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

Madrigal Pharmaceuticals (NASDAQ:MDGL) granted inducement equity awards on February 1, 2026 to 21 new non-executive employees under its 2025 Inducement Plan.

Rhea-AI Summary

Madrigal Pharmaceuticals (NASDAQ:MDGL) granted inducement equity awards on February 1, 2026 to 21 new non-executive employees under its 2025 Inducement Plan.

The company issued an aggregate of 5,861 time-based restricted stock units that vest in four equal annual installments, subject to continued employment and Compensation Committee approval under Nasdaq Rule 5635(c)(4).

Argus Feb 6 session

+3.06% close to close Open Argus

Details

News Market Reaction – MDGL

On Feb 6, the first trading day after this news, MDGL closed 3.06% above the previous close.

Data tracked by StockTitan Argus for the Feb 6 session.

Key Figures

New employees: 21 employees RSU grants: 5,861 RSUs Vesting schedule: 4 equal installments

New employees

21 employees

Recipients of inducement equity awards on Feb 1, 2026

RSU grants

5,861 RSUs

Aggregate time-based restricted stock units granted to new employees

Vesting schedule

4 equal installments

Annual vesting on first through fourth anniversaries of grant date

Historical Context

5 past events · Latest: Feb 02

5 events

1. Feb 02

   Earnings date notice

   24h Move

   +0.1%

   Scheduled Q4 and full-year 2025 results and webcast on Feb 19, 2026.

2. Jan 22

   Inducement awards

   24h Move

   +0.2%

   Inducement equity grants to 40 new employees under 2025 Inducement Plan.

3. Jan 21

   Executive inducement grant

   24h Move

   +0.2%

   Inducement RSUs and options granted to new Chief Accounting Officer.

4. Jan 09

   Pipeline license deal

   24h Move

   -7.6%

   Exclusive global license for Phase 2 DGAT-2 inhibitor ervogastat with $50M upfront.

5. Dec 18

   Inducement awards

   24h Move

   -0.3%

   RSU inducement grants to four new non-executive employees under 2025 plan.

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)

2 terms

restricted stock units financial

"The new employees received, in the aggregate, 5,861 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

"The equity awards were approved ... 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.

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CONSHOHOCKEN, Pa., Feb. 05, 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 February 1, 2026 to 21 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, 5,861 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 about inducement awards on February 1, 2026?

Madrigal granted inducement equity awards of 5,861 restricted stock units to 21 new employees. According to the company, the grants were approved under Nasdaq Listing Rule 5635(c)(4) and issued under the 2025 Inducement Plan to support recruitment.

How do the Madrigal (MDGL) restricted stock units vest and when do they start vesting?

The restricted stock units vest in four equal annual installments starting one year after the grant. According to the company, each installment vests on the first through fourth anniversaries of the February 1, 2026 grant date, subject to continued employment.

How many employees received inducement awards from Madrigal (MDGL) and what type were they?

Twenty-one new non-executive employees received inducement awards from Madrigal. According to the company, the awards were time-based restricted stock units issued under the 2025 Inducement Plan to facilitate new hires.

Are the Madrigal (MDGL) inducement awards subject to any conditions?

Yes. The awards require continued employment for vesting and committee approval compliance. According to the company, vesting is contingent on each employee remaining employed on each applicable vesting date and committee approval under Nasdaq rules.

What is the total number of restricted stock units Madrigal (MDGL) issued and under what plan?

Madrigal issued an aggregate of 5,861 restricted stock units under its 2025 Inducement Plan. According to the company, these awards were granted as inducements material to employees accepting employment with the company.