Crinetics Pharmaceuticals Announces July 2024 Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Crinetics Pharmaceuticals (Nasdaq: CRNX) announced on July 10, 2024, that it has granted non-qualified stock options to purchase a total of 137,900 shares of common stock to 18 new non-executive employees. These grants are part of the 2021 Employment Inducement Incentive Award Plan and align with Nasdaq Listing Rule 5635(c)(4). The exercise price for these options is set at $50.80 per share, matching the closing price on July 10, 2024. The stock options will vest over four years, with 25% vesting after one year and the remaining 75% vesting in 36 monthly installments, contingent upon continued employment.

Positive

• None.

Negative

• Stock option grants could lead to shareholder dilution.
• The options will vest over four years, which may delay the realization of any potential benefits.

SAN DIEGO, July 10, 2024 (GLOBE NEWSWIRE) -- Crinetics Pharmaceuticals, Inc. (Nasdaq: CRNX) today announced that on July 10, 2024, the Compensation Committee of Crinetics’ Board of Directors granted non-qualified stock option awards to purchase an aggregate of 137,900 shares of its common stock to eighteen 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 $50.80 per share, which is equal to the closing price of Crinetics’ common stock on The Nasdaq Global Select Market on July 10, 2024. 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 endocrine diseases and endocrine-related tumors. Paltusotine, an investigational, first-in-class, oral somatostatin receptor type 2 (SST2) agonist, is in Phase 3 clinical development for acromegaly and in Phase 2 clinical development for carcinoid syndrome associated with neuroendocrine tumors. Crinetics is also developing atumelnant (CRN04894), an investigational, first-in-class, oral ACTH antagonist, that is currently completing Phase 2 clinical studies for the treatment of congenital adrenal hyperplasia and Cushing’s disease. All of the company’s drug candidates are orally delivered, small molecule new chemical entities resulting from in-house drug discovery efforts, including additional discovery programs addressing a variety of endocrine conditions such as hyperparathyroidism, polycystic kidney disease, Graves’ disease, thyroid eye disease, diabetes and obesity.

Investors:
Gayathri Diwakar
Head of Investor Relations
gdiwakar@crinetics.com
(858) 345-6340

Media:
Natalie Badillo
Head of Corporate Communications
nbadillo@crinetics.com
(858) 450-6464

FAQ

What stock options did Crinetics Pharmaceuticals (CRNX) grant in July 2024?

Crinetics Pharmaceuticals granted non-qualified stock options to purchase a total of 137,900 shares of common stock to 18 new non-executive employees on July 10, 2024.

What is the exercise price for Crinetics Pharmaceuticals' (CRNX) July 2024 stock options?

The exercise price for the stock options granted on July 10, 2024, is $50.80 per share.

Over what period do Crinetics Pharmaceuticals' (CRNX) July 2024 stock options vest?

The stock options will vest over a period of four years, with 25% vesting on the one-year anniversary and the remaining 75% vesting in 36 monthly installments.

How many shares are involved in Crinetics Pharmaceuticals' (CRNX) July 2024 stock option grants?

The stock option grants involve a total of 137,900 shares of common stock.

Who are the recipients of Crinetics Pharmaceuticals' (CRNX) July 2024 stock options?

The recipients are 18 new non-executive employees of Crinetics Pharmaceuticals.