Curis Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)

Rhea-AI Summary

Curis announced that its independent Compensation Committee approved an inducement stock option grant for a new employee. The grant, effective July 1, 2024, allows the employee to purchase 25,000 shares of Curis common stock at the closing price on the grant date. The stock options have a 10-year term and vest over four years, with 25% vesting after the first year and 6.25% vesting every three months thereafter. This grant is outside of the company's existing stock incentive plan and aims to encourage the new employee to join Curis.

Positive

• Approval of inducement stock options demonstrates Curis' commitment to attracting new talent.
• The vesting schedule of the stock options indicates the company's intent to retain employees long-term.

Negative

• The inducement stock option grant could lead to potential shareholder dilution over time.

LEXINGTON, Mass., July 8, 2024 /PRNewswire/ -- Curis, Inc. (NASDAQ: CRIS), a biotechnology company focused on the development of emavusertib (CA-4948), an orally available, small molecule IRAK4 inhibitor, today announced that on July 1, 2024, the independent Compensation Committee of the Board of Directors of Curis approved the grant of inducement stock options to purchase a total of 25,000 shares of Curis common stock to a new employee, with a grant date of July 1, 2024 (the "Q3 2024 Inducement Grant").

The Q3 2024 Inducement Grant has an exercise price per share equal to the closing price of the Company's common stock on July 1, 2024. The stock option has a 10 year term and vests over four years, with 25% of the original number of shares underlying the award vesting on the first anniversary of the employee's date of hire and an additional 6.25% of the original number of shares underlying the award vesting on each successive three-month period thereafter, subject to the employee's continued service with the Company through the respective vesting dates. The stock option was granted as an inducement equity award outside of the Company's Fifth Amended and Restated 2010 Stock Incentive Plan and was made as an inducement material to the employee's acceptance of employment with the Company.

About Curis, Inc.

Curis is a biotechnology company focused on the development of emavusertib, an orally available, small molecule IRAK4 inhibitor. Emavusertib is currently undergoing testing in the Phase 1/2 TakeAim Lymphoma study in patients with relapsed/refractory primary central nervous system lymphoma (PCNSL) in combination with the BTK inhibitor ibrutinib, as a monotherapy in the Phase 1/2 TakeAim Leukemia study in patients with relapsed/refractory acute myeloid leukemia (AML) and relapsed/refractory high risk myelodysplastic syndrome (hrMDS) with either a FLT3 mutation or a splicing factor mutation (U2AF1 or SF3B2), and as a frontline combination therapy with azacitidine and venetoclax in patents with AML. Emavusertib has received Orphan Drug Designation from the U.S. Food and Drug Administration for the treatment of AML and MDS. Curis, through its 2015 collaboration with Aurigene, has the exclusive license to emavusertib (CA-4948). Curis licensed its rights to Erivedge® to Genentech, a member of the Roche Group, under which they are commercializing Erivedge® for the treatment of advanced basal cell carcinoma. For more information, visit Curis's website at www.curis.com.

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SOURCE Curis, Inc.

FAQ

What did Curis announce on July 8, 2024?

Curis announced the approval of inducement stock options for a new employee.

What is the stock symbol for Curis?

The stock symbol for Curis is CRIS.

How many shares are included in the Q3 2024 Inducement Grant?

The Q3 2024 Inducement Grant includes 25,000 shares of Curis common stock.

What is the exercise price for the stock options granted to the new employee at Curis?

The exercise price is equal to the closing price of Curis' common stock on July 1, 2024.

Over what period do the stock options vest?

The stock options vest over a four-year period.

What percentage of the stock options vest on the first anniversary?

25% of the stock options vest on the first anniversary of the employee's hire date.

How often do additional shares vest after the first anniversary?

An additional 6.25% of the original number of shares vest every three months after the first anniversary.

What is the term length of the stock options?

The stock options have a 10-year term.