Helius Medical Technologies, Inc. Reports Inducement Grants Under Nasdaq Listing Rule 5635(C)(4)
Helius Medical Technologies (HSDT) announced that its compensation committee has approved equity awards for six new employees as part of its 2021 Inducement Plan.
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Rhea-AI Summary
Helius Medical Technologies (HSDT) announced that its compensation committee has approved equity awards for six new employees as part of its 2021 Inducement Plan. Effective October 28, 2021, these individuals will receive options to purchase a total of 22,000 shares of Class A common stock at an exercise price of $14.20 each. The options are set to vest over four years, contingent on the continuation of their employment. Helius focuses on neurotech solutions aimed at improving the lives of those affected by neurological diseases.
Positive
- Equity awards of 22,000 shares granted to six new employees, which may enhance talent retention and recruitment.
- Options vesting over four years may promote long-term commitment from new hires.
Negative
- Equity awards may dilute existing shareholders' equity as new shares are introduced into the market.
- Exercise price set at $14.20 is significantly higher than current stock performance, raising concerns about future employee motivation.
Details
News Market Reaction – HSDT
The recorded move for HSDT in the trading session of this news was +1.13%.
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NEWTOWN, Pa., Oct. 29, 2021 (GLOBE NEWSWIRE) -- Helius Medical Technologies, Inc. (Nasdaq: HSDT) (“Helius” or the “Company”), a neurotech company focused on neurological wellness, today announced that, effective October 28, 2021, its compensation committee approved equity awards under Helius’ 2021 Inducement Plan, as a material inducement to six individuals entering into employment with the Company. The equity awards were approved in accordance with Nasdaq Listing Rule 5635(c)(4), which also requires a public announcement of equity awards that are not made under a stockholder approved equity plan.
In connection with entering into employment with Helius, the six individuals, who were not previous employees or directors of Helius, received options to purchase an aggregate of 22,000 shares of the Company’s Class A common stock. The option awards have an exercise price of
About Helius Medical Technologies, Inc.
Helius Medical Technologies is a leading neurotech company in the medical device field focused on neurologic deficits using non-implantable platform technologies that amplify the brain’s ability to compensate and promote neuroplasticity, aiming to improve the lives of people dealing with neurologic diseases.
The Company’s first commercial product is the Portable Neuromodulation Stimulator (PoNS®). For more information, visit www.heliusmedical.com.
About the PoNS® Device and PoNS Therapy
The Portable Neuromodulation Stimulator (PoNS®) is an innovative non-surgical device, inclusive of a controller and mouthpiece, which delivers electrical stimulation to the surface of the tongue to provide treatment of gait deficit. The PoNS® device is indicated for use in the United States as a short-term treatment of gait deficit due to mild-to-moderate symptoms from multiple sclerosis (“MS”) and is to be used as an adjunct to a supervised therapeutic exercise program in patients 22 years of age and over by prescription only. It is authorized for sale in Canada as a class II, non-implantable, medical device intended as a short-term treatment (14 weeks) of gait deficit due to mild and moderate symptoms from MS, and chronic balance deficit due to mild-to-moderate traumatic brain injury (“mmTBI”) and is to be used in conjunction with physical therapy. The PoNS® is an investigational medical device in Australia (“AUS”) and is currently under premarket review by the AUS Therapeutic Goods Administration.
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