Taysha Gene Therapies Announces Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Taysha Gene Therapies announced on June 3, 2024, the grant of stock options to three new employees under its 2023 Inducement Plan, following Nasdaq Listing Rule 5635(c)(4). The total of 360,000 shares was offered at an exercise price of $3.62 per share, matching the closing price on the grant date. The options, with a 10-year term, will vest 25% after one year and the rest monthly over the subsequent 36 months, contingent on continued employment.

Positive

• Granted 360,000 stock options to new employees, potentially attracting and retaining talent.
• Exercise price of $3.62 per share aligns with the current market value, ensuring fair value for employees and avoiding immediate dilution concerns.
• Stock options have a long-term vesting schedule, promoting employee retention.

Negative

• Stock options could lead to future dilution of shares, impacting existing shareholders.
• Company's reliance on inducement options may indicate challenges in attracting talent without such incentives.
• No immediate revenue or profit increase from this announcement, providing no direct financial benefit to shareholders.

DALLAS, June 07, 2024 (GLOBE NEWSWIRE) -- Taysha Gene Therapies, Inc. (Nasdaq: TSHA), a clinical-stage biotechnology company focused on advancing adeno-associated virus (AAV)-based gene therapies for severe monogenic diseases of the central nervous system (CNS), today announced that, on June 3, 2024, the Compensation Committee of Taysha's Board of Directors granted three new employees, in the aggregate, options to purchase 360,000 shares of the Company's common stock in connection with their employment. The stock options were granted under the Taysha Gene Therapies, Inc. 2023 Inducement Plan as an inducement material to the individuals entering employment with Taysha in accordance with Nasdaq Listing Rule 5635(c)(4).

The stock options have an exercise price of $3.62 per share, which is equal to the closing price of Taysha's common stock on the date of grant. The stock option has a 10-year term and will vest over four years, with 25% of the option vesting on the first anniversary of the vesting commencement date and the remaining 75% of the option vesting in equal monthly installments over the 36 months thereafter. Vesting of the stock option is subject to such employee's continued service to Taysha on each vesting date.

About Taysha Gene Therapies
Taysha Gene Therapies (Nasdaq: TSHA) is a clinical-stage biotechnology company focused on advancing adeno-associated virus (AAV)-based gene therapies for severe monogenic diseases of the central nervous system. Its lead clinical program TSHA-102 is in development for Rett syndrome, a rare neurodevelopmental disorder with no approved disease-modifying therapies that address the genetic root cause of the disease. With a singular focus on developing transformative medicines, Taysha aims to address severe unmet medical needs and dramatically improve the lives of patients and their caregivers. The Company’s management team has proven experience in gene therapy development and commercialization. Taysha leverages this experience, its manufacturing process and a clinically and commercially proven AAV9 capsid in an effort to rapidly translate treatments from bench to bedside. For more information, please visit http://www.tayshagtx.com.

Company Contact:
Hayleigh Collins
Director, Head of Corporate Communications and Investor Relations
Taysha Gene Therapies, Inc.
hcollins@tayshagtx.com

Media Contact:
Carolyn Hawley
Inizio Evoke
Carolyn.hawley@inizioevoke.com

FAQ

What is the significance of Taysha Gene Therapies granting stock options under Nasdaq Listing Rule 5635(c)(4)?

The stock options were granted as an inducement for new employees to join Taysha, complying with Nasdaq Listing Rule 5635(c)(4).

How many stock options did Taysha Gene Therapies grant to new employees in June 2024?

Taysha Gene Therapies granted a total of 360,000 stock options to three new employees.

What is the exercise price of the stock options granted by Taysha Gene Therapies?

The exercise price of the stock options is $3.62 per share, equal to the closing price on the grant date.

What is the vesting schedule for the stock options granted by Taysha Gene Therapies?

The options vest 25% after one year and the remaining 75% in equal monthly installments over the next 36 months, contingent on continued employment.

When did Taysha Gene Therapies announce the stock option grant under the 2023 Inducement Plan?

The announcement was made on June 7, 2024.