Societal CDMO Reports Inducement Grants for New Staff
Societal CDMO (SCTL) announced the hiring of new employees to fill various open roles. In connection with this, the board approved inducement stock option grants totaling 87,690 shares, aimed at incentivizing the new hires. These options are priced at the closing stock price on June 30, 2022, vesting over four years. The company specializes in providing comprehensive manufacturing solutions in small molecule therapeutic development, with facilities across the U.S.
Additionally, the press release includes a cautionary note on forward-looking statements and various operational risks.
- Inducement stock option grants of 87,690 shares to attract new talent.
- Strong focus on small molecule therapeutic development with extensive capability.
- Potential risks related to maintaining compliance with NASDAQ listing standards.
- Market and economic uncertainties impacting customer demand and inventory management.
SAN DIEGO and GAINESVILLE, Ga., July 07, 2022 (GLOBE NEWSWIRE) -- Societal CDMO, Inc. (“Societal CDMO”; NASD: SCTL), a contract development and manufacturing organization (CDMO) dedicated to solving complex formulation and manufacturing challenges primarily in small molecule therapeutic development, today announced the addition of new employees to fill open roles throughout the organization.
Inducement Equity Award
In connection with the hiring of these personnel, the compensation committee of Societal CDMO’s board of directors approved inducement stock option grants to purchase an aggregate of 87,690 shares of Societal CDMO’s common stock. The option awards were granted pursuant to the NASDAQ inducement grant exception as a component of each individual’s employment compensation and were granted as an inducement material to his or her acceptance of employment with Societal CDMO in accordance with NASDAQ Listing Rule 5635(c)(4). The option awards were granted on June 30, 2022. The option awards will have an exercise price equal to the closing price of Societal CDMO’s common stock on June 30, 2022 and a ten-year term and will vest in equal monthly installments over four years. The option awards are subject to each individual’s continued service with Societal CDMO through the applicable vesting dates.
About Societal CDMO
Societal CDMO (NASDAQ: SCTL) is a bi-coastal contract development and manufacturing organization (CDMO) with capabilities spanning pre-Investigational New Drug (IND) development to commercial manufacturing and packaging for a wide range of therapeutic dosage forms with a primary focus in the area of small molecules. With an expertise in solving complex manufacturing problems, Societal CDMO is a leading CDMO providing therapeutic development, end-to-end regulatory support, clinical and commercial manufacturing, aseptic fill/finish, lyophilization, packaging and logistics services to the global pharmaceutical market.
In addition to our experience in handling DEA controlled substances and developing and manufacturing modified-release dosage forms, Societal CDMO has the expertise to deliver on our clients’ pharmaceutical development and manufacturing projects, regardless of complexity level. We do all of this in our best-in-class facilities, which total 145,000 square feet, in Gainesville, Georgia and San Diego, California.
Societal CDMO: Bringing Science to Society. For more information about Societal CDMO’s customer solutions, visit societalcdmo.com.
Cautionary Statement Regarding Forward Looking Statements
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements, among other things, relate to the Company’s ability to manage costs and to achieve its financial goals; to operate under increased leverage and associated lending covenants; to pay its debt under its credit agreement and to maintain relationships with CDMO commercial partners and develop additional commercial partnerships. The words "anticipate", "believe", "could", "estimate", “upcoming”, "expect", "intend", "may", "plan", "predict", "project", "will" and similar terms and phrases may be used to identify forward-looking statements in this press release. Our operations involve risks and uncertainties, many of which are outside our control, and any one of which, or a combination of which, could materially affect our results of operations and whether the forward-looking statements ultimately prove to be correct. Factors that could cause the Company’s actual outcomes to differ materially from those expressed in or underlying these forward-looking statements include the ongoing economic and social consequences of the COVID-19 pandemic, including any adverse impact on the customer ordering patterns or inventory rebalancing or disruption in raw materials or supply chain; the Company’s ability to regain, and maintain, compliance with the Nasdaq continued listing standards; demand for the Company’s services, which depends in part on customers’ research and development and the clinical plans and market success of their products; customers' changing inventory requirements and manufacturing plans; customers and prospective customers decisions to move forward with the Company’s manufacturing services; the average profitability, or mix, of the products the Company manufactures; the Company’s ability to enhance existing or introduce new services in a timely manner; fluctuations in the costs, availability, and suitability of the components of the products the Company manufactures, including active pharmaceutical ingredients, excipients, purchased components and raw materials, or the Company’s customers facing increasing or new competition. These forward-looking statements should be considered together with the risks and uncertainties that may affect our business and future results presented herein along with those risks and uncertainties discussed in our filings with the Securities and Exchange Commission at www.sec.gov. These forward-looking statements are based on information currently available to us, and we assume no obligation to update any forward-looking statements except as required by applicable law.
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