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

Rhea-AI Summary

Avidity Biosciences, Inc. (NASDAQ: RNA) announced on April 20, 2023, that its Human Capital Management Committee granted stock options and restricted stock units (RSUs) to 12 new non-executive employees. Specifically, 58,300 stock options and 29,150 RSUs were awarded under the 2022 Employment Inducement Incentive Award Plan, in compliance with Nasdaq Listing Rule 5635(c)(4). The stock options have an exercise price of $15.75, equal to the closing stock price on the grant date. The options will vest over four years, while the RSUs will vest in four equal installments over four years. Avidity focuses on developing a new class of RNA therapeutics called Antibody Oligonucleotide Conjugates (AOCs™), with ongoing clinical trials for several conditions, including myotonic dystrophy and Duchenne muscular dystrophy.

Positive

• Inducement of 12 new employees with stock options and RSUs, enhancing talent acquisition and employee retention.
• Stock options granted at a fair market price of $15.75 per share.
• Company's ongoing clinical programs show commitment to advancing RNA therapeutics.

Negative

• None.

SAN DIEGO, April 21, 2023 /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 April 20, 2023, the Human Capital Management Committee of Avidity's Board of Directors granted non-qualified stock option awards to purchase an aggregate of 58,300 shares of its common stock and 29,150 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 $15.75 per share, which is equal to the closing price of Avidity's common stock on The Nasdaq Global Market on April 20, 2023. 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 applicable 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 applicable 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's proprietary AOCs are designed to combine the specificity of monoclonal antibodies with the precision of oligonucleotide therapies to target the root cause of diseases previously untreatable with RNA therapeutics. Avidity's advancing and expanding pipeline has three programs in clinical development. AOC 1001 is designed to treat people with myotonic dystrophy type 1 (DM1) and is currently in Phase 1/2 development with the ongoing MARINA™ and MARINA-OLE™ trials. AOC 1020 is designed to treat people living with facioscapulohumeral muscular dystrophy (FSHD) and is currently in Phase 1/2 development with the FORTITUDE™ trial. AOC 1044 is designed for people with Duchenne muscular dystrophy (DMD) mutations amenable to exon 44 skipping and is currently in Phase 1/2 development with the EXPLORE44™ trial. AOC 1044 is the first of multiple AOCs the company is developing for DMD. Avidity is also broadening the reach of AOCs beyond muscle tissues through both internal discovery efforts and key partnerships as the company continues to deliver on the RNA revolution. Avidity is headquartered in San Diego, CA. For more information about our science, pipeline and people, please visit www.aviditybiosciences.com and engage with us on LinkedIn and Twitter.

Investor Contact:
Kathleen Gallagher
(858) 401-7900 x550
investors@aviditybio.com

Media Contact:
Navjot Rai
(858) 401-7900 x550 
media@aviditybio.com

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SOURCE Avidity Biosciences, Inc.

FAQ

What are the recent stock options granted by Avidity Biosciences?

On April 20, 2023, Avidity Biosciences granted stock options to purchase 58,300 shares and 29,150 restricted stock units to 12 new non-executive employees.

What is the exercise price of Avidity's stock options?

The exercise price of the stock options is $15.75 per share.

How will the stock options vest for Avidity employees?

The stock options will vest over four years, with 25% vesting on the one-year anniversary and the remaining shares vesting in equal monthly installments.

What are Antibody Oligonucleotide Conjugates (AOCs)?

AOCs are a new class of RNA therapeutics being developed by Avidity Biosciences aimed at targeting the root cause of diseases.

What is the significance of the 2022 Inducement Plan for Avidity?

The 2022 Inducement Plan allows Avidity to offer equity awards to new employees as an inducement to join the company, under Nasdaq regulations.