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Stockholders’ Equity
3 Months Ended
Mar. 31, 2024
Equity [Abstract]  
Stockholders' Equity
8.Stockholders’ Equity
2024 Public Offering
In March 2024, the Company completed a public offering of 2,653,848 shares of its common stock, composed of 2,307,694 shares of common stock offered at a public offering price of $6.50 per share and an additional 346,154 shares of common stock sold pursuant to the exercise of the underwriters' option to purchase additional shares at the public offering price.
Net proceeds from the offering totaled approximately $16.2 million after deducting underwriting discounts and commissions, and other offering expenses paid by the Company.
The underwriting agreement contains representations, warranties, agreements and indemnification obligations by the Company that are customary for this type of transaction.
Equity Compensation Plans
The Fourth Amended and Restated 2013 Incentive Compensation Plan became effective in 2022. The plan permits the issuance of options, restricted stock, restricted stock units and other awards to selected employees, directors and
consultants of the Company. The equity incentive plans are more fully described in Note 9 to the consolidated financial statements in the Company's Annual Report on Form 10-K for the year ended December 31, 2023.
Share-Based Compensation Expense
The Company records share-based compensation expense on a straight-line basis over the vesting periods of the related grants and recognizes forfeitures as they occur. The following table sets forth share-based compensation expense included in the condensed consolidated statements of operations:
Three Months Ended March 31,
(in thousands)
20242023
Cost of revenue22 21 
Research and development337 282 
Sales and marketing421 362 
General and administrative724 642 
Share-based compensation expense$1,504 $1,307 

Share-based compensation expense by type of share-based award is summarized below:
Three Months Ended March 31,
(in thousands)
20242023
Stock options208 248 
RSAs and RSUs1,236 992 
ESPP60 67 
$1,504 $1,307 
Total unrecognized compensation expense by type of award and the weighted-average remaining requisite period over which such expense is expected to be recognized (in thousands, unless otherwise noted):
March 31, 2024
Unrecognized ExpenseRemaining Weighted-Average Recognition Period (in years)
Stock options$792 1.46
RSAs and RSUs$5,899 1.60
Stock Option Activity
Stock option activity under the Company’s current and previous plans during the three months ended March 31, 2024 is summarized below:
Stock OptionsWeighted-average
Exercise price
per share
Weighted-average
Remaining Contractual Life (in years)
Intrinsic
Value(1)
(in thousands)
Outstanding at December 31, 20231,478,157 $8.40 
Exercised(7,500)$2.75 
Forfeited or expired(3,875)$48.04 
Outstanding at March 31, 20241,466,782 $8.33 5.23$3,527 
Exercisable at March 31, 20241,262,789 $7.91 4.72$3,527 
Vested and expected to vest at March 31, 20241,466,782 $8.33 5.23$3,527 
(1)Intrinsic value is calculated as the estimated fair value of the Company’s stock at the end of the related period less the option exercise price of in-the-money options.
Restricted Stock Award Activity
Restricted stock award ("RSA") activity for the three months ended March 31, 2024 is summarized below:
Restricted Stock AwardsWeighted - Average
Grant
Date Fair Value
Outstanding at December 31, 2023376,914 $12.02 
Vested(18,495)$12.22 
Forfeited(3,679)$12.11 
Outstanding at March 31, 2024354,740 $12.00 
Restricted Stock Unit Activity
Restricted stock unit ("RSU") activity for the three months ended March 31, 2024 is summarized below:
Restricted Stock UnitsWeighted - Average
Grant
Date Fair Value
Outstanding at December 31, 2023768,139 $8.15 
Granted65,731 $6.07 
Vested(129,994)$8.14 
Forfeited(12,911)8.52 
Outstanding at March 31, 2024690,965 $7.94 
ESPP
On June 3, 2021, the Company’s stockholders adopted and approved the ClearPoint Neuro, Inc. Employee Stock Purchase Plan (the “ESPP”), which allows eligible employees to acquire shares of the Company’s common stock
through payroll deductions at a discount to market price. A total of 400,000 shares of the Company’s common stock were made available for issuance pursuant to the terms of the ESPP. Each offering period is for six months, and the first offering period commenced on July 1, 2021. On March 31, 2024, 236,091 shares of common stock were available for issuance under the ESPP.