TransMedics Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)

Rhea-AI Summary

TransMedics Group, Inc. (TMDX) announced on February 22, 2022, that it granted non-qualified stock options for 158,500 shares to eight new employees as an inducement to join the company. These options have an exercise price of $13.28, matching the Nasdaq closing price on the grant date. The options will vest 25% after one year, with the remainder vesting monthly over the next three years. The move aims to enhance employee retention as part of the company's growth strategy in organ transplant therapy, focusing on better organ quality and utilization.

Positive

• The granting of stock options may enhance employee retention and attract talent.
• Stock options priced at $13.28 align with the market value, promoting a sense of value among employees.

Negative

• None.

ANDOVER, Mass., Feb. 25, 2022 /PRNewswire/ -- TransMedics Group, Inc. ("TransMedics") (Nasdaq: TMDX), a medical technology company that is transforming organ transplant therapy for patients with end-stage lung, heart, and liver failure, today announced that on February 22, 2022, TransMedics granted non-qualified stock options to purchase an aggregate of 158,500 shares of its common stock to eight employees as a material inducement for each employee's entry into employment with TransMedics. The options were approved by the Compensation Committee of the TransMedics Board of Directors and were granted in accordance with Nasdaq Listing Rule 5635(c)(4) and pursuant to the TransMedics Group, Inc. Inducement Plan.

TransMedics granted non-qualified stock options to eight new employees to purchase 158,500 shares of TransMedics' common stock in the aggregate. The stock options were granted with a per share exercise price of $13.28, the closing price of the common stock on the Nasdaq Global Market on the date of grant. Twenty-five percent of the shares subject to each option will vest on the first yearly anniversary of the date of the employee's start of employment, with the remainder vesting in equal monthly installments over the subsequent three year period, subject to the employee's continued service with the Company through the applicable vesting date. The options have a 10-year term and are subject to the terms of the TransMedics Group, Inc. Inducement Plan.

About TransMedics Group, Inc.
TransMedics is the world's leader in portable extracorporeal warm perfusion and assessment of donor organs for transplantation. Headquartered in Andover, Massachusetts, the company was founded to address the unmet need for more and better organs for transplantation and has developed technologies to preserve organ quality, assess organ viability prior to transplant, and potentially increase the utilization of donor organs for the treatment of end-stage heart, lung, and liver failure.

Investor Contact:
Brian Johnston
332-895-3222
Investors@transmedics.com 

 

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SOURCE TransMedics Group, Inc.

FAQ

What stock options did TransMedics grant on February 22, 2022?

TransMedics granted non-qualified stock options to purchase 158,500 shares to eight new employees.

What is the exercise price for the stock options granted by TransMedics?

The exercise price for the stock options is $13.28 per share.

What is the vesting schedule for the stock options granted by TransMedics?

25% of the shares will vest after one year, with the remainder vesting in equal monthly installments over three years.

What is the purpose of granting stock options to employees at TransMedics?

The stock options are intended as a material inducement to attract new employees and enhance retention.

Under which Nasdaq rule did TransMedics grant the stock options?

The stock options were granted in accordance with Nasdaq Listing Rule 5635(c)(4).