v3.25.3
SHAREHOLDERS’ EQUITY (DEFICIT)
 9 Months Ended
Sep. 30, 2025
Share-Based Payment Arrangement [Abstract]  
SHAREHOLDERS’ EQUITY (DEFICIT) SHAREHOLDERS’ EQUITY (DEFICIT)
Stock-Based Compensation
Three Months Ended September 30,Nine Months Ended September 30,
($ in millions)2025202420252024
Restricted Stock Units$0.8 $0.9 $2.0 $3.3 
Stock Options(1)
— 0.2 (0.7)0.6 
Total $0.8 $1.1 $1.3 $3.9 
(1) Amount for the nine months ended September 30, 2025 represents the reversal of expense for stock options forfeited by our former CEO.
On June 4, 2025, the Company’s stockholders approved a proposal to increase the number of shares available for grant under the Company’s 2017 Stock Incentive Plan by 2,500,000 shares.
During the nine months ended September 30, 2025, the Company granted a total of 1,664,272 time-vested restricted stock units (predominantly on a pro rata basis over three years) and 729,856 performance-based restricted stock units that vest if and when the Company’s Class B common stock price reaches and sustains target prices ranging from $11 to $23 per share for a 20-day trading period within three years. The fair value of the performance-based restricted stock units was estimated using a Monte Carlo model. Unamortized stock compensation expense for all outstanding awards as of September 30, 2025 totalled $3.9 million.
Warrants
In 2023, the Company issued warrants to Oaktree and the lenders party to the Credit Agreement to purchase up to 1.2 million shares of Class B common stock at an exercise price that was subject to adjustment based on the terms of the Credit Agreement (“Old Warrants”). As disclosed in Note 4, the parties to the Credit Agreement executed Amendment No. 10 on August 10, 2025. As required by Amendment No. 10, the Company amended these warrants and extended their term to August 10, 2030 (“New Warrants”). The new strike price of the warrants was set at $4.02 following the measurement period and is subject to certain adjustments as defined in the Credit Agreement. These warrants were classified as equity, and the incremental fair value of the New Warrants was determined to be $1.1 million higher than the Old Warrants using the Black-Scholes option pricing model with the following assumptions as of the valuation date:
New WarrantsOld Warrants
Strike price
see note(1)
$11.09 
Stock price on valuation date$2.00$2.00
Volatility90.0%90.0%
Expected term (years)5.03.0
Risk-free interest rate3.9%3.7%
Annual variance81.0%81.0%
Dividend yield——
(1) The strike price for the new warrants was estimated using a Monte Carlo simulation, as the actual exercise price was not yet known as of the valuation date (i.e., the lesser of $11.09 or a 25% premium to the volume-weighted average price of the Company’s Class B common stock over trading days that extended beyond the valuation date).