Acadia Pharmaceuticals Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Acadia Pharmaceuticals Inc. (Nasdaq: ACAD) has announced inducement grants to thirteen new employees under its 2024 Inducement Plan. The Compensation Committee approved non-qualified stock options to purchase 111,631 shares of common stock and 30,484 restricted stock units (RSUs). The stock options have an exercise price of $14.72 per share, based on Acadia's closing price on October 3, 2024. Both stock options and RSUs will vest over four years, subject to continued employment. This grant aligns with Nasdaq Listing Rule 5635(c)(4).

Acadia Pharmaceuticals is known for developing the first FDA-approved drug for hallucinations and delusions in Parkinson's disease psychosis and for Rett syndrome treatment. The company is currently focusing on clinical-stage development for Prader-Willi syndrome, Alzheimer's disease psychosis, and other neuropsychiatric symptoms in CNS disorders.

Positive

• Acadia granted stock options and RSUs to attract and retain new talent
• The company has FDA-approved drugs for Parkinson's disease psychosis and Rett syndrome
• Acadia is advancing clinical-stage development in multiple CNS disorders

Negative

• The stock option and RSU grants may lead to potential shareholder dilution

SAN DIEGO--(BUSINESS WIRE)-- Acadia Pharmaceuticals Inc. (Nasdaq: ACAD) today announced that on October 3, 2024, the Compensation Committee of Acadia’s Board of Directors (the “Committee”) granted inducement awards consisting of non-qualified stock options to purchase 111,631 shares of common stock and 30,484 restricted stock units (“RSUs”) to thirteen new employees under Acadia’s 2024 Inducement Plan. The Compensation Committee approved the awards as an inducement material to the new employees’ employment in accordance with Nasdaq Listing Rule 5635(c)(4).

Each stock option has an exercise price per share equal to $14.72 per share, Acadia’s closing trading price on October 3, 2024, and will vest over four years, with 25% of the underlying shares vesting on the one-year anniversary of the grant date and the balance of the underlying shares vesting monthly thereafter over 36 months, subject to the new employees’ continued service relationship with Acadia through the applicable vesting dates. The RSUs will vest over four years, with 50% of the underlying shares vesting on the second anniversary of the grant date, and the balance of the underlying shares vesting in two equal annual installments measured from the second anniversary of the grant date, subject to the new employees’ continued service relationship with Acadia through the applicable vesting dates. The awards are subject to the terms and conditions of Acadia’s 2024 Inducement Plan and the terms and conditions of an applicable award agreement covering the grant.

About Acadia Pharmaceuticals

Acadia is advancing breakthroughs in neuroscience to elevate life. Since our founding we have been working at the forefront of healthcare to bring vital solutions to people who need them most. We developed and commercialized the first and only FDA-approved drug to treat hallucinations and delusions associated with Parkinson’s disease psychosis and the first and only FDA-approved drug for the treatment of Rett syndrome. Our clinical-stage development efforts are focused on Prader-Willi syndrome, Alzheimer’s disease psychosis and multiple other programs targeting neuropsychiatric symptoms in central nervous system disorders. For more information, visit us at Acadia.com and follow us on LinkedIn and X.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241008313175/en/

Investor Contact:

Acadia Pharmaceuticals Inc.

Al Kildani

(858) 261-2872

ir@acadia-pharm.com

Media Contact:

Acadia Pharmaceuticals Inc.

Deb Kazenelson

(818) 395-3043

media@acadia-pharm.com

Source: Acadia Pharmaceuticals Inc.

FAQ

What inducement grants did Acadia Pharmaceuticals (ACAD) announce on October 3, 2024?

Acadia Pharmaceuticals announced inducement grants consisting of non-qualified stock options to purchase 111,631 shares of common stock and 30,484 restricted stock units (RSUs) to thirteen new employees under its 2024 Inducement Plan.

What is the exercise price for the stock options granted by Acadia Pharmaceuticals (ACAD)?

The stock options have an exercise price of $14.72 per share, which was Acadia's closing trading price on October 3, 2024.

How will the stock options and RSUs granted by Acadia Pharmaceuticals (ACAD) vest?

The stock options will vest over four years, with 25% vesting after one year and the rest monthly over 36 months. The RSUs will vest over four years, with 50% vesting on the second anniversary and the remaining in two equal annual installments.

What are Acadia Pharmaceuticals' (ACAD) main areas of focus in clinical-stage development?

Acadia's clinical-stage development efforts are focused on Prader-Willi syndrome, Alzheimer's disease psychosis, and multiple other programs targeting neuropsychiatric symptoms in central nervous system disorders.