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

The awards include options priced at the grant-date closing price and restricted stock units, with vesting subject to continued service.

Rhea-AI Summary

Monte Rosa Therapeutics (Nasdaq: GLUE) granted inducement equity awards to four newly hired non-executive employees, effective November 2, 2026.

The awards comprise options to purchase 33,775 shares at an exercise price of $10.63 per share, equal to the Nasdaq closing price on the grant date, and restricted stock units covering 7,400 shares. Both awards vest over four years, subject to continued service. The independent compensation committee approved the awards under the 2026 Inducement Plan, outside stockholder-approved equity incentive plans, as inducements to employment under Nasdaq Listing Rule 5635(c)(4).

Positive

• None.

Negative

• Minor point. Forward-looking: it has not happened yet and may not happen.33,775 stock options with a $10.63 exercise price create potential dilution upon exercise.
• Minor point. Forward-looking: it has not happened yet and may not happen.7,400 restricted stock units create potential dilution as the awards vest.

Key Figures

New employees receiving awards: 4 employees Non-qualified stock options: 33,775 shares Option exercise price: $10.63 per share +4 more

New employees receiving awards

4 employees

Inducement equity awards

Non-qualified stock options

33,775 shares

Aggregate option awards

Option exercise price

$10.63 per share

Equal to the November 2 Nasdaq closing price

Initial option vesting

25%

On the first anniversary of the Grant Date

Subsequent option vesting

36 equal monthly installments

After the initial 25% vesting

Restricted stock units

7,400 shares

Aggregate RSU awards

RSU vesting

25% on each of the first four anniversaries

Subject to continued employee service

Historical Context

1 past event · Latest: Oct 02

1 event

1. Oct 02

   Inducement grants

   24h Move

   -2.2%

   Five hires received options and restricted stock units under the 2026 Inducement Plan.

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

4 terms

non-qualified stock options financial

"non-qualified stock options to purchase 33,775 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.

restricted stock units financial

"restricted stock units for an aggregate of 7,400 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.

molecular glue degrader technical

"developing novel molecular glue degrader (MGD)-based medicines"

A molecular glue degrader is a small drug-like molecule that acts like a tiny adhesive, sticking a specific disease-related protein to the cell’s natural disposal machinery so the protein is destroyed rather than merely blocked. Investors watch these compounds because they can turn previously untreatable targets into removable liabilities, potentially creating breakthrough therapies, shifting development risk, and offering strong commercial upside if clinical results and regulatory approval follow.

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

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BOSTON, Nov. 03, 2026 (GLOBE NEWSWIRE) -- Monte Rosa Therapeutics, Inc. (Nasdaq: GLUE), a clinical-stage biotechnology company developing novel molecular glue degrader (MGD)-based medicines, 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 employees received, in the aggregate, non-qualified stock options to purchase 33,775 shares of Monte Rosa Therapeutics common stock, par value $0.0001 per share, with an exercise price per share equal to the closing price of $10.63 as reported by Nasdaq on November 2, the effective date of the grant or the “Grant Date”, which will vest 25% on the first anniversary of the Grant Date and in 36 equal monthly installments thereafter, subject to the employee’s continued service with the Company through each applicable vesting date; and restricted stock units for an aggregate of 7,400 shares of Monte Rosa Therapeutics common stock, which will vest 25% on each of the first four anniversaries of the Grant Date, subject to the employee’s continued service with the Company through each applicable vesting date, or collectively, the Awards.

All of the above-described Awards were granted outside of stockholder-approved equity incentive plans and are pursuant to the Monte Rosa Therapeutics, Inc. 2026 Inducement Plan. The Awards were approved by the compensation committee of the board of directors, which is comprised solely of independent directors, as a material inducement to the employees entering into employment in accordance with Nasdaq Listing Rule 5635(c)(4).

About Monte Rosa

Monte Rosa Therapeutics is a clinical-stage biotechnology company developing highly selective molecular glue degrader (MGD) medicines for patients living with serious diseases. MGDs are small molecule protein degraders that have the potential to treat many diseases that other modalities, including other degraders, cannot. Monte Rosa’s QuEEN™ (Quantitative and Engineered Elimination of Neosubstrates) discovery engine combines AI-guided chemistry, diverse chemical libraries, structural biology, and proteomics to rationally design MGDs with unprecedented selectivity. Monte Rosa has developed the industry’s leading pipeline of first-in-class and only-in-class MGDs, spanning autoimmune and inflammatory diseases, oncology, and beyond, with three programs in the clinic. Monte Rosa has ongoing collaborations with leading pharmaceutical companies in the areas of immunology, oncology, and neurology. For more information, visit www.monterosatx.com.

Investors
Andrew Funderburk
ir@monterosatx.com

Media
Cory Tromblee, Scient PR
media@monterosatx.com

FAQ

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

What equity awards did Monte Rosa Therapeutics grant to new employees?

Four newly hired non-executive employees received options to purchase 33,775 shares at $10.63 per share and restricted stock units covering 7,400 shares. The awards were effective November 2, 2026, and were granted under the 2026 Inducement Plan outside stockholder-approved equity incentive plans.

How do Monte Rosa Therapeutics' November 2026 inducement awards vest?

The options vest 25% on the first anniversary of the grant date and in 36 equal monthly installments thereafter. The restricted stock units vest 25% on each of the first four anniversaries of the grant date. Each vesting installment requires continued service through the applicable vesting date.