Blüm Holdings Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

STOCK-BASED COMPENSATION (Tables)

STOCK-BASED COMPENSATION (Tables)

9 Months Ended

Sep. 30, 2019

STOCK-BASED COMPENSATION (Tables)

Equity incentive plan

		Awards Reserved for Issuance				Awards Outstanding				Available for Grant

2016 Equity incentive plan			2,000,000				1,461,064				538,936
2018 Equity incentive plan			13,000,000				9,844,666				3,155,334

Stock option activity

												(in thousands)
		Number of Shares				Weighted-Average Exercise Price Per Share				Weighted-Average Remaining Contractual Life		Aggregate Intrinsic Value of In-the-Money Options


Options outstanding as of January 1, 2019			8,400,629			$	1.56

Options granted			4,144,666			$	0.62
Options exercised			-			$	-
Options forfeited			(180,000	)		$	1.39
Options expired			-			$	-
Options outstanding as of September 30, 2019			12,365,295			$	1.24			9.2 years		$	-
Options exercisable as of September 30, 2019			4,181,129			$	1.61			8.8 years		$	-

Weighted-average assumptions stock-based compensation

		September 30,				September 30,
		2019				2018
Expected term (years)		5.9 Years				6.5 Years
Volatility			115.5	%		124.4-128.0		%
Risk-free interest rate			1.8	%		2.5-2.9		%
Dividend yield			0	%			0	%

Stock-based compensation expense

		(in thousands except for shares / options)
		For the Three Months Ended
		September 30, 2019								September 30, 2018
Type of Award		Number of Shares or Options Granted				Stock-Based Compensation Expense				Number of Shares or Options Granted				Stock-Based Compensation Expense

Stock options			143,848			$	1,078				945,000			$	691

Stock grants:
Employees (common stock)			91,465				38				14,748				37
Directors (common stock)			173,610				102				49,500				100
Non employee consultants (common stock)			-				-	*			5,700				10

Total stock based compensation expense						$	1,218							$	839

* Excludes adjustments for shares cancelled.

		For the Nine Months Ended
		September 30, 2019								September 30, 2018
Type of Award		Number of Shares or Options Granted				Stock-Based Compensation Expense				Number of Shares or Options Granted				Stock-Based Compensation Expense

Stock options			4,144,666			$	3,314				1,811,667			$	1,645

Stock grants:
Employees (common stock)			564,799				428				188,142				590
Directors (common stock)			173,610				102				49,500				100
Non employee consultants (common stock)			66,376				59				49,982				134

Total stock based compensation expense						$	3,904							$	2,470