Insmed Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)

Rhea-AI Summary

Insmed Incorporated (Nasdaq: INSM) announced the granting of inducement awards to nine new employees as part of their employment agreements, in line with NASDAQ Listing Rule 5635(c)(4). The awards, approved by the Compensation Committee, consist of options to purchase 49,410 shares of common stock at an exercise price of $32.94 per share, the closing price on May 3, 2021. These options will have a ten-year term with a four-year vesting schedule. Insmed focuses on developing therapies for serious and rare diseases, including chronic lung conditions.

Positive

• Inducement awards granted to nine new employees show commitment to attracting talent.
• Options to purchase 49,410 shares at $32.94 could motivate employees.
• Long-term options (10-year term) provide potential future value for employees.

Negative

• None.

BRIDGEWATER, N.J., May 7, 2021 /PRNewswire/ -- Insmed Incorporated (Nasdaq:INSM), a global biopharmaceutical company on a mission to transform the lives of patients with serious and rare diseases, today announced the granting of inducement awards to nine new employees. In accordance with NASDAQ Listing Rule 5635(c)(4), the awards were approved by Insmed's Compensation Committee and made as a material inducement to each employee's entry into employment with the Company.

In connection with the commencement of their employment, the employees received options on May 3, 2021 to purchase an aggregate 49,410 shares of Insmed common stock at an exercise price of $32.94 per share, the closing trading price on the Nasdaq Global Select Market on the date of grant.

The options have a ten-year term and a four-year vesting schedule, with 25% of the shares subject to the option vesting on the first anniversary of the relevant grant date and 12.5% of the shares subject to the option vesting every six months thereafter through the fourth anniversary of the relevant grant date, subject to the relevant employee's continued service with Insmed on the applicable vesting date.

About Insmed

Insmed Incorporated is a global biopharmaceutical company on a mission to transform the lives of patients with serious and rare diseases. Insmed's first commercial product is a first-in-disease therapy approved in the United States, Europe, and Japan to treat a chronic, debilitating lung disease. The Company is also progressing a robust pipeline of investigational therapies targeting areas of serious unmet need, including neutrophil-mediated inflammatory diseases and rare pulmonary disorders. Insmed is headquartered in Bridgewater, New Jersey, with a growing footprint across Europe and in Japan. For more information, visit www.insmed.com.

Contact:

Investors:

Eleanor Barisser
Associate Director, Investor Relations
Insmed
(718) 594-5332
eleanor.barisser@insmed.com 

Media:

Mandy Fahey
Senior Director, Corporate Communications
Insmed
(732) 718-3621
amanda.fahey@insmed.com

 

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SOURCE Insmed Incorporated

FAQ

What is the significance of the inducement awards granted by Insmed on May 3, 2021?

The inducement awards signify Insmed's strategy to attract and retain talent by providing stock options, potentially aligning employee interests with company performance.

How many shares were involved in the inducement awards announced by Insmed?

Insmed granted options to purchase an aggregate of 49,410 shares of common stock.

What was the exercise price of the stock options granted by Insmed?

The exercise price for the stock options was set at $32.94 per share, the closing price on the grant date.

What is the vesting schedule for the stock options granted to new employees at Insmed?

The options have a four-year vesting schedule, with 25% vesting on the first anniversary and 12.5% vesting every six months thereafter.