Stagwell Inc. (STGW) Reports Equity Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Stagwell Inc. (STGW) has announced the issuance of equity inducement awards on March 7, 2025. The company granted 69,170 restricted stock units to nine new employees as part of their employment compensation package.

Each unit represents one share of Stagwell's Class A common stock. The vesting schedule is structured in two phases: one-third will vest on the second anniversary of the grant date, while two-thirds will vest on the third anniversary. These restricted stock units include provisions for accelerated vesting in cases of termination without Cause or in events of death or disability.

The equity grants were made in accordance with Nasdaq Listing Rule 5635(c)(4) as material inducement to employment.

Positive

• Employee retention strategy through equity-based compensation
• Alignment of new employee interests with shareholders

Negative

• Potential dilution of existing shareholders
• Additional 69,170 shares to be issued

NEW YORK, March 7, 2025 /PRNewswire/ -- Stagwell Inc. (the "Company") announced today the grant of equity inducement awards. Effective March 7, 2025, the Company granted a total of 69,170 restricted stock units to nine new employees. Each restricted stock unit represents the right to receive one share of the Company's Class A common stock. The restricted stock units will vest in two installments, with one-third vesting on the second anniversary of the grant date and two-thirds vesting on the third anniversary of the grant date. The restricted stock units are subject to accelerated vesting upon (i) termination of employment by the Company without Cause or (ii) death or disability. The Company granted these awards as a material inducement to employment in accordance with Nasdaq Listing Rule 5635(c)(4).   

For more information on Stagwell, please visit www.stagwellglobal.com

About Stagwell

Stagwell (NASDAQ: STGW) is the challenger network built to transform marketing. We deliver scaled creative performance for the world's most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing. Led by entrepreneurs, our specialists in 40+ countries are unified under a single purpose: to drive effectiveness and improve business results for their clients. www.stagwellglobal.com.

Contact:
Beth Sidhu
pr@stagwellglobal.com

 

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SOURCE Stagwell Inc.

FAQ

How many restricted stock units did Stagwell (STGW) grant in March 2025?

Stagwell granted 69,170 restricted stock units to nine new employees on March 7, 2025.

What is the vesting schedule for STGW's March 2025 restricted stock units?

The units vest in two installments: 1/3 after two years and 2/3 after three years from the grant date.

Under what circumstances do STGW's restricted stock units vest early?

The units vest early if employees are terminated without Cause or in cases of death or disability.

What Nasdaq rule did Stagwell (STGW) use for these equity grants?

The grants were made under Nasdaq Listing Rule 5635(c)(4) as material inducement to employment.