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

Rhea-AI Summary

ImmunoGen Inc. (Nasdaq: IMGN) announced the grant of non-qualified stock option awards on June 30, 2021, totaling 67,900 shares under its Inducement Equity Incentive Plan. These options were issued to four new employees as an inducement for their employment, adhering to Nasdaq Listing Rule 5635(c)(4). The exercise price is set at $6.59, matching the closing price of the stock on the grant date. The options will vest over four years, with 25% vesting after one year, and the remaining 75% vesting quarterly thereafter, contingent on continued employment.

Positive

• Granting stock options may enhance employee retention and motivation.
• Attracting new talent to support business growth.

Negative

• 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 June 30, 2021 the compensation committee of the Company’s Board of Directors granted non-qualified stock option awards to purchase an aggregate of 67,900 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 $6.59 per share, which is equal to the closing price of ImmunoGen’s common stock on the Nasdaq Global Select Market on June 30, 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 stock options did ImmunoGen grant on June 30, 2021?

ImmunoGen granted non-qualified stock option awards for 67,900 shares of common stock to four employees.

What is the exercise price for ImmunoGen's stock options?

The exercise price for the stock options is $6.59 per share.

What is the vesting schedule for ImmunoGen's stock options?

The options will vest over four years, with 25% vesting after the first year and the remaining 75% vesting quarterly thereafter.

Why were the stock options granted to employees?

The stock options were granted as an inducement for new employees to join ImmunoGen.

Does the stock option grant affect ImmunoGen's stock performance?

While it may help retain talent, the direct impact on stock performance will depend on overall business performance and market conditions.