Chinook Therapeutics Announces New Employment Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Chinook Therapeutics, Inc. (Nasdaq: KDNY) announced an employment inducement grant of stock options totaling 24,700 shares for a new employee. The options are granted at an exercise price of $18.51, equivalent to the closing stock price on July 29, 2022. These options vest over four years, with an initial 25% vesting on the employee’s start date. This grant aligns with Nasdaq listing Rule 5635(c)(4) and supports Chinook's continued growth in precision medicines for kidney diseases.

Positive

• Inducement grant of 24,700 stock options enhances employee retention and recruitment.
• Exercise price set at $18.51 is aligned with the market, ensuring value.
• Vesting schedule supports long-term employee engagement.

Negative

• None.

SEATTLE, Aug. 04, 2022 (GLOBE NEWSWIRE) -- Chinook Therapeutics, Inc. (Nasdaq: KDNY), a biopharmaceutical company focused on the discovery, development and commercialization of precision medicines for kidney diseases, today announced that the Compensation Committee of the Company’s Board of Directors approved a new employment inducement grant of stock options to purchase a total of 24,700 shares of common stock with a grant date of July 29, 2022 (the “Inducement Grant”) for one new employee.

The stock options approved under the Inducement Grant were issued on terms substantially similar to Chinook’s 2015 Equity Incentive Plan and have an exercise price per share equal to $18.51, the closing price per share of Chinook’s common stock on the grant date. The stock options vest over four years, with 25% vesting on the employee’s start date and 1/36^th of the shares vesting monthly thereafter, subject to the employee’s continued employment on each such date. The stock options have a 10-year term and are subject to the terms and conditions of the stock option agreement.

The Company granted the stock options as a material inducement to this employee for entering into employment with Chinook Therapeutics, Inc. in accordance with Nasdaq listing Rule 5635(c)(4).

About Chinook Therapeutics, Inc.
Chinook Therapeutics, Inc. is a clinical-stage biopharmaceutical company developing precision medicines for kidney diseases. Chinook’s product candidates are being investigated in rare, severe chronic kidney disorders with opportunities for well-defined clinical pathways. Chinook’s lead program is atrasentan, a phase 3 endothelin receptor antagonist for the treatment of IgA nephropathy and other proteinuric glomerular diseases. BION-1301, an anti-APRIL monoclonal antibody is being evaluated in a phase 1/2 trial for IgA nephropathy. CHK-336, an oral small molecule LDHA inhibitor for the treatment of hyperoxalurias, is being evaluated in a phase 1 healthy volunteer trial. In addition, Chinook is advancing research programs for other rare, severe chronic kidney diseases. Chinook is building its pipeline by leveraging insights in kidney single cell RNA sequencing, human-derived organoids and new translational models, to discover and develop therapeutics with differentiating mechanisms of action against key kidney disease pathways. To learn more, visit www.chinooktx.com.

 

FAQ

What is the recent stock option grant by Chinook Therapeutics (KDNY)?

Chinook Therapeutics approved a grant of stock options totaling 24,700 shares for a new employee, with an exercise price of $18.51.

When is the stock option grant dated for Chinook Therapeutics (KDNY)?

The stock option grant was dated July 29, 2022.

What is the vesting schedule for the stock options granted by Chinook Therapeutics (KDNY)?

The stock options vest over four years, with 25% vesting on the employee's start date and the remaining shares vesting monthly.

What is the significance of the stock option grant for Chinook Therapeutics (KDNY)?

The grant serves as a material inducement for attracting talent, in compliance with Nasdaq listing rules.