Passage Bio Announces Inducement Grants Under Nasdaq Listing Rule 5635(C)(4)

Rhea-AI Summary

Passage Bio (Nasdaq: PASG) announced the grant of 54,000 stock options to new employees as part of their employment inducements. The options have an exercise price of $2.20 per share, matching the stock's closing price on August 15, 2022. Vesting occurs over four years, with 25% vesting after one year and the remainder in monthly installments. This move aligns with Nasdaq Listing Rule 5635(c)(4) and reflects Passage Bio's commitment to attracting talent in the competitive biotech sector.

Positive

• Inducement awards demonstrate commitment to attracting skilled employees.
• Stock options priced at $2.20 align with market value, indicating no dilution at issuance.

Negative

• None.

PHILADELPHIA, Aug. 19, 2022 (GLOBE NEWSWIRE) -- Passage Bio, Inc. (Nasdaq: PASG), a clinical-stage genetic medicines company focused on developing transformative therapies for central nervous system (CNS) disorders, today announced it has granted inducement awards to new employees.

Passage Bio granted options to purchase 54,000 shares of common stock to these employees as material inducements to employment in accordance with Nasdaq Listing Rule 5635(c)(4). The stock options have an exercise price of $2.20 per share, which is equal to the closing price of Passage Bio’s common stock on August 15, 2022, the grant date of the options.

The shares subject to the Inducement Options will vest over four years, with 25 percent of the shares vesting on the one-year anniversary of the applicable grant date, and the remainder vesting in 36 equal monthly installments thereafter, subject to each employee’s continued employment. The stock options have a 10-year term and are subject to the terms and conditions of the stock option agreement.

About Passage Bio

Passage Bio (Nasdaq: PASG) is a clinical-stage genetic medicines company on a mission to provide life-transforming therapies for patients with CNS diseases with limited or no approved treatment options. Our portfolio spans pediatric and adult CNS indications, and we are currently advancing three clinical programs in GM1 gangliosidosis, Krabbe disease and frontotemporal dementia with several additional programs in preclinical development. Based in Philadelphia, PA, our company has established a strategic collaboration and licensing agreement with the renowned University of Pennsylvania’s Gene Therapy Program to conduct our discovery and IND-enabling preclinical work. Through this collaboration, we have enhanced access to a broad portfolio of gene therapy candidates and future gene therapy innovations that we then pair with our deep clinical, regulatory, manufacturing and commercial expertise to rapidly advance our robust pipeline of optimized gene therapies. As we work with speed and tenacity, we are always mindful of patients who may be able to benefit from our therapies. More information is available at www.passagebio.com.

For further information, please contact:

Passage Bio Investors:

Stuart Henderson
Passage Bio
267-866-0114
shenderson@passagebio.com

Passage Bio Media:
Mike Beyer
Sam Brown Inc. Healthcare Communications
312-961-2502
MikeBeyer@sambrown.com

FAQ

What are the details of the stock options granted by Passage Bio (PASG)?

Passage Bio granted 54,000 stock options to new employees with an exercise price of $2.20 per share, vesting over four years.

When was the stock option grant date for Passage Bio?

The stock options were granted on August 15, 2022.

Why did Passage Bio issue stock options?

The stock options were granted as inducements for new employees to enhance recruitment.