Recursion Reports Grant of Inducement Awards as Permitted by the Nasdaq Listing Rules

Recursion (NASDAQ: RXRX) reported that its Board Compensation Committee approved inducement restricted stock unit (RSU) awards on May 26, 2026, covering 2,991,840 class A shares for 33 new employees under its 2024 Inducement Equity Incentive Plan.

Rhea-AI Summary

Recursion (NASDAQ: RXRX) reported that its Board Compensation Committee approved inducement restricted stock unit (RSU) awards on May 26, 2026, covering 2,991,840 class A shares for 33 new employees under its 2024 Inducement Equity Incentive Plan.

RSUs vest over multiple years, subject to continued employment.

Positive

• Equity awards covering 2,991,840 shares granted to attract 33 new hires
• Multi-year RSU vesting schedule designed to support employee retention

Negative

• Inducement RSU awards represent potential dilution of up to 2,991,840 shares

Argus Jun 1 session

+5.57% close to close Open Argus

Details

News Market Reaction – RXRX

In the Jun 1 session, RXRX gained 5.57%, reflecting a notable positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

The stock moved +5.6% in the session following this news. A strong positive reaction aligns with a s...

Analysis

The stock moved +5.6% in the session following this news. A strong positive reaction aligns with a stock-specific move, as volume of 29,161,190 shares ran at 1.8x the recent average while peers were mixed. The news itself centered on inducement RSU awards for 33 employees, adding equity-based compensation rather than changing the clinical or financial outlook. Investors may weigh this move against a history where most recent corporate announcements, aside from one earnings update, saw limited or negative follow-through.

Key Figures

Inducement RSU shares: 2,991,840 shares New employees: 33 employees Initial vesting fraction: 1/4 of shares +1 more

Inducement RSU shares

2,991,840 shares

Aggregate RSU awards under 2024 Inducement Equity Incentive Plan

New employees

33 employees

Recipients of inducement RSU awards

Initial vesting fraction

1/4 of shares

Vests on first quarterly date after one-year anniversary

Subsequent vesting fraction

1/16 of shares

Vests on each subsequent quarterly vesting date

Historical Context

5 past events · Latest: May 06

5 events

1. May 06

   Earnings and update

   24h Move

   +1.8%

   Q1 2026 results, clinical updates, and runway into early 2028.

2. Apr 30

   Board transition

   24h Move

   -2.0%

   Founder to leave board after June 2026, remain strategic advisor.

3. Apr 29

   Earnings date set

   24h Move

   -3.2%

   Announcement of Q1 2026 earnings release and call details.

4. Apr 07

   Investor conferences

   24h Move

   +1.3%

   Planned participation in Needham and Bank of America healthcare conferences.

5. Mar 25

   New CMO appointment

   24h Move

   +0.0%

   Appointment of Vicki Goodman, M.D., as incoming Chief Medical Officer.

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

Key Terms

restricted stock unit, rsu, nasdaq listing rule 5635(c)(4), inducement equity incentive plan

4 terms

restricted stock unit financial

"approved the grant of inducement restricted stock unit (RSU) awards covering"

A restricted stock unit is a promise from a company to give an employee shares of stock after certain conditions are met, like staying with the company for a set amount of time. It’s like earning a bonus that turns into company stock once you’ve proven your commitment, making it a way to motivate and reward employees.

rsu financial

"inducement restricted stock unit (RSU) awards covering 2,991,840 shares"

Restricted stock units (RSUs) are a form of company shares given to employees as part of their compensation, usually with certain restrictions or conditions, such as remaining with the company for a set period. When these restrictions lift, employees receive actual shares that they can sell or hold. For investors, RSUs can impact a company's stock supply and reflect the company's commitment to attracting and retaining talent.

nasdaq listing rule 5635(c)(4) regulatory

"pursuant to Nasdaq Listing Rule 5635(c)(4). Each inducement RSU award will vest"

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.

inducement equity incentive plan financial

"under Recursion's 2024 Inducement Equity Incentive Plan (the “2024 Plan”)."

An inducement equity incentive plan is a program that grants employees or executives company shares or stock options to motivate and reward their work, often as a way to attract new talent. It aligns their interests with the company's success, encouraging them to contribute to long-term growth. For investors, such plans can influence a company's stock performance and overall financial health by motivating key personnel.

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

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Salt Lake City, UT, May 29, 2026 (GLOBE NEWSWIRE) -- Recursion (NASDAQ: RXRX), a leading clinical stage TechBio company decoding biology to radically improve lives, announced that on May 26, 2026, the Compensation Committee of Recursion's Board of Directors approved the grant of inducement restricted stock unit (RSU) awards covering 2,991,840 shares of its class A common stock in the aggregate to 33 new employees under Recursion's 2024 Inducement Equity Incentive Plan (the “2024 Plan”). Each award was granted as an inducement material to the employee's commencement of employment with Recursion, or a subsidiary of Recursion, pursuant to Nasdaq Listing Rule 5635(c)(4).

Each inducement RSU award will vest as to 1/4th of the shares subject to the award on the first quarterly vesting date on or following the one-year anniversary of the vesting commencement date, and as to 1/16th of the shares on each quarterly vesting date thereafter until the inducement RSU award is fully vested, subject to the inducement RSU award recipient’s continued employment through the company vesting dates. Each inducement RSU award is subject to the terms and conditions of the 2024 Plan and the grant agreements covering the awards.

About Recursion

Recursion (NASDAQ: RXRX) is a clinical stage TechBio company leading the space by decoding biology to radically improve lives. Enabling its mission is the Recursion OS, a platform built across diverse technologies that continuously generate one of the world’s largest proprietary biological and chemical datasets. Recursion leverages sophisticated machine-learning algorithms to distill from its dataset a collection of trillions of searchable relationships across biology and chemistry unconstrained by human bias. By commanding massive experimental scale — up to millions of wet lab experiments weekly — and massive computational scale — owning and operating one of the most powerful supercomputers in the world, Recursion is uniting technology, biology and chemistry to advance the future of medicine.

Recursion is headquartered in Salt Lake City, where it is a founding member of BioHive, the Utah life sciences industry collective. Recursion also has offices in Montréal, New York, London, and the Oxford area. Learn more at www.recursion.com, or connect on X and LinkedIn.

Media Contact
Media@Recursion.com

Investor Contact
Investor@Recursion.com

Ryan Kelly
Recursion Pharmaceuticals
ryan.kelly@recursion.com

FAQ

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

What inducement RSU awards did Recursion (NASDAQ: RXRX) grant on May 26, 2026?

Recursion granted inducement restricted stock unit awards covering 2,991,840 shares of class A common stock to 33 new employees. According to Recursion, these awards were issued under the 2024 Inducement Equity Incentive Plan as a condition of employment commencement.

Why did Recursion (RXRX) issue inducement RSU awards in May 2026?

Recursion issued inducement RSU awards as a material inducement for 33 new employees to begin employment. According to Recursion, the awards were granted pursuant to Nasdaq Listing Rule 5635(c)(4) under the company’s 2024 Inducement Equity Incentive Plan.

How many employees received Recursion (NASDAQ: RXRX) inducement RSUs in May 2026?

A total of 33 new employees received inducement RSU awards from Recursion on May 26, 2026. According to Recursion, these grants collectively cover 2,991,840 shares of its class A common stock under the 2024 Inducement Equity Incentive Plan.

What is the vesting schedule for Recursion’s May 2026 inducement RSU grants (RXRX)?

Recursion’s inducement RSUs vest 25% on the first quarterly vesting date after the one-year anniversary, then 1/16 each quarter thereafter. According to Recursion, vesting requires continued employment through the applicable company vesting dates.

Under which plan were Recursion (RXRX) May 2026 inducement RSUs granted?

The May 26, 2026 inducement RSU awards were granted under Recursion’s 2024 Inducement Equity Incentive Plan. According to Recursion, each award is also governed by individual grant agreements that set specific terms and conditions.

How do Recursion (NASDAQ: RXRX) inducement RSUs relate to Nasdaq Listing Rule 5635(c)(4)?

Recursion states that each inducement RSU award was granted pursuant to Nasdaq Listing Rule 5635(c)(4). According to Recursion, these grants were considered a material inducement to each recipient’s commencement of employment with the company or its subsidiaries.

What conditions must be met for Recursion (RXRX) inducement RSUs granted in May 2026 to vest?

For the May 2026 inducement RSUs to vest, recipients must remain employed through the relevant vesting dates. According to Recursion, vesting follows a multi-year quarterly schedule and is subject to the 2024 Plan and applicable grant agreements.