Praxis Precision Medicines, Inc. Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Praxis Precision Medicines (Nasdaq: PRAX) has announced new equity grants under its 2024 Inducement Plan. The company's Compensation Committee approved stock options to purchase 4,050 shares and restricted stock unit awards covering 3,038 shares for three new non-executive employees on February 3, 2025.

The stock options were granted at an exercise price of $80.26 per share, matching the closing price of Praxis' common stock on the grant date. The options will vest over four years, with 25% vesting after the first year and the remainder vesting monthly over three years. The restricted stock units will vest in four equal annual installments. These grants were made as employment inducements in accordance with Nasdaq Listing Rule 5635(c)(4).

BOSTON, Feb. 04, 2025 (GLOBE NEWSWIRE) -- Praxis Precision Medicines, Inc. (Nasdaq: PRAX), a clinical-stage biopharmaceutical company translating genetic insights into the development of therapies for central nervous system (CNS) disorders characterized by neuronal excitation-inhibition imbalance, today announced that on February 3, 2025, the Compensation Committee of Praxis’ Board of Directors granted non-qualified stock option awards to purchase an aggregate of 4,050 shares of its common stock and restricted stock unit awards covering an aggregate of 3,038 shares of its common stock to three new non-executive employees under the Praxis Precision Medicines, Inc. 2024 Inducement Plan (the 2024 Inducement Plan). The stock options and restricted stock units were granted as inducements material to the employees’ entering into employment with Praxis in accordance with Nasdaq Listing Rule 5635(c)(4).

The 2024 Inducement Plan is used exclusively for the grant of equity awards to individuals who were not previously employees of Praxis, or following a bona fide period of non-employment, as an inducement material to such individuals’ entering into employment with Praxis, pursuant to Nasdaq Listing Rule 5635(c)(4).

The options have an exercise price of $80.26 per share, which is equal to the closing price of Praxis’ common stock on the Nasdaq Global Select Market on the date of grant. The options will vest over four years, with 25% of the options vesting on the first anniversary of the vesting commencement date and the remaining options vesting in equal monthly installments over the three years thereafter, subject to each employee’s continued employment with Praxis on each vesting dates. The restricted stock units will vest in four equal annual installments, subject to each employee’s continued employment with Praxis on each vesting date.

About Praxis
Praxis Precision Medicines is a clinical-stage biopharmaceutical company translating insights from genetic epilepsies into the development of therapies for CNS disorders characterized by neuronal excitation-inhibition imbalance. Praxis is applying genetic insights to the discovery and development of therapies for rare and more prevalent neurological disorders through our proprietary small molecule platform, Cerebrum™, and antisense oligonucleotide (ASO) platform, Solidus™, using our understanding of shared biological targets and circuits in the brain. Praxis has established a diversified, multimodal CNS portfolio including multiple programs across movement disorders and epilepsy, with four clinical-stage product candidates. For more information, please visit www.praxismedicines.com and follow us on Facebook, LinkedIn and Twitter/X.

FAQ

What is the exercise price of the PRAX stock options granted on February 3, 2025?

The stock options were granted with an exercise price of $80.26 per share, equal to PRAX's closing price on the Nasdaq Global Select Market on the grant date.

How many shares were included in PRAX's February 2025 inducement grants?

The inducement grants included options to purchase 4,050 shares and restricted stock unit awards covering 3,038 shares of common stock.

What is the vesting schedule for PRAX's February 2025 stock option grants?

The options vest over four years, with 25% vesting after the first year and the remaining vesting monthly over the following three years, subject to continued employment.

How do the restricted stock units vest under PRAX's February 2025 inducement grants?

The restricted stock units vest in four equal annual installments, contingent on the employee's continued employment with Praxis on each vesting date.