PTC Therapeutics Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

PTC Therapeutics (NASDAQ: PTCT) has announced the approval of inducement grants for nine new employees on Sept. 8, 2024. The grants include 16,180 non-statutory stock options and 23,725 restricted stock units (RSUs). These awards are part of the new hires' compensation packages and comply with Nasdaq Listing Rule 5635(c)(4).

The stock options have an exercise price of $31.54 per share, based on the closing price on Sept. 6, 2024. They have a 10-year term and vest over four years, with 25% vesting on the first anniversary and 6.25% every three months thereafter. The RSUs also vest over four years, with 25% vesting annually. Both are subject to continued employment with PTC Therapeutics.

Positive

• Attraction of new talent with stock-based compensation
• Alignment of employee interests with company performance through equity grants

Negative

• Potential dilution of existing shareholders' equity
• Increased share-based compensation expenses

WARREN, N.J., Sept. 12, 2024 /PRNewswire/ -- PTC Therapeutics, Inc. (NASDAQ: PTCT) today announced that on Sept. 8, 2024, the company approved non-statutory stock options to purchase an aggregate of 16,180 shares of its common stock and 23,725 restricted stock units ("RSUs"), each representing the right to receive one share of its common stock upon vesting, to nine new employees. The awards were made pursuant to the Nasdaq inducement grant exception as a component of the new hires' employment compensation.

The inducement grants were approved by PTC's Compensation Committee on Sept. 8, 2024, and are being made as an inducement material to each employee's acceptance of employment with the company in accordance with Nasdaq Listing Rule 5635(c)(4).

All stock option awards have an exercise price of $31.54 per share, the closing price of PTC's common stock on Sept. 6, 2024, the immediately preceding trading day. The stock options each have a 10-year term and vest over four years, with 25% of the original number of shares vesting on the first anniversary of the applicable employee's new hire date and 6.25% of the original number of shares vesting at the end of each subsequent three-month period thereafter until fully vested, subject to the employee's continued service with the company through the applicable vesting dates. The RSUs each will vest over four years with 25% of the original number of shares vesting on each annual anniversary of the applicable employee's new hire date until fully vested, subject to the employee's continued service with the company through the applicable vesting dates.

ABOUT PTC THERAPEUTICS, INC.
PTC is a science-driven, global biopharmaceutical company focused on the discovery, development and commercialization of clinically differentiated medicines that provide benefits to patients with rare disorders. PTC's ability to innovate to identify new therapies and to globally commercialize products is the foundation that drives investment in a robust and diversified pipeline of transformative medicines. PTC's mission is to provide access to best-in-class treatments for patients who have little to no treatment options. PTC's strategy is to leverage its strong scientific and clinical expertise and global commercial infrastructure to bring therapies to patients. PTC believes this allows it to maximize value for all its stakeholders. To learn more about PTC, please visit us at www.ptcbio.com and follow us on Instagram, Facebook, Twitter, and LinkedIn. 

For more information please contact:

Jeanine Clemente
+1 (908) 912-9406
jclemente@ptcbio.com

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SOURCE PTC Therapeutics, Inc.

FAQ

How many new employees received inducement grants from PTC Therapeutics on Sept. 8, 2024?

PTC Therapeutics approved inducement grants for nine new employees on September 8, 2024.

What is the exercise price of the stock options granted by PTC Therapeutics (PTCT) in this announcement?

The stock options have an exercise price of $31.54 per share, which was the closing price of PTC's common stock on September 6, 2024.

What is the vesting schedule for the RSUs granted by PTC Therapeutics (PTCT)?

The RSUs vest over four years, with 25% of the original number of shares vesting on each annual anniversary of the employee's new hire date until fully vested.

How many stock options and RSUs did PTC Therapeutics (PTCT) grant in total?

PTC Therapeutics granted a total of 16,180 non-statutory stock options and 23,725 restricted stock units (RSUs).