Vor Bio Reports Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Vor Bio (Nasdaq: VOR) announced on July 9, 2024, the issuance of stock options and restricted stock units (RSUs) to three new employees. Effective July 1, 2024, these grants are material inducements to employment under Nasdaq Listing Rule 5635(c)(4). The granted options allow for the purchase of 3,000 shares at $0.92 per share, the closing price on July 3, 2024, and have a ten-year term. Vesting occurs over four years, with 25% after 12 months and monthly thereafter. The RSUs cover 4,500 shares, also vesting over four years, with 25% after 12 months and quarterly thereafter. These grants follow the Vor Biopharma 2023 Inducement Plan.

Positive

• Granting of stock options and RSUs as an inducement to employment could attract and retain talent.
• Options have a favorable exercise price of $0.92 per share, aligned with the market closing price.

Negative

• Issuing additional stock options and RSUs may lead to shareholder dilution.

CAMBRIDGE, Mass., July 09, 2024 (GLOBE NEWSWIRE) -- Vor Bio (Nasdaq: VOR), a clinical-stage cell and genome engineering company, today announced that, effective as of July 1, 2024, the Compensation Committee of the Board of Directors granted stock options to purchase an aggregate of 3,000 shares of Vor Bio’s common stock and restricted stock units (“RSUs”) representing the right to receive an aggregate of 4,500 shares of Vor Bio’s common stock to three newly hired employees. The foregoing stock options and RSUs were granted as material inducements to employment with Vor Bio in accordance with Nasdaq Listing Rule 5635(c)(4) and were granted under the Vor Biopharma Inc. 2023 Inducement Plan (the “Inducement Plan”).

The stock options have a ten-year term and an exercise price of $0.92 per share, which is equal to the closing price of Vor Bio’s common stock on July 3, 2024. The options will vest over a four-year period, with 25% of the shares vesting after 12 months and the remaining shares vesting monthly over the following 36 months, subject to the employee’s continued employment with Vor Bio on such vesting dates. The RSUs will vest over a four-year period, with 25% of the shares vesting after 12 months and the remaining shares vesting quarterly over the following 36 months, subject to the employee’s continued employment with Vor Bio on such vesting dates. The options and RSUs are subject to the terms and conditions of the Inducement Plan and the terms and conditions of an award agreement covering the grants.

About Vor Bio
Vor Bio is a clinical-stage cell and genome engineering company that aims to change the standard of care for patients with blood cancers by engineering hematopoietic stem cells to enable targeted therapies post-transplant. For more information, visit: www.vorbio.com.

Contact:
Investors & Media
Sarah Spencer
+1 857-242-6076
sspencer@vorbio.com

FAQ

What did Vor Bio announce on July 9, 2024?

Vor Bio announced the grant of stock options and restricted stock units (RSUs) to three new employees as material inducements to employment.

What is the exercise price for the stock options granted by Vor Bio?

The exercise price for the stock options is $0.92 per share, the closing price of Vor Bio’s common stock on July 3, 2024.

How many shares are covered by the stock options granted by Vor Bio?

The stock options cover an aggregate of 3,000 shares of Vor Bio’s common stock.

What is the vesting schedule for the stock options granted by Vor Bio?

The stock options will vest over four years, with 25% of the shares vesting after 12 months and the remaining shares vesting monthly over the following 36 months.

How many shares are covered by the RSUs granted by Vor Bio?

The RSUs cover an aggregate of 4,500 shares of Vor Bio’s common stock.

What is the vesting schedule for the RSUs granted by Vor Bio?

The RSUs will vest over four years, with 25% of the shares vesting after 12 months and the remaining shares vesting quarterly over the following 36 months.

What is the potential negative impact of Vor Bio’s grant of stock options and RSUs?

The issuance could lead to shareholder dilution.

Under which plan were the stock options and RSUs granted by Vor Bio?

The stock options and RSUs were granted under the Vor Biopharma 2023 Inducement Plan.