CTI BioPharma Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

CTI BioPharma Corp. (NASDAQ: CTIC) announced on January 28, 2021, that its Compensation Committee granted equity inducement awards to two new employees. The awards include options to purchase 200,000 shares of common stock at an exercise price of $3.30, equal to the closing price on the grant date. The options will vest over four years, contingent on continued employment. This decision aligns with Nasdaq Listing Rule 5635(c)(4) and highlights the company's commitment to attracting talent as it focuses on novel therapies for blood-related cancers and COVID-19 treatment.

Positive

• Equity awards granted to new employees signal CTIC's strategy to attract and retain talent.
• The exercise price of $3.30 aligns with the market, suggesting favorable valuation.

Negative

• None.

SEATTLE, Jan. 28, 2021 /PRNewswire/ -- CTI BioPharma Corp. (NASDAQ: CTIC) today announced that the Compensation Committee of its Board of Directors granted equity awards to two new employees with a grant date of January 28, 2021, as equity inducement awards outside of the Company's Amended and Restated 2017 Equity Incentive Plan (but under the terms of the Amended and Restated 2017 Equity Incentive Plan) and material to the employees' acceptance of employment with the company.  The equity awards were approved on January 28, 2021, in accordance with Nasdaq Listing Rule 5635(c)(4).

The employees received options to purchase an aggregate of 200,000 shares of CTI BioPharma common stock.  The options have an exercise price of $3.30, which is equal to the closing price of CTI BioPharma common stock on January 28, 2021, the grant date of the awards. One-fourth of the options will vest on each anniversary of the employee's date of hire, subject to the employee's continued employment with CTI BioPharma on such vesting dates. The options have a ten-year term.

About CTI BioPharma Corp.
We are a biopharmaceutical company focused on the acquisition, development and commercialization of novel targeted therapies for blood-related cancers that offer a unique benefit to patients and their healthcare providers. We concentrate our efforts on treatments that target blood-related cancers where there is an unmet medical need. In particular, we are focused on evaluating pacritinib, our sole product candidate currently in active late-stage development, for the treatment of adult patients with myelofibrosis. In addition, we have recently started developing pacritinib for use in hospitalized patients with severe COVID-19, in response to the COVID-19 pandemic. We are headquartered in Seattle, Washington.

CTI BioPharma Investor Contacts:
Maeve Conneighton/Maghan Meyers
+212-600-1902
cti@argotpartners.com

 

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SOURCE CTI BioPharma Corp.

FAQ

What did CTI BioPharma announce on January 28, 2021?

CTI BioPharma announced equity inducement awards for two new employees, including options to purchase 200,000 shares.

What is the exercise price for the stock options granted by CTI BioPharma?

The exercise price for the stock options is $3.30, equal to the closing stock price on the grant date.

How will the stock options vest for CTI BioPharma employees?

The stock options will vest one-fourth each year over four years, contingent upon continued employment.

What does the grant of equity awards indicate for CTI BioPharma?

The grant of equity awards reflects CTI BioPharma's commitment to attract and retain key talent.

Under which Nasdaq rule did CTI BioPharma grant the stock options?

The stock options were granted in accordance with Nasdaq Listing Rule 5635(c)(4).