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

Rhea-AI Summary

Cytokinetics (Nasdaq: CYTK) announced the grant of stock options totaling 9,000 shares to new employee Wing Keung Chiu, effective February 26, 2021. This grant, approved by the Compensation and Talent Committee, is part of the company’s Amended and Restated 2004 Equity Incentive Plan. The options have an exercise price of $18.73, equivalent to the closing stock price on the grant date. Vested over four years, the options align with Nasdaq Listing Rule 5635(c)(4) as a material inducement for employment.

SOUTH SAN FRANCISCO, Calif., Feb. 26, 2021 (GLOBE NEWSWIRE) -- Cytokinetics, Incorporated (Nasdaq: CYTK) today announced that on February 26, 2021 it granted stock options to purchase an aggregate of 9,000 shares of common stock to Wing Keung Chiu, a new employee whose employment commenced in February 2021 as a material inducement to his employment. The grant was previously approved by the Compensation and Talent Committee of Cytokinetics’ Board of Directors under the company’s Amended and Restated 2004 Equity Incentive Plan.

The stock options that were granted are subject to an exercise price of $18.73 per share, which is equal to the closing price of the Company’s common stock on February 26, 2021, 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 and/or declining. 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 preparing for regulatory interactions for omecamtiv mecarbil, its novel cardiac muscle activator, following positive results from GALACTIC-HF, a large, international Phase 3 clinical trial in patients with heart failure. Cytokinetics is conducting METEORIC-HF, a second Phase 3 clinical trial of omecamtiv mecarbil. Cytokinetics is also developing CK-274, a next-generation cardiac myosin inhibitor, for the potential treatment of hypertrophic cardiomyopathies (HCM). Cytokinetics is conducting REDWOOD-HCM, a Phase 2 clinical trial of CK-274 in patients with obstructive HCM. Cytokinetics is also developing reldesemtiv, a fast skeletal muscle troponin activator for the potential treatment of ALS and other neuromuscular indications following conduct of FORTITUDE-ALS and other Phase 2 clinical trials. The company is preparing for the potential advancement of reldesemtiv to a Phase 3 clinical trial in 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. 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.

Contact:
Cytokinetics
Diane Weiser
Senior Vice President, Corporate Communications, Investor Relations
(415) 290-7757

FAQ

What stock options were granted by Cytokinetics on February 26, 2021?

Cytokinetics granted an aggregate of 9,000 stock options to new employee Wing Keung Chiu.

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

The exercise price of the stock options is $18.73 per share.

How is the vesting schedule structured for the stock options at Cytokinetics?

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

What does Nasdaq Listing Rule 5635(c)(4) pertain to in the context of Cytokinetics' stock option grant?

This rule allows stock options to be granted as material inducements to employment.

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

The stock options are a key part of attracting and retaining talent in the company.