Adverum Biotechnologies Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Adverum Biotechnologies (ADVM) announced that its Compensation Committee granted inducement awards to 13 new employees on December 4, 2024. The awards include non-qualified stock options to purchase 68,640 shares and restricted stock units (RSUs) for 34,920 shares under the company's 2017 Inducement Plan.

The stock options have an exercise price of $6.00 per share, with a four-year vesting schedule: 25% vesting after one year and the remaining vesting monthly over 36 months. The RSUs will vest over three years, with 33 1/3% vesting annually, subject to continued employment.

Positive

• Company successfully attracts new talent with equity compensation packages

Negative

• Potential shareholder dilution from new equity grants

REDWOOD CITY, Calif., Dec. 06, 2024 (GLOBE NEWSWIRE) -- Adverum Biotechnologies, Inc. (Nasdaq: ADVM) today announced that on December 4, 2024, the Compensation Committee of Adverum’s Board of Directors granted inducement awards consisting of non-qualified stock options to purchase 68,640 shares of common stock and restricted stock units (RSUs) for 34,920 shares of common stock to 13 new employees under Adverum’s 2017 Inducement Plan. The Compensation Committee of Adverum’s Board of Directors approved the awards as an inducement material to the new employees’ employment in accordance with Nasdaq Listing Rule 5635(c)(4).

Each stock option has an exercise price per share equal to $6.00 per share, Adverum’s closing trading price on December 4, 2024, and will vest over four years, with 25% of the underlying shares vesting on the first anniversary of the applicable vesting commencement date and, 1/48th of the balance of the underlying shares vesting monthly thereafter over 36 months, subject to the new employee’s continued service relationship with Adverum through the applicable vesting dates. Each of the RSUs will vest over three years, with 33 1/3% of the underlying shares vesting on each anniversary of December 4, subject to the new employee’s continued service relationship with Adverum through the applicable vesting dates. The awards are subject to the terms and conditions of Adverum’s 2017 Inducement Plan and the terms and conditions of an applicable award agreement covering the grant.

About Adverum Biotechnologies

Adverum Biotechnologies (NASDAQ: ADVM) is a clinical-stage company that aims to establish gene therapy to preserve sight for life in highly prevalent ocular diseases with the aspirations of developing functional cures to restore vision and prevent blindness. Leveraging the capabilities of its proprietary intravitreal (IVT) platform, Adverum is developing durable, single-administration therapies, designed to be delivered in physicians’ offices, to eliminate the need for frequent ocular injections to treat these diseases. Adverum is evaluating its novel gene therapy candidate, ixoberogene soroparvovec (Ixo-vec, formerly referred to as ADVM-022), as a one-time, IVT injection for patients with neovascular or wet age-related macular degeneration. Additionally, by overcoming the challenges associated with current treatment paradigms for debilitating ocular diseases, Adverum aspires to transform the standard of care, preserve vision, and create a profound societal impact around the globe. For more information, please visit www.adverum.com.

Inquiries:

Adverum Investor Relations

Email: ir@adverum.com

FAQ

What inducement awards did Adverum Biotechnologies (ADVM) grant on December 4, 2024?

Adverum granted stock options for 68,640 shares and RSUs for 34,920 shares to 13 new employees.

What is the exercise price of ADVM's stock options granted on December 4, 2024?

The stock options have an exercise price of $6.00 per share, which was Adverum's closing price on December 4, 2024.

What is the vesting schedule for ADVM's December 2024 inducement RSUs?

The RSUs vest over three years, with 33 1/3% of shares vesting on each anniversary of December 4.