In connection with the Closing, the Company adopted the 2021 Equity Incentive Plan (the “2021 Plan”) and the 2021 Employee Stock Purchase Plan (“2021 ESPP”). The number of shares available for issuance under the 2021 Plan is increased on the first day of each fiscal year, beginning on January 1, 2022, in an amount as provided in the 2021 Plan. Pursuant to this automatic increase feature of the 2021 Plan, 897,996 shares were added as available for issuance thereunder on January 1, 2023. As of September 30, 2023, 490,623 shares were available for issuance under the 2021 Plan.

The number of shares available for issuance under the 2021 ESPP is increased on the first day of each fiscal year, beginning on January 1, 2022, in an amount as provided in the 2021 ESPP. Pursuant to this automatic increase feature of the 2021 ESPP, 179,599 shares were added as available for issuance thereunder on January 1, 2023. As of September 30, 2023, 603,349 shares were available for issuance under the 2021 ESPP.

There were no options exercised during the nine months ended September 30, 2023. During the nine months ended September 30, 2022, the Company received $797 in cash proceeds from options exercised during that period. The weighted-average grant date fair value of options granted during the nine months ended September 30, 2023 was $2.77. There were no options granted during the nine months ended September 30, 2022.

For RSUs with service-based vesting conditions, the fair value is calculated based upon the Company’s closing stock price on the date of grant, and the stock-based compensation expense is recognized over the applicable grant vesting term, generally four years.

As of September 30, 2023, there was $25,180 of total unrecognized compensation expense related to options and RSUs expected to be recognized over a weighted average-period of 2.23 years.