Ardelyx, Inc. Reports Employment Inducement Grants

Rhea-AI Summary

On May 16, 2022, Ardelyx, Inc. (NASDAQ: ARDX) announced the granting of stock options and Restricted Stock Units (RSUs) to new non-executive employees as part of their employment inducements. A total of 26,953 stock options and 29,250 RSUs were granted, with each stock option priced at $0.72, the company's closing stock price on the grant date. The options vest over four years, while RSUs follow a similar vesting schedule. Ardelyx continues its mission to develop innovative medicines, with ongoing programs targeting significant medical needs.

Positive

• Ardelyx remains committed to attracting talent through competitive employment inducements.
• The company has a strong pipeline, including successful Phase 3 trials for XPHOZAH®.

Negative

• The stock options granted are at a price close to the current trading price, which may indicate limited investor confidence.

WALTHAM, Mass., May 16, 2022 /PRNewswire/ -- Ardelyx, Inc. (Nasdaq: ARDX), a biopharmaceutical company founded with a mission to discover, develop and commercialize innovative first-in-class medicines that meet significant unmet medical needs, today announced that on May 9, 2022, the compensation committee of the company's board of directors granted three new non-executive employees options to purchase an aggregate of 26,953 shares of the company's common stock, and granted an aggregate of 29,250 Restricted Stock Units (RSUs) to six new non-executive employees. Each stock option has an exercise price per share equal to $0.72 per share, which was the closing trading price of the company's common stock on the date of grant. The stock options and RSUs were granted as inducements material to each employee's decision to enter into employment with Ardelyx, in accordance with Nasdaq Listing Rule 5635(c)(4).

Each stock option vests over four years, with 25% of the shares vesting on the first anniversary of the employee's first date of employment, and the remaining 75% of shares vesting monthly thereafter. Each RSU vests over four years, with 25% vesting on the first company designated quarterly RSU vest date following the first anniversary of the employee's first day of employment, and the remaining 75% of shares vesting quarterly thereafter. Each stock option has a 10-year term, and each option and RSU is subject to the terms and conditions of the company's 2016 Employment Commencement Incentive Plan and the award agreement covering the grant.      

About Ardelyx, Inc.

Ardelyx was founded with a mission to discover, develop and commercialize innovative first-in-class medicines that meet significant unmet medical needs. Ardelyx's first approved product, IBSRELA^® (tenapanor) is available in the United States. Ardelyx is developing XPHOZAH^® (tenapanor), a novel product candidate to control serum phosphorus in adult patients with CKD on dialysis, which has completed three successful Phase 3 trials. Ardelyx has a Phase 2 potassium secretagogue program, RDX013, for the potential treatment of elevated serum potassium, or hyperkalemia, a problem among certain patients with kidney and/or heart disease and an early-stage program in metabolic acidosis, a serious electrolyte disorder in patients with CKD. Ardelyx has established agreements with Kyowa Kirin in Japan, Fosun Pharma in China and Knight Therapeutics in Canada for the development and commercialization of tenapanor in their respective territories.

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SOURCE Ardelyx

FAQ

What did Ardelyx announce on May 16, 2022?

Ardelyx announced the granting of stock options and Restricted Stock Units (RSUs) to new employees as employment inducements.

How many stock options were granted by Ardelyx?

Ardelyx granted a total of 26,953 stock options to new employees.

What is the exercise price for the stock options granted by Ardelyx?

The exercise price for the stock options is $0.72 per share.

What is the vesting schedule for the stock options granted by Ardelyx?

The stock options vest over four years, with 25% vesting on the first anniversary and 75% vesting monthly thereafter.

What is Ardelyx's current product development focus?

Ardelyx is focused on developing XPHOZAH® for controlling serum phosphorus in CKD patients and has ongoing programs for hyperkalemia and metabolic acidosis.