Quarterly report pursuant to Section 13 or 15(d)

Share-based Compensation

v3.20.2
Share-based Compensation
6 Months Ended
Jun. 30, 2020
Share-based Compensation  
Share-based Compensation

Note 8.   Share-based Compensation

The Company’s 2017 Stock Plan (the “Plan”) provides for granting stock options and restricted stock awards to employees, directors, contractors and consultants of the Company. A total of 3,182,335 shares of common stock are authorized to be issued pursuant to the Plan. Determining the appropriate fair value of share-based awards requires the input of subjective assumptions, including the fair value of the Company’s common stock, and, for stock options, the expected life of the option, and expected stock price volatility. The assumptions used in calculating the fair value of share-based awards represent management’s best estimates and involve inherent uncertainties and the application of management’s judgment. As a result, if factors change and management uses different assumptions, share-based compensation expense could be materially different for future awards.

Restricted Stock Awards

 

 

 

 

 

 

 

 

    

 

    

Weighted

 

 

 

 

Average

 

 

 

 

Grant

 

 

 

 

Date

 

 

Shares

 

Fair Value

Nonvested at December 31, 2019

 

227,981

 

$

5.28

Granted

 

 —

 

 

 —

Vested

 

 —

 

 

 —

Forfeited

 

(4,216)

 

$

(5.28)

Nonvested at March 31, 2020

 

223,765

 

$

5.28

Granted

 

 —

 

 

 —

Vested

 

 —

 

 

 —

Forfeited

 

(6,914)

 

$

(5.28)

Nonvested at June 30, 2020

 

216,851

 

$

5.28

 

The Company recognized stock compensation expense for restricted stock awards of $97,862, net of forfeitures of $8,984, and $633,217 for the three months ended June 30, 2020 and June 30, 2019, respectively, and $201,020, net of forfeitures of $11,355, and $1,543,309, for the six months ended June 30, 2020 and June 30, 2019, respectively, which is included in general and administrative expense. At June 30, 2020, the total unrecognized compensation expense related to unvested restricted stock awards granted was $923,992, which the Company expects to recognize over a period of approximately 2.32 years. No shares were granted during the six months ended June 30, 2020.

Stock Option Awards

For the three months ended June 30, 2020 and June 30, 2019, the Company recognized $2,631 and $11,815, respectively, and for the six months ended June 30, 2020 and June 30, 2019, the Company recognized $24,194 and $11,815, respectively, of share-based compensation expense in general and administrative expense. At June 30, 2020, the total unrecognized compensation related to unvested stock option awards granted was $0.  No stock option awards were granted during the six months ended June 30, 2020.