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

Rhea-AI Summary

Albireo Pharma (Nasdaq: ALBO) announced the grant of inducement stock options totaling 23,000 shares, exercisable at $32.90 per share. This grant aligns with Nasdaq Listing Rule 5635(c)(4) as an inducement tied to new employee hires. The options feature a 10-year term with vesting occurring over four years, 25% vesting after one year and the rest in quarterly installments. Albireo Pharma is focused on developing novel bile acid modulators for orphan pediatric liver diseases, with lead candidate odevixibat in Phase 3 trials for conditions like PFIC and biliary atresia.

Positive

• Grant of inducement stock options for 23,000 shares, potentially attracting talent.
• Stock options exercisable at $32.90, the closing price on grant date.

Negative

• None.

BOSTON, Oct. 02, 2020 (GLOBE NEWSWIRE) -- Albireo Pharma, Inc. (Nasdaq: ALBO), a clinical-stage orphan pediatric liver disease company developing novel bile acid modulators, today announced the grant of inducement stock options exercisable for an aggregate of 23,000 shares of Albireo’s common stock. The stock options are exercisable at a price of $32.90 per share, the closing price of Albireo’s common stock on September 28, 2020, the grant date, and were granted as inducements material to the employee’s acceptance of employment with Albireo in accordance with Nasdaq Listing Rule 5635(c)(4). Each stock option has a 10-year term and vests over a four-year period, subject to the employee’s continued service with Albireo through the applicable vesting dates. The vesting schedule for each stock option is 25 percent on the one-year anniversary of the employee’s start date with Albireo and 75 percent in 12 equal quarterly installments thereafter. The stock options are subject to the terms and conditions of Albireo’s 2020 Inducement Equity Incentive Plan.

About Albireo 
Albireo Pharma is a clinical-stage biopharmaceutical company focused on the development of novel bile acid modulators to treat orphan pediatric liver diseases, and other liver and gastrointestinal diseases and disorders. Albireo’s lead product candidate, odevixibat, is being developed to treat rare pediatric cholestatic liver diseases and is in Phase 3 development in progressive familial intrahepatic cholestasis (PFIC) and biliary atresia, with a third Phase 3 trial being planned in Alagille syndrome. Albireo was spun out from AstraZeneca in 2008. Albireo Pharma is located in Boston, Massachusetts, and its key operating subsidiary is located in Gothenburg, Sweden.

Investor Contact:
Hans Vitzthum
LifeSci Advisors, LLC
617-430-7578

Media Contact:
Colleen Alabiso, 857-356-3905, colleen.alabiso@albireopharma.com
Claire LaCagnina, 6 Degrees, 315-765-1462, clacagnina@6degreespr.com

FAQ

What are the details of the stock option grant by Albireo Pharma?

Albireo Pharma granted inducement stock options for 23,000 shares at $32.90 per share, with a 10-year term and a four-year vesting schedule.

How does the stock option grant affect Albireo Pharma's stock?

The stock option grant is aimed at attracting new employees, which may enhance operational strength, potentially benefiting the stock long-term.

What is Albireo Pharma developing?

Albireo Pharma is developing novel bile acid modulators for orphan pediatric liver diseases, with odevixibat as the lead candidate.

What is the significance of the stock option grant date?

The stock options were granted on September 28, 2020, aligning with the closing stock price at that time.