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

Rhea-AI Summary

Lifecore Biomedical (NASDAQ: LFCR) announced that on January 14, 2026 its compensation committee approved inducement equity grants for two newly hired employees under the company’s Equity Inducement Plan.

The grants consist of 1,738 restricted stock units (RSUs) and stock options covering an aggregate 8,775 shares. RSUs vest and settle on the third anniversary of the grant subject to continued employment. Options have an exercise price equal to Fair Market Value on the grant date, vest 1/3 after one year then 1/36 monthly thereafter, and expire after seven years.

News Market Reaction

+0.36%

1 alert

+0.36% News Effect

On the day this news was published, LFCR gained 0.36%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

RSU shares: 1,738 shares Stock option shares: 8,775 shares RSU vesting period: 3 years +3 more

6 metrics

RSU shares 1,738 shares Restricted stock units under Inducement Plan

Stock option shares 8,775 shares Stock options granted to two new employees

RSU vesting period 3 years RSUs vest and settle on third anniversary of grant date

Option term 7 years Stock options have a seven-year term

Grant date January 14, 2026 Date RSUs and options were granted

Nasdaq Rule 5635(c)(4) Inducement awards granted under Nasdaq Listing Rule 5635(c)(4)

Market Reality Check

Price: $8.82

normal vol

$8.82 Last Close

Technical Trading 100% below 52-week high of 4900.7202 based on pre-news data

Market Pulse Summary

This announcement details standard inducement equity awards tied to recent hiring, including 1,738 R...

Analysis

This announcement details standard inducement equity awards tied to recent hiring, including 1,738 RSU shares and 8,775 stock option shares granted on January 14, 2026. The RSUs vest after 3 years, and the options carry a 7-year term with vesting over time. Investors may track how ongoing equity-based compensation influences total share count and how these hires contribute to executing the company’s contract development and manufacturing strategy.

Key Terms

restricted stock unit, equity inducement plan, nasdaq listing rule 5635(c)(4), fair market value

4 terms

restricted stock unit financial

"grants under Lifecore’s Equity Inducement Plan ... of restricted stock unit"

A restricted stock unit is a promise from a company to give an employee shares of stock after certain conditions are met, like staying with the company for a set amount of time. It’s like earning a bonus that turns into company stock once you’ve proven your commitment, making it a way to motivate and reward employees.

equity inducement plan financial

"approved grants under Lifecore’s Equity Inducement Plan, as amended"

An equity inducement plan is a program that gives new hires or targeted employees stock, restricted shares, or stock options as a hiring or retention reward, often separate from the company’s regular long-term incentive plans. Think of it as a signing bonus paid in company stock: it helps attract and keep talent but matters to investors because it can dilute existing shares, change executive incentives, and affect future earnings through compensation expense.

nasdaq listing rule 5635(c)(4) regulatory

"awards ... granted as inducement equity awards 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.

fair market value financial

"stock options have an exercise price equal to Fair Market Value"

The price a willing buyer and a willing seller would agree on for an asset or security when neither is under pressure and both have access to the same information. Think of it as the market’s neutral estimate of what something is worth, like the price two neighbors would settle on for a car after comparing similar listings. Investors care because fair market value guides buying and selling decisions, tax reporting, portfolio valuation, and how accurately company assets are reflected in financial statements.

AI-generated analysis. Not financial advice.

CHASKA, Minn., Jan. 16, 2026 (GLOBE NEWSWIRE) -- Lifecore Biomedical, Inc. (NASDAQ: LFCR) (“Lifecore”) a fully integrated contract development and manufacturing organization (“CDMO”), today announced that on January 14, 2026, the Lifecore compensation committee approved grants under Lifecore’s Equity Inducement Plan, as amended (the “Inducement Plan”) of restricted stock unit (“RSU”) awards with respect to an aggregate 1,738 shares of its common stock and stock options for an aggregate 8,775 shares of common stock to two newly hired employees of Lifecore. The RSU award and stock options were granted on January 14, 2026, pursuant to the offer letters between Lifecore and each employee, and as a material inducement to each employee joining Lifecore.

The RSU awards and stock options were approved by Lifecore’s compensation committee and were granted as inducement equity awards in accordance with Nasdaq Listing Rule 5635(c)(4) under the Inducement Plan.

The RSUs will vest and be settled on the third anniversary of the grant date, subject to continued employment. The stock options have an exercise price equal to Fair Market Value (as defined in the Inducement Plan) on the grant date and will vest as to one-third of the shares on the first anniversary of the grant date and as to 1/36th of the shares on each monthly grant date thereafter, subject to continued employment. The stock options have a seven-year term. The RSU award and stock options are each governed by an award agreement and the Inducement Plan.

About Lifecore Biomedical
Lifecore Biomedical, Inc. (Nasdaq: LFCR) is a fully integrated contract development and manufacturing organization (CDMO) that offers highly differentiated capabilities in the development, fill and finish of sterile injectable pharmaceutical products in syringes, vials, and cartridges, including complex formulations. As a leading manufacturer of premium, injectable-grade hyaluronic acid, Lifecore brings more than 40 years of expertise as a partner for global and emerging biopharmaceutical and biotechnology companies across multiple therapeutic categories to bring their innovations to market. For more information about the company, visit Lifecore’s website at www.lifecore.com.

Lifecore Biomedical, Inc. Contact Information:
Stephanie Diaz (Investors)
Vida Strategic Partners
415-675-7401
sdiaz@vidasp.com

Tim Brons (Media)
Vida Strategic Partners
415-675-7402
tbrons@vidasp.com

Ryan D. Lake (CFO)
Lifecore Biomedical
952-368-6244
ryan.lake@lifecore.com

FAQ

What did Lifecore (NASDAQ: LFCR) announce on January 16, 2026 about inducement grants?

Lifecore announced compensation‑committee approval of RSUs for 1,738 shares and stock options for 8,775 shares granted January 14, 2026 to two new hires.

When do the Lifecore RSUs granted January 14, 2026 vest and settle?

The RSUs vest and will be settled on the third anniversary of the January 14, 2026 grant date, subject to continued employment.

What are the vesting terms and term for the Lifecore stock options granted January 14, 2026?

Options vest one‑third after one year and then 1/36 monthly thereafter, with a seven‑year contractual term and exercise price equal to Fair Market Value at grant.

Under what Nasdaq rule were Lifecore’s inducement awards granted?

The awards were granted as inducement equity under Nasdaq Listing Rule 5635(c)(4) pursuant to the company’s Inducement Plan.

How many employees received inducement awards in Lifecore’s January 14, 2026 grants?

The compensation committee approved inducement RSUs and options for two newly hired employees.