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 as inducements for new hires, including Senior VP Eleonora Goldberg, totaling 100,000 shares for her and 76,700 shares for 16 other new employees. These stock options, with an exercise price of $5.80 per share, vest over four years, with some options becoming immediately exercisable under specific conditions. The company focuses on pioneering cancer therapies, particularly through its SINE compounds, which target nuclear export in cancer treatment and show promise in various diseases.

Positive

• Granting of stock options to new hires may enhance employee retention and motivation.
• The company's focus on cancer therapies positions it in a growing pharmaceutical sector.

Negative

• Stock options may dilute existing shareholder equity if exercised.
• The specifics of the stock options related to employee terminations may raise concerns about potential instability.

NEWTON, Mass., Sept. 1, 2021 /PRNewswire/ -- Karyopharm Therapeutics Inc. (NASDAQ: KPTI), a commercial-stage pharmaceutical company pioneering novel cancer therapies, today announced that in connection with the hiring of Eleonora Goldberg, Senior Vice President of Global Medical & Scientific Affairs,  the Compensation Committee of Karyopharm's Board of Directors granted a stock option to purchase 100,000 shares of Karyopharm's common stock to Dr. Goldberg, with a grant date of August 31, 2021. The stock option was granted as an inducement material to Dr. Goldberg entering into employment with Karyopharm in accordance with Nasdaq Listing Rule 5635(c)(4).

The Compensation Committee also granted stock options to purchase an aggregate of 76,700 shares of Karyopharm's common stock to 16 newly-hired employees, with a grant date of August 31, 2021. The stock options were granted as inducements 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 $5.80 per share, the closing price of Karyopharm's common stock on August 31, 2021. Each stock option vests 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, 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 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 agreement).

About Karyopharm Therapeutics

Karyopharm Therapeutics Inc. (NASDAQ: KPTI) is a commercial-stage pharmaceutical company pioneering novel cancer therapies and dedicated to the discovery, development, and commercialization of first-in-class drugs directed against nuclear export for the treatment of cancer and other diseases. Karyopharm's Selective Inhibitor of Nuclear Export (SINE) compounds function by binding with and inhibiting the nuclear export protein XPO1 (or CRM1). Karyopharm's lead compound, XPOVIO^® (selinexor), is approved in the U.S. in multiple hematologic malignancy indications, including in combination with Velcade^® (bortezomib) and dexamethasone for the treatment of adult patients with multiple myeloma after at least one prior therapy, in combination with dexamethasone for the treatment of adult patients with heavily pretreated multiple myeloma and as a monotherapy for the treatment of adult patients with relapsed or refractory diffuse large B-cell lymphoma. NEXPOVIO^® (selinexor) has also been granted conditional marketing authorization in combination with dexamethasone for adult patients with heavily pretreated multiple myeloma by the European Commission. In addition to single-agent and combination activity against a variety of human cancers, SINE compounds have also shown biological activity in models of neurodegeneration, inflammation, autoimmune disease, certain viruses and wound-healing. Karyopharm has several investigational programs in clinical or preclinical development. For more information, please visit www.karyopharm.com.

XPOVIO^® and NEXPOVIO^® are registered trademarks of Karyopharm Therapeutics Inc. Any other trademarks referred to in this release are the property of their respective owners.

Contacts:
Investors: Argot Partners, Joe Rayne/Matthew DeYoung, 212.600.1902 | karyopharm@argotpartners.com

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SOURCE Karyopharm Therapeutics Inc.

FAQ

What stock options were granted by Karyopharm Therapeutics on August 31, 2021?

Karyopharm granted 100,000 stock options to Eleonora Goldberg and an aggregate of 76,700 stock options to 16 other new employees.

What is the exercise price for KPTI stock options granted in September 2021?

The exercise price for the stock options is $5.80 per share.

How do Karyopharm's stock options vest?

The options vest over four years, with 25% vesting after one year and monthly vesting thereafter.

What is the significance of the stock options granted under Nasdaq Listing Rule 5635(c)(4)?

This rule allows the granting of inducement stock options as part of employment agreements for new hires.

What is Karyopharm Therapeutics focused on?

Karyopharm is focused on developing novel cancer therapies and has several investigational programs in clinical development.