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

Rhea-AI Summary

Insmed, a global biopharmaceutical company, announced the granting of inducement awards to 15 new employees under NASDAQ Listing Rule 5635(c)(4). Approved by Insmed's Compensation Committee, the awards serve as a material inducement for their employment. On June 3, 2024, the employees received options to purchase 49,340 shares of Insmed common stock at $55.94 per share, the closing price on the grant date. The options have a 10-year term and a four-year vesting schedule, with 25% vesting after one year and 12.5% every six months thereafter, contingent on continued employment.

Positive

• Granted inducement awards to 15 new employees, indicating growth.
• Options to purchase 49,340 shares at $55.94 per share, showing confidence in stock value.
• Approval by Compensation Committee aligns with NASDAQ compliance.
• 10-year term for options suggests long-term employee retention strategy.

Negative

• Four-year vesting schedule might delay employee satisfaction.
• Stock options contingent on continued service can lead to uncertainty.

BRIDGEWATER, N.J., June 7, 2024 /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 15 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 June 3, 2024 to purchase an aggregate 49,340 shares of Insmed common stock at an exercise price of $55.94 per share, the closing trading price on the Nasdaq Global Select Market on the date of grant.

The options have a 10-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 progressing a robust pipeline of investigational therapies targeting areas of serious unmet need, including neutrophil-mediated inflammatory diseases and rare pulmonary disorders. Insmed is also advancing an early-stage research engine encompassing a wide range of technologies and modalities, including artificial intelligence-driven protein engineering, gene therapy, and protein manufacturing. Insmed is headquartered in Bridgewater, New Jersey, with additional offices and research locations throughout the United States, Europe, and Japan. Visit www.insmed.com to learn more.

Contact:

Investors:

Bryan Dunn
Executive Director, Investor Relations
Insmed
(646) 812-4030
bryan.dunn@insmed.com 

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

Media:

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

 

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SOURCE Insmed Incorporated

FAQ

What were the inducement grants announced by Insmed on June 7, 2024?

Insmed announced inducement grants of stock options to 15 new employees under NASDAQ Listing Rule 5635(c)(4).

How many shares were included in Insmed's inducement grants on June 3, 2024?

The inducement grants included options to purchase 49,340 shares of Insmed common stock.

What was the exercise price for Insmed's inducement grants announced on June 7, 2024?

The exercise price for the inducement grants was $55.94 per share.

What is the vesting schedule for the stock options granted by Insmed?

The stock options have a four-year vesting schedule, with 25% vesting after one year and 12.5% every six months thereafter.

What is the term length for the stock options granted by Insmed?

The stock options have a 10-year term.