The DiaMedica Therapeutics Inc. Omnibus Incentive Plan ( Plan) was adopted by the Board of Directors in and approved by our shareholders at our annual general and special meeting of shareholders held on The Plan permits the Board, or a committee or subcommittee thereof, to grant to the Company's eligible employees, non-employee directors and consultants non-statutory and incentive stock options, stock appreciation rights, restricted stock awards, restricted stock units, deferred stock units, performance awards, non-employee director awards and other stock-based awards. We grant options to purchase common shares under the Plan at less than the fair market value of the underlying common shares as of the date of grant. Options granted to employees and non-employee directors have a maximum term of years and generally vest in approximately equal quarterly installments over to years. Options granted to non-employees have a maximum term of years and generally vest in approximately equal quarterly installments over year. Subject to adjustment as provided in the Plan, the maximum number of the Company's common shares authorized for issuance under the Plan is shares. As of options to purchase common shares were outstanding and common shares were reserved for issuance upon settlement of deferred share units (DSUs) under the Plan.

 

 

The DiaMedica Therapeutics Inc. Stock Option Plan, Amended and Restated Prior Plan), was terminated by the Board of Directors in conjunction with the shareholder approval of the Plan. Awards outstanding under the Prior Plan remain outstanding in accordance with and pursuant to the terms thereof. Options granted under the Prior Plan have terms similar to those used under the Plan. As of options to purchase common shares were outstanding under the Prior Plan.

 

As the TSX Venture Exchange was the principal trading market for the Company's common shares, all options granted prior to were priced in Canadian dollars. Options granted after have been priced in United States dollars.

 

 

The DiaMedica Therapeutics Inc. Amended and Restated Deferred Share Unit Plan (DSU Plan) was terminated by the Board of Directors in conjunction with the shareholder approval of the Plan. Awards outstanding under the DSU Plan remain outstanding in accordance with and pursuant to the terms thereof. As of there were common shares reserved for DSUs outstanding.

 

The aggregate number of common shares reserved for issuance for awards granted under the Plan, the Prior Plan and the DSU Plan as of was

 

Share-based compensation expense for each of the periods presented is as follows (in thousands):

 

		Three Months Ended March 31
		2021				2020
Research and development		$	131			$	107
General and administrative			380				286
Total share-based compensation		$	511			$	393

 

We recognize share-based compensation based on the fair value of each award as estimated using the Black-Scholes option valuation model. Ultimately, the actual expense recognized over the vesting period will only be for those shares that actually vest.

 

A summary of option activity is as follows (in thousands except share and per share amounts):

 

		Shares Underlying Options Outstanding				Weighted Average Exercise Price Per Share				Aggregate Intrinsic Value
Balances at December 31, 2020			1,389,568			$	5.38			$	7,109
Granted			85,000				9.69
Exercised			(40,000	)			6.11				132
Expired/cancelled			(13,474	)			6.54
Forfeited			—				—
Balances at March 31, 2021			1,421,094			$	5.60			$	5,589

 

Information about stock options outstanding, vested and expected to vest as of is as follows:

 

				Outstanding, Vested and Expected to Vest												Options Vested and Exercisable
Per Share Exercise Price				Shares				Weighted Average Remaining Contractual Life (Years)				Weighted Average Exercise Price				Options Exercisable				Weighted Average Remaining Contractual Life (Years)
$2.00	-	$2.99			120,500				4.7			$	2.41				120,500				4.7
$3.00	-	$3.99			17,500				6.0				3.84				17,500				6.0
$4.00	-	$4.99			938,567				8.2				4.51				680,974				7.9
$5.00	-	$9.99			274,527				7.4				8.03				198,216				6.7
$10.00	-	$27.06			70,000				4.0				16.62				50,000				1.6
					1,421,094				7.5			$	5.60				1,067,190				7.0