What is the potential share impact of LifeVantage’s August 2026 inducement grants (LFVN)?

The inducement awards to Terrence Moorehead represent 308,642 RSUs and 540,123 PSUs, totaling 848,765 shares. According to LifeVantage, all represent shares of common stock that could vest over time, subject to performance and service conditions.

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

Rhea-AI Impact

(Moderate)

Rhea-AI Sentiment

(Very Positive)

Rhea-AI Summary

LifeVantage (Nasdaq: LFVN) announced that its Board granted inducement equity awards to new President and CEO Terrence Moorehead under the 2026 New Employee Long-Term Incentive Plan, in accordance with Nasdaq Listing Rule 5635(c)(4). The awards were granted on August 6, 2026.

The package includes 308,642 RSUs, vesting in three equal annual installments starting one year from grant, and 540,123 performance-based RSUs that may vest over three years based on revenue and Adjusted EBITDA margin targets, in each case subject to Mr. Moorehead’s continued service.

Positive

CEO inducement equity awards total 848,765 RSUs and PSUs
Performance-based RSUs cover 540,123 shares tied to revenue and Adjusted EBITDA margin
Time-based RSUs of 308,642 shares vest over three years, supporting leadership retention

Negative

Potential dilution from up to 848,765 additional shares if all RSUs and PSUs vest

News Explained

The August 6, 2026 grants are future, service- and performance-conditioned awards tied to 308,642 and 540,123 common-stock shares; if they vest, issuing those shares would expand the common-share count and dilute existing holders’ ownership.

Market Context

For this CEO award disclosure, LFVN’s record included -4.29% after a patent announcement and +1.22% ...

Analysis

For this CEO award disclosure, LFVN’s record included -4.29% after a patent announcement and +1.22% after an earnings-date notice. That varied history, Net Selling, and the active S-3 shelf are platform risks to watch.

Key Figures

Grant date: August 6, 2026 RSU award: 308,642 shares RSU vesting schedule: 3 annual installments +2 more

5 metrics

Grant date August 6, 2026 Inducement awards

RSU award 308,642 shares Vesting in three equal annual installments

RSU vesting schedule 3 annual installments Starting on the one-year anniversary of the grant date

PSU award 540,123 shares Performance-based award

PSU vesting period 3 years Based on revenue and Adjusted EBITDA margin targets

Historical Context

5 past events · Latest: Aug 05 (Positive)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Aug 05	CEO appointment	Positive	-1.2%	Terrence Moorehead joined as President and CEO; shares declined 1.2% over 24 hours.
May 06	Dividend increase	Positive	-16.3%	Quarterly dividend increased 11% to $0.050 per share; shares declined 16.33%.
May 06	Quarterly earnings	Negative	-16.3%	Revenue declined 25.2% year-over-year and guidance was near the lower end; shares declined 16.33%.
Apr 22	Earnings scheduling	Neutral	+1.2%	Third-quarter fiscal 2026 results were scheduled for May 6; shares increased 1.22%.
Apr 21	Patent issuance	Positive	-4.3%	U.S. patent issued for Healthy Glow Essentials Stack; shares declined 4.29%.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

LFVN’s last five news events showed four divergences between event sentiment and 24-hour price reaction.

Key Terms

nasdaq listing rule 5635(c)(4), restricted stock units, performance-based restricted stock units, adjusted ebitda

4 terms

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.

restricted stock units financial

"a grant of restricted stock units (“RSUs”) representing 308,642 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.

performance-based restricted stock units financial

"a grant of performance-based restricted stock units (“PSUs”)"

Performance-based restricted stock units are a type of employee equity award that converts into company shares only if predefined financial or operational targets are met over a set period. Think of it like a bonus check that becomes stock only when specific goals are hit; it ties pay to results, aligning managers’ incentives with shareholders. Investors care because these awards affect future share count, executive incentives, and signal how management’s success will be measured and rewarded.

adjusted ebitda financial

"certain revenue and Adjusted EBITDA margin targets"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

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

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08/11/2026 - 05:00 PM

SALT LAKE CITY, Aug. 11, 2026 (GLOBE NEWSWIRE) -- LifeVantage Corporation (Nasdaq: LFVN) (“LifeVantage” or the “Company”) today announced that its Board of Directors granted inducement awards to Terrence Moorehead, the Company’s new President and Chief Executive Officer, under the Company’s 2026 New Employee Long-Term Incentive Plan (the “New Employee Plan”) as an inducement material to Mr. Moorehead’s employment in accordance with Nasdaq Listing Rule 5635(c)(4).

The awards were granted on August 6, 2026 and consist of (i) a grant of restricted stock units (“RSUs”) representing 308,642 shares of the Company’s common stock, which will vest in three equal annual installments starting on the one-year anniversary of their grant date and (ii) a grant of performance-based restricted stock units (“PSUs”) representing 540,123 shares of the Company’s common stock, which will vest over a three year period based on the achievement of certain revenue and Adjusted EBITDA margin targets, in each case, subject to continued service with the Company through the applicable vesting dates.

About LifeVantage Corporation

LifeVantage Corporation (Nasdaq: LFVN), the Activation company, is a pioneer in nutrigenomics-the study of how nutrition and naturally occurring compounds can unlock your genes and the health coded within. Our products work with your unique biology and help your body make what it needs for health. The line of scientifically validated activators includes the flagship Protandim^® family of products, TrueScience^® Liquid Collagen, the MindBody GLP-1 System^®, the comprehensive gut activator P84, the Activation-supporting nutrients such as Omega, D3+, and the Rise AM & Reset PM System^®, as well as AXIO^® nootropic energy drink mixes, the full TrueScience^® line of skin and hair care products, and Petandim^®, a pet supplement formulated to combat oxidative stress in dogs. Our independent Consultants sell our products to Customers and share the business opportunity with entrepreneurs seeking to begin their own business. LifeVantage was founded in 2003 and is headquartered in Lehi, Utah. For more information, visit www.lifevantage.com.

Investor Relations Contacts:

Reed Anderson, ICR
(646) 277-1260
reed.anderson@icrinc.com

FAQ

What inducement equity awards did LifeVantage (LFVN) grant to CEO Terrence Moorehead on August 6, 2026?

LifeVantage granted Terrence Moorehead 308,642 time-based RSUs and 540,123 performance-based RSUs on August 6, 2026. According to LifeVantage, these awards were issued under the 2026 New Employee Long-Term Incentive Plan as an inducement material to his employment.

How do Terrence Moorehead’s RSUs vest at LifeVantage (LFVN)?

According to LifeVantage, 308,642 RSUs granted to Terrence Moorehead vest in three equal annual installments. Vesting begins on the one-year anniversary of the August 6, 2026 grant date, subject to his continued service with the company through each applicable vesting date.

What performance conditions apply to LifeVantage (LFVN) CEO Terrence Moorehead’s PSUs?

The 540,123 performance-based RSUs granted to Terrence Moorehead may vest over a three-year period. According to LifeVantage, vesting depends on achieving specified revenue and Adjusted EBITDA margin targets and requires his continued service through the applicable vesting dates.

Why did LifeVantage (LFVN) use Nasdaq Listing Rule 5635(c)(4) for the CEO’s inducement grant?

LifeVantage stated that Terrence Moorehead’s equity awards were granted as an inducement material to his employment. According to LifeVantage, they were issued under the 2026 New Employee Long-Term Incentive Plan in accordance with Nasdaq Listing Rule 5635(c)(4).