Quarterly report [Sections 13 or 15(d)]

Fair Value of Financial Instruments

v3.26.1
Fair Value of Financial Instruments
 3 Months Ended
Mar. 31, 2026
Fair Value Disclosures [Abstract]  
Fair Value of Financial Instruments
4.
Fair Value of Financial Instruments

The Company’s U.S. Treasury bills are classified within Level 1 of the fair value hierarchy and are valued based on quoted prices in active markets. The Company’s commercial paper is classified within Level 2 of the fair value hierarchy and is valued using observable market inputs, including quoted prices for similar instruments, benchmark yields, and broker/dealer quotations. For cash, cash equivalents and accounts payable, the carrying amounts approximate fair value, because of the short maturity of these instruments. Contingent consideration related to the acquisition of CorHepta (see Note 10) is classified within Level 3 of the fair value hierarchy as the determination of fair value uses considerable judgment and represents the Company’s best estimate of an amount that could be realized in a market exchange for the asset or liability.

The following table summarizes cash equivalents, marketable securities and contingent consideration measured at their fair value on a recurring basis as of March 31, 2026 and December 31, 2025:

 

 

 

Fair Value Measurements as of March 31, 2026:

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

   Money market funds

 

$

16,622,966

 

 

$

—

 

 

$

—

 

 

$

16,622,966

 

   Commercial paper

 

 

—

 

 

 

6,979,418

 

 

 

—

 

 

 

6,979,418

 

   U.S. Treasury obligations

 

 

13,959,554

 

 

 

—

 

 

 

—

 

 

 

13,959,554

 

Total

 

$

30,582,520

 

 

$

6,979,418

 

 

$

—

 

 

$

37,561,938

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Marketable securities, available-for-sale:

 

 

 

 

 

 

 

 

 

 

 

 

   Commercial paper

 

$

—

 

 

$

27,748,033

 

 

$

—

 

 

$

27,748,033

 

   U.S. Treasury obligations

 

 

93,047,202

 

 

 

—

 

 

 

—

 

 

 

93,047,202

 

Total

 

$

93,047,202

 

 

$

27,748,033

 

 

$

—

 

 

$

120,795,235

 

 

 

 

 

Fair Value Measurements as of December 31, 2025:

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

   Money market funds

 

$

14,824,866

 

 

$

—

 

 

$

—

 

 

$

14,824,866

 

Total

 

$

14,824,866

 

 

$

—

 

 

$

—

 

 

$

14,824,866

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Marketable securities, available-for-sale:

 

 

 

 

 

 

 

 

 

 

 

 

   U.S. Treasury obligations

 

$

39,543,820

 

 

$

—

 

 

$

—

 

 

$

39,543,820

 

Total

 

$

39,543,820

 

 

$

—

 

 

$

—

 

 

$

39,543,820

 

The following table provides a rollforward of the contingent consideration related to the acquisition of CorHepta (see Note 10):

 

 

 

Three months ended March 31,

 

 

 

2026

 

 

2025

 

Balance, beginning

 

$

3,061,501

 

 

$

—

 

Additions

 

 

—

 

 

 

4,435,443

 

Issuance of common stock

 

 

(2,688,147

)

 

 

—

 

Change in fair value

 

 

(373,354

)

 

 

(1,164,864

)

Balance, ending

 

$

—

 

 

$

3,270,579