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

Rhea-AI Summary

Sarepta Therapeutics (NASDAQ: SRPT), a leader in precision genetic medicine for rare diseases, announced the granting of equity awards on June 28, 2024, as a material inducement for employment. These grants were approved under Sarepta's 2024 Employment Commencement Incentive Plan and in accordance with Nasdaq Listing Rule 5635(c)(4). The awards consist of options to purchase 5,100 shares of common stock and 19,980 restricted stock units (RSUs) distributed among 23 new employees hired in June 2024. The stock options have an exercise price of $158.00 per share, equal to the closing price on the grant date. Vesting schedules are set for four years for both options and RSUs, contingent on continued employment.

Positive

• The equity awards can incentivize new employees and enhance retention.
• The grant price of $158.00 per share is aligned with the market price, showing transparency and fairness.

Negative

• The issuance of new shares may lead to shareholder dilution.

CAMBRIDGE, Mass.--(BUSINESS WIRE)-- Sarepta Therapeutics, Inc. (NASDAQ:SRPT), the leader in precision genetic medicine for rare diseases, granted equity awards on June 28, 2024 that were previously approved by the Compensation Committee of its Board of Directors under Sarepta’s 2024 Employment Commencement Incentive Plan, as a material inducement to employment to 23 individuals hired by Sarepta in June 2024. The equity awards were approved in accordance with Nasdaq Listing Rule 5635(c)(4).

The employees received, in the aggregate, options to purchase 5,100 shares of Sarepta's common stock, and in the aggregate 19,980 restricted stock units (“RSUs”). The options have an exercise price of $158.00 per share, which is equal to the closing price of Sarepta's common stock on June 28, 2024 (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 LinkedIn, X (formerly Twitter), 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.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240628469623/en/

Investors:

Ian Estepan, 617-274-4052

iestepan@sarepta.com

Media:

Tracy Sorrentino, 617-301-8566

tsorrentino@sarepta.com

Source: Sarepta Therapeutics, Inc.

FAQ

What are the details of Sarepta Therapeutics' inducement grants announced on June 28, 2024?

Sarepta Therapeutics announced equity awards of 5,100 stock options and 19,980 RSUs to 23 new employees, with an exercise price of $158.00 per share.

What is the vesting schedule for the new equity awards granted by Sarepta Therapeutics (SRPT)?

One-fourth of the stock options and RSUs will vest yearly over four years, contingent on continued employment.

How many shares are involved in Sarepta Therapeutics' new employee inducement grants?

The inducement grants include 5,100 stock options and 19,980 RSUs.

What is the exercise price for Sarepta Therapeutics' stock options granted on June 28, 2024?

The exercise price for the stock options is $158.00 per share.

Under which Nasdaq rule did Sarepta Therapeutics (SRPT) approve their latest equity awards?

The equity awards were approved under Nasdaq Listing Rule 5635(c)(4).