Cytokinetics Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

The equity awards require continued employee service to vest.

Rhea-AI Summary

Cytokinetics (CYTK) granted stock options and restricted stock units to new employees on October 15, 2026, as employment inducements. The awards cover options to purchase 60,465 shares at $63.92 per share and 40,084 restricted stock units, settled in common shares upon vesting, for 29 employees. Options vest over four years and have a 10-year term; restricted stock units vest over three years.

Positive

• None.

Negative

• Minor point. Forward-looking: it has not happened yet and may not happen.Options covering 60,465 shares at $63.92 per share create potential dilution upon exercise.
• Minor point. Forward-looking: it has not happened yet and may not happen.40,084 restricted stock units will be settled in common shares upon vesting, diluting existing holders.

News Explained

If these granted options are exercised or RSUs vest and settle in shares, the resulting issuance would increase Cytokinetics’ share count and reduce existing holders’ percentage ownership.

Key Figures

Stock options: 60,465 shares Restricted stock units: 40,084 RSUs Employees receiving grants: 29 employees +4 more

Stock options

60,465 shares

Inducement grants announced October 19, 2026

Restricted stock units

40,084 RSUs

Settled in common shares upon vesting

Employees receiving grants

29 employees

Employment commenced in September and October 2026

Option exercise price

$63.92 per share

Equal to the October 15, 2026 closing price

RSU vesting schedule

3 years; 40% / 40% / 20%

Vesting on the first, second, and third grant anniversaries

Option vesting period

4 years

One-quarter vests after one year; remaining shares vest monthly over 36 months

Option term

10 years

Stock options granted as inducement awards

Historical Context

1 past event · Latest: Sep 17

1 event

1. Sep 17

   Inducement grants

   24h Move

   -1.6%

   Granted options and RSUs to 23 employees with three-year RSU and four-year option vesting schedules.

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

Key Terms

restricted stock units, nasdaq listing rule 5635(c)(4)

2 terms

restricted stock units financial

"40,084 restricted stock units (RSUs) that will be settled in shares"

Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.

nasdaq listing rule 5635(c)(4) regulatory

"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.

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SOUTH SAN FRANCISCO, Calif., Oct. 19, 2026 (GLOBE NEWSWIRE) -- Cytokinetics, Incorporated (Nasdaq: CYTK) today announced that on October 15, 2026 it granted stock options to purchase an aggregate of 60,465 shares of common stock and 40,084 restricted stock units (RSUs) that will be settled in shares of common stock upon vesting to 29 employees, whose employment commenced in September and October 2026 as a material inducement to their employment.

The RSUs will vest over 3 years, with 40% of the RSUs vesting on the first anniversary of the applicable grant date, an additional 40% of the RSUs vesting on the second anniversary of the grant date and the final 20% vesting on the third anniversary of the grant date, in each case, subject to each respective employee’s continued service with the Company. The stock options that were granted are subject to an exercise price of $63.92 per share, which is equal to the closing price of the Company’s common stock on October 15, 2026 and will vest over 4 years, with 1/4^th of the shares underlying the employee’s option vesting on the one-year anniversary of the grant date and the remaining shares thereafter vesting in monthly installments at a rate of 1/48^th of the shares underlying such stock options over the subsequent 36 months, subject to each respective employee’s continued service with the Company. The stock options have a 10-year term. These awards are subject to the terms and conditions of the Company's Amended and Restated 2004 Equity Incentive Plan and the applicable award agreements pursuant to which the awards were granted.

The stock options and RSUs were granted as material inducements to employment in accordance with Nasdaq Listing Rule 5635(c)(4).

About Cytokinetics

Cytokinetics is a specialty cardiovascular biopharmaceutical company, building on its over 25 years of pioneering scientific innovations in muscle biology, and advancing a pipeline of potential new medicines for patients suffering from diseases of cardiac muscle dysfunction. Cytokinetics’ MYQORZO^® (aficamten) is a cardiac myosin inhibitor approved in the U.S., China, European Union, United Kingdom and Canada for the treatment of adults with symptomatic obstructive hypertrophic cardiomyopathy (oHCM). Following positive topline results in ACACIA-HCM, a Phase 3 clinical trial of aficamten in patients with non-obstructive HCM (nHCM), the company plans to submit a Supplemental New Drug Application in Q4 2026. Cytokinetics is also developing omecamtiv mecarbil, an investigational cardiac myosin activator for the potential treatment of patients with heart failure with severely reduced ejection fraction and ulacamten, an investigational cardiac myosin inhibitor for the potential treatment of heart failure with preserved ejection fraction, while continuing pre-clinical research and development in muscle biology.

For additional information about Cytokinetics, visit www.cytokinetics.com and follow us on X, LinkedIn, Facebook and YouTube.

Disclaimer 

Omecamtiv mecarbil and ulacamten are investigational medicines. They have not been approved nor determined to be safe or efficacious for any disease state or any indication by FDA or any other regulatory agency.

Forward-Looking Statements

This press release contains forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995 (the "Act"). Cytokinetics disclaims any intent or obligation to update these forward-looking statements and claims the protection of the Act's Safe Harbor for forward-looking statements. Examples of such statements include, but are not limited to, statements relating to Cytokinetics' and its partners' research and development activities of Cytokinetics’ product candidates. Such statements are based on management's current expectations, but actual results may differ materially due to various risks and uncertainties, including, but not limited to the risks related to Cytokinetics' business outlined in Cytokinetics' filings with the Securities and Exchange Commission particularly under the caption “Risk Factors” in Cytokinetics’ latest Annual Report on Form 10-K. Forward-looking statements are not guarantees of future performance, and Cytokinetics' actual results of operations, financial condition and liquidity, and the development of the industry in which it operates, may differ materially from the forward-looking statements contained in this press release. Any forward-looking statements that Cytokinetics makes in this press release speak only as of the date of this press release. Cytokinetics assumes no obligation to update its forward-looking statements whether as a result of new information, future events or otherwise, after the date of this press release.

CYTOKINETICS® and the CYTOKINETICS C-shaped logo are registered trademarks of Cytokinetics in the U.S. and certain other countries.

MYQORZO^® is a registered trademark of Cytokinetics in the U.S., the European Union, the United Kingdom and Canada.

Contact:
Cytokinetics
Diane Weiser
Senior Vice President, Corporate Affairs
(415) 290-7757

FAQ

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

How do Cytokinetics’ October 2026 inducement restricted stock units vest?

The restricted stock units vest over 3 years: 40% on the first anniversary of the applicable grant date, 40% on the second anniversary and 20% on the third anniversary. Each installment requires the employee’s continued service.

What are the vesting and exercise terms of Cytokinetics’ October 2026 inducement stock options?

The options have a $63.92 per-share exercise price, a 10-year term and a four-year vesting schedule. One-quarter vests on the grant date’s first anniversary; the remainder vests monthly at 1/48th of the underlying shares over the subsequent 36 months, subject to continued service. The exercise price equals the stock’s October 15, 2026 closing price.