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Kala Pharmaceuticals Reports Inducement Grant Under NASDAQ Listing Rule 5635(c)(4)

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Kala Pharmaceuticals, Inc. (NASDAQ:KALA) announced the granting of non-statutory stock options to eleven new employees, totaling 112,000 shares, as inducement awards compliant with NASDAQ Listing Rule 5635(c)(4). The options granted on September 15, 2021, have an exercise price of $3.08 per share, matching the closing price on that date. The awards vest over four years, with 25% vested after the first year and the remainder vesting monthly. The initiative aims to attract talent in the biopharmaceutical sector focused on innovative ocular therapies.

Positive
  • Granting of 112,000 stock options could enhance employee retention and attract talent.
  • Inducement awards indicate a commitment to strengthening the workforce in a competitive industry.
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WATERTOWN, Mass., Sept. 21, 2021 (GLOBE NEWSWIRE) -- Kala Pharmaceuticals, Inc. (NASDAQ:KALA), today announced that the Company granted non-statutory stock options to new employees as inducement awards outside the Company’s 2017 Equity Incentive Plan in accordance with NASDAQ Listing Rule 5635(c)(4).

The Company granted stock options to purchase up to an aggregate of 112,000 shares of Kala Pharmaceuticals common stock to eleven new employees. The stock options were granted on September 15, 2021. The grants were approved by the Compensation Committee and were made as an inducement material to each employee entering into employment with Kala Pharmaceuticals in accordance with NASDAQ Listing Rule 5635(c)(4). The option awards have an exercise price of $3.08 per share, the closing price of Kala Pharmaceuticals’ common stock on September 15, 2021. The options have a ten-year term and vest over four years, with 25% of the original number of shares vesting on the first anniversary of the applicable employee’s new hire date and the remainder vesting in equal monthly installments over the following three years. Vesting of each option is subject to such employee’s continued service with Kala Pharmaceuticals through the applicable vesting dates.

About Kala Pharmaceuticals, Inc.
Kala is a commercial-stage biopharmaceutical company focused on the discovery, development, and commercialization of innovative therapies for diseases of the eye. Kala has applied its AMPPLIFY® mucus-penetrating particle (MPP) Drug Delivery Technology to two ocular therapies, EYSUVIS® (loteprednol etabonate ophthalmic suspension) 0.25% for the short-term (up to two weeks) treatment of signs and symptoms of dry eye disease and INVELTYS® (loteprednol etabonate ophthalmic suspension) 1% for the treatment of post-operative inflammation and pain following ocular surgery. The Company also has a pipeline of pre-clinical development programs targeted to address unmet medical needs, including both front and back of the eye diseases. For more information on Kala, please visit www.kalarx.com.

Investor Contacts:
Jill Steier
jill.steier@kalarx.com
781-810-4086

Hannah Deresiewicz
hannah.deresiewicz@sternir.com
212-362-1200


FAQ

What stock options were granted by Kala Pharmaceuticals on September 15, 2021?

Kala Pharmaceuticals granted non-statutory stock options for 112,000 shares to eleven new employees.

What is the exercise price for the stock options granted by KALA?

The exercise price for the stock options is $3.08 per share.

How long is the vesting period for the stock options granted by Kala Pharmaceuticals?

The stock options vest over four years, with 25% vesting on the first anniversary of the hire date.

What is NASDAQ Listing Rule 5635(c)(4) relevant to Kala Pharmaceuticals?

This rule allows companies to grant inducement awards outside their equity incentive plans.

What is the purpose of the stock options granted by KALA?

The stock options are intended to attract and retain employees as part of KALA's strategy to strengthen its workforce.

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Biotechnology
Pharmaceutical Preparations
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United States of America
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