Assertio Holdings, Inc. Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)

Rhea-AI Summary

Assertio Holdings, Inc. (NASDAQ: ASRT), a pharmaceutical company, has announced the granting of inducement awards to two newly-hired employees. The Compensation Committee of the Company's Board of Directors approved the grants on October 1, 2024, consisting of:

• 16,325 restricted stock units (RSUs)
• 24,670 stock options

These awards were granted in accordance with NASDAQ Listing Rule 5635(c)(4) as material inducements for employment. The options have an exercise price of $1.15 per share, equal to the closing price of Assertio's common stock on the grant date. Both RSUs and options will vest equally over three years, beginning on the first anniversary of the grant date, subject to continued service with the company.

Positive

• Attracting new talent with equity-based compensation
• Aligning employee interests with company performance through stock options and RSUs

Negative

• Potential dilution of existing shareholders' equity

LAKE FOREST, Ill., Oct. 04, 2024 (GLOBE NEWSWIRE) -- Assertio Holdings, Inc. (“Assertio” or the “Company”) (NASDAQ: ASRT), a pharmaceutical company with comprehensive commercial capabilities offering differentiated products to patients, announced that effective October 1, 2024, the Compensation Committee of the Company’s Board of Directors granted two newly-hired employees a total of 16,325 restricted stock units (“RSUs”) and 24,670 stock options (“options”).

The RSUs and options were granted as inducements material to each such individual’s entry into employment with Assertio in accordance with NASDAQ Listing Rule 5635(c)(4). The RSUs and options are subject to such employees’ continued service relationship with the Company, terms and conditions substantially identical to those set forth in the Company’s 2014 Omnibus Incentive Plan and the award agreements pursuant to which they were granted. The options have an exercise price of $1.15 per share, which is equal to the closing price of Assertio’s common stock on the grant date. The RSUs and options vest equally annually over three years beginning on the first anniversary of the grant date.

About Assertio

Assertio is a commercial pharmaceutical company with comprehensive commercial capabilities offering differentiated products to patients. We have built our commercial portfolio through acquisition or licensing of approved products. Our commercial capabilities include marketing through both a sales force and a non-personal promotion model, market access through payor contracting, and trade and distribution. To learn more about Assertio visit www.assertiotx.com.

Forward Looking Statements

Statements in this communication that are not historical facts are forward-looking statements that reflect Assertio’s current expectations, assumptions and estimates of future performance and economic conditions. These forward-looking statements are made in reliance on the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements relate to, among other things, future events or the future performance or operations of Assertio, including risks related to our ability to realize the benefits from our operating model, deliver or execute on our business strategy, including to expand or diversify our asset base and market reach and drive cash flows and growth, successfully integrate new assets, and explore new business development initiatives. All statements other than historical facts may be forward-looking statements and can be identified by words such as “anticipate,” “believe,” “could,” “design,” “estimate,” “expect,” “forecast,” “goal,” “guidance,” “imply,” “intend,” “may,” “objective,” “opportunity,” “outlook,” “plan,” “position,” “potential,” “predict,” “project,” “prospective,” “pursue,” “seek,” “should,” “strategy,” “target,” “would,” “will,” “aim” or other similar expressions that convey the uncertainty of future events or outcomes and are used to identify forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond the control of Assertio, including the risks described in Assertio’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the U.S. Securities and Exchange Commission (“SEC”) and in other filings Assertio makes with the SEC from time to time.

Investors and potential investors are urged not to place undue reliance on forward-looking statements in this communication, which speak only as of this date. While Assertio may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to update or revise any forward-looking-statements contained in this press release whether as a result of new information or future events, except as may be required by applicable law.

Investor Contact:

Matt Kreps, Managing Director
Darrow Associates
M: 214-597-8200
mkreps@darrowir.com

FAQ

What type of inducement grants did Assertio Holdings (ASRT) announce on October 4, 2024?

Assertio Holdings announced the granting of 16,325 restricted stock units (RSUs) and 24,670 stock options to two newly-hired employees as inducement awards.

What is the exercise price of the stock options granted by Assertio Holdings (ASRT) on October 1, 2024?

The stock options granted by Assertio Holdings have an exercise price of $1.15 per share, which is equal to the closing price of Assertio's common stock on the grant date.

How do the RSUs and stock options vest for the new employees of Assertio Holdings (ASRT)?

The RSUs and stock options vest equally annually over three years, beginning on the first anniversary of the grant date, subject to the employees' continued service relationship with the company.

Under which NASDAQ rule did Assertio Holdings (ASRT) grant the inducement awards?

Assertio Holdings granted the inducement awards in accordance with NASDAQ Listing Rule 5635(c)(4), which allows for inducement grants to new employees outside of shareholder-approved equity plans.