Karyopharm Therapeutics Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Karyopharm Therapeutics (Nasdaq: KPTI) announced the granting of stock options and restricted stock units (RSUs) to newly-hired employees and Dr. Reshma Rangwala, the new Chief Medical Officer. Dr. Rangwala received options for 100,000 shares and 65,000 RSUs, while twelve other employees received a total of 36,800 stock options and 25,400 RSUs. All awards are part of the 2022 Inducement Stock Incentive Plan and have a four-year vesting schedule. Each stock option has an exercise price of $6.10, based on the closing stock price on April 29, 2022.

Positive

• Attracting experienced leadership with the hiring of Dr. Reshma Rangwala.
• Equity awards indicate Karyopharm's commitment to incentivizing key talent.

Negative

• No significant positive financial metrics or performance indicators mentioned.

NEWTON, Mass., May 2, 2022 /PRNewswire/ -- Karyopharm Therapeutics Inc. (Nasdaq: KPTI), a commercial-stage pharmaceutical company pioneering novel cancer therapies, today announced that in connection with the hiring of Reshma Rangwala, Executive Vice President, Chief Medical Officer, the Compensation Committee of Karyopharm's Board of Directors (the "Compensation Committee") granted a stock option to purchase 100,000 shares of Karyopharm's common stock and 65,000 restricted stock units ("RSUs") to Dr. Rangwala, with a grant date of April 29, 2022. 

The Compensation Committee also granted stock options to purchase an aggregate of 36,800 shares of Karyopharm's common stock and an aggregate of 25,400 RSUs to twelve newly-hired employees. These equity awards were granted as of April 29, 2022 pursuant to the Company's 2022 Inducement Stock Incentive Plan.

These equity awards were granted pursuant to the Company's 2022 Inducement Stock Incentive Plan as an inducement material to the new employees entering into employment with Karyopharm in accordance with Nasdaq Listing Rule 5635(c)(4). Each of the stock options has an exercise price of $6.10 per share, the closing price of Karyopharm's common stock on April 29, 2022. Each stock option will vest over four years, with 25% of the total number of shares underlying the stock option vesting on the one-year anniversary of the applicable employee's employment commencement date and 1/48th of the total number of shares vesting monthly thereafter. Each RSU award will vest over four years, with 25% percent of the shares underlying the RSU award vesting on each of the four consecutive anniversaries of the applicable employee's employment commencement date. The vesting of each inducement award is subject to the employee's continued service as an employee of, or other service provider to, Karyopharm through the applicable vesting dates. In addition, each stock option and RSU award will be immediately exercisable in full if, on or prior to the first anniversary of the consummation of a "change in control event," the employee's employment is terminated for "good reason" by the employee or terminated without "cause" by Karyopharm (as such terms are defined in the applicable stock option or RSU agreement).

About Karyopharm Therapeutics

Karyopharm Therapeutics Inc. (Nasdaq: KPTI) is a commercial-stage pharmaceutical company pioneering novel cancer therapies. Since its founding, Karyopharm has been the industry leader in oral Selective Inhibitor of Nuclear Export (SINE) compound technology, which was developed to address a fundamental mechanism of oncogenesis: nuclear export dysregulation. Karyopharm's lead SINE compound and first-in-class, oral exportin 1 (XPO1) inhibitor, XPOVIO® (selinexor), is approved in the U.S. and marketed by the Company in three oncology indications and has received regulatory approvals in various indications in a growing number of ex-U.S. territories and countries, including Europe and the United Kingdom (as NEXPOVIO®), China and Singapore. Karyopharm has a focused pipeline targeting multiple high unmet need cancer indications, including in endometrial cancer, myelodysplastic syndromes and myelofibrosis. For more information about our people, science and pipeline, please visit www.karyopharm.com, and follow us on Twitter at @Karyopharm and LinkedIn.

XPOVIO^® and NEXPOVIO^® are registered trademarks of Karyopharm Therapeutics Inc.

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SOURCE Karyopharm Therapeutics Inc.

FAQ

What equity awards were granted by Karyopharm on May 2, 2022?

Karyopharm granted a stock option for 100,000 shares and 65,000 RSUs to Dr. Reshma Rangwala, along with 36,800 stock options and 25,400 RSUs to twelve other employees.

What is the exercise price for the stock options granted to Karyopharm's new employees?

The exercise price for the stock options is $6.10 per share.

What is the vesting schedule for the stock options and RSUs granted by Karyopharm?

The stock options will vest over four years, with 25% vesting on the one-year anniversary and the rest monthly. RSUs will vest annually at 25% over four years.

What is Karyopharm Therapeutics known for?

Karyopharm is known for pioneering novel cancer therapies and its lead compound, XPOVIO (selinexor), which is an oral exportin 1 (XPO1) inhibitor.

How does Karyopharm's new inducement grants comply with Nasdaq rules?

The inducement grants were made in accordance with Nasdaq Listing Rule 5635(c)(4) as a material inducement for new employees.