Cabaletta Bio Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

The employee awards carry a $1.43 exercise price and vest over four years.

Rhea-AI Summary

Cabaletta Bio (CABA) granted inducement stock options covering 240,200 shares to four newly hired non-executive employees to begin their employment.

The options have an exercise price of $1.43 per share, equal to the Nasdaq closing price on November 2, 2026, and a 10-year term. They vest over four years: 25% on the first anniversary of each employee’s start date, followed by 12 equal quarterly installments over the next three years. The awards were approved under Nasdaq Listing Rule 5635(c)(4) and are subject to the 2025 Inducement Plan and the option agreements.

Positive

• None.

Negative

• Minor point. Forward-looking: it has not happened yet and may not happen.Options covering 240,200 shares at $1.43 per share create potential dilution if exercised.

Key Figures

Options granted: 240,200 shares Exercise price: $1.43 per share Option term: 10 years +3 more

Options granted

240,200 shares

Aggregate non-qualified stock options

Exercise price

$1.43 per share

Equal to the November 2, 2026 Nasdaq closing price

Option term

10 years

Term for each option

Vesting period

Four years

Options vest over the employees’ service period

Initial vesting

25%

On the one-year anniversary of the employees’ start date

Remaining vesting installments

12 equal quarterly installments

Over the three years after the initial vesting date

Historical Context

1 past event · Latest: Oct 05

1 event

1. Oct 05

   Inducement grants

   24h Move

   -2.9%

   Prior grants under the 2025 Inducement Plan used ten-year options vesting over four years.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

non-qualified stock options, nasdaq listing rule 5635(c)(4)

2 terms

non-qualified stock options financial

"non-qualified stock options to purchase an aggregate of 240,200 shares"

Non-qualified stock options are a type of employee benefit that gives individuals the right to buy company shares at a set price, usually lower than the market value, within a certain period. Unlike other options that may have special tax advantages, these options are taxed as income when exercised, which can affect how much money the employee or investor ultimately gains. They are important because they can influence company compensation strategies and impact the financial outcomes for employees and investors.

nasdaq listing rule 5635(c)(4) regulatory

"approved in accordance with Nasdaq Listing Rule 5635(c)(4)"

NASDAQ Listing Rule 5635(c)(4) is a rule that requires a company to get approval from its shareholders before selling a large amount of its shares, usually over 20%. This helps protect investors by making sure the company doesn't flood the market with new shares without their say, which could lower the stock's value.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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PHILADELPHIA, Nov. 04, 2026 (GLOBE NEWSWIRE) -- Cabaletta Bio, Inc. (Nasdaq: CABA), a late-stage clinical biotechnology company focused on developing and launching curative targeted cell therapies designed specifically for patients with autoimmune diseases, today announced the grant of inducement equity awards to four newly hired non-executive employees as a material inducement to commencing their employment with the Company. The equity awards were approved in accordance with Nasdaq Listing Rule 5635(c)(4).

The inducement awards are as follows: non-qualified stock options to purchase an aggregate of 240,200 shares of the Company’s common stock with an exercise price of $1.43 per share, which is equal to the closing price of the Company’s common stock as reported by Nasdaq on November 2, 2026. Each option has a 10-year term and will vest over four years, with 25% of the underlying shares vesting on the one-year anniversary of the employees’ start date, and the remainder vesting in 12 equal quarterly installments for the three years thereafter. The stock options are subject to the terms and conditions of the Company’s 2025 Inducement Plan and the terms and conditions of the stock option agreements covering the grants.

About Cabaletta Bio
Cabaletta Bio (Nasdaq: CABA) is a late-stage clinical biotechnology company focused on developing and launching curative targeted cell therapies designed specifically for patients with autoimmune diseases. Cabaletta’s lead product candidate, rese-cel, is an investigational 4-1BB-containing fully human CD19-CAR T cell therapy being advanced across the RESET™ (REstoring SElf-Tolerance) clinical development program spanning multiple therapeutic areas, including rheumatology, neurology, and dermatology. Cabaletta Bio’s headquarters and labs are located in Philadelphia, PA. For more information, visit www.cabalettabio.com and connect with us on LinkedIn.

Contacts
Investors: investors@cabalettabio.com
Media: media@cabalettabio.com

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How many inducement stock options did Cabaletta Bio grant and at what exercise price?

Cabaletta Bio granted options to purchase 240,200 shares to four newly hired non-executive employees at an exercise price of $1.43 per share. That price equals the Nasdaq closing price on November 2, 2026.

What is the vesting schedule for Cabaletta Bio’s inducement options?

The options vest over four years, with 25% vesting on the first anniversary of each employee’s start date and the remainder in 12 equal quarterly installments over the following three years. Each option has a 10-year term.