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

Rhea-AI Summary

Insmed (INSM) has granted inducement awards to 18 new employees as approved by the company's Compensation Committee under NASDAQ Listing Rule 5635(c)(4). The awards, issued on March 7, 2025, consist of options to purchase 47,960 shares of Insmed common stock at an exercise price of $74.89 per share, matching the closing price on the Nasdaq Global Select Market on the grant date.

The stock options come with a 10-year term and feature a four-year vesting schedule. The vesting terms include 25% of shares vesting on the first anniversary, followed by 12.5% vesting every six months through the fourth anniversary, contingent on continued employment.

Positive

• Stock price at $74.89 indicates strong market valuation
• Company expanding workforce with 18 new hires
• Long-term retention incentives through 4-year vesting schedule

Negative

• Potential dilution from 47,960 new shares
• Additional compensation expenses from stock options

BRIDGEWATER, N.J., March 10, 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 18 new employees. In accordance with 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, the employees received options on March 7, 2025 to purchase an aggregate 47,960 shares of Insmed common stock at an exercise price of $74.89 per share, the closing trading price on the Nasdaq Global Select Market on the date of grant.

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 relevant grant date and 12.5% of the shares subject to the option vesting every six months thereafter through the fourth anniversary of the relevant grant date, 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
bryan.dunn@insmed.com

Michael V. Morabito, Ph.D.
Director, Investor Relations
(917) 936-8430
michael.morabito@insmed.com

Gianna De Palma
Manager, Investor Relations
(848) 360-1281
gianna.depalma@insmed.com

Media:
Mandy Fahey
Vice President, Corporate Communications
(732) 718-3621
amanda.fahey@insmed.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/insmed-reports-inducement-grants-under-nasdaq-listing-rule-5635c4-302396205.html

SOURCE Insmed Incorporated

FAQ

What is the exercise price for INSM's March 2025 inducement stock options?

The exercise price is $74.89 per share, equal to Insmed's closing price on Nasdaq Global Select Market on March 7, 2025.

How many shares were granted in INSM's March 2025 inducement awards?

Insmed granted options to purchase 47,960 shares of common stock to 18 new employees.

What is the vesting schedule for INSM's March 2025 inducement options?

The options vest over 4 years: 25% after year one, then 12.5% every six months until year four.

When do INSM's March 2025 inducement stock options expire?

The stock options have a 10-year term, expiring in March 2035.