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

Rhea-AI Summary

Fusion Pharmaceuticals Inc. (Nasdaq: FUSN) announced the grant of stock options for 13,200 shares to a new employee, complying with Nasdaq Listing Rule 5635(c)(4). The options have an exercise price of $2.36 per share, matching the company's closing stock price on December 5, 2022. Each option has a ten-year term, with 25% vesting after one year and the remainder vesting monthly over three years. Fusion develops next-gen radiopharmaceuticals, with ongoing clinical trials for its products targeting specific receptors. Collaborations with AstraZeneca and Merck further enhance its research.

Positive

• Granting of stock options may attract skilled talent, potentially bolstering the workforce.
• Development of next-generation radiopharmaceuticals positions Fusion favorably within precision medicine.
• Collaboration with AstraZeneca could accelerate product development and market reach.
• Strategic supply agreements with TRIUMF and Niowave, Inc. support the necessary resources for trials.

Negative

• The stock options dilute existing shareholders' equity as new shares are introduced.
• Dependence on collaborative programs with larger companies like AstraZeneca and Merck could pose risks if partnerships do not yield favorable results.

HAMILTON, ON and BOSTON, Dec. 7, 2022 /PRNewswire/ -- Fusion Pharmaceuticals Inc. (Nasdaq: FUSN), a clinical-stage oncology company focused on developing next-generation radiopharmaceuticals as precision medicines, today announced that the compensation committee of the Company's Board of Directors granted stock option awards to purchase an aggregate of 13,200 shares of its common stock to one employee outside Fusion's 2020 Stock Option and Incentive Plan. The stock options were granted as an inducement material to the individual becoming an employee of Fusion in accordance with Nasdaq Listing Rule 5635(c)(4).

The options have an exercise price of $2.36 per share, which is equal to the closing price of Fusion's common stock on December 5, 2022. Each option has a ten-year term and vests over four years, with 25% of the original number of shares vesting on the one-year anniversary of the grant date and then in equal installments for 36 months thereafter, subject to the employee's continued service with Fusion through the applicable vesting dates.

About Fusion

Fusion Pharmaceuticals is a clinical-stage oncology company focused on developing next-generation radiopharmaceuticals as precision medicines. Fusion connects alpha particle emitting isotopes to various targeting molecules in order to selectively deliver the alpha emitting payloads to tumors. Fusion's first program, FPI-1434 targeting insulin-like growth factor 1 receptor, is currently in a Phase 1 clinical trial. The pipeline includes FPI-1966, targeting the fibroblast growth factor receptor 3 (FGFR3), currently in a Phase 1 study; and FPI-2059, a small molecule targeting neurotensin receptor 1 (NTSR1), which has received FDA investigational new drug (IND) clearance and will begin a Phase 1 study. In addition to a robust proprietary pipeline, Fusion has a collaboration with AstraZeneca to jointly develop novel targeted alpha therapies (TATs) and combination programs between Fusion's TATs and AstraZeneca's DNA Damage Repair Inhibitors (DDRis) and immuno-oncology agents. Fusion has also entered into a collaboration with Merck to evaluate FPI-1434 in combination with Merck's KEYTRUDA^® (pembrolizumab) in patients with solid tumors expressing IGF-1R. To support Fusion's growing pipeline of TATs, the company has signed strategic actinium supply agreements with TRIUMF and Niowave, Inc.

For further information: Amanda Cray, Senior Director of Investor Relations & Corporate Communications, 617-967-0207, cray@fusionpharma.com

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SOURCE Fusion Pharmaceuticals Inc.

FAQ

What stock options were granted by Fusion Pharmaceuticals on December 7, 2022?

Fusion granted stock options for 13,200 shares to a new employee at an exercise price of $2.36, matching the closing price on December 5, 2022.

What is the vesting schedule for the stock options granted by Fusion?

The options vest 25% after one year, with the remaining vesting monthly over the next three years.

How does Fusion Pharmaceuticals' collaboration with AstraZeneca benefit the company?

The collaboration aims to develop targeted alpha therapies, enhancing Fusion's product pipeline and research capabilities.

What are Fusion Pharmaceuticals' key products currently in trials?

Fusion's key products in trials include FPI-1434, FPI-1966, and FPI-2059, each targeting specific receptors.