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

Rhea-AI Summary

ImmunoGen Inc. (Nasdaq: IMGN) announced on May 28, 2021, that its Board of Directors granted non-qualified stock options for 89,800 shares to four new employees under the Inducement Equity Incentive Plan. The options, exercisable at $6.18 per share, will vest over four years, with 25% vesting after one year and 6.25% quarterly thereafter, contingent on continued employment. This plan is aligned with Nasdaq Listing Rule 5635(c)(4), which allows for equity awards to individuals who are not prior employees. ImmunoGen aims to advance cancer treatment through innovative antibody-drug conjugates.

Positive

• Grant of 89,800 stock options to new employees may enhance talent retention.
• Stock options priced at $6.18 per share align with the closing market price, promoting favorable employee incentives.

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• None.

ImmunoGen Inc. (Nasdaq: IMGN), a leader in the expanding field of antibody-drug conjugates (ADCs) for the treatment of cancer, today announced that on May 28, 2021 the compensation committee of the Company’s Board of Directors granted non-qualified stock option awards to purchase an aggregate of 89,800 shares of its common stock to four employees under the ImmunoGen, Inc. Inducement Equity Incentive Plan (the “Inducement Plan”). The stock options were granted as an inducement material to the new employee’s becoming an employee of ImmunoGen in accordance with Nasdaq Listing Rule 5635(c)(4).

The Inducement Plan is used exclusively for the grant of equity awards to individuals who were not previously employees of ImmunoGen (or following a bona fide period of non-employment), as an inducement material to such individual’s entering into employment with ImmunoGen, pursuant to Rule 5635(c)(4) of the Nasdaq Listing Rules.

The options have an exercise price of $6.18 per share, which is equal to the closing price of ImmunoGen’s common stock on the Nasdaq Global Select Market on May 28, 2021. Each option will vest over a four-year period, with 25% of the shares vesting on the one-year anniversary of the date of grant, and thereafter an additional 6.25% of the shares vesting on each succeeding quarterly anniversary of the date of grant, subject to such employee’s continued employment with ImmunoGen on such vesting dates. Each option is subject to the terms and conditions of the Inducement Plan and the terms and conditions of a stock option agreement covering the grant.

ABOUT IMMUNOGEN

ImmunoGen is developing the next generation of antibody-drug conjugates to improve outcomes for cancer patients. By generating targeted therapies with enhanced anti-tumor activity and favorable tolerability profiles, we aim to disrupt the progression of cancer and offer our patients more good days. We call this our commitment to TARGET A BETTER NOW™.

Learn more about who we are, what we do, and how we do it at www.immunogen.com.

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FAQ

What did ImmunoGen announce on May 28, 2021?

ImmunoGen announced the grant of non-qualified stock options for 89,800 shares to four new employees under the Inducement Equity Incentive Plan.

What is the exercise price of the stock options granted by ImmunoGen?

The exercise price of the stock options is $6.18 per share, which matches the closing price on the grant date.

How will the stock options vest for new employees at ImmunoGen?

The stock options will vest over four years, with 25% vesting after one year and 6.25% vesting quarterly thereafter.

What is the purpose of the Inducement Equity Incentive Plan at ImmunoGen?

The Inducement Plan is designed to grant equity awards to new employees as an inducement for joining ImmunoGen.

Which Nasdaq Listing Rule does the Inducement Plan comply with?

The Inducement Plan complies with Nasdaq Listing Rule 5635(c)(4), allowing equity awards for individuals not previously employed.