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SUBSEQUENT EVENTS
6 Months Ended
Jun. 30, 2011
Subsequent Events [Abstract]  
Subsequent Events [Text Block]
7. SUBSEQUENT EVENT


     Effective August 1, 2011, Geron entered into a Loan Agreement with the California Institute for Regenerative Medicine (CIRM) to support Geron’s human embryonic stem-cell derived oligodendrocyte progenitor therapy (GRNOPC1) for the treatment of spinal cord injury.  CIRM shall disburse to Geron an aggregate of $24,846,856 over a period of three years commencing on August 1, 2011 and ending on July 31, 2014. The disbursements are pursuant to an established schedule and, in certain cases, are conditioned upon the achievement of project milestones. The initial term of the Loan Agreement is five years and Geron may request extension of the Loan Agreement for one additional term of five years for a maximum total of ten years from the Effective Date. The interest rate for each quarterly disbursement of the loan is equal to the one year LIBOR rate plus 2%. Interest is compounded annually on the principal amount from the date of the applicable disbursement. Repayment of the principal and any accrued interest shall be due and payable at the end of the initial term. If the loan is extended, certain interest payments are due during the second five years. Repayment of the loan is suspended if the supported project is abandoned for any reason. Any loan amount that has not been due and payable for 15 years after the granting of a suspension of repayment will be automatically forgiven by CIRM.


     In connection with each disbursement, Geron shall issue to CIRM a warrant to purchase Geron common stock.  The number of shares underlying each of the warrants will be equal to 50% of the applicable disbursement amount divided by the average of the closing sales prices of Geron common stock as reported by The NASDAQ Global Select Market for the ten consecutive trading days immediately preceding the corresponding disbursement (Average Closing Price).  The exercise price of each warrant shall also be equal to the Average Closing Price preceding the issuance of the warrant. Each of the warrants and the underlying common stock will be unregistered and each warrant shall have a term of ten years from the respective date of issuance.