Nuwellis, Inc. Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)

Rhea-AI Summary

Nuwellis, Inc. (NASDAQ: NUWE) announced on August 19, 2022, that independent directors approved equity awards under the 2021 Inducement Plan for six new employees. These awards, complying with NASDAQ Listing Rule 5635(c)(4), consist of options to purchase a total of 22,334 shares at an exercise price of $0.66 each, the closing price on the grant date. The options have a ten-year term, vesting over four years. Nuwellis specializes in ultrafiltration therapy and is focused on enhancing treatment for patients suffering from fluid overload.

Positive

• Approval of equity awards for new hires under the 2021 Inducement Plan could enhance employee retention and attract talent.
• Options granted at a competitive exercise price of $0.66, aligning new employees' interests with shareholder value.

Negative

• None.

MINNEAPOLIS, Aug. 19, 2022 (GLOBE NEWSWIRE) -- Nuwellis, Inc. (NASDAQ: NUWE), today announced that, effective August 18, 2022, the independent directors approved equity awards under Nuwellis’ 2021 Inducement Plan, as material inducements to six individuals entering into employment with the company. The equity awards were approved in accordance with NASDAQ Listing Rule 5635(c)(4), which also requires a public announcement of equity awards that are not made under a stockholder approved equity plan.

In connection with entering into employment with Nuwellis, Inc., the individuals, who were not previously employees or directors of Nuwellis, received options to purchase an aggregate of 22,334 shares of the company’s common stock. The option awards have an exercise price of $0.66 per share, the closing price of Nuwellis’ common stock on August 18, 2022, the date of the grants. The options have a ten-year term and vest over a period of four years, with 25% vesting one year after the date of grant and the remaining 75% vesting in 36 approximately equal monthly increments, provided the new hire’s employment is continuing on each such date, and subject to acceleration or forfeiture upon the occurrence of certain events as set forth in the new hire’s option agreement.

About Nuwellis

Nuwellis, Inc. (Nasdaq: NUWE) is a medical device company dedicated to transforming the lives of patients suffering from fluid overload through science, collaboration, and innovation. The company is focused on developing, manufacturing, and commercializing the Aquadex SmartFlow^® system for ultrafiltration therapy. Nuwellis is headquartered in Minneapolis, Minn., with a wholly-owned subsidiary in Ireland.

About the Aquadex SmartFlow System

The Aquadex SmartFlow system delivers clinically proven therapy using a simple, flexible and smart method of removing excess fluid from patients suffering from hypervolemia (fluid overload). The Aquadex SmartFlow system is indicated for temporary (up to 8 hours) or extended (longer than 8 hours in patients who require hospitalization) use in adult and pediatric patients weighing 20 kg or more whose fluid overload is unresponsive to medical management, including diuretics. All treatments must be administered by a health care provider, within an outpatient or inpatient clinical setting, under physician prescription, both having received training in extracorporeal therapies.

FAQ

What is the significance of Nuwellis' equity awards announcement on August 19, 2022?

The announcement details the approval of equity awards for six new employees, which may improve talent acquisition and retention.

How many shares were granted to the new hires at Nuwellis?

Nuwellis granted options to purchase an aggregate of 22,334 shares to the new employees.

What is the exercise price set for the new stock options at Nuwellis?

The exercise price for the new stock options is set at $0.66 per share.

What is the vesting schedule for the stock options awarded by Nuwellis?

The stock options vest over four years, with 25% vesting after one year and the remaining 75% vesting in approximately equal monthly increments.