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

Rhea-AI Summary

Sarepta Therapeutics (NASDAQ:SRPT) granted equity awards on September 30, 2022, to 43 new employees as part of its 2014 Employment Commencement Incentive Plan. The total awards included options to purchase 53,575 shares and 27,525 restricted stock units (RSUs). The options have an exercise price of $110.54 per share, matching the closing stock price on the Grant Date. Vesting for options occurs over four years, while RSUs also vest over four years, contingent on continued employment.

Positive

• Equity awards granted to 43 new employees could enhance workforce motivation and retention.
• All equity awards are compliant with Nasdaq Listing Rule 5635(c)(4), ensuring regulatory adherence.

Negative

• Equity options priced at $110.54, reflecting a higher stock price, could lead to significant dilution if stock performance does not meet expectations.

CAMBRIDGE, Mass., Sept. 30, 2022 (GLOBE NEWSWIRE) -- Sarepta Therapeutics, Inc. (NASDAQ:SRPT), the leader in precision genetic medicine for rare diseases, granted equity awards on September 30, 2022 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 43 individuals hired by Sarepta in September 2022. The equity awards were approved in accordance with Nasdaq Listing Rule 5635(c)(4).

The employees received, in the aggregate, options to purchase 53,575 shares of Sarepta's common stock, and in the aggregate 27,525 restricted stock units (“RSUs”). The options have an exercise price of $110.54 per share, which is equal to the closing price of Sarepta's common stock on September 30, 2022 (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
Sarepta is on an urgent mission: engineer precision genetic medicine for rare diseases that devastate lives and cut futures short. We hold leadership positions in Duchenne muscular dystrophy (DMD) and limb-girdle muscular dystrophies (LGMDs), and we currently have more than 40 programs in various stages of development. Our vast pipeline is driven by our multi-platform Precision Genetic Medicine Engine in gene therapy, RNA 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.

Investor Contact:
Ian Estepan, 617-274-4052
iestepan@sarepta.com

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

FAQ

What equity awards did Sarepta Therapeutics grant on September 30, 2022?

Sarepta Therapeutics granted options to purchase 53,575 shares and 27,525 restricted stock units (RSUs) to 43 new employees.

What is the exercise price of the options granted by Sarepta Therapeutics?

The exercise price of the options granted is $110.54 per share.

How is the vesting schedule structured for the equity awards at Sarepta?

Options vest one-fourth on the one-year anniversary of the Grant Date, followed by monthly vesting for four years. RSUs vest yearly on each anniversary of the Grant Date.

Is the equity award granting by Sarepta in compliance with Nasdaq rules?

Yes, the equity awards were approved in accordance with Nasdaq Listing Rule 5635(c)(4).