Contingent Earn-out Awards (Tables)

3 Months Ended

Mar. 31, 2022

Reverse Recapitalization [Abstract]

Earn-out Shares Valuation

The following table provides the assumptions used to estimate the fair value of the Private Warrants during the three months ended March 31, 2022:

	March 31, 2022
Current stock price	$	8.12
Strike price	$	11.50
Expected term (in years)	4.31
Expected volatility	68.0%
Risk-free interest rate	2.5%
Expected dividend yield	—%

Assumptions used in the valuation as of December 31, 2021 are described below:

	As of
	December 31, 2021
Current stock price	$	20.64
Expected term (in years)	5.1
Expected volatility	67.0		%
Risk-free interest rate	1.3		%
Expected dividend yield	0		%

The assumptions used to estimate the fair value of Earn-out Awards granted before the triggering events occurred were as follows. Upon the settlement of all tranches, the Earn-out Shares were issued into a fixed number of shares of common stock that was indexed to the Company's own stock price other than on an observable market price or index.

	December 31, 2021 to January 18,	Inception to December 31,
	2022	2021
Current stock price	$13.34 – $19.61	$13.93 – $27.86
Expected term	5.1 years	5.1 – 5.5 years
Expected volatility	67.0%	40.0% – 67.0%
Risk-free interest rate	1.3%	0.8% – 1.3%
Expected dividend yield	0%	0%

Changes in Estimated Fair Value of the Company's Level 3 Financial Liabilities

The following table sets forth a summary of the changes in the earn-out liabilities during the three months ended March 31, 2022 (in thousands):

	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
Balance at December 31, 2021	$	377,576
Reallocation of Earn-out Shares to earn-out liability upon forfeitures	896
Change in fair value of earn-out liability	(136,043)
Issuance of Earn-out Shares upon triggering events	(242,429)
Balance at March 31, 2022	$	—