October 31, 2023 (the Lease) that is subject to annual rent increases. The Company has the right to sublease or assign all or a portion of the premises, subject to the conditions set forth in the Lease. The Lease may be terminated early by either the landlord or the Company in certain circumstances. In connection with the Lease, the Company received rent abatement as a lease incentive in the initial year of the Lease.

In March 2016, the Company amended the Lease (the Lease Amendment) to lease additional space as of June 1, 2016. In May 2016, the Company also paid a security deposit of $52,320 to be held until the expiration or termination of the Company’s obligations under the Lease. The term of the Lease Amendment for the additional space continues through October 31, 2023, the same date as for the premises originally leased under the Lease, subject to the Company’s renewal option set forth in the Lease.

The Company identified and applied the following significant assumptions in recognizing the right-of-use asset and corresponding liability for the Lease and Lease Amendment:

●

Lease term – The lease term includes both the noncancelable period and, when applicable, cancelable option periods where failure to exercise such option would result in an economic penalty. The Company’s renewal option to extend was not reasonably certain of being exercised as of March 31, 2022.

●

Incremental borrowing rate – As the Company’s lease does not provide an implicit rate, the Company used an incremental borrowing rate, or IBR, which is the rate incurred to borrow on a collateralized basis over a term similar to the term of the lease for which the rate is estimated. The Company determined the IBR to be 8.0% based on an estimated rate that considered the Company’s credit risk in the United States for a collateralized borrowing and term similar to the Lease.

As of March 31, 2022, the weighted-average remaining lease term was 1.6 years. There were no additional operating leases entered into during the three months ended March 31, 2022.

The components of lease expense and related cash flows were as follows:


	Three Months Ended March 31,
	2022		2021
Operating lease cost	$	231,989	$	231,989
Variable lease cost		151,132		146,421
Total operating lease cost	$	383,121	$	378,410

Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows for operating leases	$	272,870	$	266,215

Maturities of lease liability due under these lease agreements as of March 31, 2022 were as follows:


	Operating Lease
	Obligation
April 1, 2022 - December 31, 2022	$	831,488
2023		940,840
Thereafter		—
Total		1,772,328
Present value adjustment		(92,008)
Present value of lease payments	$	1,680,320

Stockholders' Equity

3 Months Ended

Mar. 31, 2022

Stockholders' Equity

Stockholders' Equity

8. Stockholders’ Equity

At-The-Market Sales Facility

In October 2020, the Company entered into an at-the-market sales agreement (the 2020 Sales Agreement) with Cowen and Company, LLC (Cowen). There were no shares sold under the 2020 Sales Agreement during the three months ended March 31, 2022. During the three months ended March 31, 2021, the Company issued and sold 2,517,603 shares of common stock under the 2020 Sales Agreement at a weighted average price per share of $3.92, for aggregate net proceeds of $9.6 million, after deducting commissions and offering expenses. As of March 31, 2022, approximately $85.1 million remained available to be sold under the terms of the 2020 Sales Agreement. Subsequent to March 31, 2022, there have been no additional sales under the 2020 Sales Agreement.

In March 2022, the Company filed a shelf registration statement with the SEC, which was declared effective on April 22, 2022. On April 28, 2022, the Company terminated the 2020 Sales Agreement and entered into a new at-the-market sales agreement (the 2022 Sales Agreement) with Cowen. Under the 2022 Sales Agreement, the Company may sell up to $100.0 million of its common stock.

2003 Stock Incentive Plan

The 2003 Stock Incentive Plan (the 2003 Plan) provided for the grant of incentives and nonqualified stock options and restricted stock awards. The exercise price for incentive stock options must be at least equal to the fair value of the common stock on the grant date. Unless otherwise stated in a stock option agreement, 25% of the shares subject to an option grant will vest upon the first anniversary of the vesting start date and thereafter at the rate of one forty-eighth of the option shares per month as of the first day of each month after the first anniversary. Upon termination of employment by reasons other than death, cause, or disability, any vested options shall terminate 60 days after the termination date. Stock options terminate 10 years from the date of grant. The 2003 Plan expired on May 21, 2013.

A summary of the Company’s stock option activity under the 2003 Plan for the three months ended March 31, 2022 is as follows:


				WEIGHTED-	AGGREGATE
		WEIGHTED-		AVERAGE	INTRINSIC
		AVERAGE		REMAINING	VALUE
	OUTSTANDING	EXERCISE		CONTRACTUAL	(IN
	OPTIONS	PRICE		TERM (YEARS)	THOUSANDS)
Outstanding as of December 31, 2021	93,465	$	2.00	0.3
Options exercised	—		—
Options forfeited	(73,859)		1.98
Outstanding, Vested and Exercisable as of March 31, 2022	19,606		2.07	0.3	$	—

As of March 31, 2022, outstanding options under the 2003 Plan were fully expensed and all shares underlying outstanding options were fully vested. There were no options exercised during the three months ended March 31, 2022. Total intrinsic value for the 3,785 options exercised during the three months ended March 31, 2021 was $8,668 and total cash received for options exercised was $4,239.

2013 Equity Incentive Plan

The Company’s board of directors adopted, and its stockholders approved, its 2013 Equity Incentive Plan (the 2013 Plan) effective on January 9, 2014. The 2013 Plan provides for the grant of incentive stock options within the meaning of Section 422 of the Internal Revenue Code to the Company’s employees and its parent and subsidiary corporations’ employees, and for the grant of nonstatutory stock options, restricted stock awards, RSU awards, stock appreciation rights, performance stock awards and other forms of stock compensation to its employees, including officers, consultants and directors. The 2013 Plan also provides for the grant of performance cash awards to the Company’s employees, consultants and directors. Unless otherwise stated in a stock option agreement, 25% of the shares subject to an option grant will typically vest upon the first anniversary of the vesting start date, with the balance of the shares vesting in a series of thirty-six successive equal monthly installments as of the first day of each month measured from the first anniversary of the vesting start date. Upon termination of employment by reasons other than death, cause, or disability, any vested options will terminate 90 days after the termination date, unless otherwise set forth in a stock option agreement. Stock options generally terminate 10 years from the date of grant.

On April 5, 2022, the board of directors approved an amendment and restatement of the 2013 Plan, subject to the approval of the Company’s stockholders at its annual meeting of stockholders to be held in May 2022 (the Amended Plan).

Authorized Shares

The maximum number of shares of common stock that initially could be issued under the 2013 Plan was 1,000,000 shares, plus any shares subject to stock options or similar awards granted under the 2003 Plan that expire or terminate without having been exercised in full or are forfeited or repurchased by the Company. The number of shares of common stock reserved for issuance under the 2013 Plan has automatically increased on January 1 of each year through January 1, 2022, by 3% of the total number of shares of common stock outstanding on December 31 of the preceding calendar year. As of March 31, 2022, the total number of shares reserved for issuance under the 2013 Plan was 9,506,767 shares, of which 1,345,998 shares were available for future grants. If the Amended Plan is approved by the Company’s stockholders, the existing share reserve under the 2013 Plan will be increased by 2,619,622 shares, and beginning on January 1, 2023 and ending on (and including) January 1, 2029, the maximum number of shares of common stock that may be issued under the Amended Plan will cumulatively be increased by 4% of the number of shares of common stock issued and outstanding on the immediately preceding December 31, or such lesser number of shares as determined by the board of directors or the compensation committee thereof. The maximum number of shares that may be issued pursuant to exercise of incentive stock options under the 2013 Plan is 20,000,000 shares.

Shares issued under the 2013 Plan may be authorized but unissued or reacquired shares of common stock. Shares subject to stock awards granted under the 2013 Plan that expire or terminate without being exercised in full, or that are paid out in cash rather than in shares, will not reduce the number of shares available for issuance under the 2013 Plan. Additionally, shares issued pursuant to stock awards under the 2013 Plan that the Company repurchases or that are forfeited, as well as shares reacquired by the Company as consideration for the exercise or purchase price of a stock award or to satisfy tax withholding obligations related to a stock award, will become available for future grant under the 2013 Plan.

A summary of the Company’s stock option activity under the 2013 Plan for the three months ended March 31, 2022 is as follows:


				WEIGHTED-	AGGREGATE
		WEIGHTED-		AVERAGE	INTRINSIC
		AVERAGE		REMAINING	VALUE
	OUTSTANDING	EXERCISE		CONTRACTUAL	(IN
	OPTIONS	PRICE		TERM (YEARS)	THOUSANDS)
Outstanding as of December 31, 2021	5,655,457	$	8.30	6.0
Options granted	1,825,100		1.11
Options exercised	—		—
Options forfeited	(125,980)		11.13
Outstanding as of March 31, 2022	7,354,577		6.46	6.8	$	55
Vested or expected to vest as of March 31, 2022	7,140,377		6.62	6.8		48
Exercisable as of March 31, 2022	4,367,434		9.11	5.2		—

As of March 31, 2022, there was $5,361,718 of total unrecognized compensation expense related to unvested options under the 2013 Plan that will be recognized over a weighted-average period of approximately 2.3 years. There were no options exercised under the 2013 Plan during the three months ended March 31, 2022 and 2021. The total fair value of shares underlying options which vested in the three months ended March 31, 2022 and 2021 was $1,263,094 and $2,269,172, respectively.

In January 2022, the Company granted stock options to purchase an aggregate of 214,200 shares to certain employees under the 2013 Plan which were subject to performance vesting conditions. The shares will vest upon achievement of milestones as follows: (i) one-half of the shares will vest upon FDA approval of uproleselan for patients with relapsed/refractory acute myeloid leukemia and (ii) one-half of the shares will vest upon the first commercial sale of uproleselan in the United States or abroad. The maximum fair value of $171,360 associated with the performance-based options granted in January 2022 is excluded from the unrecognized compensation expense under the 2013 Plan as the completion of the performance milestones was not probable as of March 31, 2022. The Company will reevaluate at the end of each reporting period the probability that the performance conditions will be achieved and will record any adjustments to the compensation cost at that time.

An RSU is a stock award that entitles the holder to receive shares of the Company’s common stock as the award vests. The fair value of each RSU is based on the closing price of the Company’s common stock on the date of grant. In January 2021, the Company awarded RSUs under the 2013 Plan to all of its employees. The RSUs granted vest over four years in equal installments on each anniversary of the grant date, provided that the employee remains employed by the Company at the applicable vesting date. Compensation expense is recognized on a straight-line basis. As of March 31, 2022, there was $849,932 of total unrecognized compensation expense associated with outstanding RSU grants that will be recognized over a weighted-average period of approximately 2.8 years.

The following is a summary of RSU activity under the 2013 Plan for the three months ended March 31, 2022:


		Weighted-Average
	Number of Shares	Grant Date
	Underlying RSUs	Fair Value
Unvested at December 31, 2021	345,600	$	3.70
Granted	—		—
Forfeited	—		—
Vested	(78,550)		3.81
Unvested at March 31, 2022	267,050		3.66

Inducement Plan

In January 2020, the Company’s board of directors adopted the GlycoMimetics, Inc. Inducement Plan (the Inducement Plan). The Inducement Plan provides for the grant of nonstatutory stock options, restricted stock awards, RSU awards, stock appreciation rights and other forms of stock awards to individuals not previously an employee or director of the Company as an inducement for such individuals to join the Company. Unless otherwise stated in an applicable stock option agreement, one-fourth of the shares subject to an option grant under the Inducement Plan will typically vest upon the first anniversary of the vesting start date, with the balance of the shares vesting in a series of thirty-six successive equal monthly installments as of the first day of each month measured from the first anniversary of the vesting start date, subject to the new employee’s continued service with the Company through the applicable vesting dates. Upon termination of employment by reasons other than death, cause or disability, any vested options will terminate 90 days after the termination date, unless otherwise set forth in a stock option agreement. Stock options generally terminate 10 years from the date of grant. There were 500,000 shares of common stock reserved under the Inducement Plan at its adoption date. In August 2021, the Company’s board of directors adopted an amendment to the Inducement Plan to increase the number of shares reserved to 2,000,000 shares, and in January 2022 the Company’s board of directors adopted an amendment to the Inducement Plan to further increase the number of shares reserved to 3,000,000 shares.

A summary of the Company’s stock option activity under the Inducement Plan for the three months ended March 31, 2022 is as follows:


				WEIGHTED-	AGGREGATE
		WEIGHTED-		AVERAGE	INTRINSIC
		AVERAGE		REMAINING	VALUE
	OUTSTANDING	EXERCISE		CONTRACTUAL	(IN
	OPTIONS	PRICE		TERM (YEARS)	THOUSANDS)
Outstanding as of December 31, 2021	1,813,600	$	2.08	9.6
Options granted	335,000		1.13
Options exercised	—		—
Options forfeited	—		—
Outstanding as of March 31, 2022	2,148,600		1.93	9.4	$	16
Vested or expected to vest as of March 31, 2022	1,564,400		1.91	9.4		14
Exercisable as of March 31, 2022	27,004		3.59	8.3		—

As of March 31, 2022, there was $1,796,675 of total unrecognized compensation expense related to unvested options under the Inducement Plan that will be recognized over a weighted-average period of approximately 3.4 years. The total fair value of shares underlying options which vested in the three months ended March 31, 2022 and 2021 was $10,667 and $2,205, respectively. There were no options exercised under the Inducement Plan during the three months ended March 31, 2022 and 2021.

During 2021 and the three months ended March 31, 2022, the Company granted stock options to purchase an aggregate of 584,200 shares to certain newly hired employees under the Inducement Plan which options were subject to the same performance vesting conditions described above with respect to the stock options granted in January 2022

under the 2013 Plan. The maximum fair value of $825,353 associated with the performance-based options is excluded from the unrecognized compensation expense under the Inducement Plan as the completion of the performance milestones were not probable as of March 31, 2022. The Company will reevaluate at the end of each reporting period the probability that the performance conditions will be achieved and will record any adjustments to the compensation cost at that time.

The weighted-average fair value of the options granted under all equity incentive plans during the three months ended March 31, 2022 and 2021 was $0.80 per share and $2.70 per share, respectively, applying the Black-Scholes-Merton option pricing model utilizing the following weighted-average assumptions:


	2022	2021
Expected term	6.25 years	6.25 years
Expected volatility	84.51%	83.72%
Risk-free interest rate	1.66%	0.63%
Expected dividend yield	0%	0%

Stock-based compensation expense was classified on the statements of operations as follows for the three months ended March 31, 2022 and 2021:


	Three Months Ended March 31,
	2022		2021
Research and development expense	$	318,825	$	688,972
General and administrative expense		761,817		925,213
Total stock-based compensation expense	$	1,080,642	$	1,614,185

Income Taxes

3 Months Ended

Mar. 31, 2022

Income Taxes

Income Taxes

9. Income Taxes

The Company has not recorded any tax provision or benefit for the three months ended March 31, 2022 and 2021. The Company has provided a valuation allowance for the full amount of its net deferred tax assets since realization of any future benefit from deductible temporary differences, net operating loss carryforwards and research and development credits is not more-likely-than-not to be realized at March 31, 2022 and December 31, 2021.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 21
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 17
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-URI http://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 14
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 270
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-URI http://asc.fasb.org/topic&trid=2144680

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

License and Collaboration Agreements

3 Months Ended

Mar. 31, 2022

License and Collaboration Agreements

License and Collaboration Agreements

10. License and Collaboration Agreements

Apollomics

In January 2020, the Company entered into a collaboration and license agreement (the Agreement) with Apollomics (Hong Kong), Limited (Apollomics) for the development, manufacture and commercialization of products derived from two of the Company’s compounds, GMI-1271 and GMI-1687 (the Products) for therapeutic and prophylactic uses (the Field) in China, Taiwan, Hong Kong and Macau (the Territory). Under the terms of the Agreement, the Company granted Apollomics:

●

an exclusive license, with the right to sublicense, to develop, manufacture and have manufactured, distribute, market, promote, sell, have sold, offer for sale, import, label, package and otherwise the Products in the Field in the Territory; and

●

a non-exclusive license to conduct preclinical research with respect to Products in the Field outside of the Territory for the purposes of developing such Products for use in the Territory.

In June 2020, the Company and Apollomics entered into a clinical supply agreement pursuant to which the Company will manufacture and supply the Products at agreed upon prices. Apollomics has the option to begin manufacture of the Products after appropriate material transfer requirements are met. During the three months ended March 31, 2021, the Company recognized $1.1 million as revenue from the sale of clinical supplies to Apollomics. The Company did not recognize revenue under the clinical supplies agreement during the three months ended March 31, 2022.

The Company evaluated the Agreement under the provisions of ASC 606 and identified two performance obligations under this revenue arrangement: the (i) delivery of functional licenses and (ii) manufacture and supply of the Products. The initial transaction price consists of a $9.0 million non-refundable up-front payment which was allocated to the delivered functional licenses and recognized in full as revenue in the first quarter of 2020 given that the performance obligation was satisfied upon inception. The Agreement contains various forms of variable consideration, including (i) up to $75.0 million in development milestones based on achievement of certain clinical and regulatory events, (ii) up to $105.0 million of sales-based commercial milestones based on achievement of certain annual net sales targets, (iii) sales-based royalties at specified percentages of net sales ranging from the high single digits to 15%, and (iv) manufacture and supply of clinical and commercial Products. The Company has fully constrained the development milestone consideration using the most likely amount method and will recognize that revenue when it is probable that recognition of revenue related to the milestone will not result in a significant reversal in amounts recognized in future periods, and as such have been excluded from the transaction price. In September 2020, the Company received a non-refundable $1.0 million development milestone payment upon acceptance by Chinese regulatory authorities of a Phase 3 bridging study design to support registration in China. The Company recognized this $1.0 million payment as revenue in the three months ended September 30, 2020. The Company did not recognize any milestone revenue under the Agreement for the three months ended March 31, 2022.

The Company will recognize revenue related to the sales-based commercial and royalty milestones and royalties at the later of (i) when the related sales occur or (ii) when the performance obligation to which some or all of the royalty has been allocated has been satisfied (or partially satisfied), as they were determined to relate predominantly to the licenses granted to Apollomics and, therefore, have been excluded from the transaction price. Lastly, the Company has determined that the consideration for the manufacturing and supply is all variable and is fully constrained. Variable consideration allocated to manufacturing and supply will be recognized at a point in time when the Product is delivered and when the title to the Product is transferred to the customer pursuant to the agreement. The Company reassesses the transaction price in each reporting period and upon the occurrence of a change in circumstances or final resolution of any particular event.

Risks and Uncertainties

3 Months Ended

Mar. 31, 2022

Risks and Uncertainties

Risks and Uncertainties

11. Risks and Uncertainties

COVID-19

The impact of the continuing COVID-19 pandemic on the Company’s business and financial performance is uncertain and depends on various factors, including the duration of the pandemic, government restrictions and other actions, including relief measures and mass vaccination efforts, implemented to address the impact of the pandemic, and resulting impacts on the financial markets and overall economy. The imposition of directives by state and federal governments in the United States as well as governments in other regions of the world in response to the COVID-19 pandemic, including in locations in which its Phase 3 clinical trial of uproleselan is being conducted, did previously result in some delays associated with the trial. COVID-19 infection rates continue to fluctuate, particularly with the emergence of variants and sub-variants, which could still negatively affect the completion of the trial on the timeline that the Company currently expects. The Company is unable to determine the extent of the impact of the pandemic on its operations and financial condition going forward. These developments are highly uncertain and unpredictable, and may materially adversely affect the Company’s financial position and results of operations. The Company continues to closely monitor the COVID-19 situation and any potential impact to its planned activities.

Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2022

Significant Accounting Policies

Basis of Accounting

The accompanying unaudited financial statements were prepared based on the accrual method of accounting in accordance with U.S. generally accepted accounting principles (GAAP).

Unaudited Financial Statements

Use of Estimates

Fair Value Measurements

Concentration of Credit Risk

Revenue Recognition

Accruals for Clinical Trial Expenses

Stock-Based Compensation

A discussion of management’s methodology for developing some of the assumptions used in the valuation model follows:

Expected Dividend Yield—The Company has never declared or paid dividends and has no plans to do so in the foreseeable future.

Risk-Free Interest Rate—This is the U.S. Treasury rate for the week of each option grant during the year, having a term that most closely resembles the expected life of the option.

Net Loss Per Common Share

The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted-average common shares outstanding, as they would be anti-dilutive:

Comprehensive Loss

Accounting Standards Not Yet Adopted

Recently Issued Accounting Standards

Accounting Standards Not Yet Adopted

There have been no new accounting pronouncements that have significance, or potential significance, to the Company’s unaudited financial statements for the quarter ended March 31, 2022.

Significant Accounting Policies (Tables)

3 Months Ended

Mar. 31, 2022

Significant Accounting Policies

Potentially dilutive securities outstanding

Prepaid Expenses and Other Current Assets (Tables)

3 Months Ended

Mar. 31, 2022

Prepaid Expenses and Other Current Assets

Summary of Prepaid Expenses and Other Current Assets

The following is a summary of the Company’s prepaid expenses and other current assets:


	March 31,		December 31,
	2022		2021
Prepaid research and development expenses	$	459,866	$	273,396
Other prepaid expenses		482,751		259,061
Other receivables		4,775		1,347
Prepaid expenses and other current assets	$	947,392	$	533,804

Property and Equipment (Tables)

3 Months Ended

Mar. 31, 2022

Property and Equipment

Summary of Property and Equipment useful lives

Property and equipment, net consists of the following:


	March 31,		December 31,
	2022		2021
Furniture and fixtures	$	346,906	$	345,712
Laboratory equipment		1,440,088		1,406,346
Office equipment		17,762		17,762
Computer equipment		311,369		305,784
Leasehold improvements		616,133		616,133
Property and equipment		2,732,258		2,691,737
Less accumulated depreciation		(2,382,203)		(2,322,895)
Property and equipment, net	$	350,055	$	368,842

Accrued Expenses (Tables)

3 Months Ended

Mar. 31, 2022

Accrued Expenses

Summary of Accrued Expenses


	March 31,		December 31,
	2022		2021
Accrued research and development expenses	$	7,401,146	$	5,824,365
Accrued bonuses		1,051,123		2,152,302
Accrued consulting and other professional fees		347,476		299,607
Accrued employee benefits		567,386		348,752
Other accrued expenses		109,895		90,342
Accrued expenses	$	9,477,026	$	8,715,368

Leases (Tables)

3 Months Ended

Mar. 31, 2022

Leases

Components of lease expense and related cash flows


	Three Months Ended March 31,
	2022		2021
Operating lease cost	$	231,989	$	231,989
Variable lease cost		151,132		146,421
Total operating lease cost	$	383,121	$	378,410

Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows for operating leases	$	272,870	$	266,215

Maturities of lease liabilities due


	Operating Lease
	Obligation
April 1, 2022 - December 31, 2022	$	831,488
2023		940,840
Thereafter		—
Total		1,772,328
Present value adjustment		(92,008)
Present value of lease payments	$	1,680,320

Stockholders Equity (Tables)

3 Months Ended

Mar. 31, 2022

Weighted-Average Fair Value of Options Granted


	2022	2021
Expected term	6.25 years	6.25 years
Expected volatility	84.51%	83.72%
Risk-free interest rate	1.66%	0.63%
Expected dividend yield	0%	0%

Stock-Based Compensation Expense


	Three Months Ended March 31,
	2022		2021
Research and development expense	$	318,825	$	688,972
General and administrative expense		761,817		925,213
Total stock-based compensation expense	$	1,080,642	$	1,614,185

2003 Stock Incentive Plan

Company's Stock Option Activity

A summary of the Company’s stock option activity under the 2003 Plan for the three months ended March 31, 2022 is as follows:


				WEIGHTED-	AGGREGATE
		WEIGHTED-		AVERAGE	INTRINSIC
		AVERAGE		REMAINING	VALUE
	OUTSTANDING	EXERCISE		CONTRACTUAL	(IN
	OPTIONS	PRICE		TERM (YEARS)	THOUSANDS)
Outstanding as of December 31, 2021	93,465	$	2.00	0.3
Options exercised	—		—
Options forfeited	(73,859)		1.98
Outstanding, Vested and Exercisable as of March 31, 2022	19,606		2.07	0.3	$	—

2013 Equity Incentive Plan

Company's Stock Option Activity

A summary of the Company’s stock option activity under the 2013 Plan for the three months ended March 31, 2022 is as follows:


				WEIGHTED-	AGGREGATE
		WEIGHTED-		AVERAGE	INTRINSIC
		AVERAGE		REMAINING	VALUE
	OUTSTANDING	EXERCISE		CONTRACTUAL	(IN
	OPTIONS	PRICE		TERM (YEARS)	THOUSANDS)
Outstanding as of December 31, 2021	5,655,457	$	8.30	6.0
Options granted	1,825,100		1.11
Options exercised	—		—
Options forfeited	(125,980)		11.13
Outstanding as of March 31, 2022	7,354,577		6.46	6.8	$	55
Vested or expected to vest as of March 31, 2022	7,140,377		6.62	6.8		48
Exercisable as of March 31, 2022	4,367,434		9.11	5.2		—

Summary of RSU Activity

The following is a summary of RSU activity under the 2013 Plan for the three months ended March 31, 2022:


		Weighted-Average
	Number of Shares	Grant Date
	Underlying RSUs	Fair Value
Unvested at December 31, 2021	345,600	$	3.70
Granted	—		—
Forfeited	—		—
Vested	(78,550)		3.81
Unvested at March 31, 2022	267,050		3.66

Inducement Plan

Company's Stock Option Activity


				WEIGHTED-	AGGREGATE
		WEIGHTED-		AVERAGE	INTRINSIC
		AVERAGE		REMAINING	VALUE
	OUTSTANDING	EXERCISE		CONTRACTUAL	(IN
	OPTIONS	PRICE		TERM (YEARS)	THOUSANDS)
Outstanding as of December 31, 2021	1,813,600	$	2.08	9.6
Options granted	335,000		1.13
Options exercised	—		—
Options forfeited	—		—
Outstanding as of March 31, 2022	2,148,600		1.93	9.4	$	16
Vested or expected to vest as of March 31, 2022	1,564,400		1.91	9.4		14
Exercisable as of March 31, 2022	27,004		3.59	8.3		—

Going Concern (Details) - USD ($)	3 Months Ended		12 Months Ended
Going Concern (Details) - USD ($)	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Going Concern
Net loss	$ 14,653,041	$ 14,274,059	$ 63,400,000
Net cash flows used in operating activities	13,698,143	$ 14,125,271	57,500,000
Cash and cash equivalents	$ 76,516,226		$ 90,254,890

Significant Accounting Policies - Fair Value Measurements (Details) - USD ($)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Fair Value Measurements
Assets transfer measured at fair value	$ 0	$ 0
Level 1
Fair Value Measurements
Carrying value of cash held in money market fund	74,500,000		$ 88,300,000
Level 2
Fair Value Measurements
Assets measured at fair value levels 2 or 3	0		0
Liabilities measured at fair value levels 2 or 3	0		0
Level 3
Fair Value Measurements
Assets measured at fair value levels 2 or 3	0		0
Liabilities measured at fair value levels 2 or 3	$ 0		$ 0

Significant Accounting Policies - Potentially Dilutive Securities (Details) - shares	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Stock options and restricted stock units
Anti-dilutive securities	9,789,833	7,088,005

Prepaid Expenses and Other Current Assets - Summary of Prepaid Expenses and Other Current Assets (Details) - USD ($)	Mar. 31, 2022	Dec. 31, 2021
Prepaid Expenses and Other Current Assets
Prepaid research and development expenses	$ 459,866	$ 273,396
Other prepaid expenses	482,751	259,061
Other receivables	4,775	1,347
Prepaid expenses and other current assets	$ 947,392	$ 533,804

Property and Equipment (Details) - USD ($)	3 Months Ended
Property and Equipment (Details) - USD ($)	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Property, Plant and Equipment
Property and equipment	$ 2,732,258		$ 2,691,737
Less accumulated depreciation	(2,382,203)		(2,322,895)
Property and equipment, net	350,055		368,842
Depreciation of property and equipment	59,308	$ 68,088
Furniture and Fixtures
Property, Plant and Equipment
Property and equipment	346,906		345,712
Laboratory Equipment
Property, Plant and Equipment
Property and equipment	1,440,088		1,406,346
Office Equipment
Property, Plant and Equipment
Property and equipment	17,762		17,762
Computer Equipment
Property, Plant and Equipment
Property and equipment	311,369		305,784
Leasehold Improvements
Property, Plant and Equipment
Property and equipment	$ 616,133		$ 616,133

Accrued Expenses - Summary of Accrued Expenses (Details) - USD ($)	Mar. 31, 2022	Dec. 31, 2021
Accrued Expenses
Accrued research and development expenses	$ 7,401,146	$ 5,824,365
Accrued bonuses	1,051,123	2,152,302
Accrued consulting and other professional fees	347,476	299,607
Accrued employee benefits	567,386	348,752
Other accrued expenses	109,895	90,342
Accrued expenses	$ 9,477,026	$ 8,715,368

Leases (Details)	3 Months Ended
Leases (Details)	Mar. 31, 2022 USD ($) lease	Dec. 31, 2021 USD ($)	May 31, 2016 USD ($)
Operating leases
Security Deposit	$ 52,320	$ 52,320
Lessee, Operating Lease, Existence of Option to Extend [true false]	true
Operating Lease, Weighted Average Remaining Lease Term	1 year 7 months 6 days
Number of additional operating leases entered during the period \| lease	0
Lessee, Operating Lease, Discount Rate	8.00%
Rockville, Maryland
Operating leases
Security Deposit			$ 52,320

Leases - Components of lease expense (Details) - USD ($)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Components of lease expense
Operating lease cost	$ 231,989	$ 231,989
Variable lease cost	151,132	146,421
Total operating lease cost	383,121	378,410
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows from operating leases	$ 272,870	$ 266,215

Leases - Maturities of lease liability (Details)	Mar. 31, 2022 USD ($)
Maturities of lease liability due
October 1, 2021 - December 31, 2021	$ 831,488
2022	940,840
Thereafter
Total	1,772,328
Present value adjustment	(92,008)
Present value of lease payments	$ 1,680,320

Stockholders' Equity - Equity Offerings (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2021	Apr. 01, 2022	Mar. 31, 2022
Common Stock
Equity offerings
Issuance of common stock, net of issuance costs, shares	2,517,603
2020 Sales Agreement
Equity offerings
Issuance of common stock, net of issuance costs, shares	2,517,603
Price per share	$ 3.92
Aggregate net proceeds from stock sale	$ 9,600
Common stock available for sale under agreement			$ 85,100
Securities sold during period	0
2020 Sales Agreement \| Subsequent Event
Equity offerings
Additional amount of common stock		$ 0
2022 Sales Agreement
Equity offerings
Common stock available for sale under agreement			$ 100,000

Stockholders' Equity - Incentive Plans (Details)		1 Months Ended	3 Months Ended
Stockholders' Equity - Incentive Plans (Details)	Jan. 09, 2014 installment shares	Jan. 31, 2022 shares	Mar. 31, 2022 USD ($) shares	Mar. 31, 2021 USD ($) shares
Incentive plans
Fair value of shares vested \| $			$ 10,667	$ 2,205
Authorized shares
Increase in number of shares of common stock		3,000,000
Maximum
Incentive plans
Expiration period			10 years
2003 Stock Incentive Plan
Incentive plans
Period from date of termination that any vested options shall expire			60 days
Expiration period			10 years
Intrinsic value of options exercised \| $			$ 8,668
Cash proceeds from exercise of stock options \| $			$ 4,239
Shares issued from exercise of stock options			0	3,785
2003 Stock Incentive Plan \| Upon first anniversary of start date
Incentive plans
Percent of shares subject to option grant that will vest			25.00%
2003 Stock Incentive Plan \| Each month after the first anniversary
Incentive plans
Percent of shares subject to option grant that will vest			2.083%
2013 Equity Incentive Plan
Incentive plans
Period from date of termination that any vested options shall expire	90 days
Expiration period	10 years
Unrecognized compensation expense related to unvested options \| $			$ 5,361,718
Period for unrecognized compensation expense related to unvested options yet has not been recognized			2 years 3 months 18 days
Shares issued from exercise of stock options			0	0
Fair value of shares vested \| $			$ 1,263,094	$ 2,269,172
Authorized shares
Common stock authorized			9,506,767
Shares available for future grants			1,345,998
Increase in number of shares of common stock			2,619,622
Number of shares of common stock issued and outstanding on the immediately preceding fiscal year, or such lesser number of shares as determined by the board of directors or the compensation committee			4.00%
2013 Equity Incentive Plan \| Upon first anniversary of start date
Incentive plans
Percent of shares subject to option grant that will vest	25.00%
2013 Equity Incentive Plan \| Each month after the first anniversary
Incentive plans
Number of monthly installments \| installment	36
Common Stock
Incentive plans
Shares issued from exercise of stock options				3,785
Common Stock \| 2013 Equity Incentive Plan
Authorized shares
Common stock authorized	1,000,000
Automatic increase in number of shares reserved for issuance as a percentage of the total common stock outstanding at the end of the prior year	3.00%
Maximum number of shares that may be issued pursuant to exercise of incentive stock	20,000,000

Stockholders' Equity - Company's Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
OUTSTANDING OPTIONS
Options forfeited	(73,859)
WEIGHTED-AVERAGE EXERCISE PRICE
Options forfeited	$ 1.98
2003 Stock Incentive Plan
OUTSTANDING OPTIONS
Outstanding at beginning of period	93,465
Options exercised	0	(3,785)
Outstanding at end of period	19,606		93,465
WEIGHTED-AVERAGE EXERCISE PRICE
Outstanding at beginning of period	$ 2.00
Outstanding at end of period	$ 2.07		$ 2.00
VESTED AND EXPECTED TO VEST
Weighted-Average Remaining Contractual Term	3 months 18 days		3 months 18 days
2013 Equity Incentive Plan
OUTSTANDING OPTIONS
Outstanding at beginning of period	5,655,457
Options granted	1,825,100
Options exercised	0	0
Options forfeited	(125,980)
Outstanding at end of period	7,354,577		5,655,457
WEIGHTED-AVERAGE EXERCISE PRICE
Outstanding at beginning of period	$ 8.30
Options granted	1.11
Options forfeited	11.13
Outstanding at end of period	$ 6.46		$ 8.30
VESTED AND EXPECTED TO VEST
Outstanding options	7,140,377
Weighted-Average Exercise Price	$ 6.62
Weighted-Average Remaining Contractual Term	6 years 9 months 18 days
Aggregate Intrinsic Value (in thousands)	$ 48
ADDITIONAL DISCLOSURES
Outstanding options exercisable at end of period	4,367,434
Weighted-average exercise price exercisable at end of period	$ 9.11
Weighted-average contractual term outstanding	6 years 9 months 18 days		6 years
Weighted-average contractual term (years) exercisable	5 years 2 months 12 days
Aggregate intrinsic value (in thousands) outstanding at end of period	$ 55

Stockholders' Equity - Weighted-Average assumptions (Details) - $ / shares	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Weighted-average assumptions
Expected term	6 years 3 months	6 years 3 months
Expected volatility	84.51%	83.72%
Risk-free interest rate	1.66%	0.63%
Expected dividend yield	0.00%	0.00%
2013 Equity Incentive and Inducement Plan
Share-based Compensation Arrangement by Share-based Payment Award
Weighted-average fair value of the options granted	$ 0.80	$ 2.70

Stockholders' Equity - Summary of RSU Activity (Details) - 2013 Equity Incentive Plan - USD ($)		3 Months Ended
	Jan. 09, 2014	Mar. 31, 2022
Restricted Stock Units information
Period for unrecognized compensation expense related to unvested options yet has not been recognized		2 years 3 months 18 days
Upon first anniversary of start date
Restricted Stock Units information
Vesting percentage	25.00%
RSU
NUMBER OF SHARES
Unvested at beginning of period		345,600
Vested		(78,550)
Unvested at end of period		267,050
WEIGHTED-AVERAGE GRANT DATE FAIR VALUE
Unvested at beginning of period		$ 3.70
Vested		3.81
Unvested at end of period		$ 3.66
RSU \| Non-executive employees
Restricted Stock Units information
Vesting period		4 years
Unrecognized compensation expense related to unvested service RSUs		$ 849,932
Period for unrecognized compensation expense related to unvested options yet has not been recognized		2 years 9 months 18 days

Stockholders' Equity - Inducement Plan (Details)		1 Months Ended			3 Months Ended		12 Months Ended
Stockholders' Equity - Inducement Plan (Details)	Jan. 09, 2014 installment shares	Jan. 31, 2022 USD ($) shares	Aug. 31, 2021 shares	Jan. 31, 2020 installment shares	Mar. 31, 2022 USD ($) shares	Mar. 31, 2021 USD ($) shares	Dec. 31, 2021 USD ($) shares
Share-based Compensation Arrangement by Share-based Payment Award
Increase in number of shares of common stock		3,000,000
Fair value of shares vested \| $					$ 10,667	$ 2,205
Inducement Plan
Share-based Compensation Arrangement by Share-based Payment Award
Period from date of termination that any vested options shall expire				90 days
Expiration period				10 years
Unrecognized compensation expense related to unvested options \| $					$ 1,796,675
Period for unrecognized compensation expense related to unvested options yet has not been recognized					3 years 4 months 24 days
Increase in number of shares of common stock			2,000,000
Aggregate intrinsic value \| $					$ 16,000
Stock options granted					335,000
Options exercised					0	0
Inducement Plan \| Upon first anniversary of start date
Share-based Compensation Arrangement by Share-based Payment Award
Vesting percentage				25.00%
Inducement Plan \| Each month after the first anniversary
Share-based Compensation Arrangement by Share-based Payment Award
Number of monthly installments \| installment				36
2013 Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award
Period from date of termination that any vested options shall expire	90 days
Expiration period	10 years
Common stock authorized					9,506,767
Period for unrecognized compensation expense related to unvested options yet has not been recognized					2 years 3 months 18 days
Increase in number of shares of common stock					2,619,622
Aggregate intrinsic value \| $					$ 55,000
Stock options granted					1,825,100
Fair value of shares vested \| $					$ 1,263,094	$ 2,269,172
Options exercised					0	0
2013 Equity Incentive Plan \| Stock options vesting based on performance
Share-based Compensation Arrangement by Share-based Payment Award
Maximum fair value of option excluded from the unrecognized compensation expense \| $					$ 825,353		$ 825,353
2013 Equity Incentive Plan \| Stock options vesting based on performance \| Employees
Share-based Compensation Arrangement by Share-based Payment Award
Stock options granted		214,200
Maximum fair value of option excluded from the unrecognized compensation expense \| $		$ 171,360
2013 Equity Incentive Plan \| Stock options vesting based on performance \| Newly hired employees
Share-based Compensation Arrangement by Share-based Payment Award
Stock options granted					584,200		584,200
2013 Equity Incentive Plan \| Upon first anniversary of start date
Share-based Compensation Arrangement by Share-based Payment Award
Vesting percentage	25.00%
2013 Equity Incentive Plan \| Each month after the first anniversary
Share-based Compensation Arrangement by Share-based Payment Award
Number of monthly installments \| installment	36
2013 Equity Incentive Plan \| Vesting upon FDA Approval \| Stock options vesting based on performance \| Employees
Share-based Compensation Arrangement by Share-based Payment Award
Vesting percentage		50.00%
2013 Equity Incentive Plan \| Vesting upon First Commercial Sale \| Stock options vesting based on performance \| Employees
Share-based Compensation Arrangement by Share-based Payment Award
Vesting percentage		50.00%
Common Stock
Share-based Compensation Arrangement by Share-based Payment Award
Options exercised						3,785
Common Stock \| Inducement Plan
Share-based Compensation Arrangement by Share-based Payment Award
Common stock authorized				500,000
Common Stock \| 2013 Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award
Common stock authorized	1,000,000

Stockholders' Equity - Inducement Plan - Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
OUTSTANDING OPTIONS
Options forfeited	(73,859)
WEIGHTED-AVERAGE EXERCISE PRICE
Options forfeited	$ 1.98
Inducement Plan
OUTSTANDING OPTIONS
Outstanding at beginning of period	1,813,600
Options granted	335,000
Options exercised	0	0
Outstanding at end of period	2,148,600		1,813,600
WEIGHTED-AVERAGE EXERCISE PRICE
Outstanding at beginning of period	$ 2.08
Options granted	1.13
Outstanding at end of period	$ 1.93		$ 2.08
VESTED AND EXPECTED TO VEST
Outstanding options	1,564,400
Weighted-Average Exercise Price	$ 1.91
Aggregate Intrinsic Value (in thousands)	$ 14
ADDITIONAL DISCLOSURES
Outstanding options exercisable at end of period	27,004
Weighted-average exercise price exercisable at end of period	$ 3.59
Weighted-average contractual term outstanding	9 years 4 months 24 days		9 years 7 months 6 days
Weighted-average contractual term (years) exercisable	8 years 3 months 18 days
Aggregate intrinsic value (in thousands) outstanding at end of period	$ 16

Stockholders' Equity - Stock-Based Compensation Expense (Details) - USD ($)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Stock-based compensation expense
Total stock-based compensation expense	$ 1,080,642	$ 1,614,185
Research and Development
Stock-based compensation expense
Total stock-based compensation expense	318,825	688,972
General and Administrative Expense
Stock-based compensation expense
Total stock-based compensation expense	$ 761,817	$ 925,213

Income Taxes (Details) - USD ($)	3 Months Ended
Income Taxes (Details) - USD ($)	Mar. 31, 2022	Mar. 31, 2021
Income Taxes
Income tax (benefit) provision	$ 0	$ 0

License and Collaboration Agreements (Details) - USD ($)	1 Months Ended	3 Months Ended
	Sep. 30, 2020	Mar. 31, 2022	Mar. 31, 2021	Sep. 30, 2020	Mar. 31, 2020
Research and License Agreements
Revenue from collaboration and license agreements			$ 1,055,441
Apollomics, Inc.
Research and License Agreements
Revenue from collaboration and license agreements			$ 1,100,000
Up-front payment received					$ 9,000,000.0
Milestones based on achievement of certain clinical and regulatory events					75,000,000.0
Milestone payment upon achievement of specified net sales thresholds for all licensed products					$ 105,000,000.0
Milestone revenue recognized based on achievement of certain clinical and regulatory events	$ 1,000,000.0			$ 1,000,000.0
Apollomics, Inc. \| Maximum
Research and License Agreements
Tiered percentage of annual net sales					15.00%

- Definition

Amount, including tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value-added and excise.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 2: http://www.xbrl.org/2003/role/disclosureRef
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Reference 3: http://www.xbrl.org/2003/role/disclosureRef
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Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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-Topic 280
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-Section 50
-Paragraph 42
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Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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-Section 50
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-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599

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-Publisher FASB
-Name Accounting Standards Codification
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+ Details