Adverum Reports Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Adverum Biotechnologies (Nasdaq: ADVM) has granted a stock option for 100,000 shares to a new employee as an inducement under Nasdaq Rule 5635(c)(4). The exercise price is based on the closing sales price on the grant date, and the option will vest over four years, contingent on the employee's continued service. Adverum is focused on gene therapy for ocular diseases, particularly developing ADVM-022 as a one-time treatment for wet age-related macular degeneration.

Positive

• Inducement grant of stock options reinforces employee retention and incentivizes performance.
• Focus on gene therapy could position Adverum as a leader in treating prevalent ocular diseases.

Negative

• Stock options may dilute existing shareholders' equity.
• Regulatory and clinical trial uncertainties could pose risks to product development timelines.

REDWOOD CITY, Calif., Aug. 01, 2022 (GLOBE NEWSWIRE) -- Adverum Biotechnologies, Inc. (Nasdaq: ADVM), a clinical-stage company that aims to establish gene therapy as a new standard of care for highly prevalent ocular diseases, today announced a grant of stock options to a new employee. On August 1, 2022, Adverum granted a new employee a stock option to purchase 100,000 shares of Adverum’s common stock pursuant to the inducement grant exception under Nasdaq Rule 5635(c)(4), as an inducement that is material to the employee entering into employment with Adverum. The option has a per share exercise price equal to the closing sales price of Adverum’s common stock on the Nasdaq Stock Market on the grant date, and will vest over four years, subject to the employee’s continued service with Adverum.

About Adverum Biotechnologies

Adverum Biotechnologies (NASDAQ: ADVM) is a clinical-stage company that aims to establish gene therapy as a new standard of care for a number of highly prevalent ocular diseases with the aspiration of developing functional cures for these diseases to restore vision and prevent blindness. Leveraging the research capabilities of its proprietary, intravitreal (IVT) platform, Adverum is developing durable, single-administration therapies, designed to be delivered in physicians’ offices, to eliminate the need for frequent ocular injections to treat these diseases. Adverum is evaluating its novel gene therapy candidate, ADVM-022, ixoberogene soroparvovec (Ixo-vec), as a one-time, IVT injection for patients with neovascular or wet age-related macular degeneration. By overcoming the challenges associated with current treatment paradigms for these debilitating ocular diseases, Adverum aspires to transform the standard of care, preserve vision, and create a profound societal impact around the globe. For more information, please visit www.adverum.com.

Forward-looking Statements

Statements contained in this press release regarding events or results that may occur in the future are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those anticipated in such forward-looking statements as a result of various risks and uncertainties, including risks inherent to, without limitation: Adverum’s novel technology, which makes it difficult to predict the timing of commencement and completion of clinical trials; regulatory uncertainties; enrollment uncertainties; the results of early clinical trials not always being predictive of future clinical trials and results; and the potential for future complications or side effects in connection with use of ADVM-022. Additional risks and uncertainties facing Adverum are set forth under the caption “Risk Factors” and elsewhere in Adverum’s Securities and Exchange Commission (SEC) filings and reports, including Adverum’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2022 filed with the SEC on May 12, 2022. All forward-looking statements contained in this press release speak only as of the date on which they were made. Adverum undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made.

Corporate & Investor Inquiries

Anand Reddi
Vice President, Head of Corporate Strategy and External Affairs & Engagement
Adverum Biotechnologies, Inc.
T: 650-649-1358
E: areddi@adverum.com

Media

Megan Talon
Associate Director, Corporate Communications
Adverum Biotechnologies, Inc.
T: 650-649-1006
E: mtalon@adverum.com

FAQ

What stock option was granted by Adverum Biotechnologies on August 1, 2022?

Adverum granted a new employee a stock option to purchase 100,000 shares of its common stock.

What is the significance of the stock option grant for Adverum (ADVM)?

It serves as an inducement for the employee's joining and may enhance retention.

What are the risks associated with Adverum's gene therapy development?

There are regulatory uncertainties and the possibility that early clinical trial results may not predict future outcomes.

What are Adverum's future aspirations regarding gene therapy?

Adverum aims to establish gene therapy as a standard treatment for ocular diseases, particularly wet age-related macular degeneration.