EyePoint Pharmaceuticals Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)

Rhea-AI Summary

EyePoint Pharmaceuticals (NASDAQ: EYPT) announced the granting of non-statutory stock options to four new employees as inducement awards outside the company's 2023 Long-Term Incentive Plan, adhering to NASDAQ Listing Rule 5635(c)(4). The grants, approved by the Compensation Committee, involve options to purchase a total of 44,200 shares of common stock. These options were issued on May 15, 2024, at an exercise price of $12.94 per share, the closing price of the stock on that date. The options have a ten-year term and vest over four years, with 25% vesting after the first year and the rest in monthly installments over the next three years, contingent on continued employment.

Positive

• Granted stock options to four new employees, potentially attracting and retaining talent.
• Options priced at $12.94 per share, close to the current market value, which may motivate employees.
• Approval by the Compensation Committee ensures compliance and transparency.
• Long vesting period (four years) could encourage employee retention.

Negative

• Issuing new stock options could lead to potential dilution of existing shares.
• The vesting period is contingent on continued employment, which might not guarantee full vesting if employees leave.
• No information on how these grants align with long-term financial goals or potential impact on shareholder value.

WATERTOWN, Mass., May 16, 2024 (GLOBE NEWSWIRE) -- EyePoint Pharmaceuticals, Inc. (NASDAQ: EYPT), a company committed to developing and commercializing therapeutics to help improve the lives of patients with serious retinal diseases, today announced that the Company granted non-statutory stock options to new employees as inducement awards outside the Company’s 2023 Long-Term Incentive Plan in accordance with NASDAQ Listing Rule 5635(c)(4).

The Company granted stock options to purchase up to an aggregate of 44,200 shares of EyePoint Pharmaceuticals common stock to four new employees. The stock options were granted on May 15, 2024. The grants were approved by the Compensation Committee and made as an inducement material to each employee entering into employment with EyePoint Pharmaceuticals in accordance with NASDAQ Listing Rule 5635(c)(4). The option awards have an exercise price of $12.94 per share, the closing price of EyePoint Pharmaceuticals’ common stock on May 15, 2024. The options have a ten-year term and vest over four years, with 25% of the original number of shares vesting on the first anniversary of the applicable employee’s date of grant and the remainder vesting in equal monthly installments over the following three years. Vesting of the options is subject to the employee’s continued service with EyePoint Pharmaceuticals through the applicable vesting dates.

About EyePoint Pharmaceuticals

EyePoint Pharmaceuticals (Nasdaq: EYPT) is a clinical-stage biopharmaceutical company committed to developing and commercializing therapeutics to help improve the lives of patients with serious retinal diseases. The Company's pipeline leverages its proprietary bioerodible Durasert E™ technology for sustained intraocular drug delivery. The Company’s lead product candidate, DURAVYU (previously known as EYP-1901), is an investigational sustained delivery treatment for VEGF-mediated retinal diseases combining vorolanib, a selective and patent-protected tyrosine kinase inhibitor with Durasert E™. Pipeline programs include EYP-2301, a promising TIE-2 agonist, razuprotafib, formulated in Durasert E™ to potentially improve outcomes in serious retinal diseases. The proven Durasert^® drug delivery technology has been safely administered to thousands of patient eyes across four U.S. FDA approved products. EyePoint Pharmaceuticals is headquartered in Watertown, Massachusetts.

Vorolanib is licensed to EyePoint exclusively by Equinox Sciences, a Betta Pharmaceuticals affiliate, for the localized treatment of all ophthalmic diseases outside of China, Macao, Hong Kong and Taiwan.

DURAVYU™ has been conditionally accepted by the FDA as the proprietary name for EYP-1901. DURAVYU is an investigational product; it has not been approved by the FDA. FDA approval and the timeline for potential approval is uncertain.

For EyePoint Pharmaceuticals:

Investors:
Christina Tartaglia
Stern IR
Direct: 212-698-8700
christina.tartaglia@sternir.com

Media Contact:
Amy Phillips
Green Room Communications
Direct: 412-327-9499
aphillips@greenroompr.com

FAQ

What recent stock options did EyePoint Pharmaceuticals grant?

EyePoint Pharmaceuticals granted non-statutory stock options to four new employees to purchase a total of 44,200 shares.

When were the EyePoint Pharmaceuticals stock options granted?

The stock options were granted on May 15, 2024.

What is the exercise price for EyePoint Pharmaceuticals' new stock options?

The exercise price for the new stock options is $12.94 per share.

What is the vesting schedule for EyePoint Pharmaceuticals' new stock options?

The options vest over four years, with 25% vesting after the first year and the rest in equal monthly installments over the next three years.

How many shares are involved in the new stock options granted by EyePoint Pharmaceuticals?

The new stock options involve up to 44,200 shares of common stock.