Avadel Announces Grant of Inducement Awards Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Avadel Pharmaceuticals (Nasdaq: AVDL) announced that its Board's Compensation Committee has approved inducement awards for twelve new employees. The awards consist of non-statutory options to purchase 131,700 ordinary shares under the company's 2021 Inducement Plan. These options come with a ten-year term and follow a four-year vesting schedule, with 25% vesting on the first anniversary of each employee's start date and subsequent 25% portions vesting on the second, third, and fourth anniversaries. The grants were made in accordance with Nasdaq Listing Rule 5635(c)(4) as inducement material for employment acceptance.

Positive

• Addition of 12 new employees indicates company expansion
• Structured vesting schedule helps retain talent over 4 years

Negative

• Potential dilution of existing shareholders due to 131,700 new share options

News Market Reaction

+1.59%

1 alert

+1.59% News Effect

On the day this news was published, AVDL gained 1.59%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

DUBLIN, Jan. 06, 2025 (GLOBE NEWSWIRE) -- Avadel Pharmaceuticals plc (Nasdaq: AVDL), a company focused on transforming medicines to transform lives, today announced that the Compensation Committee of Avadel’s Board of Directors approved the grant of non-statutory options to twelve (12) new employees to purchase an aggregate of 131,700 ordinary shares under Avadel’s 2021 Inducement Plan. The awards were granted as an inducement material to the employee’s acceptance of employment with Avadel in accordance with Nasdaq Listing Rule 5635(c)(4). The options have a ten-year term and vest over four years, with 25% vesting on the one-year anniversary of each new employee’s respective start date and 25% vesting on the second, third, and fourth anniversary thereafter. The options are subject to the terms and conditions of Avadel’s 2021 Inducement Plan approved by the Board of Directors in November 2021 and the terms and conditions of award agreements covering the grants.

About Avadel Pharmaceuticals plc

Avadel Pharmaceuticals plc (Nasdaq: AVDL) is a biopharmaceutical company focused on transforming medicines to transform lives. Our approach includes applying innovative solutions to the development of medications that address the challenges patients face with current treatment options. Avadel’s commercial product, LUMRYZ™, was approved by the U.S. Food & Drug Administration (FDA) as the first and only once-at-bedtime oxybate for the treatment of cataplexy or excessive daytime sleepiness (EDS) in patients 7 years and older with narcolepsy. For more information, please visit www.avadel.com. 

Investor Contact:
Austin Murtagh
Precision AQ
austin.murtagh@precisionaq.com
(212) 698-8696

Media Contact:
Gabriella Greig
Real Chemistry
ggreig@realchemistry.com  
(203) 249-2688

FAQ

How many shares were granted in AVDL's January 2024 inducement awards?

Avadel granted options to purchase 131,700 ordinary shares to twelve new employees.

What is the vesting schedule for AVDL's 2024 inducement awards?

The options vest over four years, with 25% vesting on the first anniversary and 25% on each subsequent anniversary through year four.

How long is the term of AVDL's January 2024 inducement options?

The options have a ten-year term.

Under which plan were AVDL's January 2024 inducement awards granted?

The awards were granted under Avadel's 2021 Inducement Plan, approved by the Board in November 2021.

What Nasdaq rule governs AVDL's January 2024 inducement awards?

The awards were granted in accordance with Nasdaq Listing Rule 5635(c)(4).