Provention Bio Announces the Grant of Inducement Awards

Rhea-AI Summary

Provention Bio, Inc. (Nasdaq: PRVB) has granted stock options to a new non-executive employee for 10,000 shares of common stock, which were approved by the compensation committee without stockholder approval. The options have a 10-year term with an exercise price of $8.39, equivalent to the closing price on March 1, 2023. Vesting occurs 25% after one year and the remaining 75% in monthly installments over four years if the employee remains with the company. This move is part of the company’s strategy to attract talent as it continues its focus on advancing therapies for immune-mediated diseases.

Positive

• Stock options granted to attract new talent.
• Options are aligned with the company's strategy to enhance staff retention.

Negative

• None.

RED BANK, N.J., March 3, 2023 /PRNewswire/ -- Provention Bio, Inc. (Nasdaq: PRVB) (the "Company"), a biopharmaceutical company dedicated to intercepting and preventing immune-mediated diseases, today announced that the Company granted stock options to a new  non-executive employee to purchase an aggregate of 10,000 shares of common stock. The stock options were granted without stockholder approval as inducements, material to the new non-executive employee entering into employment with the Company, pursuant to Nasdaq Listing Rule 5635(c)(4) and were approved by the Company's compensation committee of the board of directors.

The stock options were granted with a 10-year term and an exercise price equal to $8.39 the closing price per share of the Company's common stock as reported by Nasdaq on March 1^st, 2023. Each of the options will vest 25% on the one year anniversary of the grant date and 75% in equal monthly installments thereafter so that the grant is fully vested on the four year anniversary of the grant date, provided that the new employee continues to serve as an employee of, or other service provider to, the Company on each such vesting date. The stock options are subject to the terms of the Provention Bio, Inc. 2020 Inducement Plan, as amended.

About Provention Bio, Inc.
Provention Bio, Inc. (Nasdaq: PRVB) is a commercial-stage biopharmaceutical company focused on advancing the development and commercialization of investigational therapies that may intercept and prevent debilitating and life-threatening immune-mediated diseases. The Company's pipeline includes clinical-stage product candidates that have demonstrated in pre-clinical or clinical studies proof-of-mechanism and/or proof-of-concept in autoimmune diseases, including T1D, celiac disease and lupus. Visit www.ProventionBio.com for more information and follow us on Twitter: @ProventionBio.

Internet Posting of Information:
Provention Bio, Inc. uses its website, www.proventionbio.com, as a means of disclosing material nonpublic information and for complying with its disclosure obligations under Regulation F.D. Such disclosures will be included on the Company's website in the "News" section. Accordingly, investors should monitor this portion of the Company's website, in addition to following its press releases, SEC filings and public conference calls and webcasts.

Investor Contact:
Kristen Kelleher, Senior Manager, Investor Relations
investorrelations@proventionbio.com

Media Contact:
Kaelan Hollon, VP, Corporate Communications
khollon@proventionbio.com
202-421-4921

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SOURCE Provention Bio, Inc.

FAQ

What did Provention Bio announce on March 3, 2023?

Provention Bio announced the grant of stock options for 10,000 shares to a new non-executive employee without stockholder approval.

What is the exercise price of the stock options granted by Provention Bio?

The exercise price of the stock options is $8.39, equal to the closing price on March 1, 2023.

How long is the term for the stock options granted by Provention Bio?

The stock options have a 10-year term.

What are the vesting conditions for the stock options at Provention Bio?

The options vest 25% after one year and 75% in equal monthly installments over the next three years.

Which stock option plan do the stock options at Provention Bio fall under?

The stock options are subject to the Provention Bio, Inc. 2020 Inducement Plan, as amended.