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

Rhea-AI Summary

Gritstone bio, Inc. (Nasdaq: GRTS) announced the granting of nonqualified stock options for 109,000 shares to fourteen employees, with an exercise price of $10.87. This stock grant is an inducement for new hires, aligning with Nasdaq Listing Rule 5635(c)(4). The options will vest over four years, with 25% vesting after the first anniversary and the remainder monthly, contingent on employment status. Gritstone is focused on developing next-gen immunotherapies for cancer and infectious diseases, leveraging its proprietary Gritstone EDGE™ platform.

Positive

• Granting 109,000 stock options may enhance employee retention and motivation.
• The stock options exercise price aligns with the current market value, indicating favorable employee incentives.

Negative

• None.

EMERYVILLE, Calif., Nov. 23, 2021 (GLOBE NEWSWIRE) -- Gritstone bio, Inc. (Nasdaq: GRTS), a clinical-stage biotechnology company developing the next generation of cancer and infectious disease immunotherapies, today announced that the company’s Board of Directors has granted fourteen employees nonqualified stock options to purchase an aggregate of 109,000 shares of its common stock with an exercise price of $10.87, which is equal to the closing price of Gritstone’s common stock on November 16, 2021, the grant date of the awards. These stock grants are part of an inducement material to each of the new employees becoming an employee of Gritstone, in accordance with Nasdaq Listing Rule 5635(c)(4).

The stock options will vest over a four-year period, with 25% of the options vesting on the first anniversary of the employees’ date of hire, and 1/48^th of the options vesting monthly thereafter, subject to the employees’ continued employment with Gritstone on such vesting dates. The options are subject to the terms and conditions of Gritstone’s 2021 Employment Inducement Incentive Award Plan and the stock option agreement covering the grant.

About Gritstone
Gritstone bio, Inc. (Nasdaq: GRTS), a clinical-stage biotechnology company, is developing the next generation of immunotherapies against multiple cancer types and infectious diseases. Gritstone develops its products by leveraging two key pillars—first, a proprietary machine learning-based platform, Gritstone EDGE™, which is designed to predict antigens that are presented on the surface of cells, such as tumor or virally-infected cells, that can be seen by the immune system; and, second, the ability to develop and manufacture potent immunotherapies utilizing these antigens to potentially drive the patient’s immune system to specifically attack and destroy disease-causing cells. The company’s lead oncology programs include an individualized neoantigen-based immunotherapy, GRANITE, and an “off-the-shelf” shared neoantigen-based immunotherapy, SLATE, which are being evaluated in clinical studies. Within its infectious disease pipeline, Gritstone is advancing CORAL, a COVID-19 program to develop a second-generation vaccine, with support from departments within the National Institutes of Health (NIH), the Bill & Melinda Gates Foundation, the Coalition for Epidemic Preparedness Innovations (CEPI) and through a license agreement with La Jolla Institute for Immunology (LJI). Additionally, the company has a global collaboration for the development of a therapeutic HIV vaccine with Gilead Sciences. For more information, please visit gritstone.com.

Gritstone Forward-Looking Statements
This press release contains forward-looking statements, including, but not limited to, statements related to the potential of Gritstone’s therapeutic programs; the advancements in the company’s ongoing clinical trials; the timing of data announcements related to ongoing clinical trials and the initiation of future clinical trials. Such forward-looking statements involve substantial risks and uncertainties that could cause Gritstone’s research and clinical development programs, future results, performance or achievements to differ significantly from those expressed or implied by the forward-looking statements. Such risks and uncertainties include, among others, the uncertainties inherent in the drug development process, including Gritstone’s programs’ early stage of development, the process of designing and conducting preclinical and clinical trials, the regulatory approval processes, the timing of regulatory filings, the challenges associated with manufacturing drug products, Gritstone’s ability to successfully establish, protect and defend its intellectual property and other matters that could affect the sufficiency of existing cash to fund operations. Gritstone undertakes no obligation to update or revise any forward-looking statements. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of the company in general, see Gritstone’s most recent Quarterly Report on Form 10-Q filed on November 3, 2021 and any current and periodic reports filed with the Securities and Exchange Commission.

Gritstone Contacts
Media:
Dan Budwick
1AB
(973) 271-6085
dan@1abmedia.com

Investors:
Tim McCarthy
LifeSci Advisors
tim@lifesci.com

FAQ

What was announced by Gritstone bio on November 23, 2021?

Gritstone bio announced the granting of nonqualified stock options to fourteen employees for a total of 109,000 shares.

What is the exercise price for the stock options granted by Gritstone bio?

The exercise price for the stock options is $10.87, equal to the closing price on the grant date.

How will the stock options granted by Gritstone bio vest?

The stock options will vest over four years, with 25% vesting on the first anniversary and monthly thereafter.

What does the stock grant by Gritstone bio signify?

The stock grant serves as an inducement for new employees, adhering to Nasdaq Listing Rule 5635(c)(4).