Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements and Fair Value of Financial Instruments (Tables)

v3.22.2
Fair Value Measurements and Fair Value of Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2022
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The following table sets forth the Company’s financial instruments that were measured at fair value on a recurring basis as of June 30, 2022 and December 31, 2021 by level within the fair value hierarchy (in thousands):
June 30, 2022
Level 1 Level 2 Level 3 Total
Financial Assets:
Cash equivalents:
Money market funds $ 129,171  $ —  $ —  $ 129,171 
Total $ 129,171  $ —  $ —  $ 129,171 
Financial Liabilities:
Additional Shares $ —  $ —  $ 17,355  17,355 
Earn-Out Shares —  —  53,136  53,136 
Public Warrants 3,381  —  —  3,381 
Private Placement Warrants —  2,814  —  2,814 
Total $ 3,381  $ 2,814  $ 70,491  $ 76,686 
December 31, 2021
Level 1 Level 2 Level 3 Total
Financial Assets:
Cash equivalents:
Money market funds $ 77,771  $ —  $ —  $ 77,771 
Total $ 77,771  $ —  $ —  $ 77,771 
Financial Liabilities:
Convertible preferred stock warrant liability $ —  $ —  $ 4,787  $ 4,787 
Total $ —  $ —  $ 4,787  $ 4,787 
Schedule of Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
The following table provides a summary of changes in the estimated fair value of the Additional Shares liability (in thousands):

Balance at December 31, 2021 $ — 
Assumption of Additional Shares liability 15,340 
Change in fair value 2,015 
Balance at June 30, 2022 $ 17,355 
The following table provides a summary of changes in the estimated fair value of the Earn-Out liability (in thousands):

Balance at December 31, 2021 $ — 
Assumption of Earn-Out liability 70,481 
Change in fair value (17,345)
Balance at June 30, 2022 $ 53,136 
The fair value of the preferred stock warrant liability is determined using the Black-Scholes option pricing model, which involve inherent uncertainties and the application of management’s judgment. The following table provides a summary of changes in the estimated fair value of the preferred stock warrant liability (in thousands):
Balance at December 31, 2021 $ 4,787 
Change in fair value (1,616)
Net exercise of preferred stock warrants (989)
Balance before reclassification at June 30, 2022 2,182 
Reclassification to additional paid-in capital (2,182)
Balance at June 30, 2022 $ — 
Schedule of Fair Value, Liabilities Measured on Recurring Basis, Observable Input Reconciliation
Private Placement Warrants Public Warrants
Balance at December 31, 2021 $ —  $ — 
Assumption of Private Placement and Public Warrants 3,350  4,025 
Changes in fair value (536) (644)
Balance at June 30, 2022 $ 2,814  $ 3,381