Avidity Biosciences Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Avidity Biosciences (RNA) has granted equity awards to 12 new non-executive employees under its 2022 Employment Inducement Incentive Award Plan. The grants include non-qualified stock options to purchase 117,000 shares and 58,500 restricted stock units (RSUs). The stock options have an exercise price of $43.65 per share, equal to the closing price on November 20, 2024. The options will vest over four years, with 25% vesting after one year and the remainder monthly over 36 months. RSUs will vest in four equal annual installments, subject to continued employment.

Positive

• Stock price at $43.65 indicates strong market valuation
• Company's ability to attract new talent with equity compensation

Negative

• Potential dilution of existing shareholders from new equity grants

SAN DIEGO, Nov. 21, 2024 /PRNewswire/ -- Avidity Biosciences, Inc. (Nasdaq: RNA), a biopharmaceutical company committed to delivering a new class of RNA therapeutics called Antibody Oligonucleotide Conjugates (AOCs™), today announced that on November 20, 2024, the Human Capital Management Committee of Avidity's Board of Directors granted non-qualified stock option awards to purchase an aggregate of 117,000 shares of its common stock and 58,500 restricted stock units ("RSUs") to twelve (12) new non-executive employees under the Avidity Biosciences, Inc. 2022 Employment Inducement Incentive Award Plan (the "2022 Inducement Plan"). The awards were granted as inducements material to the employees entering into employment with Avidity in accordance with Nasdaq Listing Rule 5635(c)(4).

The 2022 Inducement Plan is used exclusively for the grant of equity awards to individuals who were not previously employees of Avidity, or following a bona fide period of non-employment, as an inducement material to such individuals' entering into employment with Avidity, pursuant to Nasdaq Listing Rule 5635(c)(4).

The options have an exercise price of $43.65 per share, which is equal to the closing price of Avidity's common stock on The Nasdaq Global Market on November 20, 2024, or the vesting commencement date. The shares subject to the stock options will vest over four years, with 25% of the shares vesting on the one-year anniversary of the vesting commencement date and the balance of the shares vesting in a series of 36 successive equal monthly installments thereafter, subject to each employee's continued employment with Avidity on such vesting dates. The RSUs will vest in four equal installments on the first four anniversaries of the vesting commencement date, subject to each employee's continued employment with Avidity on such vesting dates. The awards are subject to the terms and conditions of the 2022 Inducement Plan and the terms and conditions of a stock option agreement or RSU agreement, as applicable, covering the grant.

About Avidity
Avidity Biosciences, Inc.'s mission is to profoundly improve people's lives by delivering a new class of RNA therapeutics - Antibody Oligonucleotide Conjugates (AOCs™). Avidity is revolutionizing the field of RNA with its proprietary AOCs, which are designed to combine the specificity of monoclonal antibodies with the precision of oligonucleotide therapies to address targets and diseases previously unreachable with existing RNA therapies. Utilizing its proprietary AOC platform, Avidity demonstrated the first-ever successful targeted delivery of RNA into muscle and is leading the field with clinical development programs for three rare neuromuscular diseases: myotonic dystrophy type 1 (DM1), Duchenne muscular dystrophy (DMD) and facioscapulohumeral muscular dystrophy (FSHD). Avidity is also advancing two wholly-owned precision cardiology development candidates addressing rare genetic cardiomyopathies. In addition, Avidity is broadening the reach of AOCs with its advancing and expanding pipeline including programs in cardiology and immunology through key partnerships. Avidity is headquartered in San Diego, CA. For more information about our AOC platform, clinical development pipeline and people, please visit www.aviditybiosciences.com and engage with us on LinkedIn and X.

Investor Contact:
Mike MacLean
(619) 837-5014
investors@aviditybio.com

Media Contact:
Navjot Rai
(619) 837-5016
media@aviditybio.com

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SOURCE Avidity Biosciences, Inc.

FAQ

What equity awards did Avidity Biosciences (RNA) grant to new employees in November 2024?

Avidity Biosciences granted 117,000 stock options and 58,500 RSUs to 12 new non-executive employees, with options priced at $43.65 per share.

What is the vesting schedule for Avidity Biosciences (RNA) stock options granted in November 2024?

The stock options vest over 4 years, with 25% vesting after one year and the remainder vesting monthly over 36 months, subject to continued employment.

What is the exercise price of Avidity Biosciences (RNA) stock options granted on November 20, 2024?

The stock options have an exercise price of $43.65 per share, equal to the closing price on Nasdaq Global Market on November 20, 2024.