Ultragenyx Reports Inducement Grant Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Ultragenyx (NASDAQ: RARE) granted 22,917 restricted stock units to six newly hired non-executive officers as an inducement under the Ultragenyx Employment Inducement Plan.

Grants were approved by the compensation committee, dated Feb 16, 2026, and vest 25% annually over four years, subject to continued employment and Nasdaq Rule 5635(c)(4).

Key Figures

RSU grant size: 22,917 restricted stock units Number of grantees: 6 employees Vesting schedule: 4 years +2 more

5 metrics

RSU grant size 22,917 restricted stock units Granted to six newly hired non-executive officers

Number of grantees 6 employees Newly hired non-executive officers receiving inducement awards

Vesting schedule 4 years RSUs vest over four years, subject to continued employment

Annual vesting rate 25% per year 25% vests on each anniversary of the Feb 16, 2026 grant date

Grant date February 16, 2026 Grant date under Ultragenyx Employment Inducement Plan

Market Reality Check

Price: $21.83 Vol: Volume 2,107,847 is below...

normal vol

$21.83 Last Close

Volume Volume 2,107,847 is below the 20-day average of 2,412,518 (subdued trading). normal

Technical Trading below 200-day MA, which is at 30.98, while price is 22.72.

Peers on Argus

Peers show mixed moves: TLX +3.08%, NAMS +3.49%, SRRK +1.31%, SLNO +0.69%, XENE ...

1 Down

Peers show mixed moves: TLX +3.08%, NAMS +3.49%, SRRK +1.31%, SLNO +0.69%, XENE -1.79%. Momentum scanner only flagged ZLAB at -2.15%, suggesting stock-specific factors rather than a coordinated sector move.

Historical Context

5 past events · Latest: Feb 13 (Negative)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 13	Class action notice	Negative	-12.7%	Class action lawsuit application deadline highlighted for shareholders.
Feb 12	Earnings and guidance	Neutral	-1.6%	Reported 2025 revenue, losses, 2026 guidance and restructuring plans.
Feb 05	Earnings call notice	Neutral	+3.8%	Announced schedule and access details for Q4 and full-year call.
Feb 03	UX111 long-term data	Positive	+0.2%	Reported sustained UX111 efficacy and safety with long-term follow-up.
Jan 30	UX111 BLA resubmission	Positive	-0.8%	Resubmitted BLA for UX111 with longer-term data and prior CMC fixes.

Pattern Detected

News has often led to modest reactions, with strong downside mainly around legal overhangs.

Recent Company History

Over recent months, Ultragenyx issued several significant updates. A class action notice on Feb 13, 2026 coincided with a -12.68% move, while 2025 earnings and guidance on Feb 12, 2026 saw a smaller -1.59% reaction. UX111 clinical and regulatory updates around Jan 30–Feb 5, 2026 produced muted price changes near flat. Against this backdrop, the current inducement RSU grant is a routine compensation event rather than a major strategic catalyst.

Market Pulse Summary

This announcement detailed a standard equity inducement: 22,917 restricted stock units granted to si...

Analysis

This announcement detailed a standard equity inducement: 22,917 restricted stock units granted to six newly hired non-executive officers under Nasdaq Listing Rule 5635(c)(4), vesting over four years at 25% annually. It follows recent earnings, restructuring, and UX111 regulatory updates. Investors may monitor future compensation disclosures, additional pipeline milestones, and any further legal developments when contextualizing routine stock-based awards.

Key Terms

restricted stock units, nasdaq listing rule 5635(c)(4), employment inducement plan

3 terms

restricted stock units financial

"reported the grant of 22,917 restricted stock units of the company’s common stock"

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

"with Ultragenyx 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.

employment inducement plan financial

"granted under the Ultragenyx Employment Inducement Plan, with a grant date"

An employment inducement plan is a package of pay, bonuses or stock-based awards offered to a new hire to persuade them to join a company, similar to a signing bonus or welcome offer. Investors care because these awards can increase payroll costs and dilute existing shares, while also signaling how much the company is spending to attract talent and align that new hire’s interests with shareholder value.

AI-generated analysis. Not financial advice.

NOVATO, Calif., Feb. 20, 2026 (GLOBE NEWSWIRE) -- Ultragenyx Pharmaceutical Inc. (NASDAQ: RARE), a biopharmaceutical company focused on the development and commercialization of novel therapies for rare and ultra-rare diseases, today reported the grant of 22,917 restricted stock units of the company’s common stock to six newly hired non-executive officers of the company. The awards were approved by the compensation committee of the company’s board of directors and granted under the Ultragenyx Employment Inducement Plan, with a grant date of February 16, 2026, as an inducement material to the new employees entering into employment with Ultragenyx in accordance with Nasdaq Listing Rule 5635(c)(4).

The restricted stock units vest over four years, with 25% of the underlying shares vesting on each anniversary of the grant date, subject to the employee being continuously employed by the company as of such vesting dates.

About Ultragenyx Pharmaceutical Inc.
Ultragenyx is a biopharmaceutical company committed to bringing novel products to patients for the treatment of serious rare and ultrarare genetic diseases. The company has built a diverse portfolio of approved therapies and product candidates aimed at addressing diseases with high unmet medical need and clear biology for treatment, for which there are typically no approved therapies treating the underlying disease.

The company is led by a management team experienced in the development and commercialization of rare disease therapeutics. Ultragenyx’s strategy is predicated upon time- and cost-efficient drug development, with the goal of delivering safe and effective therapies to patients with the utmost urgency.

For more information on Ultragenyx, please visit the company's website at: www.ultragenyx.com.

Contact Ultragenyx
Investors & Media
Joshua Higa
(415) 475-6370

FAQ

How many restricted stock units did Ultragenyx (RARE) grant on Feb 16, 2026?

Ultragenyx granted 22,917 restricted stock units on Feb 16, 2026. According to the company, the awards were issued to six newly hired non-executive officers as inducement grants approved by the compensation committee under the employment inducement plan.

Who received the Ultragenyx (RARE) inducement grants announced Feb 20, 2026?

Six newly hired non-executive officers received the inducement grants. According to the company, the awards were part of employment inducements approved by the compensation committee under Nasdaq Listing Rule 5635(c)(4).

What is the vesting schedule for the Ultragenyx (RARE) restricted stock units?

The restricted stock units vest 25% on each anniversary over four years. According to the company, vesting is subject to the employee remaining continuously employed through each vesting date.

Why did Ultragenyx (RARE) use an inducement grant under Nasdaq Rule 5635(c)(4)?

Ultragenyx used an inducement grant to materially induce new hires to join the company. According to the company, the grants comply with Nasdaq Listing Rule 5635(c)(4) permitting awards tied to new employment offers.

Will the 22,917 RSUs granted by Ultragenyx (RARE) immediately dilute existing shareholders?

The awards do not immediately issue shares and therefore do not cause immediate dilution. According to the company, RSUs vest over four years, so any dilution would occur only as shares vest and are delivered to employees.

When was the Ultragenyx (RARE) inducement grant publicly reported?

Ultragenyx publicly reported the inducement grant on Feb 20, 2026. According to the company, the grant date for the restricted stock units was Feb 16, 2026 and approvals came from the compensation committee.