Freeline Reports October 2022 Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Freeline Therapeutics (Nasdaq: FRLN) announced the grant of non-statutory stock options to three new employees on October 31, 2022. In total, 75,500 options were issued as part of an inducement offering, complying with Nasdaq Listing Rule 5635(c)(4). The exercise price is set at $0.76 per share, aligning with the last recorded sale on October 28, 2022. These options will vest over four years, starting with 25% on the first anniversary of the vesting commencement date. Freeline is focused on developing innovative gene therapies for hereditary systemic diseases.

Positive

• Issuance of 75,500 options may enhance employee motivation and retention.
• Stock options granted at $0.76 per share align with the market price, indicating confidence in company valuation.

Negative

• None.

LONDON, Nov. 03, 2022 (GLOBE NEWSWIRE) -- Freeline Therapeutics Holdings plc (Nasdaq: FRLN) today announced that on October 31, 2022, the Company granted three newly hired employees non-statutory options to purchase an aggregate of 75,500 of the Company’s ordinary shares.

The awards were granted as an inducement material to the employees entering into employment with the Company in accordance with Nasdaq Listing Rule 5635(c)(4) and were approved by an independent subcommittee of the remuneration committee of Freeline’s board of directors. The awards were granted pursuant to the terms of Freeline’s 2021 Equity Inducement Plan, which was adopted by Freeline’s board of directors in September 2021.

Each of the options has an exercise price of $0.76 per share, which was the closing price of Freeline’s American Depositary Shares reported by Nasdaq on October 28, 2022, the last trading day preceding the grant date. The options have a maximum 10-year term and vest over a four-year service period, with 25% of the award vesting on the first anniversary of the vesting commencement date, with the balance vesting monthly over the remaining three years.

About Freeline Therapeutics
Freeline is a clinical-stage biotechnology company developing transformative adeno-associated virus (AAV) vector-mediated systemic gene therapies. The company is dedicated to improving patient lives through innovative, one-time treatments for inherited systemic debilitating diseases. Freeline uses its proprietary, rationally designed AAV vector and capsid (AAVS3), along with novel promoters and transgenes, to deliver a functional copy of a therapeutic gene into human liver cells, thereby expressing a persistent functional level of the missing or dysfunctional protein into the patient’s bloodstream. The company’s integrated gene therapy platform includes in-house capabilities in research and clinical development. The company has clinical programs in hemophilia B, Fabry disease, and Gaucher disease Type 1. Freeline is headquartered in the UK and has operations in Germany and the U.S.

Media and Investor Contact:

Naomi Aoki
naomi.aoki@freeline.life 
Senior Vice President, Head of Investor Relations & Communications
+ 1 617 283 4298

FAQ

What did Freeline Therapeutics announce on October 31, 2022?

Freeline Therapeutics announced the grant of 75,500 stock options to three newly hired employees.

What is the exercise price of the options granted by Freeline Therapeutics?

The exercise price of the options is $0.76 per share.

How long is the vesting period for the stock options granted by Freeline Therapeutics?

The stock options vest over a four-year period.

What is the significance of the options granted by Freeline Therapeutics?

The options were granted as an inducement for employees to join the company, reinforcing employee commitment.

Which Nasdaq Listing Rule did Freeline Therapeutics comply with when granting stock options?

Freeline Therapeutics complied with Nasdaq Listing Rule 5635(c)(4) regarding stock option grants.