Cytokinetics Announces Inducement Grants Under Nasdaq Listing Rule 5635(C)(4)

Rhea-AI Summary

Cytokinetics announced the granting of stock options for 86,850 shares to eight new employees as a material inducement for their employment, effective February 28, 2022. The options have an exercise price of $35.32 per share, equal to the closing stock price on that date. They will vest over four years, with a quarter vesting on the one-year anniversary and the rest monthly thereafter. Each option has a ten-year term and aligns with Nasdaq Listing Rule 5635(c)(4). Cytokinetics specializes in muscle activators and inhibitors, preparing for the commercialization of its product omecamtiv mecarbil.

Positive

• Cytokinetics is expanding its team, which may enhance future product development.
• The granted stock options align with the company's performance and retention strategy, potentially improving employee motivation.

Negative

• None.

SOUTH SAN FRANCISCO, Calif., March 01, 2022 (GLOBE NEWSWIRE) -- Cytokinetics, Incorporated (Nasdaq: CYTK) today announced that on February 28, 2022 it granted stock options to purchase an aggregate of 86,850 shares of common stock to eight new employees, whose employment commenced in February 2022, as a material inducement to their employment.

The stock options that were granted are subject to an exercise price of $35.32 per share, which is equal to the closing price of the Company’s common stock on February 28, 2022, and will vest over 4 years, with 1/4^th of the shares underlying the employee’s option vesting on the one-year anniversary of the applicable vesting commencement date and the remaining shares thereafter vesting monthly at a rate of 1/48^th of the shares underlying each employee’s option over the subsequent 36 months, subject to the new employee’s continued service with the Company. Each stock option has a 10-year term and is subject to the terms and conditions of the Company's Amended and Restated 2004 Equity Incentive Plan and the stock option agreement pursuant to which the option was granted.  

The options were granted as material inducements to employment in accordance with Nasdaq Listing Rule 5635(c)(4).

About Cytokinetics

Cytokinetics is a late-stage biopharmaceutical company focused on discovering, developing and commercializing first-in-class muscle activators and next-in-class muscle inhibitors as potential treatments for debilitating diseases in which muscle performance is compromised. As a leader in muscle biology and the mechanics of muscle performance, the company is developing small molecule drug candidates specifically engineered to impact muscle function and contractility. Cytokinetics is readying for the potential commercialization of omecamtiv mecarbil, its cardiac muscle activator, following positive results from GALACTIC-HF, a large, international Phase 3 clinical trial in patients with heart failure. Cytokinetics is also developing aficamten, a next-generation cardiac myosin inhibitor, currently the subject of SEQUOIA-HCM, the Phase 3 clinical trial of aficamten in patients with symptomatic obstructive hypertrophic cardiomyopathy (HCM). Cytokinetics is also developing reldesemtiv, an investigational fast skeletal muscle troponin activator, currently the subject of COURAGE-ALS, a Phase 3 clinical trial in patients with amyotrophic lateral sclerosis (ALS). Cytokinetics continues its over 20-year history of pioneering innovation in muscle biology and related pharmacology focused to diseases of muscle dysfunction and conditions of muscle weakness.

For additional information about Cytokinetics, visit www.cytokinetics.com and follow us on Twitter, LinkedIn, Facebook and YouTube.

Forward-Looking Statements

This press release contains forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995 (the "Act"). Cytokinetics disclaims any intent or obligation to update these forward-looking statements and claims the protection of the Act's Safe Harbor for forward-looking statements. Examples of such statements include, but are not limited to, statements relating to Cytokinetics' and its partners' research and development activities of Cytokinetics’ product candidates. Such statements are based on management's current expectations, but actual results may differ materially due to various risks and uncertainties, including, but not limited to the risks related to Cytokinetics' business outlined in Cytokinetics' filings with the Securities and Exchange Commission particularly under the caption “Risk Factors” in Cytokinetics’ latest Quarterly Report on Form 10-Q. Forward-looking statements are not guarantees of future performance, and Cytokinetics' actual results of operations, financial condition and liquidity, and the development of the industry in which it operates, may differ materially from the forward-looking statements contained in this press release. Any forward-looking statements that Cytokinetics makes in this press release speak only as of the date of this press release. Cytokinetics assumes no obligation to update its forward-looking statements whether as a result of new information, future events or otherwise, after the date of this press release.

CYTOKINETICS® and the CYTOKINETICS and C-shaped logo are registered trademarks of Cytokinetics in the U.S. and certain other countries.

Contact:
Cytokinetics
Joanna Siegall
Associate Director, Corporate Communications, Investor Relations
(425) 314-1721

FAQ

What stock options did Cytokinetics grant on February 28, 2022?

Cytokinetics granted stock options for 86,850 shares to eight new employees with an exercise price of $35.32 per share.

How long will the stock options granted by Cytokinetics vest?

The stock options will vest over four years, with 1/4 vesting after one year and the remaining shares vesting monthly over the next 36 months.

What is the purpose of the stock options granted by Cytokinetics?

The stock options were granted as material inducements for employment to attract and retain new employees.

What are Cytokinetics' main focus areas?

Cytokinetics focuses on developing muscle activators and inhibitors for treating diseases related to muscle performance.

What is the significance of the exercise price in the stock options granted by Cytokinetics?

The exercise price of $35.32 is equal to the closing stock price on the date the options were granted.