Scholar Rock Reports New Employee Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Scholar Rock (NASDAQ: SRRK) granted inducement equity awards covering 78,576 shares of its common stock to 6 newly hired employees. The awards include stock options to purchase 44,900 shares and restricted stock units (RSUs) for 33,676 shares. The options have an exercise price of $18.07 and will vest over time. The awards are subject to the 2022 Inducement Equity Plan and the company's board of directors' approval.

CAMBRIDGE, Mass.--(BUSINESS WIRE)-- Scholar Rock (NASDAQ: SRRK; “The Company”), a Phase 3, clinical-stage biopharmaceutical company focused on the treatment of serious diseases in which protein growth factors play a fundamental role, today announced that the company granted inducement equity awards covering an aggregate of 78,576 shares of its common stock to 6 newly hired employees, consisting of inducement stock options to purchase an aggregate of 44,900 shares of common stock and inducement restricted stock units, (“RSUs”), covering an aggregate of 33,676 shares of its common stock.

The awards are subject to all terms and conditions and other provisions set forth in the Company’s 2022 Inducement Equity Plan (“The Plan”) and the award agreements thereunder.

The Plan, which was adopted by the Company’s board of directors on June 16, 2022, is used exclusively for the grant of equity awards to individuals who were not previously employees of Scholar Rock, or following a bona fide period of non-employment, as an inducement material to such individuals entering into employment with Scholar Rock, pursuant to Nasdaq Listing Rule 5635(c)(4).

The options have an exercise price of $18.07, which is equal to the closing price of Scholar Rock’s common stock on December 11, 2023. The stock option award will vest with respect to 25% of the shares of common stock underlying the award on the first anniversary of each employee’s start date, and the remaining 75% of the shares of common stock underlying the Stock Option Award will vest in 12 equal quarterly installments thereafter. Vesting for RSUs will be in four equal annual installments. All vesting related to inducement awards is subject to the employees’ continuing service at the Company through the applicable vesting date.

About Scholar Rock

Scholar Rock is a biopharmaceutical company that discovers, develops, and delivers life-changing therapies for people with serious diseases that have high unmet need. As a global leader in the biology of the transforming growth factor beta (TGFβ) superfamily of cell proteins and named for the visual resemblance of a scholar rock to protein structures, the clinical-stage company is focused on advancing innovative treatments where protein growth factors are fundamental. Over the past decade, Scholar Rock has created a pipeline with the potential to advance the standard of care for neuromuscular disease, cardiometabolic disorders, cancer, and other conditions where growth factor-targeted drugs can play a transformational role.

Scholar Rock is the only company to show clinical proof of concept for a muscle-targeted treatment in spinal muscular atrophy (SMA). This commitment to unlocking fundamentally different therapeutic approaches is powered by broad application of a proprietary platform, which has developed novel monoclonal antibodies to modulate protein growth factors with extraordinary selectivity. By harnessing cutting-edge science in disease spaces that are historically under-addressed through traditional therapies, Scholar Rock works every day to create new possibilities for patients. Learn more about our approach at ScholarRock.com and follow @ScholarRock and on LinkedIn.

Availability of Other Information About Scholar Rock

Investors and others should note that we communicate with our investors and the public using our company website www.scholarrock.com, including, but not limited to, company disclosures, investor presentations and FAQs, Securities and Exchange Commission filings, press releases, public conference call transcripts and webcast transcripts, as well as on Twitter and LinkedIn. The information that we post on our website or on Twitter or LinkedIn could be deemed to be material information. As a result, we encourage investors, the media and others interested to review the information that we post there on a regular basis. The contents of our website or social media shall not be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended.

Scholar Rock^® is a registered trademark of Scholar Rock, Inc.

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Scholar Rock:

Investors

Rushmie Nofsinger

Scholar Rock

rnofsinger@scholarrock.com

ir@scholarrock.com

857-259-5573



Media

Molly MacLeod

Scholar Rock

mmacleod@scholarrock.com

media@scholarrock.com

802-579-5995

Source: Scholar Rock

FAQ

What is the ticker symbol for Scholar Rock?

The ticker symbol for Scholar Rock is SRRK on the NASDAQ stock exchange.

How many shares of common stock were granted as inducement equity awards?

Scholar Rock granted a total of 78,576 shares of its common stock as inducement equity awards to 6 newly hired employees.

What is the exercise price of the stock options granted to the employees?

The exercise price of the stock options granted to the employees is $18.07, which is equal to the closing price of Scholar Rock’s common stock on December 11, 2023.

How will the stock options and RSUs vest?

The stock option award will vest with respect to 25% of the shares on the first anniversary of each employee’s start date, and the remaining 75% will vest in 12 equal quarterly installments. Vesting for RSUs will be in four equal annual installments.

What is the purpose of the 2022 Inducement Equity Plan?

The 2022 Inducement Equity Plan is used exclusively for the grant of equity awards to individuals who were not previously employees of Scholar Rock or following a bona fide period of non-employment, as an inducement material to such individuals entering into employment with Scholar Rock, pursuant to Nasdaq Listing Rule 5635(c)(4).