Mirum Pharmaceuticals Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Mirum Pharmaceuticals (Nasdaq: MIRM) announced that its Board of Directors granted stock options to five new employees, totaling 49,900 shares, under the 2020 Inducement Plan. The options have an exercise price of $19.81, reflecting the closing stock price on January 8, 2021. Vesting occurs over four years, with 25% vesting after one year. Mirum is focused on developing therapies for liver diseases, and its lead candidate, maralixibat, is under NDA submission for Alagille syndrome treatment. The company’s application for pediatric PFIC2 treatment is under review by the European Medicines Agency.

Positive

• Stock option grants to new employees may attract talent, enhancing operational capabilities.
• Lead candidate maralixibat's NDA submission indicates progress in development for Alagille syndrome.

Negative

• Stock options could dilute share value if exercised widely.
• Dependence on regulatory approval timelines creates risks for business operations.

Mirum Pharmaceuticals, Inc. (Nasdaq: MIRM), a biopharmaceutical company focused on the development and commercialization of a late-stage pipeline of novel therapies for debilitating liver diseases, today announced that on January 8, 2021, the Compensation Committee of Mirum’s Board of Directors granted non-qualified stock option awards to purchase an aggregate of 49,900 shares of common stock to five new employees under Mirum’s 2020 Inducement Plan. The Compensation Committee of Mirum’s Board of Directors approved the awards as an inducement material to the new employees’ employment in accordance with Nasdaq Listing Rule 5635(c)(4).

Each stock option has an exercise price per share equal to $19.81 per share, Mirum’s closing trading price on January 8, 2021, 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 Mirum through the applicable vesting dates. The awards are subject to the terms and conditions of Mirum’s 2020 Inducement Plan and the terms and conditions of an applicable award agreement covering the grant.

About Mirum Pharmaceuticals

Mirum Pharmaceuticals, Inc. is a clinical-stage biopharmaceutical company focused on the development and commercialization of a late-stage pipeline of novel therapies for debilitating liver diseases. Mirum’s lead product candidate, maralixibat, is an investigational oral drug in development for Alagille syndrome (ALGS), progressive familial intrahepatic cholestasis (PFIC), and biliary atresia. Mirum has initiated a rolling NDA submission for maralixibat in the treatment of cholestatic pruritus in patients with ALGS and expects to complete the submission in the first quarter of 2021. Additionally, Mirum’s marketing authorization application for the treatment of pediatric patients with PFIC2 has been accepted for review (validated) by the European Medicines Agency.

Mirum is also developing volixibat, also an oral ASBT-inhibitor, in primary sclerosing cholangitis and intrahepatic cholestasis of pregnancy. For more information, visit MirumPharma.com.

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View source version on businesswire.com: https://www.businesswire.com/news/home/20210108005580/en/

FAQ

What is the significance of the stock options granted by Mirum Pharmaceuticals on January 8, 2021?

The stock options signify the company's commitment to attracting talent, with 49,900 shares awarded to new employees, incentivizing their long-term employment.

How does Mirum Pharmaceuticals' NDA submission for maralixibat impact investors?

The NDA submission for maralixibat is a critical step towards potential market approval and revenue generation, positively influencing investor confidence.

What are the risks associated with the stock options granted by Mirum Pharmaceuticals?

The granted stock options may lead to share dilution if exercised, and the regulatory approval process can introduce uncertainties affecting stock performance.