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

The performance-based award ranges from 193,237 shares at target to up to 289,855 shares if maximum performance is achieved.

Rhea-AI Summary

LifeVantage (LFVN) granted stock-based inducement awards to President and CEO Terrence Moorehead on October 7, 2026, under its new-employee incentive plan.

The awards include 128,824 restricted stock units, vesting in three equal annual installments beginning one year after grant. Performance-based units represent 193,237 shares at target, or up to 289,855 shares at maximum performance, tied to revenue and Adjusted EBITDA margin targets over 3.5 years. Both awards require continued service through applicable vesting dates. The grants implement an executive benefits agreement dated April 15, 2026, under Nasdaq Listing Rule 5635(c)(4).

0 points · 0 major

NegativeiHow this balance works

How this balance works

Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

How the balance worksHow Sentiment works

0 major · 2 points

Hollow bars mark forward-looking points. How the balance works

Positive

• None.

Negative

• Moderate point. Forward-looking: it has not happened yet and may not happen.193,237 performance-based shares at target, or up to 289,855 at maximum performance, create potential dilution subject to performance and service conditions.
• Minor point. Forward-looking: it has not happened yet and may not happen.128,824 restricted stock units create potential dilution, vesting in three equal annual installments subject to continued service.

Key Figures

Restricted stock units: 128,824 shares Performance-based restricted stock units: 193,237 units at target; up to 289,855 units Performance period: 3.5 years

Restricted stock units

128,824 shares

Vesting in three equal annual installments beginning on the grant's one-year anniversary

Performance-based restricted stock units

193,237 units at target; up to 289,855 units

Vesting depends on revenue and Adjusted EBITDA margin targets

Performance period

3.5 years

Period for the performance-based award targets

Historical Context

1 past event · Latest: Aug 11

1 event

1. Aug 11

   CEO inducement awards

   24h Move

   -2.8%

   Earlier award to Moorehead included 308,642 RSUs and 540,123 performance-based units tied to revenue and Adjusted EBITDA margin targets.

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

Key Terms

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

4 terms

restricted stock units financial

"grant of restricted stock units (“RSUs”) representing 128,824 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

"grant of performance-based restricted stock units (“PSUs”) representing 193,237 shares"

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

"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.

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.

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

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

SALT LAKE CITY, Oct. 12, 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 President and Chief Executive Officer, under the Company’s 2026 New Employee Long-Term Incentive Plan. The awards were granted pursuant to the key executive benefits agreement between the Company and Mr. Moorehead, dated as of April 15, 2026, as an inducement material to Mr. Moorehead’s employment in accordance with Nasdaq Listing Rule 5635(c)(4).

The awards were granted on October 7, 2026 and consist of (i) a grant of restricted stock units (“RSUs”) representing 128,824 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 193,237 shares of the Company’s common stock at target (or up to 289,855 shares if maximum performance is achieved), which will vest based on the achievement of certain revenue and Adjusted EBITDA margin targets during a 3.5-year performance period, 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

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How many shares do LifeVantage's inducement awards to Terrence Moorehead represent?

The grants represent 128,824 shares through restricted stock units and 193,237 shares at target through performance-based units. The performance-based award can represent up to 289,855 shares if maximum performance is achieved.

When do Terrence Moorehead's LifeVantage inducement awards vest?

The restricted stock units vest in three equal annual installments starting on the one-year anniversary of the October 7, 2026 grant date. The performance-based units vest based on revenue and Adjusted EBITDA margin targets over a 3.5-year performance period. Both require continued service through the applicable vesting dates.