Delcath Announces Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Delcath Systems (Nasdaq: DCTH), an interventional oncology company specializing in liver cancer treatments, has announced an inducement grant under Nasdaq Listing Rule 5635(c)(4). The company granted stock options to purchase 30,000 shares of common stock to a new employee who joined on November 4, 2024.

The options, granted on December 31, 2024, have an exercise price of $12.04 per share, matching Delcath's closing stock price on that date. The vesting schedule includes one-third of the options vesting after one year, with the remaining two-thirds vesting in equal monthly installments over the following 24 months. The options have a ten-year term and require continued employment for vesting.

QUEENSBURY, N.Y.--(BUSINESS WIRE)-- Delcath Systems, Inc. (Nasdaq: DCTH) (the “Company” or “Delcath”), an interventional oncology company focused on the treatment of primary and metastatic cancers of the liver, announces that the Company granted an equity award, previously approved by the Company’s Compensation Committee, as a material inducement to the employment of an individual whose employment commenced on November 4, 2024.

The grant totaled the right to purchase 30,000 shares of the Company’s common stock and is subject to the terms and conditions of the Company’s 2023 Inducement Plan (“Plan”). The options were granted on December 31, 2024, the date the Compensation Committee approved the stock option included within the equity inducement and are subject to an exercise price equal to $12.04, the closing price of Delcath’s common stock on December 31, 2024. One-third of the options will vest on the first anniversary of the grant date with the remaining two-thirds of the options vesting in equal monthly installments over the following twenty-four months. The options have a ten-year term and the vesting of the options is subject to the employee’s continued employment with Delcath on each vesting date.

The above-described award was granted in accordance with Nasdaq Listing Rule 5635(c)(4) and granted pursuant to the terms of the Plan.

About Delcath Systems, Inc.
Delcath Systems, Inc. is an interventional oncology company focused on the treatment of primary and metastatic liver cancers. The company’s proprietary products, HEPZATO KIT™ (HEPZATO (melphalan) for Injection/Hepatic Delivery System) and CHEMOSAT^® Hepatic Delivery System for Melphalan percutaneous hepatic perfusion (PHP), are designed to administer high-dose chemotherapy to the liver while controlling systemic exposure and associated side effects during a PHP procedure.

In the United States, HEPZATO KIT is considered a combination drug and device product and is regulated and approved for sale as a drug by the FDA. HEPZATO KIT is comprised of the chemotherapeutic drug melphalan and Delcath's proprietary Hepatic Delivery System (HDS). The HDS is used to isolate the hepatic venous blood from the systemic circulation while simultaneously filtrating hepatic venous blood during melphalan infusion and washout. The use of the HDS results in loco-regional delivery of a relatively high melphalan dose, which can potentially induce a clinically meaningful tumor response with minimal hepatotoxicity and reduce systemic exposure. HEPZATO KIT is approved in the United States as a liver-directed treatment for adult patients with metastatic uveal melanoma (mUM) with unresectable hepatic metastases affecting less than 50% of the liver and no extrahepatic disease, or extrahepatic disease limited to the bone, lymph nodes, subcutaneous tissues, or lung that is amenable to resection or radiation. Please see the full Prescribing Information, including BOXED WARNING for the HEPZATO KIT.

In Europe, the device-only configuration of the HDS is regulated as a Class III medical device and is approved for sale under the trade name CHEMOSAT Hepatic Delivery System for Melphalan, or CHEMOSAT, where it has been used in the conduct of percutaneous hepatic perfusion procedures at major medical centers to treat a wide range of cancers of the liver.

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Investor Relations:

ICR Healthcare

investorrelations@delcath.com

Source: Delcath Systems, Inc.

FAQ

What is the exercise price of Delcath's (DCTH) December 2024 inducement grant?

The exercise price of the inducement grant is $12.04, which was Delcath's closing stock price on December 31, 2024.

How many shares were included in Delcath's (DCTH) December 2024 inducement grant?

The inducement grant included options to purchase 30,000 shares of Delcath's common stock.

What is the vesting schedule for Delcath's (DCTH) December 2024 inducement options?

One-third of the options vest after one year, with the remaining two-thirds vesting in equal monthly installments over the following 24 months.

When do the DCTH inducement grant options expire?

The options have a ten-year term from the grant date of December 31, 2024.