Aerie Pharmaceuticals Announces New Employee Inducement Grant

Rhea-AI Summary

Aerie Pharmaceuticals, Inc. (NASDAQ:AERI) announced the grant of 16,900 stock options to a new employee, vesting over four years. This incentive was approved outside of the stockholder-approved equity plan, in accordance with Nasdaq Listing Rule 5635(c)(4). The grant includes 25% vesting after one year and the remaining 75% vested monthly over the following three years. Aerie focuses on developing innovative ophthalmic therapies, with products like Rhopressa® and Rocklatan® for treating eye diseases.

Positive

• The grant of stock options may enhance employee retention and motivation.
• Attracting new talent can provide fresh perspectives to the company.

Negative

• The award was made outside of the stockholder-approved equity incentive plan, which may raise governance concerns.

DURHAM, N.C.--(BUSINESS WIRE)-- Aerie Pharmaceuticals, Inc. (NASDAQ:AERI), a pharmaceutical company focused on the discovery, development, and commercialization of first-in-class ophthalmic therapies for the treatment of patients with open-angle glaucoma, ocular surface diseases and retinal diseases today announced that the compensation committee of Aerie Pharmaceutical’s board of directors granted one new employee an award totaling 16,900 stock options that will vest over 4 years, with 25% vesting on the first anniversary of the hire date and the remainder vesting ratably on each of the subsequent 36 monthly anniversaries of the hire date. This award was made outside of Aerie’s stockholder-approved equity incentive plan and was approved by the Company’s independent directors as an inducement material to the employee entering into employment with the Company in reliance on Nasdaq Listing Rule 5635(c)(4), which requires this public announcement.

About Aerie Pharmaceuticals, Inc.

Aerie is a pharmaceutical company focused on the discovery, development, and commercialization of first-in-class ophthalmic therapies for the treatment of patients with eye diseases and conditions including open-angle glaucoma, dry eye, diabetic macular edema (DME) and wet age-related macular degeneration (wet AMD). Aerie’s first novel product, Rhopressa^® (netarsudil ophthalmic solution) 0.02%, a once-daily eye drop approved by the U.S. Food and Drug Administration (FDA) for the reduction of elevated intraocular pressure (IOP) in patients with open-angle glaucoma or ocular hypertension, was launched in the United States in April 2018. In clinical trials of Rhopressa^®, the most common adverse reactions were conjunctival hyperemia, corneal verticillata, instillation site pain, and conjunctival hemorrhage. More information about Rhopressa^®, including the product label, is available at www.rhopressa.com. Aerie’s second novel product for the reduction of elevated IOP in patients with open-angle glaucoma or ocular hypertension, Rocklatan^® (netarsudil (0.02%) and latanoprost ophthalmic solution (0.005%)), was launched in the United States in May 2019. In clinical trials of Rocklatan^®, the most common adverse reactions were conjunctival hyperemia, corneal verticillata, instillation site pain, and conjunctival hemorrhage. More information about Rocklatan^®, including the product label, is available at www.rocklatan.com. More information on Aerie Pharmaceuticals is available at www.aeriepharma.com.

Forward-Looking Statements

This press release contains forward-looking statements for purposes of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We may, in some cases, use terms such as “predicts,” “believes,” “potential,” “proposed,” “continue,” “estimates,” “anticipates,” “expects,” “plans,” “intends,” “may,” “could,” “might,” “will,” “should,” “exploring,” “pursuing” or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. Forward-looking statements in this release include statements regarding our intentions, beliefs, projections, outlook, analyses or current expectations concerning, among other things: the duration and severity of the coronavirus disease (COVID-19) outbreak and its variants, including the impact on our clinical and commercial operations, demand for our products and financial results and condition of our global supply chains; our expectations regarding the commercialization and manufacturing of Rhopressa^®, Rocklatan^®, Rhokiinsa^® and Roclanda^® or any product candidates or future product candidates., FDA approval of Rhopressa^® and Rocklatan^® does not guarantee FDA approval of our product candidates or any future product candidates and there can be no assurance that we will receive FDA approval for our product candidates or any future product candidates. Furthermore, the acceptance of an Investigational New Drug Applications by the FDA for our product candidates does not guarantee FDA approval of such product candidates and the outcomes of later clinical trials for our product candidates may not be sufficient to submit a New Drug Application (NDA) with the FDA or to receive FDA approval. By their nature, forward-looking statements involve risks and uncertainties because they relate to events, competitive dynamics, industry change and other factors beyond our control, and depend on regulatory approvals and economic and other environmental circumstances that may or may not occur in the future or may occur on longer or shorter timelines than anticipated. We discuss many of these risks in greater detail under the heading “Risk Factors” in the quarterly and annual reports that we file with the Securities and Exchange Commission (SEC). Forward-looking statements are not guarantees of future performance and our actual results of operations, financial condition and liquidity, and the development of the industry in which we operate may differ materially from the forward-looking statements contained in this press release. Any forward-looking statements that we make in this press release speak only as of the date of this press release. We assume no obligation to update our forward-looking statements whether as a result of new information, future events or otherwise, after the date of this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220815005097/en/

Media:

Carolyn McAuliffe

cmcauliffe@aeriepharma.com

(949) 526-8733



Investors:

LifeSci Advisors on behalf of Aerie Pharmaceuticals, Inc.

Hans Vitzthum

hans@lifesciadvisors.com

(617) 430-7578

Source: Aerie Pharmaceuticals, Inc.

FAQ

What stock option award did Aerie Pharmaceuticals announce?

Aerie Pharmaceuticals announced the grant of 16,900 stock options to a new employee, vesting over four years.

How does the stock option vesting work for Aerie's new employee?

The stock options will vest 25% after the first year and the remaining 75% will vest monthly over the next three years.

Why was the stock option award approved outside the equity incentive plan?

The award was granted as an inducement for the employee to join the company, in reliance on Nasdaq Listing Rule 5635(c)(4).

What is the focus area of Aerie Pharmaceuticals?

Aerie Pharmaceuticals specializes in developing ophthalmic therapies for conditions like glaucoma and ocular diseases.