Crinetics Pharmaceuticals Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Crinetics Pharmaceuticals (Nasdaq: CRNX) announced on October 10, 2022, that it granted stock options for 237,600 shares to eleven new non-executive employees under its 2021 Employment Inducement Incentive Award Plan. The options, exercisable at $16.89 per share, vest over four years, beginning with 25% on the one-year anniversary and the remainder monthly thereafter, contingent on continued employment. This plan adheres to Nasdaq Listing Rule 5635(c)(4) and aims to attract talent to drive the company's focus on developing therapeutics for rare endocrine diseases.

Positive

• Stock options granted to attract eleven new employees could enhance Crinetics' workforce.
• Options vesting over four years may improve employee retention.

Negative

• None.

SAN DIEGO, Oct. 10, 2022 (GLOBE NEWSWIRE) -- Crinetics Pharmaceuticals, Inc. (Nasdaq: CRNX) today announced that on October 10, 2022, the Compensation Committee of Crinetics’ Board of Directors granted non-qualified stock option awards to purchase an aggregate of 237,600 shares of its common stock to eleven new non-executive employees under the Crinetics Pharmaceuticals, Inc. 2021 Employment Inducement Incentive Award Plan (the “2021 Inducement Plan”). The stock options were granted as inducements material to the employees entering into employment with Crinetics in accordance with Nasdaq Listing Rule 5635(c)(4).

The 2021 Inducement Plan is used exclusively for the grant of equity awards to individuals who were not previously employees of Crinetics, or following a bona fide period of non-employment, as an inducement material to such individuals’ entering into employment with Crinetics, pursuant to Nasdaq Listing Rule 5635(c)(4).

The options have an exercise price of $16.89 per share, which is equal to the fair market value of Crinetics’ common stock on The Nasdaq Global Select Market on the date of grant, as determined under the 2021 Inducement Plan. The shares subject to the stock options will vest over four years, with 25% of the shares vesting on the one-year anniversary of the applicable vesting commencement date and the balance of the shares vesting in a series of 36 successive equal monthly installments thereafter, subject to each employee’s continued employment with Crinetics on such vesting dates. The options are subject to the terms and conditions of the 2021 Inducement Plan and the terms and conditions of a stock option agreement covering the grant.

About Crinetics Pharmaceuticals
Crinetics Pharmaceuticals is a clinical stage pharmaceutical company focused on the discovery, development, and commercialization of novel therapeutics for rare endocrine diseases and endocrine-related tumors. Paltusotine, a investigational, oral somatostatin receptor type 2 (SST2) agonist, is in Phase 3 clinical development for acromegaly and Phase 2 clinical development for carcinoid syndrome associated with neuroendocrine tumors. Crinetics has demonstrated pharmacologic proof-of-concept in Phase 1 clinical studies for CRN04777, an investigational, oral somatostatin receptor type 5 (SST5) agonist for congenital hyperinsulinism, and for CRN04894, an investigational, oral ACTH antagonist for the treatment of Cushing’s disease, congenital adrenal hyperplasia, and other diseases of excess ACTH. All of the company’s drug candidates are orally delivered, small molecule new chemical entities resulting from in-house drug discovery efforts.

Contacts: 
Chas Schultz 
VP, IR & Corporate Communications 
cschultz@crinetics.com
(858) 450-6464 

Investors / Media:
Corey Davis
LifeSci Advisors, LLC
cdavis@lifesciadvisors.com
(212) 915-2577

Aline Sherwood
Scienta Communications
asherwood@scientapr.com
(312) 238-8957

 

FAQ

What stock options were granted by Crinetics Pharmaceuticals on October 10, 2022?

Crinetics Pharmaceuticals granted stock options for an aggregate of 237,600 shares to eleven new non-executive employees.

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

The stock options have an exercise price of $16.89 per share.

How do the stock options vest for CRNX employees?

The options vest over four years, with 25% vesting on the one-year anniversary and the remaining shares vesting in monthly installments.

Under what plan were the stock options granted by Crinetics Pharmaceuticals?

The stock options were granted under the 2021 Employment Inducement Incentive Award Plan.

What is the purpose of the 2021 Inducement Plan by CRNX?

The 2021 Inducement Plan is designed to grant equity awards to individuals not previously employed by Crinetics.