UroGen Pharma Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

UroGen Pharma (Nasdaq: URGN) has announced the grant of inducement restricted stock units (RSUs) and an option to 15 new employees, including Chief Commercial Officer David Lin. Up to 52,500 shares will be issued upon vesting for 14 employees, and up to 13,041 shares plus 71,942 shares upon the exercise of an option will be issued for Lin. RSUs and options vest over three years, contingent on continued employment. The exercise price for the option is set at $13.13, the closing price on June 3, 2024. These grants are under UroGen's 2019 Inducement Plan, following Nasdaq Listing Rule 5635(c)(4), to support the commercialization of Jelmyto and pipeline development.

Positive

• Grant supports commercialization of Jelmyto, UroGen's first approved product.
• Incentivizes new employees, potentially boosting productivity and retention.
• Chief Commercial Officer granted substantial shares, indicating confidence in leadership.
• Grants align with Nasdaq Listing Rule 5635(c)(4), ensuring regulatory compliance.

Negative

• Potential dilution of shares with up to 137,483 new shares issued.
• Shares issued at $13.13 may impact future share price if market conditions change.
• Long vesting period might delay immediate motivation and impact on business.

PRINCETON, N.J.--(BUSINESS WIRE)-- UroGen Pharma Ltd. (Nasdaq: URGN), a biotech company dedicated to developing and commercializing innovative solutions that treat urothelial and specialty cancers, today announced the grants of inducement restricted stock units (“RSUs”) and an option (“Option”) to 15 new employees in connection with their employment with UroGen. These new team members will support the ongoing commercialization of Jelmyto^® (mitomycin) for pyelocalyceal solution, UroGen’s first approved product, and the continued development of the Company’s pipeline.

Up to 52,500 ordinary shares of UroGen are issuable upon the vesting and settlement of RSUs granted to 14 of the 15 new employees. The RSUs will vest equally over three years, with one-third of the underlying shares vesting each year on the anniversary of the vesting date, subject in each case to the employee’s continued service relationship with UroGen.

In addition, up to 13,041 ordinary shares of UroGen are issuable upon the vesting and settlement of RSUs and up to 71,942 ordinary shares are issuable upon the vesting and exercise of an Option granted to the remaining new employee, David Lin, UroGen’s Chief Commercial Officer. The exercise price of the Option is $13.13, which was the closing price of the ordinary shares on June 3, 2024, the date of grant, as reported on The Nasdaq Stock Market. The RSUs and Option granted to Mr. Lin will vest over three years, with one-third of the underlying shares vesting each year on the anniversary of the vesting date, subject in each case to Mr. Lin’s continued service relationship with UroGen.

The RSUs and Option are subject to the terms and conditions of UroGen’s 2019 Inducement Plan, RSU grant notice and agreement thereunder and stock option grant notice and agreement thereunder. The RSUs and Option were granted as an inducement material to each employee entering into employment with UroGen in accordance with Nasdaq Listing Rule 5635(c)(4).

About UroGen Pharma Ltd.

UroGen is a biotech company dedicated to developing and commercializing innovative solutions that treat urothelial and specialty cancers because patients deserve better options. UroGen has developed RTGel^® reverse-thermal hydrogel, a proprietary sustained release, hydrogel-based platform technology that has the potential to improve therapeutic profiles of existing drugs. UroGen’s sustained release technology is designed to enable longer exposure of the urinary tract tissue to medications, making local therapy a potentially more effective treatment option. UroGen’s first commercial product Jelmyto^® (mitomycin) for pyelocalyceal solution, and investigational treatment UGN-102 (mitomycin) for intravesical solution for patients with low-grade non-muscle invasive bladder cancer, are designed to ablate tumors by non-surgical means. UroGen is headquartered in Princeton, New Jersey with operations in Israel. Visit www.urogen.com to learn more or follow us on X (Twitter), @UroGenPharma.

Jelmyto^®, RTGel^® and UroGen^® are registered trademarks of UroGen Pharma Ltd.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240607623862/en/

INVESTORS:

Vincent Perrone

vincent.perrone@urogen.com

(609) 460-3588

MEDIA:

Cindy Romano

Cindy.romano@urogen.com

(609) 460-3583

Source: UroGen Pharma Ltd.

FAQ

What did UroGen Pharma announce on June 3, 2024?

UroGen Pharma announced the grant of inducement restricted stock units (RSUs) and an option to 15 new employees, including Chief Commercial Officer David Lin.

How many shares will UroGen Pharma issue upon vesting?

Up to 52,500 shares for 14 employees and up to 13,041 shares plus 71,942 shares upon option exercise for Chief Commercial Officer David Lin.

What is the vesting period for the RSUs and options granted by UroGen Pharma?

The RSUs and options will vest over three years, with one-third vesting each year, contingent on continued employment.

What is the exercise price for the options granted by UroGen Pharma?

The exercise price for the options is $13.13, the closing price on June 3, 2024.

Under what plan and rule were the RSUs and options granted?

The RSUs and options were granted under UroGen's 2019 Inducement Plan and Nasdaq Listing Rule 5635(c)(4).