XML 31 R19.htm IDEA: XBRL DOCUMENT
v3.8.0.1

Stock-Based Compensation | 12 Months Ended
--- | ---
Dec. 31, 2017
Stock-Based Compensation Arrangements |
Stock-Based Compensation | 11. Stock-Based Compensation Stock based compensation has been reported within the following expense line items on the consolidated statement of operations for the years ended 2016 and 2017, as shown in the following table (in thousands):
|  |  | Year Ended December 31, 2016 |  |  | Year Ended December 31, 2017 |
Research and development |  |  |  | $ | 305 |  |  |  |  | $ | 72 |  |
General and administrative |  |  |  |  | 477 |  |  |  |  |  | 194 |  |
Stock-based compensation costs before income taxes |  |  |  | $ | 782 |  |  |  |  | $ | 266 |  |
2015 Plan On May 22, 2015, the Company’s stockholders approved the 2015 Equity Incentive Plan (the “2015 Plan”), under which Cyclacel may make equity incentive grants to its officers, employees, directors and consultants. The company has reserved 458,753 shares of the Company’s common stock under the 2015 Plan. The 2015 Plan replaces the 2006 Equity Incentive Plan (the “2006 Plan”), under which there were no remaining reserved shares to be granted. 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 2016, the Company granted 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 throughout 2016 and 2017 and, as a result, did not record any expense related to these awards for the years ended December 31, 2016 and 2017. There were 170,853 options granted during the year ended December 31, 2017. Of these options, 158,853 are performance based, which will vest upon the fulfillment of certain clinical conditions. The Company determined that the satisfaction of one of the conditions was probable as of December 31, 2017, but that the other vesting criteria related to these awards were not probable as of December 31, 2017. As such, the Company recognized compensation cost for these grants under the expectation that 25% of these awards will vest. The weighted average grant-date fair values of options granted during the years ended December 31, 2016 and 2017 were $3.66 and $1.59, respectively. As of December 31, 2017, the total remaining unrecognized compensation cost related to the non-vested stock options with service conditions amounted to approximately $0.2 million, which will be amortized over the weighted-average remaining requisite service period of 0.9 years. During the years ended December 31, 2016 and 2017, the Company did not settle any equity instruments with cash. There were no stock option exercises during the years ended 2016 and 2017. No income tax benefits were recorded for the years ended December 31, 2016 and 2017 because the Company has accumulated net operating losses for tax purposes and is not likely to benefit from any deductions associated with exercises of granted option awards. 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 Contractual Term (Years) |  |  | Aggregate Intrinsic Value ($000s) |
Options outstanding at December 31, 2015 |  |  |  |  | 206,298 |  |  |  |  | $ | 72.60 |  |  |  |  |  | 8.09 |  |  |  |  | $ | — |  |
Granted |  |  |  |  | 197,841 |  |  |  |  | $ | 4.68 |  |  |  |  |  |  |  |  |  |  |  |  |  |
Exercised |  |  |  |  | — |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cancelled/forfeited |  |  |  |  | (14,760) |  |  |  |  | $ | 396.83 |  |  |  |  |  |  |  |  |  |  |  |  |  |
Options outstanding at December 31, 2016 |  |  |  |  | 389,379 |  |  |  |  | $ | 25.80 |  |  |  |  |  | 5.83 |  |  |  |  | $ | 121 |  |
Granted |  |  |  |  | 170,853 |  |  |  |  | $ | 1.93 |  |  |  |  |  |  |  |  |  |  |  |  |  |
Exercised |  |  |  |  | — |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cancelled/forfeited |  |  |  |  | (24,615) |  |  |  |  | $ | 179.92 |  |  |  |  |  |  |  |  |  |  |  |  |  |
Options outstanding at December 31, 2017 |  |  |  |  | 535,617 |  |  |  |  | $ | 11.10 |  |  |  |  |  | 8.23 |  |  |  |  | $ | — |  |
Unvested at December 31, 2017 |  |  |  |  | 386,682 |  |  |  |  | $ | 3.64 |  |  |  |  |  | 8.84 |  |  |  |  | $ | — |  |
Vested and exercisable at December 31, 2017 |  |  |  |  | 148,755 |  |  |  |  | $ | 30.49 |  |  |  |  |  | 6.65 |  |  |  |  | $ | — |  |
The fair value of the stock options granted is calculated using the Black-Scholes option-pricing model using the following assumptions:
|  |  | Year ended December 31, 2016 |  |  | Year ended December 31, 2017 |
Expected term (years) |  |  | 5 – 6 |  |  | 6 |
Risk free interest rate |  |  | 1.370% – 1.500% |  |  | 1.890% – 2.265% |
Volatility |  |  | 98% – 104% |  |  | 108% |
Expected dividend yield over expected term |  |  | 0.00% |  |  | 0.00% |
Resulting weighted average grant date fair value |  |  | $3.66 |  |  | $1.59 |

X
- Definition The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -URI http://asc.fasb.org/topic&trid=2228938 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -URI http://asc.fasb.org/subtopic&trid=2208855 + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsSharebasedPaymentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration