Paratek Announces Inducement Grants under NASDAQ Listing Rule 5635(c)(4)

Rhea-AI Summary

Paratek Pharmaceuticals (Nasdaq: PRTK) announced the grant of stock options and restricted stock units to 92 new employees on January 29, 2021. Under the 2017 Inducement Plan, these options, totaling 119,650 shares at an exercise price of $6.49, will vest over four years. Additionally, 6,000 restricted stock units will vest after 36 months. Paratek focuses on developing novel therapies for life-threatening diseases, with key products like NUZYRA and SEYSARA. The company retains commercialization rights globally except in specific regions.

Positive

• Granting stock options and restricted stock units may enhance employee retention and motivation.
• The exercise price of $6.49 is favorable compared to current market dynamics.

Negative

• Potential dilution of existing shareholders due to new stock options granted.

BOSTON, Feb. 01, 2021 (GLOBE NEWSWIRE) -- Paratek Pharmaceuticals, Inc. (Nasdaq: PRTK), a commercial-stage biopharmaceutical company focused on the development and commercialization of novel life-saving therapies for life-threatening diseases and other public health threats for civilian, government and military use, today announced that on January 29, 2021, the Company granted stock options and restricted stock units to 92 new employees of the Company. These awards were granted pursuant to the Paratek Pharmaceuticals, Inc. 2017 Inducement Plan, as amended, which was approved by the Company's board of directors on June 15, 2017, under Rule 5635(c)(4) of the NASDAQ Listing Rules, for equity grants to employees entering into employment or returning to employment after a bona fide period of non-employment with the Company, as an inducement material to such individuals entering into employment with the Company.

The stock options are to acquire, in the aggregate, 119,650 shares of the Company’s common stock at a per share exercise price of $6.49, the closing sales price on January 29, 2021, and shall vest over a four-year vesting period, under which 25% of the shares will vest after 12 months of employment, with the remaining shares vesting monthly thereafter over the remaining 36-month period, subject to the employee’s continuous service. The restricted stock units are to acquire, in the aggregate, 6,000 shares of the Company’s common stock and shall vest upon the conclusion of a 36-month vesting period, under which one hundred percent 100% of the restricted stock units will vest after 36 months of employment, subject to the employee’s continuous service. The stock options and restricted stock units are subject to the terms and conditions of the Paratek Pharmaceuticals, Inc. 2017 Inducement Plan, as amended, and the terms and conditions of the stock option agreement and restricted stock unit award agreement covering each grant.

About Paratek Pharmaceuticals, Inc.
Paratek Pharmaceuticals, Inc. is a commercial-stage biopharmaceutical company focused on the development and commercialization of novel life-saving therapies for life-threatening diseases and other public health threats for civilian, government and military use.

The company’s lead commercial product, NUZYRA® (omadacycline), is a once-daily oral and intravenous antibiotic available in the U.S. for the treatment of adults with community-acquired bacterial pneumonia and acute bacterial skin and skin structure infections. Paratek has a collaboration agreement with Zai Lab for the development and commercialization of omadacycline in the greater China region and retains all remaining global rights.

Paratek exclusively licensed U.S. rights and rights to the greater China territory for SEYSARA® (sarecycline), a once-daily oral therapy for the treatment of moderate to severe acne vulgaris, to Almirall, LLC, or Almirall. Paratek retains the development and commercialization rights for sarecycline in the rest of the world.

In 2019, Paratek was awarded a contract from the Biomedical Advanced Research and Development Authority (BARDA) to support the development of NUZYRA for the treatment of pulmonary anthrax.

For more information, visit www.ParatekPharma.com or follow @ParatekPharma on Twitter.

About NUZYRA®
NUZYRA (omadacycline) is a novel antibiotic with both once-daily oral and intravenous formulations for the treatment of community-acquired bacterial pneumonia (CABP) and acute bacterial skin and skin structure infections (ABSSSI). A modernized tetracycline, NUZYRA is specifically designed to overcome tetracycline resistance and exhibits activity across a spectrum of bacteria, including Gram-positive, Gram-negative, atypicals, and other drug-resistant strains.

Please see full Prescribing Information for NUZYRA at www.NUZYRA.com.

CONTACT:
Investor and Media Relations:     
Ben Strain     
617-807-6688     
ir@ParatekPharma.com

FAQ

What stock options were granted by Paratek Pharmaceuticals on January 29, 2021?

Paratek Pharmaceuticals granted stock options for 119,650 shares at an exercise price of $6.49.

How many employees received stock options and restricted stock units from Paratek?

92 new employees received stock options and restricted stock units.

What is the vesting period for the stock options granted by Paratek?

The stock options vest over a four-year period.

What are Paratek's lead products mentioned in the press release?

Paratek's lead products include NUZYRA and SEYSARA.

What plan governs the stock options granted by Paratek Pharmaceuticals?

The stock options were granted under the 2017 Inducement Plan.