Pliant Therapeutics Announces Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Pliant Therapeutics (Nasdaq: PLRX) announced an inducement grant under Nasdaq Listing Rule 5635(c)(4) on June 12, 2024. The company granted stock options for 120,000 shares to Dr. Chohee Yun, the newly appointed Senior VP of Clinical Development. These options have an exercise price of $11.51 per share, aligned with the closing price on June 10, 2024. The options will vest over four years: 25% on the first anniversary and the remainder monthly over the next three years. The options have a 10-year term and are governed by the 2022 Inducement Plan.

Positive

• Grant reflects strategic hiring of a senior executive, potentially enhancing leadership in clinical development.
• Stock options align management's interest with shareholder value, possibly driving performance.
• Clear vesting schedule provides transparency and stability for investors.

Negative

• Potential dilution of shares due to issuance of 120,000 new stock options.
• Uncertainty whether Dr. Chohee Yun's performance will meet expectations, impacting stock value.

SOUTH SAN FRANCISCO, Calif., June 12, 2024 (GLOBE NEWSWIRE) -- Pliant Therapeutics, Inc. (Nasdaq: PLRX), today announced that on June 10, 2024, it granted stock options to purchase an aggregate of 120,000 shares of common stock upon vesting to Chohee Yun, M.D., the Company’s newly appointed Senior Vice President of Clinical Development as a material inducement to her employment.

The stock options that were granted are subject to an exercise price of $11.51 per share, which is equal to the closing price of the Company’s common stock on June 10, 2024, and will vest over 4 years, with 25% of the shares underlying the employee’s option vesting on the one-year anniversary of the grant date and the remaining shares thereafter vesting in monthly installments at a rate of 1/48^th of the shares underlying such stock options over the subsequent 36 months, subject to the respective employee’s continued service with the Company. The stock options have a 10-year term. This award is subject to the terms and conditions of the Company's 2022 Inducement Plan.

About Pliant Therapeutics, Inc.

Pliant Therapeutics is a late-stage biopharmaceutical company and leader in the discovery and development of novel therapeutics for the treatment of fibrotic diseases. Pliant's lead product candidate, bexotegrast (PLN-74809), is an oral, small molecule, dual selective inhibitor of αvß6 and αvß1 integrins that is in development in the lead indications for the treatment of idiopathic pulmonary fibrosis, or IPF, and primary sclerosing cholangitis, or PSC. Bexotegrast has received Fast Track Designation and Orphan Drug Designation from the U.S. Food and Drug Administration (FDA) in IPF and PSC and Orphan Drug Designation from the European Medicines Agency in IPF and PSC. Pliant has initiated BEACON-IPF, an adaptive Phase 2b/3 trial of bexotegrast in IPF. Pliant is conducting a Phase 1 study for its third clinical program, PLN-101095, a small molecule, dual-selective inhibitor of αvß8 and αvß1 integrins, that is being developed for the treatment of solid tumors. In addition, Pliant has received regulatory clearance for the conduct of a Phase 1 study of PLN-101325, a monoclonal antibody agonist of integrin α7β1 targeting muscular dystrophies.

For additional information, please visit: www.PliantRx.com. Follow us on social media: X, LinkedIn, and Facebook.

Investor and Media Contact:

Christopher Keenan
Vice President, Investor Relations and Corporate Communications
Pliant Therapeutics, Inc.
ir@pliantrx.com

FAQ

What was the exercise price of the stock options granted by Pliant Therapeutics on June 10, 2024?

The exercise price was $11.51 per share.

Who received the stock options granted by Pliant Therapeutics in June 2024?

Dr. Chohee Yun, the newly appointed Senior Vice President of Clinical Development, received the stock options.

How many shares were included in the stock options granted by Pliant Therapeutics on June 10, 2024?

An aggregate of 120,000 shares of common stock were included in the stock options.

Over what period will the stock options granted by Pliant Therapeutics vest?

The stock options will vest over four years, with 25% vesting on the one-year anniversary and the rest in monthly installments over the next three years.

Under what plan are the stock options granted by Pliant Therapeutics governed?

The stock options are governed by Pliant Therapeutics' 2022 Inducement Plan.