enGene Announces Inducement Grant Under NASDAQ Listing Rule 5635(c)(4)

Rhea-AI Summary

enGene Holdings Inc. (Nasdaq: ENGN) has granted an inducement equity award to its new CEO, Ron Cooper. The award consists of a non-qualified stock option to purchase 1,250,000 common shares at an exercise price of $8.81 per share, equal to the closing price on July 22, 2024. The option has a 10-year term and will vest over four years, with 25% vesting after one year and the remainder vesting monthly over three years. This grant, approved by the independent Compensation Committee, is in accordance with NASDAQ Listing Rule 5635(c)(4) and is designed to incentivize Mr. Cooper as he joins the company.

Positive

• Appointment of a new CEO, Ron Cooper, potentially bringing fresh leadership and expertise
• Alignment of CEO's interests with shareholders through stock options
• Compliance with NASDAQ listing rules for inducement grants

Negative

• Potential dilution of existing shareholders due to the issuance of 1,250,000 new stock options

BOSTON & MONTREAL--(BUSINESS WIRE)-- enGene Holdings Inc. (Nasdaq: ENGN, “enGene” or the “Company”), a clinical-stage genetic medicines company whose non-viral, intravesical lead product candidate, EG-70, is in a pivotal study for BCG-unresponsive high-risk non-muscle invasive bladder cancer (NMIBC), today announced the grant of an inducement equity award to Ron Cooper, the Company’s newly-appointed Chief Executive Officer.

The inducement award consists of a non-qualified stock option to purchase 1,250,000 of the Company's common shares. The option has an exercise price of $8.81 per share, which is equal to the closing price of the Company's common shares on July 22, 2024, the date of grant. The stock option has a 10-year term and will vest over four years, with 25% of the underlying shares vesting on the one-year anniversary of the grant date and the remainder vesting in equal amounts monthly for three years thereafter, subject to Mr. Cooper’s continued service as an employee of, or other service provider to, the Company through the applicable vesting dates.

The stock option was granted by the Company's independent Compensation Committee of the Board of Directors as an inducement material to Mr. Cooper entering into employment with the Company in accordance with NASDAQ Listing Rule 5635(c)(4). While the stock option was granted outside of the Company’s Amended and Restated enGene Holdings Inc. 2023 Incentive Equity Plan, it will have terms and conditions consistent with those set forth under the Plan.

About enGene
enGene is a clinical-stage biotechnology company mainstreaming genetic medicines through the delivery of therapeutics to mucosal tissues and other organs, with the goal of creating new ways to address diseases with high clinical needs. enGene’s lead program is EG-70 for patients with Non-Muscle Invasive Bladder Cancer (NMIBC) – a disease with a high clinical burden. EG-70 is being evaluated in the ongoing multi-cohort LEGEND Phase 2 study, which includes a registrational cohort studying EG-70 in Bacillus Calmette Guérin (BCG)-unresponsive patients with carcinoma in situ (Cis). EG-70 was developed using enGene’s proprietary Dually Derivatized Oligochitosan (DDX) platform, which enables penetration of mucosal tissues and delivery of a wide range of sizes and types of cargo, including DNA and various forms of RNA.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240724523494/en/

For media contact: media@engene.com

For investor contact: investors@engene.com

Source: enGene Holdings Inc.

FAQ

What inducement grant did enGene (ENGN) offer to its new CEO?

enGene (ENGN) granted its new CEO, Ron Cooper, a non-qualified stock option to purchase 1,250,000 common shares at an exercise price of $8.81 per share, with a 10-year term and four-year vesting schedule.

When was the inducement grant issued by enGene (ENGN) to Ron Cooper?

The inducement grant was issued on July 22, 2024, which is the date of grant for the stock option offered to Ron Cooper.

What is the vesting schedule for Ron Cooper's stock options at enGene (ENGN)?

The stock options will vest over four years, with 25% vesting on the one-year anniversary of the grant date and the remainder vesting in equal monthly amounts over the following three years.

Under which NASDAQ rule did enGene (ENGN) grant the inducement award?

enGene (ENGN) granted the inducement award to Ron Cooper in accordance with NASDAQ Listing Rule 5635(c)(4).