Annual report pursuant to Section 13 and 15(d)

Stockholders' Equity (Tables)

v3.8.0.1
Stockholders' Equity (Tables)
12 Months Ended
Dec. 31, 2017
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]  
Share Based Compensation Stock Options, and Other Types of Grants of Stock Option
The table below provides a summary of those plans as of December 31, 2017:
 
Fortress Company
 
Stock Plan
 
Shares Authorized
 
Shares
available at
December 31,
2017
 
Avenue
 
Avenue Therapeutics, Inc. 2015 Stock Plan
 
 
2,000,000
 
 
1,115,000
 
Caelum
 
Caelum Biosciences Inc. 2017 Incentive Plan
 
 
2,000,000
 
 
125,002
 
Cellvation
 
Cellvation Inc. 2016 Incentive Plan
 
 
2,000,000
 
 
300,000
 
Checkpoint
 
Checkpoint Therapeutics, Inc. Amended and Restated 2015 Stock Plan
 
 
5,000,000
 
 
2,961,697
 
Cyprium
 
Cyprium Therapeutics, Inc. 2017 Stock Plan
 
 
2,000,000
 
 
2,000,000
 
Helocyte
 
DiaVax Biosciences, Inc. 2015 Incentive Plan
 
 
2,000,000
 
 
341,667
 
Journey
 
Journey Medical Corporation 2015 Stock Plan
 
 
3,000,000
 
 
614,792
 
Mustang
 
Mustang Bio, Inc. 2016 Incentive Plan
 
 
2,000,000
 
 
444,325
 
Tamid
 
FBIO Acquisition Corp. V 2017 Incentive Plan
 
 
2,000,000
 
 
1,600,000
 
Schedule of Share-based Compensation, Activity
The following table summarizes the stock-based compensation expense from stock option, employee stock purchase programs and restricted Common Stock awards and warrants for the years ended December 31, 2017, 2016 and 2015:
 
 
 
For the Years Ended December 31,
 
($ in thousands)
 
2017
 
2016
 
2015
 
Employee awards
 
$
6,606
 
$
7,386
 
$
8,130
 
Executive awards of Fortress Companies’ stock
 
 
-
 
 
-
 
 
2,228
 
Non-employee awards
 
 
83
 
 
33
 
 
33
 
Fortress Companies:
 
 
 
 
 
 
 
 
 
 
Avenue
 
 
604
 
 
28
 
 
51
 
Caelum
 
 
595
 
 
-
 
 
-
 
Cellvation
 
 
31
 
 
7
 
 
-
 
Checkpoint
 
 
3,118
 
 
3,867
 
 
3,252
 
Helocyte
 
 
128
 
 
250
 
 
-
 
JMC
 
 
224
 
 
515
 
 
597
 
Mustang
 
 
2,013
 
 
-
 
 
-
 
Tamid
 
 
1
 
 
-
 
 
-
 
National
 
 
602
 
 
42
 
 
-
 
Total stock-based compensation expense
 
$
14,005
 
$
12,128
 
$
14,291
 
Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding And Exercisable
The following table summarizes Fortress stock option activities excluding activities related to Fortress Companies:
 
 
 
Number of
shares
 
Weighted
average
exercise price
 
Total
weighted
average
intrinsic
value
 
Weighted
average
remaining
contractual
life (years)
 
Options vested and expected to vest at December 31, 2015
 
 
1,779,365
 
$
4.37
 
$
666,396
 
 
6.32
 
Forfeited
 
 
(648,864)
 
 
0.51
 
 
-
 
 
-
 
Options vested and expected to vest at December 31, 2016
 
 
1,130,501
 
 
3.73
 
 
602,451
 
 
4.93
 
Exercised
 
 
(20,000)
 
 
1.37
 
 
52,400
 
 
-
 
Exercisable as of December 31, 2016
 
 
1,110,501
 
$
3.78
 
$
1,351,080
 
 
3.95
 
Options vested and expected to vest at December 31, 2017
 
 
1,085,501
 
$
3.75
 
$
1,351,080
 
 
3.93
 
Nonvested Restricted Stock Shares Activity
The following table summarizes Fortress restricted stock awards and restricted stock units activities, excluding activities related to Fortress Companies:
 
 
 
Number of shares
 
Weighted
average
grant price
 
Unvested balance at December 31, 2015
 
 
8,757,935
 
$
2.47
 
Restricted stock granted
 
 
1,240,868
 
 
2.77
 
Restricted stock cancelled
 
 
(33,333)
 
 
2.69
 
Restricted stock vested
 
 
(173,333)
 
 
2.73
 
Restricted stock units granted
 
 
641,000
 
 
2.93
 
Restricted stock units cancelled
 
 
(111,750)
 
 
3.58
 
Restricted stock units vested
 
 
(227,292)
 
 
3.56
 
Unvested balance at December 31, 2016
 
 
10,094,095
 
$
2.49
 
Restricted stock granted
 
 
1,325,396
 
 
2.70
 
Restricted stock vested
 
 
(213,333)
 
 
2.75
 
Restricted stock units granted
 
 
1,128,750
 
 
4.17
 
Restricted stock units forfeited
 
 
(15,000)
 
 
2.98
 
Restricted stock units vested
 
 
(445,874)
 
 
3.50
 
Unvested balance at December 31, 2017
 
 
11,874,034
 
$
2.63
 
Schedule of Warrant Activities
The following table summarizes Fortress warrant activities, excluding activities related to Fortress Companies:
 
 
 
Number of
shares
 
Weighted
average
exercise price
 
Total
weighted
average
intrinsic
value
 
Weighted
average
remaining
contractual
life (years)
 
Outstanding as of December 31, 2015
 
 
569,835
 
$
6.31
 
$
120,700
 
 
1.84
 
Granted
 
 
1,880,000
 
 
3.00
 
 
-
 
 
5.65
 
Expired
 
 
(161,382)
 
 
6.30
 
 
-
 
 
-
 
Exercised (*)
 
 
(25,000)
 
 
1.37
 
 
33,250
 
 
-
 
Outstanding as of December 31, 2016
 
 
2,263,453
 
$
3.62
 
$
79,800
 
 
4.74
 
Granted
 
 
816,180
 
 
3.84
 
 
260,380
 
 
4.87
 
Forfeited
 
 
(305,444)
 
 
7.07
 
 
-
 
 
-
 
Outstanding as of December 31, 2017
 
 
2,774,189
 
$
3.30
 
$
2,204,530
 
 
4.47
 
Exercisable as of December 31, 2017
 
 
869,189
 
$
3.96
 
$
318,580
 
 
4.05
 
(*) – cashless
Schedule of Fair Value of Separate Accounts by Major Category of Investment
On July 15, 2015 and on October 31, 2016, the following grants of 500,000 warrants each were made to Dr. Rosenwald and Mr. Weiss for their services to the Company:
 
2015
 
Warrant
Shares
 
Risk Free
Rate
 
Volatility
 
Life
 
Exercise
price
 
Fair Value
 
Mustang
 
 
1,000,000
 
 
2.36
%
 
106.11
%
 
10
 
$
0.147
 
$
135,000
 
Checkpoint
 
 
1,000,000
 
 
2.36
%
 
106.11
%
 
10
 
$
0.129
 
$
118,000
 
Avenue
 
 
1,000,000
 
 
2.36
%
 
106.11
%
 
10
 
$
0.146
 
$
134,000
 
CNDO SO
 
 
1,000,000
 
 
2.36
%
 
106.11
%
 
10
 
$
1.190
 
$
1,091,000
 
Helocyte
 
 
1,000,000
 
 
2.36
%
 
106.11
%
 
10
 
$
0.097
 
$
89,000
 
JMC
 
 
1,000,000
 
 
2.36
%
 
106.11
%
 
10
 
$
0.650
 
$
596,000
 
Escala
 
 
1,000,000
 
 
2.36
%
 
106.11
%
 
10
 
$
0.071
 
$
65,000
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2016
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cellvation
 
 
1,000,000
 
 
2.86
%
 
70
%
 
9
 
$
0.024
 
$
18,000
 
 
Beginning in 2017, the LTIP equity interest grants were made in the form of stock. During the year ended December 31, 2017, Mr. Weiss and Dr. Rosenwald received, for their services to the Company, stock awards of 500,000 shares representing 5% of the ownership in the following entities:
 
 
 
 
 
 
Risk Free
 
 
 
 
Discount for
Lack of
 
Exercise
 
 
 
 
2017
 
Stock Shares
 
Rate
 
Volatility
 
Marketability
 
price
 
Fair Value
 
Aevitas
 
 
1,000,000
 
 
1.92
 
 
79.8
%
 
42.6
%
$
0.020
 
$
20,000
 
Caelum
 
 
1,000,000
 
 
1.93
 
 
70.0
%
 
49.5
%
$
0.028
 
$
28,000
 
Cyprium
 
 
1,000,000
 
 
1.92
 
 
84.3
%
 
44.2
%
$
0.004
 
$
4,000
 
Acquisition Corp. III
 
 
1,000,000
 
 
1.92
 
 
83.9
%
 
44.0
%
$
0.007
 
$
7,000
 
Acquisition Corp. IV
 
 
1,000,000
 
 
1.92
 
 
83.9
%
 
44.0
%
$
0.007
 
$
7,000
 
Tamid
 
 
1,000,000
 
 
1.92
 
 
83.9
%
 
44.0
%
$
0.007
 
$
7,000
 
Acquisition Corp. VI
 
 
1,000,000
 
 
1.92
 
 
83.9
%
 
44.0
%
$
0.007
 
$
7,000
 
Acquisition Corp. VII
 
 
1,000,000
 
 
1.92
 
 
83.9
%
 
44.0
%
$
0.007
 
$
7,000
 
Acquisition Corp. VIII
 
 
1,000,000
 
 
1.92
 
 
83.9
%
 
44.0
%
$
0.007
 
$
7,000