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Stock-Based Compensation
 12 Months Ended
Dec. 31, 2016
Stock-Based Compensation Arrangements  
Stock-Based Compensation
11.   Stock-Based Compensation
 
Stock based compensation has been reported within expense line items on the consolidated statement of operations for 2015 and 2016 as shown in the following table (in thousands):
     
Year Ended December 31,
  
     
2015
    
2016
  
Research and development
       $ 240         $ 305    
General and administrative
         505           477    
Total
       $ 745         $ 782    
 
2015 Plan
On May 22, 2015, the Company’s stockholders approved the 2015 Plan, under which Cyclacel may make equity incentive grants to its officers, employees, directors and consultants. The Company has reserved 291,667 shares of its common stock under the 2015 Plan. The 2015 Plan replaces the 2006 Plan, under which there were no remaining reserved shares available for issuance as of September 30, 2015. Stock option awards granted under the Company’s equity incentive plans have a maximum life of 10 years and generally vest over a one to four-year period from the date of grant.
During 2015, the Company granted approximately 122,523 options to employees and directors with a grant date fair value of approximately $0.8 million.
During 2016, the Company granted approximately 197,841 options to employees and directors with a grant date fair value of approximately $0.7 million. Of these options, 189,091 are performance based, which will vest upon the fulfilment of certain clinical conditions and will terminate if they have not vested by December 31, 2020. The Company determined that the satisfaction of the vesting criteria was not probable as of December 31, 2016 and, as a result, did not record any expense related to these awards for the year ended December 31, 2016.The weighted average grant-date fair values of options granted during the years ended December 31, 2015 and 2016 were $6.16 and $3.66, respectively.
As of December 31, 2016, the total remaining unrecognized compensation cost related to the non-vested stock options amounted to approximately $0.4 million, which will be amortized over the weighted-average remaining requisite service period of 1.69 years.
During the years ended December 31, 2015 and 2016, the Company did not settle any equity instruments with cash.
The Company does not expect to be able to benefit from a tax deduction for stock option exercises that may occur during the year ended December 31, 2016 because the company has tax loss carryforwards from prior periods that would be expected to offset any potential taxable income for the year ended December 31, 2016.
Outstanding Options
A summary of the share option activity and related information is as follows:
​ ​ ​
Number of
Options
Outstanding
 ​ ​
Weighted
Average
Exercise Price
Per Share
 ​ ​
Weighted
Average 
Remaining
Life in Years
 ​ ​
Aggregate
Intrinsic
Value
Options outstanding at December 31, 2014
 ​ ​ ​ ​ 84,192 ​ ​ ​ ​ $ 170.88 ​ ​ ​ ​ ​ 6.58 ​ ​ ​ ​ $ —
Granted
 ​ ​ ​ ​ 122,523 ​ ​ ​ ​ $ 7.60 ​ ​ ​ ​
Exercised
 ​ ​ ​ ​ — ​ ​ ​ ​ $ — ​ ​ ​ ​ ​ ​ ​ ​ ​
Cancelled/forfeited
 ​ ​ ​ ​ (417) ​ ​ ​ ​ $ 813.84 ​ ​ ​ ​ ​ ​ ​ ​ ​
Options Outstanding at December 31, 2015
 ​ ​ ​ ​ 206,298 ​ ​ ​ ​ $ 72.60 ​ ​ ​ ​ ​ 8.09 ​ ​ ​ ​ $ —
Granted
 ​ ​ ​ ​ 197,841 ​ ​ ​ ​ $ 4.68 ​ ​ ​ ​
Exercised
 ​ ​ ​ ​ — ​ ​ ​ ​ $ — ​ ​ ​ ​ ​ ​ ​ ​ ​
Cancelled/forfeited
 ​ ​ ​ ​ (14,761) ​ ​ ​ ​ $ 396.83 ​ ​ ​ ​ ​ ​ ​ ​ ​
Options Outstanding at December 31, 2016
 ​ ​ ​ ​ 389,378 ​ ​ ​ ​ $ 25.80 ​ ​ ​ ​ ​ 5.83 ​ ​ ​ ​ $ 121.40
Unvested at December 31, 2016
 ​ ​ ​ ​ (267,582) ​ ​ ​ ​ $ 5.37 ​ ​ ​ ​ ​ 5.44 ​ ​ ​ ​ $ 121.40
Vested and exercisable at December 31, 2016
 ​ ​ ​ ​ 121,796 ​ ​ ​ ​ $ 70.67 ​ ​ ​ ​ ​ 6.68 ​ ​ ​ ​ $ —
​
The assumptions used in the Black-Scholes option pricing model to determine the fair value of share options granted to employees and directors during the period are as follows:
     
Year Ended December 31,
  
     
2015
    
2016
  
Expected term (in years)
    
5 – 6
    
5 – 6
  
Risk-free interest rate
    
1.52% – 1.845%
    
1.37% – 1.50%
  
Volatility
    
96% – 108%
    
98% – 104%
  
Expected dividend yield over expected term
    
0.00%
    
0.00%
  
Resulting weighted average grant date fair value
    
$6.16
    
$3.66