Akebia Therapeutics Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Akebia Therapeutics (Nasdaq: AKBA) announced the grant of stock options to eight new employees on December 31, 2020, totaling 89,000 shares with an exercise price of $2.80 per share. This decision aligns with Nasdaq Listing Rule 5635(c)(4) as an inducement for employment. The options vest over four years, with 25% vested after one year and the remainder quarterly. The options are valid for ten years and are governed by the company's Inducement Award Program.

Positive

• Granting stock options to new employees may enhance employee retention and motivation.
• The exercise price aligns with the stock's closing price, showing a strategic compensation approach.

Negative

• None.

CAMBRIDGE, Mass., Jan. 5, 2021 /PRNewswire/ -- Akebia Therapeutics, Inc. (Nasdaq: AKBA), a biopharmaceutical company with the purpose to better the lives of people impacted by kidney disease, granted eight newly-hired employees options to purchase an aggregate of 89,000 shares of Akebia's common stock on December 31, 2020, as inducements material to each such employee's entering into employment with Akebia. The options were granted in accordance with Nasdaq Listing Rule 5635(c)(4).

The options have an exercise price of $2.80 per share, which is equal to the closing price of Akebia's common stock on the grant date. Each stock option vests over four years, with 25% of the shares vesting on the first anniversary of the grant date and the remaining 75% of shares vesting quarterly thereafter, in each case, subject to the new employee's continued service with the company. Each stock option has a 10-year term and is subject to the terms and conditions of the company's Inducement Award Program and a stock option agreement covering the grant.

About Akebia Therapeutics

Akebia Therapeutics, Inc. is a fully integrated biopharmaceutical company with the purpose to better the lives of people impacted by kidney disease. The Company was founded in 2007 and is headquartered in Cambridge, Massachusetts. For more information, please visit our website at www.akebia.com, which does not form a part of this release.

Akebia Therapeutics Contact
Kristen K. Sheppard, Esq.
ir@akebia.com 

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SOURCE Akebia Therapeutics

FAQ

What stock options did Akebia Therapeutics grant?

Akebia Therapeutics granted options to purchase 89,000 shares at an exercise price of $2.80 per share.

When were the stock options granted?

The stock options were granted on December 31, 2020.

How long do Akebia's stock options last?

Each stock option has a term of ten years.

What is the vesting schedule for the stock options?

The options vest over four years, with 25% vesting on the first anniversary and the remaining 75% vesting quarterly.

Under what rule did Akebia grant these stock options?

The grant was made in accordance with Nasdaq Listing Rule 5635(c)(4).