Madrigal Pharmaceuticals Announces Grants of Inducement Awards under Nasdaq Listing Rule 5635(c)(4)

Madrigal Pharmaceuticals (NASDAQ:MDGL) granted inducement equity awards on April 1, 2026 to 20 new non-executive employees under its 2025 Inducement Plan.

Rhea-AI Summary

Madrigal Pharmaceuticals (NASDAQ:MDGL) granted inducement equity awards on April 1, 2026 to 20 new non-executive employees under its 2025 Inducement Plan.

The independent Compensation Committee approved a total of 8,079 time-based restricted stock units that vest in four equal annual installments, subject to continued employment.

Argus Apr 8 session

+1.54% close to close 0.9x rel. volume Open Argus

Details

News Market Reaction – MDGL

On Apr 8, the first trading day after this news, MDGL closed 1.54% above the previous close.

Data tracked by StockTitan Argus for the Apr 8 session.

Key Figures

Current share price: $533.88 Inducement RSUs: 8,079 RSUs New employees: 20 employees +5 more

Current share price

$533.88

Pre-news trading level on publication date

Inducement RSUs

8,079 RSUs

Time-based restricted stock units granted April 1, 2026

New employees

20 employees

Non-executive hires receiving inducement equity awards

Vesting schedule

4 equal installments

Annual vesting over four years from grant date

Shares outstanding

22,939,969 shares

As of 03/06/2026 per Form 144 filing

Net sales 2025

$958.4M

Full-year 2025 net sales from Feb 19, 2026 earnings

Cash & securities

$988.6M

Cash and marketable securities at Dec. 31, 2025

Short interest

18.57%

Reported short percent of float in risk context

Historical Context

5 past events · Latest: Mar 19

5 events

1. Mar 19

   Inducement awards

   24h Move

   -2.9%

   Inducement RSUs for seven new employees under 2025 Inducement Plan.

2. Mar 05

   Inducement awards

   24h Move

   -1.5%

   Options and RSUs for 20 new employees with four-year vesting.

3. Feb 24

   Conference participation

   24h Move

   +0.5%

   Participation in TD Cowen health care conference with webcast presentation.

4. Feb 19

   Earnings results

   24h Move

   -11.1%

   Strong 2025 net sales, patient adoption, cash balance and strategic milestones.

5. Feb 17

   Inducement awards

   24h Move

   +0.9%

   RSU grants for five new employees with four-year time-based vesting.

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, nasdaq listing rule 5635(c)(4), equity inducement awards, inducement plan

4 terms

restricted stock units financial

"The new employees received, in the aggregate, 8,079 time-based restricted stock units."

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.

nasdaq listing rule 5635(c)(4) regulatory

"approved by Madrigal’s independent Compensation Committee 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.

equity inducement awards financial

"it granted equity awards on April 1, 2026 to 20 new non-executive employees as equity inducement awards"

Equity inducement awards are special stock-based rewards given to new employees to encourage them to join a company or stay long-term. They are like signing bonuses paid with company shares instead of cash, helping motivate employees to contribute to the company's success.

inducement plan financial

"employees as equity inducement awards under the terms of Madrigal’s 2025 Inducement Plan."

An inducement plan is a program a company creates to encourage employees or new hires to stay or join by offering special benefits or rewards. It’s like a company giving extra bonuses or perks to persuade someone to choose their job over others, helping the company attract and keep talented workers.

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

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CONSHOHOCKEN, Pa., April 07, 2026 (GLOBE NEWSWIRE) -- Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL), a biopharmaceutical company focused on delivering novel therapeutics for metabolic dysfunction-associated steatohepatitis (MASH), today announced that it granted equity awards on April 1, 2026 to 20 new non-executive employees as equity inducement awards under the terms of Madrigal’s 2025 Inducement Plan. The equity awards were approved by Madrigal’s independent Compensation Committee in accordance with Nasdaq Listing Rule 5635(c)(4).

The equity awards were granted as an inducement material to employees’ acceptance of employment with the company. The new employees received, in the aggregate, 8,079 time-based restricted stock units. All restricted stock units granted vest in four equal installments on each of the first through fourth anniversaries of the grant date. The vesting of all awards described above shall be subject to each such employee’s continued employment as of the applicable vesting date.

About Madrigal Pharmaceuticals

Madrigal Pharmaceuticals, Inc. (Nasdaq: MDGL) is a biopharmaceutical company focused on delivering novel therapeutics for metabolic dysfunction-associated steatohepatitis (MASH), a liver disease with high unmet medical need. Madrigal’s medication, Rezdiffra (resmetirom), is a once-daily, oral, liver-directed THR-β agonist designed to target key underlying causes of MASH. Rezdiffra is the first and only medication approved by both the FDA and European Commission for the treatment of MASH with moderate to advanced fibrosis (F2 to F3). An ongoing Phase 3 outcomes trial is evaluating Rezdiffra for the treatment of compensated MASH cirrhosis (F4c). For more information, visit www.madrigalpharma.com.

Investor Contact
Tina Ventura, IR@madrigalpharma.com

Media Contact
Christopher Frates, media@madrigalpharma.com

FAQ

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

What did Madrigal (MDGL) announce on April 7, 2026 about inducement awards?

Madrigal announced grants of inducement restricted stock units to new hires on April 1, 2026. According to the company, 20 non-executive employees received an aggregate of 8,079 time-based RSUs under the 2025 Inducement Plan, approved by the independent Compensation Committee.

How do the MDGL inducement restricted stock units vest and when do vesting dates occur?

The RSUs vest in four equal annual installments beginning one year after grant. According to the company, each installment vests on the first through fourth anniversaries of the April 1, 2026 grant date, subject to each employee's continued employment on the vesting date.

Why did Madrigal (MDGL) grant inducement awards under Nasdaq Listing Rule 5635(c)(4)?

The awards were granted as inducements to hire new employees consistent with Nasdaq rule requirements. According to the company, the independent Compensation Committee approved the grants under Nasdaq Listing Rule 5635(c)(4) and the company’s 2025 Inducement Plan.

How many restricted stock units did Madrigal (MDGL) grant and to whom were they awarded?

Madrigal granted an aggregate of 8,079 time-based restricted stock units to 20 new non-executive employees. According to the company, the awards were inducement grants tied to acceptance of employment and subject to standard vesting conditions.

Will the MDGL inducement RSUs affect shareholder dilution materially?

The announcement specifies an aggregate grant of 8,079 RSUs but does not quantify dilution percentage. According to the company, the awards are time-based inducement grants; investors must compare the aggregate RSUs to total shares outstanding to assess dilution impact.