Insmed Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)

Rhea-AI Summary

Insmed announced inducement grants to 150 new employees under its 2025 Inducement Plan, complying with Nasdaq Listing Rule 5635(c)(4). On May 30, 2025, the employees received 155,822 restricted stock units and options to purchase 16,860 shares at $69.73 per share. The restricted stock units follow a four-year vesting schedule with 25% vesting annually. The stock options have a 10-year term with 25% vesting after the first year and 12.5% vesting every six months thereafter, subject to continued employment.

Positive

• Company is expanding workforce with 150 new employees
• Stock-based compensation aligns employee interests with shareholders
• Long-term vesting schedule helps with employee retention

Negative

• Potential dilution from 155,822 RSUs and 16,860 stock options
• Additional compensation expenses will impact financial statements

News Market Reaction

-1.29%

1 alert

-1.29% News Effect

On the day this news was published, INSM declined 1.29%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

BRIDGEWATER, N.J., June 4, 2025 /PRNewswire/ -- Insmed Incorporated (Nasdaq: INSM), a people-first global biopharmaceutical company striving to deliver first- and best-in-class therapies to transform the lives of patients facing serious diseases, today announced the granting of inducement awards to 150 new employees. The awards were granted under the Insmed Incorporated 2025 Inducement Plan, which is intended to meet the requirements of a plan providing for inducement grants under Nasdaq Listing Rule 5635(c)(4). The awards were approved by Insmed's Compensation Committee and made as a material inducement to each employee's entry into employment with the Company.

In connection with the commencement of their employment, on May 30, 2025, the employees received 155,822 restricted stock units and options to purchase an aggregate 16,860 shares of Insmed common stock at an exercise price of $69.73 per share, the closing trading price on the Nasdaq Global Select Market on the date of grant.

The restricted stock units have a four-year vesting schedule, with 25% of the shares underlying each restricted stock unit grant vesting on each anniversary of the first day of the month immediately following the grant date, subject to the relevant employee's continued service with Insmed on the applicable vesting date.

The options have a 10-year term and a four-year vesting schedule, with 25% of the shares subject to the option vesting on the first anniversary of the first day of the month immediately following the grant date and 12.5% of the shares subject to the option vesting every six months thereafter through the fourth anniversary thereof, subject to the relevant employee's continued service with Insmed on the applicable vesting date.

About Insmed

Insmed Incorporated is a people-first global biopharmaceutical company striving to deliver first- and best-in-class therapies to transform the lives of patients facing serious diseases. The Company is advancing a diverse portfolio of approved and mid- to late-stage investigational medicines as well as cutting-edge drug discovery focused on serving patient communities where the need is greatest. Insmed's most advanced programs are in pulmonary and inflammatory conditions, including a therapy approved in the United States, Europe, and Japan to treat a chronic, debilitating lung disease. The Company's early-stage programs encompass a wide range of technologies and modalities, including gene therapy, AI-driven protein engineering, protein manufacturing, RNA end-joining, and synthetic rescue.

Headquartered in Bridgewater, New Jersey, Insmed has offices and research locations throughout the United States, Europe, and Japan. Insmed is proud to be recognized as one of the best employers in the biopharmaceutical industry, including spending four consecutive years as the No. 1 Science Top Employer. Visit www.insmed.com to learn more.

Contact:

Investors:

Bryan Dunn
Vice President, Investor Relations
(646) 812-4030
investor.relations@insmed.com

Media:

Claire Mulhearn
Vice President, Corporate Communications
(862) 842-6819
media@insmed.com

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SOURCE Insmed Incorporated

FAQ

How many new employees received inducement grants at Insmed (INSM)?

150 new employees received inducement grants at Insmed

What is the exercise price for the stock options granted by Insmed (INSM)?

The stock options were granted at an exercise price of $69.73 per share, which was the closing price on Nasdaq on May 30, 2025

What is the vesting schedule for Insmed's (INSM) restricted stock units?

The restricted stock units vest over four years, with 25% vesting on each anniversary of the grant date

How long is the vesting period for Insmed's (INSM) stock options?

The stock options have a 10-year term and vest over four years, with 25% vesting after one year and 12.5% every six months thereafter

How many restricted stock units and options did Insmed (INSM) grant?

Insmed granted 155,822 restricted stock units and options to purchase 16,860 shares of common stock