Quarterly report pursuant to Section 13 or 15(d)

Share-Based Compensation

v2.4.0.8
Share-Based Compensation
 9 Months Ended
Mar. 31, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]
10.
Share-Based Compensation
 
The following table summarizes the components of share-based compensation expense in the Condensed Consolidated Statements of Operations (in thousands):
 
 
 
Three Months Ended
March 31,
 
 
 
2014
 
2013
 
Research and development
 
$
55
 
$
75
 
General and administrative
 
 
270
 
 
264
 
Totals
 
$
325
 
$
339
 
 
 
 
Nine Months Ended
March 31,
 
 
 
2014
 
2013
 
Research and development
 
$
93
 
$
178
 
General and administrative
 
 
742
 
 
831
 
Totals
 
$
835
 
$
1,009
 
 
Stock Options
On August 12, 2008, the Company adopted the iBioPharma 2008 Omnibus Equity Incentive Plan (the “Plan”) for employees, officers, directors and external service providers. The original Plan provided that the Company may grant options to purchase stock and/or make awards of restricted stock up to an aggregate amount of 10 million shares. On December 18, 2013, the Plan was amended to increase the number of shares reserved for awards under the Plan from 10 million to 15 million.   As of March 31, 2014, there were approximately 6.2 million shares of common stock reserved for future issuance under the Plan. Stock options granted under the Plan may be either incentive stock options (as defined by Section 422 of the Internal Revenue Code of 1986, as amended) or non-qualified stock options at the discretion of the Board of Directors. Vesting of service awards occurs ratably on the anniversary of the grant date over the service period, generally three or five years, as determined at the time of grant. Vesting of performance awards occurs when the performance criteria have been satisfied. The Company uses historical data to estimate forfeiture rates.
 
The following table summarizes all stock option activity during the nine months ended March 31, 2014:
 
 
 
Stock
Options
 
Weighted-
average
Exercise
Price
 
Weighted-
average
Remaining
Contractual
Term (in years)
 
Aggregate
Intrinsic Value
(in thousands)
 
Outstanding as of June 30, 2013
 
6,760,000
 
$
1.45
 
7.5
 
$
161
 
Granted after June 30, 2013
 
1,990,000
 
$
0.47
 
 
 
 
 
 
Outstanding as of March 31, 2014
 
8,750,000
 
$
1.23
 
7.3
 
$
390
 
Vested and expected to vest as of March 31, 2014
 
8,643,019
 
$
1.24
 
7.3
 
$
390
 
 
 
 
 
 
 
 
 
 
 
 
 
Exercisable as of March 31, 2014
 
5,085,206
 
$
1.49
 
6.4
 
$
253
 
 
The weighted-average grant date fair value of stock options granted during the nine months ended March 31, 2014 was $0.40 per share. As of March 31, 2014, there was approximately $1.8 million of total unrecognized compensation cost related to non-vested stock options that the Company expects to recognize over a weighted-average period of 2.4 years.
 
Warrants
In July 2012, the Company issued 100,000 fully vested warrants to a consultant as payment for investor relations services. These warrants have an exercise price of $ 1.00 per share and expire two years from the date of issuance. The grant date fair value of approximately $33,000 was determined using the Black-Scholes option pricing model with similar inputs to those used to value stock options.