Castle Biosciences Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Castle Biosciences (Nasdaq: CSTL) announced that on June 14, 2024, its Compensation Committee granted restricted stock units (RSUs) to 94 employees as an inducement for joining the company. The RSUs cover a total of 158,197 shares of common stock and were issued under the company's 2022 Inducement Plan in line with Nasdaq Listing Rule 5635(c)(4). The units will vest over four years, with 25% vesting on the first anniversary of the vesting start date and the remaining shares vesting annually in three equal parts, contingent on the employee's continued service.

Positive

• Granted RSUs to 94 employees, which can improve employee retention and morale.
• Total of 158,197 shares issued, indicating significant investment in human resources.

Negative

• No immediate financial gain or revenue impact from the issuance of RSUs.
• Potential dilution of existing shares due to issuance of 158,197 new shares.

FRIENDSWOOD, Texas--(BUSINESS WIRE)-- Castle Biosciences, Inc. (Nasdaq: CSTL), a company improving health through innovative tests that guide patient care, today announced that on June 14, 2024, the Compensation Committee of its Board of Directors granted restricted stock units (RSUs) to 94 employees covering an aggregate of 158,197 shares of common stock as an inducement material to their entering into employment with Castle Biosciences. The RSUs were granted pursuant to the Company’s 2022 Inducement Plan in accordance with Nasdaq Listing Rule 5635(c)(4).

The RSUs will vest over four years, with 25% of the shares vesting on the first anniversary of the applicable vesting commencement date, and the balance vesting annually thereafter in three equal installments, subject to the employee’s continued service through each applicable vesting date.

About Castle Biosciences

Castle Biosciences (Nasdaq: CSTL) is a leading diagnostics company improving health through innovative tests that guide patient care. The Company aims to transform disease management by keeping people first: patients, clinicians, employees and investors.

Castle’s current portfolio consists of tests for skin cancers, Barrett’s esophagus, mental health conditions and uveal melanoma. Additionally, the Company has active research and development programs for tests in other diseases with high clinical need, including its test in development to help guide systemic therapy selection for patients with moderate-to-severe atopic dermatitis, psoriasis and related conditions. To learn more, please visit www.CastleBiosciences.com and connect with us on LinkedIn, Facebook, X and Instagram.

DecisionDx-Melanoma, DecisionDx-CMSeq, DecisionDx-SCC, MyPath Melanoma, DiffDx-Melanoma, TissueCypher, IDgenetix, DecisionDx-UM, DecisionDx-PRAME and DecisionDx-UMSeq are trademarks of Castle Biosciences, Inc.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240620340843/en/

Investor Contact:

Camilla Zuckero

czuckero@castlebiosciences.com



Media Contact:

Allison Marshall

amarshall@castlebiosciences.com

Source: Castle Biosciences Inc.

FAQ

What did Castle Biosciences announce on June 14, 2024?

Castle Biosciences announced the grant of restricted stock units to 94 employees on June 14, 2024.

How many shares of common stock were covered under the RSUs granted by Castle Biosciences?

The RSUs covered a total of 158,197 shares of common stock.

Under which plan were the RSUs granted by Castle Biosciences?

The RSUs were granted under Castle Biosciences' 2022 Inducement Plan.

What is the vesting schedule for the RSUs granted by Castle Biosciences?

The RSUs will vest over four years, with 25% vesting on the first anniversary of the vesting start date and the remaining shares vesting annually in three equal parts.