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

Rhea-AI Summary

On January 6, 2021, PTC Therapeutics (NASDAQ: PTCT) approved inducement grants for 10 new employees, comprising 13,465 stock options and 4,665 restricted stock units (RSUs). These grants are part of the employee's compensation and comply with NASDAQ Listing Rule 5635(c)(4). The options have an exercise price of $66.49 and a 10-year term, vesting over four years. RSUs will also vest over four years with annual anniversaries. This initiative reflects PTC's commitment to attracting talent in the biopharmaceutical sector.

Positive

• Inducement grants to 10 new employees enhance the company's talent pool.
• Stock options and RSUs provide a strong incentive for employee retention and performance.

Negative

• None.

SOUTH PLAINFIELD, N.J., Jan. 13, 2021 /PRNewswire/ -- PTC Therapeutics, Inc. (NASDAQ: PTCT) today announced that on January 6, 2021 it approved non-statutory stock options to purchase an aggregate of 13,465 shares of its common stock and 4,665 restricted stock units ("RSUs"), each representing the right to receive one share of its common stock upon vesting, to 10 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 January 6, 2021 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 $66.49 per share, the closing price of PTC's common stock on January 6, 2021, the date of the grant. 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 globally commercialize products is the foundation that drives investment in a robust pipeline of transformative medicines and our mission to provide access to best-in-class treatments for patients who have an unmet medical need. 

For more information please contact:

Media & Investors:                                                               
Jane Baj                                                                      
+1 (908) 912-9167                                                     
jbaj@ptcbio.com

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SOURCE PTC Therapeutics, Inc.

FAQ

What is the purpose of PTC Therapeutics' inducement grants on January 6, 2021?

The inducement grants were made as part of the compensation package for 10 new employees to attract and retain talent.

What are the details of the stock options granted by PTC Therapeutics?

PTC granted 13,465 stock options at an exercise price of $66.49, vesting over four years.

How many restricted stock units (RSUs) were approved by PTC Therapeutics?

PTC approved 4,665 RSUs, each vesting over a four-year period.

What is the significance of NASDAQ Listing Rule 5635(c)(4) for PTC's grants?

This rule allows PTC to grant stock options and RSUs to new employees as part of their hiring incentive.

How does employee compensation affect PTC Therapeutics' business performance?

Attracting and retaining skilled employees through competitive compensation can contribute to PTC's long-term business success.