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

Rhea-AI Summary

ORIC Pharmaceuticals, a clinical-stage oncology company, has announced inducement grants under Nasdaq Listing Rule 5635(c)(4) to three new non-executive employees. The grants, made on July 1, 2024, include 34,000 non-qualified stock options and 5,600 restricted stock units, issued under the 2022 Inducement Equity Incentive Plan. The stock options have an exercise price equivalent to ORIC's common stock closing price on the grant date and will vest over a period of four years, with specific terms for both stock options and restricted units. These grants were approved by ORIC's Compensation Committee as a material inducement for employment, in line with Nasdaq regulations.

Positive

• Granted 34,000 non-qualified stock options and 5,600 restricted stock units to new employees, potentially enhancing employee retention.
• Inducement grants approved by ORIC’s Compensation Committee, ensuring compliance with Nasdaq Rule 5635(c)(4).

Negative

• None.

SOUTH SAN FRANCISCO, Calif. and SAN DIEGO, July 05, 2024 (GLOBE NEWSWIRE) -- ORIC Pharmaceuticals, Inc. (Nasdaq:ORIC), a clinical stage oncology company focused on developing treatments that address mechanisms of therapeutic resistance, today announced that on July 1, 2024 (the “Grant Date”), ORIC granted a total of 34,000 non-qualified stock options and 5,600 restricted stock units to three new non-executive employees who began their employment with ORIC in June 2024.

These inducement grants were granted pursuant to the ORIC Pharmaceuticals, Inc. 2022 Inducement Equity Incentive Plan, subject to recipient’s continued employment or service through each applicable vesting date. The stock options have an exercise price equal to the closing price of ORIC’s common stock on the Grant Date. Twenty-five percent (25%) of the shares subject to the stock options will vest on the one (1) year anniversary of the Grant Date, with one thirty-sixth (1/36^th) of the remaining shares vesting each one-month period thereafter. One-third (1/3^rd) of the restricted stock units will vest on each of the first three anniversaries of the Grant Date. The inducement grants are subject to the terms and conditions of the applicable stock option and restricted stock unit agreements and the ORIC Pharmaceuticals, Inc. 2022 Inducement Equity Incentive Plan.

The inducement grants were approved by ORIC’s Compensation 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 ORIC Pharmaceuticals, Inc.

ORIC Pharmaceuticals is a clinical stage biopharmaceutical company dedicated to improving patients’ lives by Overcoming Resistance In Cancer. ORIC’s clinical stage product candidates include (1) ORIC-114, a brain penetrant inhibitor designed to selectively target EGFR and HER2 with high potency against exon 20 insertion mutations, being developed across multiple genetically defined cancers, (2) ORIC-944, an allosteric inhibitor of the polycomb repressive complex 2 (PRC2) via the EED subunit, being developed for prostate cancer, and (3) ORIC-533, an orally bioavailable small molecule inhibitor of CD73, a key node in the adenosine pathway believed to play a central role in resistance to chemotherapy- and immunotherapy-based treatment regimens, being developed for multiple myeloma. Beyond these three product candidates, ORIC is also developing multiple precision medicines targeting other hallmark cancer resistance mechanisms. ORIC has offices in South San Francisco and San Diego, California. For more information, please go to www.oricpharma.com, and follow us on X or LinkedIn.

Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements as that term is defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release that are not purely historical are forward-looking statements. Such forward-looking statements include, among other things, statements regarding the vesting of the inducement grants; target indications for ORIC’s product candidates; the potential advantages of ORIC’s product candidates; and plans underlying ORIC’s clinical trials and development. Words such as “believes,” “anticipates,” “plans,” “expects,” “intends,” “will,” “goal,” “potential” and similar expressions are intended to identify forward-looking statements. The forward-looking statements contained herein are based upon ORIC’s current expectations and involve assumptions that may never materialize or may prove to be incorrect. Actual results could differ materially from those projected in any forward-looking statements due to numerous risks and uncertainties, including but not limited to: risks associated with the process of discovering, developing and commercializing drugs that are safe and effective for use as human therapeutics and operating as an early clinical stage company; ORIC’s ability to develop, initiate or complete preclinical studies and clinical trials for, obtain approvals for and commercialize any of its product candidates; changes in ORIC’s plans to develop and commercialize its product candidates; the potential for clinical trials of ORIC’s product candidates to differ from preclinical, initial, interim, preliminary or expected results; negative impacts of health emergencies, economic instability or international conflicts on ORIC’s operations, including clinical trials; the risk of the occurrence of any event, change or other circumstance that could give rise to the termination of ORIC’s license and collaboration agreements; the potential market for our product candidates, and the progress and success of competing therapeutics currently available or in development; ORIC’s ability to raise any additional funding it will need to continue to pursue its business and product development plans; regulatory developments in the United States and foreign countries; ORIC’s reliance on third parties, including contract manufacturers and contract research organizations; ORIC’s ability to obtain and maintain intellectual property protection for its product candidates; the loss of key scientific or management personnel; competition in the industry in which ORIC operates; general economic and market conditions; and other risks. Information regarding the foregoing and additional risks may be found in the section titled “Risk Factors” in ORIC’s Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission (the “SEC”) on May 6, 2024, and ORIC’s future reports to be filed with the SEC. These forward-looking statements are made as of the date of this press release, and ORIC assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements, except as required by law.

Contact:
Dominic Piscitelli, Chief Financial Officer
dominic.piscitelli@oricpharma.com
info@oricpharma.com

FAQ

What recent inducement grants has ORIC Pharmaceuticals announced?

ORIC Pharmaceuticals announced inducement grants of 34,000 non-qualified stock options and 5,600 restricted stock units to three new non-executive employees on July 1, 2024.

What is the vesting schedule for ORIC’s recent stock option grants?

Twenty-five percent of ORIC’s stock options will vest on the one-year anniversary of the grant date, with the remaining shares vesting monthly over the next thirty-six months.

How were the recent inducement grants by ORIC Pharmaceuticals approved?

The inducement grants were approved by ORIC’s Compensation Committee in accordance with Nasdaq Rule 5635(c)(4).

What is the exercise price for ORIC’s newly granted stock options?

The exercise price for ORIC’s newly granted stock options is equal to the closing price of ORIC’s common stock on the grant date, July 1, 2024.

What is the vesting schedule for ORIC's restricted stock units granted in July 2024?

One-third of ORIC’s restricted stock units will vest on each of the first three anniversaries of the grant date.