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

Rhea-AI Summary

On August 5, 2022, Insmed (Nasdaq:INSM) announced the granting of inducement awards to 11 new employees as part of their hiring strategy. The awards, approved by Insmed's Compensation Committee, consist of options to purchase a total of 53,570 shares at an exercise price of $20.88 per share, the closing price on August 1, 2022. Options will vest over four years, beginning with 25% after one year. Insmed aims to develop therapies for serious and rare diseases, complementing their existing product catering to chronic lung diseases.

Positive

• Inducement awards made to 11 new employees signal growth and expansion.
• The option pricing aligns with the market closing price, suggesting no immediate financial burden.

Negative

• None.

BRIDGEWATER, N.J., Aug. 5, 2022 /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 11 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 August 1, 2022 to purchase an aggregate 53,570 shares of Insmed common stock at an exercise price of $20.88 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 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 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 
Executive Director, Corporate Communications
Insmed
(732) 718-3621 
amanda.fahey@insmed.com

 

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SOURCE Insmed Incorporated

FAQ

What are the inducement awards granted by Insmed on August 5, 2022?

Insmed granted inducement awards to 11 new employees, totaling options for 53,570 shares at $20.88 each.

How does Insmed's inducement award affect its stock?

The awards indicate company growth but may lead to future dilution of shares as options are exercised.

What is the exercise price for the options granted by Insmed?

The exercise price for the options is $20.88, equal to the closing price on August 1, 2022.

What is the vesting schedule for the options granted to Insmed's new employees?

The options vest over four years, with 25% vesting after the first year and 12.5% every six months thereafter.