Ardelyx, Inc. Reports Employment Inducement Grants

Rhea-AI Summary

On December 16, 2022, Ardelyx, Inc. (Nasdaq: ARDX) announced employment inducement grants for 17 non-executive employees, totaling 271,735 stock options and 123,375 Restricted Stock Units (RSUs). The stock options have an exercise price of $1.96, aligning with the company's closing stock price on the grant date. Both stock options and RSUs will vest over four years. Ardelyx is dedicated to developing innovative treatments for unmet medical needs, with products like IBSRELA and ongoing clinical trials for other candidates.

Positive

• Granting of 271,735 stock options and 123,375 RSUs may enhance employee retention and motivation.
• Aligns compensation incentives with company performance through stock options.

Negative

• None.

WALTHAM, Mass., Dec. 23, 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 December 16, 2022, the compensation committee of the company's board of directors granted 17 new non-executive employees options to purchase an aggregate of 271,735 shares of the company's common stock, and an aggregate of 123,375 Restricted Stock Units (RSUs).  Each stock option has an exercise price per share equal to $1.96 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 and Canada. 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 lowering compound, 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. For more information, please visit https://ardelyx.com/ and connect with us on Twitter @Ardelyx, LinkedIn and Facebook.

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SOURCE Ardelyx

FAQ

What was announced by Ardelyx on December 23, 2022?

Ardelyx announced employment inducement grants for 17 non-executive employees, including stock options and RSUs.

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

The exercise price of the stock options is $1.96 per share.

How long is the vesting period for the stock options and RSUs granted by Ardelyx?

Both stock options and RSUs vest over four years.

What is the significance of the grants made by Ardelyx?

The grants are intended to incentivize new employees and align their interests with the company's performance.

Who received the stock options and RSUs from Ardelyx?

Seventeen non-executive employees received the stock options and RSUs as part of their employment agreement.