Contineum Therapeutics Reports Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)
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non-qualified stock optionfinancial
A non-qualified stock option (NSO) is a contract that lets an employee or service provider buy company shares at a fixed price for a set period, like a voucher to purchase stock later at today’s price. It matters to investors because exercising NSOs creates ordinary income for the holder and can increase share count, affecting a company’s earnings and ownership mix; think of it as a future sale that can dilute existing shareholders and has immediate tax consequences for the recipient.
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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.
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An equity incentive plan is a program that gives employees, executives or directors the right to receive company stock or options to buy stock as part of their pay. Think of it as offering slices of future company profit to motivate people to boost long‑term performance; for investors it matters because it can align employee goals with shareholder value but also increases the number of shares outstanding, which can dilute existing ownership.
SAN DIEGO--(BUSINESS WIRE)--
Contineum Therapeutics, Inc. (NASDAQ: CTNM) (Contineum or the Company), a clinical-stage biopharmaceutical company pioneering differentiated therapies for the treatment of neuroscience, inflammation and immunology (NI&I) indications, today announced that on January 26, 2026 (Grant Date), the Compensation Committee of the Company’s Board of Directors granted an inducement award consisting of a non-qualified stock option to purchase 23,000 shares of Class A common stock to one new non-executive employee under the Company’s 2026 Employment Inducement Equity Incentive Plan. The award was granted as an inducement material to the new employee’s employment with the Company in accordance with Nasdaq Listing Rule 5635(c)(4).
The stock option has an exercise price equal to the closing price of the Company’s Class A common stock on the Grant Date, and will vest over 4 years, with 25% of the underlying shares vesting on the one-year anniversary of the applicable vesting commencement date and the balance of the underlying shares vesting monthly thereafter over 36 months, subject to the new non-executive employee's continued service with the Company through the applicable vesting dates. The stock option has a ten-year term and is subject to the terms and conditions of the Company’s 2026 Employment Inducement Equity Incentive Plan, and the terms and conditions of an applicable stock option agreement covering the grant.
About Contineum Therapeutics
Contineum Therapeutics (Nasdaq: CTNM) is a clinical-stage biopharmaceutical company pioneering novel, oral small molecule therapies for NI&I indications with significant unmet need. Contineum is advancing a pipeline of internally-developed programs with multiple drug candidates now in clinical trials. PIPE-791 is an LPA1 receptor antagonist in clinical development for idiopathic pulmonary fibrosis and chronic pain. PIPE-307 is a selective inhibitor of the M1 receptor in clinical development for relapsing-remitting multiple sclerosis and major depressive disorder. For more information, please visit www.contineum-tx.com.
