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

Rhea-AI Summary

Nuwellis, Inc. (Nasdaq: NUWE) announced that the Company’s independent directors approved equity awards on February 23, 2023, under the 2021 Inducement Plan. These awards were granted as material inducements for six new hires. The equity awards consist of options to purchase a total of 2,514 shares at an exercise price of $8.27 per share, equal to the closing stock price on the grant date. The options have a ten-year term and vest over four years, with 25% vesting after one year and the remainder vesting monthly, contingent on ongoing employment.

Nuwellis focuses on the Aquadex SmartFlow system for treating fluid overload in patients.

Positive

• Approval of new equity awards, attracting talent.
• Options granted at the closing stock price offer potential growth.

Negative

• Total options granted are relatively low at 2,514 shares.
• Vesting period may limit immediate impact on workforce retention.

MINNEAPOLIS, March 01, 2023 (GLOBE NEWSWIRE) -- Nuwellis, Inc. (Nasdaq: NUWE), today announced that, effective February 23, 2023, the Company’s 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 2,514 shares of the Company’s common stock. The option awards have an exercise price of $8.27 per share, the closing price of Nuwellis’ common stock on February 23, 2023, 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 technology company dedicated to transforming the lives of patients suffering from fluid overload through science, collaboration, and innovation. The Company is focused on commercializing the Aquadex SmartFlow® system for ultrafiltration therapy. Nuwellis is headquartered in Minneapolis, with a wholly owned subsidiary in Ireland. For more information, visit www.nuwellis.com or visit us on LinkedIn.

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.

CONTACTS

INVESTORS:

Vivian Cervantes
Gilmartin Group LLC
ir@nuwellis.com

MEDIA:

Annika Parish
Health+Commerce
annika@healthcandcommerce.com

FAQ

What were the recent equity awards approved by Nuwellis (NUWE)?

On February 23, 2023, Nuwellis approved equity awards for six new hires, totaling 2,514 options.

What is the exercise price of the options granted by Nuwellis (NUWE)?

The exercise price for the options is $8.27 per share, matching the closing price on the grant date.

What is the vesting schedule for the options granted by Nuwellis (NUWE)?

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

How does the equity award relate to Nuwellis' business strategy?

The equity awards are part of Nuwellis' strategy to attract and retain talent critical for its growth in medical technology.