Kura Oncology Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Kura Oncology announced the granting of inducement awards under Nasdaq Listing Rule 5635(c)(4). On June 3, 2024, the Compensation Committee awarded nonstatutory stock options to purchase 152,500 shares of common stock to eight new employees under the 2023 Inducement Option Plan. The exercise price for each option is $21.19 per share, matching the closing sales price on the grant date. The options vest over four years—25% after one year and the remainder monthly over the next 36 months, contingent on continued employment. These inducement awards aim to attract and retain talent effectively.

Positive

• Granted inducement awards to attract new employees.
• Stock options priced at $21.19 align with market value.
• Four-year vesting schedule encourages long-term commitment.
• 152,500 shares issued, indicating significant talent acquisition.

Negative

• Inducement stock options may lead to shareholder dilution.
• Options contingent on continued service may create uncertainties.
• No immediate business impact or revenue generation from this action.

SAN DIEGO, June 07, 2024 (GLOBE NEWSWIRE) -- Kura Oncology, Inc. (the “Company”) (Nasdaq: KURA), a clinical-stage biopharmaceutical company committed to realizing the promise of precision medicines for the treatment of cancer, today announced that on June 3, 2024, the Compensation Committee of the Company’s Board of Directors (the “Compensation Committee”) granted inducement awards consisting of nonstatutory stock options to purchase 152,500 shares of common stock to eight (8) new employees under the Company’s 2023 Inducement Option Plan. The Compensation Committee approved the stock options as an inducement material to such employees’ employment in accordance with Nasdaq Listing Rule 5635(c)(4).

Each stock option has an exercise price per share equal to $21.19 per share, the Company’s closing sales price on June 3, 2024, and will vest over four years, with 25% of the underlying shares vesting on the one-year anniversary of the applicable vesting commencement date and the balance of the underlying shares vesting monthly thereafter over 36 months, subject to the new employees’ continued service relationship with the Company through the applicable vesting dates. The stock options are subject to the terms and conditions of the Company’s 2023 Inducement Option Plan and the terms and conditions of an applicable stock option agreement covering the grant.

About Kura Oncology

Kura Oncology is a clinical-stage biopharmaceutical company committed to realizing the promise of precision medicines for the treatment of cancer. The Company’s pipeline consists of small molecule drug candidates that target cancer signaling pathways. Ziftomenib, a once-daily, oral drug candidate targeting the menin-KMT2A protein-protein interaction, has received Breakthrough Therapy Designation for the treatment of R/R NPM1-mutant AML. Kura is currently enrolling patients in a Phase 2 registration-directed trial of ziftomenib in NPM1-mutant R/R AML (KOMET-001). The Company is also conducting a series of clinical trials to evaluate ziftomenib in combination with current standards of care in NPM1-mutant and KMT2A-rearranged newly diagnosed and R/R AML. Tipifarnib, a potent and selective FTI, is currently in a Phase 1/2 trial in combination with alpelisib for patients with PIK3CA-dependent HNSCC (KURRENT-HN). Kura is also evaluating KO-2806, a next-generation FTI, in a Phase 1 dose-escalation trial as a monotherapy and in combination with targeted therapies (FIT-001). For additional information, please visit Kura’s website at https://kuraoncology.com/ and follow us on X and LinkedIn.

Contacts

Investors:
Pete De Spain
Executive Vice President, Investor Relations &
Corporate Communications
(858) 500-8833
pete@kuraoncology.com

Media:
Alexandra Weingarten
Associate Director, Corporate Communications &
Investor Relations
(858) 500-8822
alexandra@kuraoncology.com

FAQ

What did Kura Oncology announce on June 7, 2024?

Kura Oncology announced the granting of inducement awards to eight new employees under Nasdaq Listing Rule 5635(c)(4).

What is the exercise price for Kura Oncology's inducement stock options granted on June 3, 2024?

The exercise price for the stock options is $21.19 per share.

How many shares are involved in Kura Oncology's inducement stock options granted to new employees?

The inducement stock options involve 152,500 shares of common stock.

Under which plan were the inducement stock options granted by Kura Oncology?

The inducement stock options were granted under Kura Oncology's 2023 Inducement Option Plan.

What is the vesting schedule for Kura Oncology's inducement stock options?

The stock options vest over four years—25% after the first year and the remaining monthly over the next 36 months, subject to continued service.