Oportun Reports Inducement Grants under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Oportun (Nasdaq: OPRT) granted 385,268 restricted stock units to 16 employees on December 30, 2021, as part of the 2021 Inducement Equity Incentive Plan following its acquisition of Hello Digit, Inc. on December 22, 2021. The vesting periods for these stock units range from one to four years, contingent on continued employment. The grants were approved by Oportun’s Compensation and Leadership Committee as required by Nasdaq regulations and serve as a material inducement for new hires.

Positive

• Granting of 385,268 restricted stock units may enhance employee retention and motivation following the Digit acquisition.
• Acquisition of Hello Digit could provide strategic advantages and synergies to Oportun.

Negative

• Integration risks associated with the Digit acquisition could impact Oportun's performance.
• Failure to realize expected benefits from the acquisition may affect investor confidence.

SAN CARLOS, Calif., Dec. 31, 2021 (GLOBE NEWSWIRE) -- Oportun (Nasdaq:OPRT), a mission-driven fintech company, today announced that on December 30, 2021, it granted a total of 385,268 restricted stock units under the Oportun 2021 Inducement Equity Incentive Plan (the “Inducement Plan”) to 16 employees who joined Oportun as a result of the acquisition of Hello Digit, Inc. (“Digit”), which closed on December 22, 2021 (the “Closing Date”).

These inducement grants of restricted stock units vest between one and four years, subject to continued employment or service through each applicable vesting date. For grants with a one-year vesting term (covering 29,416 restricted stock units in the aggregate), fifty percent will vest on the six-month anniversary of the Closing Date with the balance vesting in two equal quarterly installments thereafter. For grants with a two-year vesting term (covering 182,809 restricted stock units in the aggregate), twenty-five percent will vest on the six-month anniversary of the Closing Date with the balance vesting in six equal quarterly installments thereafter. For grants with a three-year vesting term (covering 102,446 restricted stock units in the aggregate), 16.667% will vest on the six-month anniversary of the Closing Date, with the balance vesting in ten equal quarterly installments thereafter. For grants with four-year vesting term (covering 70,597 restricted stock units in the aggregate), 12.5% will vest on the six-month anniversary of the Closing Date, with the balance vesting in 14 equal quarterly installments thereafter. The inducement grants are subject to the terms and conditions of the Inducement Plan and applicable restricted stock unit agreements.

The inducement grants were approved by Oportun’s Compensation and Leadership Committee of the Board of Directors, as required by Nasdaq Rule 5635(c)(4), and were granted as a material inducement to employment in accordance with Nasdaq Rule 5635(c)(4).

About Oportun

Oportun (Nasdaq: OPRT) is a digital banking platform that uses A.I. to make financial health effortless for anyone. Oportun helps its 1.4 million members meet their daily borrowing, banking, savings, and investing needs. Since its inception, Oportun has provided more than $10 billion in responsible and affordable loans, and its members have set aside more than $7 billion for rainy days and other needs, saved more than $2 billion on interest and fees, and paid down more than $300 million in personal debt. In recognition of its responsibly designed products and mission to provide inclusive and affordable financial services that empower hardworking individuals to build a better future, Oportun has been certified as a Community Development Financial Institution (CDFI) since 2009.

Forward Looking Statements

This communication contains forward-looking statements regarding Oportun’s (“Oportun,” “we” or “our”) future business expectations which involve risks and uncertainties, including the terms and conditions of awards granted under the Inducement Plan. Actual results may differ materially from the results predicted, and reported results should not be considered as an indication of future performance. Forward-looking statements include all statements that are not historical facts and can be identified by terms such as “anticipate,” “assume,” “believe,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “hope,” “intend,” “may,” “might,” “objective,” “ongoing,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” or “would” or similar expressions and the negatives of those terms. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks, uncertainties and other factors relate to, among others: risks and uncertainties related to costs, expenses or difficulties related to integration of the Digit business; failure to realize the expected benefits and synergies of the Digit acquisition; inability to retain key or other personnel; changes in legislation or government regulations affecting us or Digit; and economic, financial, social or political conditions that could adversely affect us or Digit. For additional information on other potential risks and uncertainties that could cause actual results to differ from the results predicted, please see our most recent Annual Report on Form 10-K and quarterly reports on Form 10-Q filed with the Securities and Exchange Commission. All forward-looking statements contained herein are made as of the date hereof. We undertake no duty to update this information unless required by law.

Media Contact
George Gonzalez
650-769-0441
george.gonzalez@oportun.com

Investor Contact
Nils Erdmann
650-810-9074
ir@oportun.com

FAQ

What stock units were granted by Oportun on December 30, 2021?

Oportun granted a total of 385,268 restricted stock units to 16 employees as part of its Inducement Equity Incentive Plan.

What is the purpose of the restricted stock units granted by Oportun?

The stock units serve as a material inducement for employees joining Oportun following the acquisition of Hello Digit.

When was the acquisition of Hello Digit completed?

The acquisition of Hello Digit was completed on December 22, 2021.

What are the vesting terms for the restricted stock units granted by Oportun?

The restricted stock units vest over a period ranging from one to four years, based on continued employment.

Under which Nasdaq rule were the stock grants approved?

The inducement grants were approved under Nasdaq Rule 5635(c)(4).