Quarterly report pursuant to Section 13 or 15(d)

Subsequent Events

Subsequent Events
9 Months Ended
Sep. 30, 2021
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
Initial Public Offering
The registration statement related to our IPO was declared effective on November 10, 2021, and our common stock began trading on the New York Stock Exchange on November 11, 2021. On November 15, 2021, we completed our IPO for the sale of 5,000,000 shares of our common stock, $0.00001 par value per share at an offering price of $24.00 per share, pursuant to our Prospectus. We received aggregate proceeds of $111.6 million from our IPO after deducting underwriting discounts and commissions.
Upon the completion of our IPO, the 43,836,109 outstanding shares of redeemable convertible preferred stock with a carrying value of $151.9 million converted into an aggregate of 43,836,109 shares of common stock. Immediately upon the completion of our IPO, we filed an Amended and Restated Certificate of Incorporation, which authorized a total of 500,000,000 shares of common stock, $0.00001 par value per share and 10,000,000 shares of preferred stock, par value $0.00001 per share.
Employee Stock Purchase Plan
In October 2021, the Company established an Employee Stock Purchase Plan (“ESPP”) in which eligible employees may contribute up to 50% of their base compensation to purchase shares of common stock at a price equal to 85% of the lower of (1) the fair market value of a share of the Company’s common stock at the beginning of the offering period and (2) the fair market value of a share of the Company’s common stock on the purchase date. No participant may purchase more than 2,500 shares during any offering period. As of December 9, 2021 1,300,000 shares were available for issuance and no shares of common stock were issued under the ESPP.
Except for the initial offering period, the 2021 ESPP provides for six-month offering periods beginning February 16 and August 16 of each year, and the last day of each offering period is the purchase date for that period. The initial offering period began on December 1, 2021 and will end on August 15, 2022 and consists of one purchase period, which is the last day of the offering period.
2021 Equity Incentive Plan
In October 2021, the Board and stockholders of the Company adopted the 2021 Equity Incentive Plan. There are currently 9,000,000 shares of common stock reserved for future issuance, with scheduled annual increases to the reserve for amounts to be determined by the Board, subject to a maximum amount. The 2021 Equity Incentive Plan plan became effective in Nov 2021 upon the completion of the Company’s initial public offering.
Other Equity Items
In November 2021, the Compensation Committee of the Board approved, contingent upon the completion of the Company’s initial public offering, the grant of a total of 171,075 restricted stock units (“RSUs”) to its employees at an estimated preliminary aggregate fair value of approximately $4.1 million. All of these RSUs have a time-based service condition and vest over four years. The grant date fair value is based on the number of RSUs multiplied by the $24 IPO issuance price.
In November 2021, both sets of common share warrants discussed in Note 10 above were exercised. A net exercise was elected, in which no cash proceeds were received by the Company and in exchange the financial institution received a total 104,269 common shares, which is reduced from the 107,000 combined total of the initial warrant grants.