Zogenix Reports Granting of Inducement Awards

Rhea-AI Summary

Zogenix (ZGNX) announced on December 15, 2021, that its compensation committee granted inducement awards to nine new non-executive employees. These awards include options to purchase 84,400 shares of common stock at an exercise price of $13.32, with a vesting period of four years. Additionally, 17,300 restricted stock units will vest in four equal annual installments, starting from the first anniversary of the commencement date. This initiative aims to attract talent under the company’s 2021 Employment Inducement Equity Incentive Award Plan.

Positive

• Inducement awards granted to nine new employees may enhance talent acquisition.
• 84,400 stock options and 17,300 restricted stock units offered may align employee interests with shareholder value.

Negative

• None.

EMERYVILLE, Calif., Dec. 16, 2021 (GLOBE NEWSWIRE) -- Zogenix (NASDAQ: ZGNX) today announced that the compensation committee of the company’s board of directors granted inducement awards to nine (9) new non-executive employees. The awards were made on December 15, 2021, under Zogenix’s 2021 Employment Inducement Equity Incentive Award Plan, which was approved by the company’s board of directors under Nasdaq Marketplace Rule 5635(c)(4), for granting equity awards to new employees of Zogenix as an inducement to join the company. The awards consist of options to purchase an aggregate of 84,400 shares of Zogenix common stock and 17,300 restricted stock units. The options have a ten year term and an exercise price equal to $13.32 the closing price per share of the common stock on the grant date, and vest over a four-year period, with 25% of the options vesting on the first anniversary of each employee’s respective start date and the remainder vesting in equal monthly installments over the three years thereafter. The restricted stock units vest over a four-year period in four equal annual installments beginning on the first anniversary of the vesting commencement date.

About Zogenix
Zogenix is a global biopharmaceutical company committed to developing and commercializing therapies with the potential to transform the lives of patients and their families living with rare diseases. The company’s first rare disease therapy, FINTEPLA^® (fenfluramine) oral solution, has been approved by the U.S. Food and Drug Administration (FDA) and the European Medicines Agency and is in development in Japan for the treatment of seizures associated with Dravet syndrome, a rare, severe lifelong epilepsy. The U.S. FDA recently accepted for filing Zogenix’s supplemental New Drug Application (sNDA) and granted Priority Review for the use of FINTEPLA for the treatment of seizures associated with an additional rare epilepsy, Lennox-Gastaut syndrome (LGS). Zogenix also plans to initiate a study of FINTEPLA in a genetic epilepsy called CDKL5 Deficiency Disorder (CDD) and is collaborating with Tevard Biosciences to identify and develop potential next-generation gene therapies for Dravet syndrome and other genetic epilepsies. The company has an additional late-stage development program, MT-1621, in a mitochondrial disease called TK2 deficiency.

CONTACTS:

Zogenix
Corporate Communications
corpcomms@zogenix.com 

Investors
Brian Ritchie 
Managing Director, LifeSci Advisors LLC
+1 (212) 915-2578 | britchie@lifesciadvisors.com   

Media
Trish McCall
Porter Novelli
+1 (805) 390-3279
trish.mccall@porternovelli.com  

FAQ

What recent awards did Zogenix grant to employees?

Zogenix granted inducement awards to nine new non-executive employees, including options for 84,400 shares and 17,300 restricted stock units.

What is the exercise price for Zogenix's stock options?

The exercise price for the stock options is $13.32, the closing price on the grant date.

How long is the vesting period for the stock options granted by Zogenix?

The stock options vest over a four-year period, with 25% vesting on the first anniversary of each employee’s start date.

What is the significance of the inducement awards for Zogenix?

The inducement awards are designed to attract and retain talent, potentially benefiting the company's growth and performance.