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

Rhea-AI Summary

Gritstone bio (Nasdaq: GRTS) announced that its Compensation Committee granted one new employee nonqualified stock options for 6,850 shares at an exercise price of $0.75, matching the closing price on June 7, 2024. These options, part of an inducement under Nasdaq Listing Rule 5635(c)(4), will vest over four years: 25% on the first anniversary of the hire date, and 1/48th monthly thereafter. The options are subject to the 2021 Employment Inducement Incentive Award Plan's terms.

Positive

• Granted stock options can attract and retain talent.
• Exercise price of $0.75 aligns with current stock value, showing thoughtful valuation.

Negative

• Only one employee received stock options, limiting broader employee incentives.
• Stock option grant may lead to slight shareholder dilution.

EMERYVILLE, Calif., June 13, 2024 (GLOBE NEWSWIRE) -- Gritstone bio, Inc. (Nasdaq: GRTS), a clinical-stage biotechnology company that aims to develop the world’s most potent vaccines, today announced that the Compensation Committee of the company’s Board of Directors granted one employee nonqualified stock options to purchase an aggregate of 6,850 shares of its common stock with an exercise price of $0.75, which is equal to the closing price of Gritstone’s common stock on June 7, 2024, the date of the grant. These stock options are part of an inducement material to 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 1/48th of the options vesting monthly thereafter, subject to the employees’ continued employment with Gritstone on such vesting dates. The stock 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 bio
Gritstone bio, Inc. (Nasdaq: GRTS) is a clinical-stage biotechnology company that aims to develop the world’s most potent vaccines. We leverage our innovative vectors and payloads to train multiple arms of the immune system to attack critical disease targets. Independently and with our collaborators, we are advancing a portfolio of product candidates to treat and prevent viral diseases and solid tumors in pursuit of improving patient outcomes and eliminating disease. www.gritstonebio.com

Gritstone bio Contacts
Investors:
George E. MacDougall
Gritstone bio, Inc.
ir@gritstone.com

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

FAQ

What stock options were granted by Gritstone bio under Nasdaq Listing Rule 5635(c)(4)?

Gritstone bio granted 6,850 nonqualified stock options to one employee at an exercise price of $0.75.

When were the Gritstone bio stock options granted?

The stock options were granted on June 7, 2024.

How will the Gritstone bio stock options vest?

The options will vest over four years: 25% on the first anniversary of the hire date, and 1/48th monthly thereafter.

What is the exercise price of Gritstone bio's recent stock options?

The exercise price for the stock options is $0.75.

How does Gritstone bio's stock option plan affect new employees?

The stock options are part of an inducement material to new employees becoming part of Gritstone bio.