Sarepta Therapeutics Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Sarepta Therapeutics (NASDAQ:SRPT) announced the granting of equity awards to 20 new employees as an inducement to their employment on July 31, 2020. The awards included options to purchase 24,230 shares and 12,145 restricted stock units (RSUs), with an exercise price of $153.52 per share, equating to the stock's closing price on the grant date. Options will vest over four years, with RSUs vesting annually. This initiative aligns with Nasdaq Listing Rule 5635(c)(4) and reflects the company’s commitment to attracting talent in precision genetic medicine for rare diseases.

Positive

• Grants of equity awards align with Nasdaq's regulations to attract talent.
• Equity awards could enhance employee retention over the four-year vesting period.

Negative

• None.

CAMBRIDGE, Mass., July 31, 2020 (GLOBE NEWSWIRE) -- Sarepta Therapeutics, Inc. (NASDAQ:SRPT), the leader in precision genetic medicine for rare diseases, granted equity awards on July 31, 2020 that were previously approved by the Compensation Committee of its Board of Directors under Sarepta’s 2014 Employment Commencement Incentive Plan, as a material inducement to employment to 20 individuals hired by Sarepta in July 2020. The equity awards were approved in accordance with Nasdaq Listing Rule 5635(c)(4).

The employees received, in the aggregate, options to purchase 24,230 shares of Sarepta's common stock, and in the aggregate, 12,145 restricted stock units (“RSUs”). The options have an exercise price of $153.52 per share, which is equal to the closing price of Sarepta's common stock on July 31, 2020 (the “Grant Date”). One-fourth of the shares underlying each employee’s option will vest on the one-year anniversary of the Grant Date and thereafter 1/48th of the shares underlying each employee’s option will vest monthly, such that the shares underlying the option granted to each employee will be fully vested on the fourth anniversary of the Grant Date, in each case, subject to each such employee’s continued employment with Sarepta on such vesting dates.

One-fourth of the RSUs will vest yearly on each anniversary of the Grant Date, such that the RSUs granted to each employee will be fully vested on the fourth anniversary of the Grant Date, in each case, subject to each such employee’s continued employment with Sarepta on such vesting date.

About Sarepta Therapeutics
At Sarepta, we are leading a revolution in precision genetic medicine and every day is an opportunity to change the lives of people living with rare disease. The Company has built an impressive position in Duchenne muscular dystrophy (DMD) and in gene therapies for limb-girdle muscular dystrophies (LGMDs), mucopolysaccharidosis type IIIA, Charcot-Marie-Tooth (CMT), and other CNS-related disorders, with more than 40 programs in various stages of development. The Company’s programs and research focus span several therapeutic modalities, including RNA, gene therapy and gene editing. For more information, please visit www.sarepta.com or follow us on Twitter, LinkedIn, Instagram and Facebook.

Internet Posting of Information

We routinely post information that may be important to investors in the 'For Investors' section of our website at www.sarepta.com. We encourage investors and potential investors to consult our website regularly for important information about us. 

Source: Sarepta Therapeutics, Inc.

Sarepta Therapeutics, Inc.
Investors:
Ian Estepan, 617-274-4052
iestepan@sarepta.com

Media:
Tracy Sorrentino, 617-301-8566
tsorrentino@sarepta.com

FAQ

What equity awards were granted by Sarepta Therapeutics on July 31, 2020?

Sarepta granted options to purchase 24,230 shares and 12,145 restricted stock units (RSUs) to new employees.

What is the exercise price for the stock options granted by Sarepta on July 31, 2020?

The exercise price for the stock options is $153.52 per share.

How long will it take for the stock options to fully vest for new employees at Sarepta?

The stock options will fully vest over a four-year period.

What is the significance of Nasdaq Listing Rule 5635(c)(4) in relation to Sarepta's equity grants?

The rule allows companies to grant equity awards as inducements to attract new talent.