Akebia Therapeutics Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Akebia Therapeutics (Nasdaq: AKBA) granted stock options for 97,000 shares to 12 newly-hired employees on February 28, 2022. The exercise price is set at $2.16 per share, matching the stock's closing price on the grant date. These options vest over four years, with 25% vesting on the first anniversary and the remainder vesting quarterly, contingent on the employees' continued service. This grant adheres to Nasdaq Listing Rule 5635(c)(4) and aims to incentivize new talent joining the company focused on kidney disease therapeutics.

Positive

• Inducement grants may attract skilled employees to enhance business operations.

Negative

• The exercise price of $2.16 reflects a low stock valuation, potentially indicating market concerns.

News Market Reaction – AKBA

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In the trading session that priced this news, AKBA gained 8.16%, reflecting a notable positive market reaction.

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CAMBRIDGE, Mass., March 2, 2022 /PRNewswire/ -- Akebia Therapeutics, Inc. (Nasdaq: AKBA), a biopharmaceutical company with the purpose to better the lives of people impacted by kidney disease, granted 12 newly-hired employees options to purchase an aggregate of 97,000 shares of Akebia's common stock on February 28, 2022, as inducements material to each such employee's entering into employment with Akebia. The options were granted in accordance with Nasdaq Listing Rule 5635(c)(4).

The options have an exercise price of $2.16 per share, which is equal to the closing price of Akebia's common stock on the grant date. Each stock option vests over four years, with 25% of the shares vesting on the first anniversary of the grant date and the remaining 75% of shares vesting quarterly thereafter, in each case, subject to the new employee's continued service with Akebia. Each stock option has a 10-year term and is subject to the terms and conditions of Akebia's inducement award program and a stock option agreement covering the grant.

About Akebia Therapeutics

Akebia Therapeutics, Inc. is a fully integrated biopharmaceutical company with the purpose to better the lives of people impacted by kidney disease. Akebia was founded in 2007 and is headquartered in Cambridge, Massachusetts. For more information, please visit our website at www.akebia.com, which does not form a part of this release.

Akebia Therapeutics Contact

Mercedes Carrasco
mcarrasco@akebia.com 

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SOURCE Akebia Therapeutics

FAQ

What stock options did Akebia grant on February 28, 2022?

Akebia granted options to purchase 97,000 shares of common stock to 12 new employees.

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

The exercise price is $2.16 per share.

How long does it take for the stock options to vest?

The options vest over four years, with 25% vesting after one year and the remaining 75% vesting quarterly.

What is the purpose of the stock option grants by Akebia?

These grants are meant to incentivize newly hired employees as part of Akebia's efforts to enhance its workforce.

Which Nasdaq rule governs the stock options granted by Akebia?

The options were granted in accordance with Nasdaq Listing Rule 5635(c)(4).