Cardlytics Announces Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

On September 1, 2022, Cardlytics (NASDAQ: CDLX) announced the grant of 1,345,261 restricted stock units to its new CEO, Karim Temsamani, as part of his employment inducement. This grant, valued at $20 million, was calculated based on a 30-day average stock price of $14.87. The restricted stock units will vest over four years, with 25% vesting after one year and the remainder quarterly over the next three years, contingent upon Mr. Temsamani's continued employment.

Positive

• New CEO appointed to lead Cardlytics, potentially enhancing management and strategic direction.
• Significant stock grant valued at $20 million may align CEO's interests with shareholders.

Negative

• None.

ATLANTA, Sept. 01, 2022 (GLOBE NEWSWIRE) -- Cardlytics, Inc., (NASDAQ: CDLX), an advertising platform in banks’ digital channels, today announced that, on September 1, 2022, Cardlytics’ Board of Directors granted 1,345,261 restricted stock units of Cardlytics to Karim Temsamani, Cardlytics’ newly hired Chief Executive Officer. The foregoing restricted stock units were granted as a material inducement to employment with Cardlytics in accordance with Nasdaq Listing Rule 5635(c)(4) and were granted under the Cardlytics 2022 Inducement Plan (the “2022 Inducement Plan”).

As previously announced, the 1,345,261 restricted stock units were based on a $20 million grant value divided by $14.87, the 30-day trading-day average stock price ending on the trading day prior to the grant date. 25% of the restricted stock units shall vest on the first anniversary of the grant date and the remaining 75% of the restricted stock units shall vest quarterly over the following three years, subject to Mr. Temsamani’s continuous service with Cardlytics as of each respective vesting date. The restricted stock units are subject to the terms and conditions of the 2022 Inducement Plan.

About Cardlytics

Cardlytics (NASDAQ: CDLX) is a digital advertising platform. We partner with financial institutions to run their banking rewards programs that promote customer loyalty and deepen banking relationships. In turn, we have a secure view into where and when consumers are spending their money. We use these insights to help marketers identify, reach, and influence likely buyers at scale, as well as measure the true sales impact of marketing campaigns. Headquartered in Atlanta, Cardlytics has offices in London, New York, Los Angeles, San Francisco, Austin, Detroit and Visakhapatnam. Learn more at www.cardlytics.com.

Contacts:

Public Relations:
Monica McDonald
MMcDonald@cardlytics.com

Investor Relations:
Robert Robinson
IR@cardlytics.com

FAQ

What does the restricted stock grant for Cardlytics' CEO signify?

The restricted stock grant indicates a significant investment in the new CEO's long-term commitment, aligning his interests with those of shareholders.

When will the restricted stock units for Cardlytics' CEO vest?

25% of the restricted stock units will vest after the first anniversary of the grant, with the remaining 75% vesting quarterly over the next three years.

What is the value of the restricted stock units granted to Cardlytics' CEO?

The restricted stock units have a total grant value of $20 million.

What was the stock price used to calculate the restricted stock grant for CDLX?

The restricted stock grant was based on a 30-day trading-day average stock price of $14.87.

What is the role of Cardlytics in the digital advertising space?

Cardlytics partners with financial institutions to manage banking rewards programs and help marketers influence consumer spending.