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

Rhea-AI Summary

Sarepta Therapeutics, Inc. (NASDAQ:SRPT) announced the granting of equity awards to 42 newly hired employees as of November 30, 2022. The awards, approved by the Compensation Committee under the 2014 Employment Commencement Incentive Plan, include options to purchase 55,000 shares and 28,500 restricted stock units (RSUs). The options have an exercise price of $122.81 per share, equal to the stock's closing price on the grant date. Both the options and RSUs will vest over four years, contingent upon continued employment.

Positive

• Equity awards could enhance employee retention and motivation.
• The option exercise price reflects the stock's current market value, aligning employee interests with shareholder value.

Negative

• Granting equity awards may lead to shareholder dilution if options are exercised.

CAMBRIDGE, Mass., Nov. 30, 2022 (GLOBE NEWSWIRE) -- Sarepta Therapeutics, Inc. (NASDAQ:SRPT), the leader in precision genetic medicine for rare diseases, granted equity awards on November 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 42 individuals hired by Sarepta in November 2022. The equity awards were approved in accordance with Nasdaq Listing Rule 5635(c)(4).

The employees received, in the aggregate, options to purchase 55,000 shares of Sarepta's common stock, and in the aggregate 28,500 restricted stock units (“RSUs”). The options have an exercise price of $122.81 per share, which is equal to the closing price of Sarepta's common stock on November 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 November 30, 2022?

Sarepta Therapeutics granted options to purchase 55,000 shares and 28,500 restricted stock units (RSUs) to 42 new hires.

What is the exercise price for the new equity awards at Sarepta?

The exercise price for the options is $122.81 per share, equal to the closing price on the grant date.

How long will the equity awards vest for Sarepta employees?

Both options and RSUs will vest over a four-year period, subject to continued employment.

Which rule did Sarepta comply with for granting equity awards?

Sarepta complied with Nasdaq Listing Rule 5635(c)(4) for the equity awards.