MedAvail Reports Inducement Grants as Permitted by the Nasdaq Listing Rules

Rhea-AI Summary

MedAvail Holdings, Inc. (NASDAQ: MDVL) announced the approval of inducement awards on April 8, 2022, for four newly-hired executives. The awards total 853,000 shares of common stock, with each executive receiving stock options and restricted stock units (RSUs). Notably, the options have an exercise price of $1.96 per share, equal to the closing price on the grant date. The vesting schedule includes a one-year cliff for options and annual vesting for RSUs. These awards aim to attract key talent in line with Nasdaq Listing Rule 5635(c)(4).

MISSISSAUGA, Ontario & PHOENIX--(BUSINESS WIRE)-- (Nasdaq: MDVL)— MedAvail Holdings, Inc. (“MedAvail”), a technology-enabled retail pharmacy company, today announced that on April 8, 2022, the compensation committee of MedAvail’s board of directors approved the grant of inducement awards to the following newly-hired employees: Steven Hess, Executive Vice President / General Manager, SpotRx; Matthew Broome, Executive Vice President / General Manager, Technology; Robert McClune, Senior Vice President, Data & Analytics; and Craig Holtgrave, Senior Vice President, Sales & Marketing. The inducement awards consisted of inducement stock options to purchase shares of MedAvail’s common stock and inducement restricted stock units (RSUs) settleable in shares of MedAvail’s common stock. The inducement awards cover an aggregate of 853,000 shares of MedAvail’s common stock, of which: (i) Mr. Hess received an option to purchase 131,000 shares of common stock and RSUs covering 131,000 shares of common stock; (ii) Mr. Broome received an option to purchase 131,000 shares of common stock and RSUs covering 131,000 shares of common stock; (iii) Mr. McClune received an option to purchase 82,250 shares of common stock and RSUs covering 82,250 shares of common stock; and (iv) Mr. Holtgrave received an option to purchase 82,250 shares of common stock and RSUs covering 82,250 shares of common stock.

Each inducement stock option was granted on April 8, 2022 and has an exercise price of $1.96 per share, which is equal to the closing price of a share of MedAvail common stock on the grant date, and shall vest as follows: 25% of the shares subject to such inducement stock option shall vest on the one year anniversary of the date that employment commenced, and an additional one forty-eighth (1/48th) of the shares subject to such inducement stock option shall vest monthly thereafter.

Each inducement RSU award was granted on April 8, 2022 and shall vest as follows: one-third (1/3rd) of the shares subject to each inducement RSU award shall vest on the first, second and third yearly anniversaries of March 1, 2022.

Each inducement award is subject to the terms of the MedAvail Holdings, Inc. 2022 Inducement Equity Incentive Plan and related forms of agreements, and were granted as inducements material to these employees to enter into employment with MedAvail in accordance with Nasdaq Listing Rule 5635(c)(4).

About MedAvail

MedAvail Holdings, Inc. (NASDAQ: MDVL) is a technology-enabled pharmacy organization, providing turnkey in-clinic pharmacy services through its proprietary robotic dispensing platform, the MedAvail MedCenter, and home delivery operations, to Medicare clinics. MedAvail helps patients to optimize drug adherence, resulting in better health outcomes. Learn more at www.medavail.com.

SOURCE MedAvail Holdings, Inc.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220408005598/en/

Investor Relations

Caroline Paul

Gilmartin Group

ir@medavail.com

Source: MedAvail Holdings Inc.

FAQ

What inducement awards did MedAvail Holdings announce on April 8, 2022?

MedAvail announced inducement awards totaling 853,000 shares of common stock for four newly-hired executives.

What is the exercise price for the inducement stock options granted by MedAvail?

The exercise price for the inducement stock options is $1.96 per share.

How is the vesting schedule structured for the inducement awards at MedAvail?

The stock options vest 25% after one year, with the remaining shares vesting monthly. RSUs vest one-third each year over three years.

Why were the inducement awards granted to the new executives at MedAvail?

The awards were granted as inducements for the executives to join MedAvail, in accordance with Nasdaq Listing Rule 5635(c)(4).