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

Rhea-AI Summary

Stagwell Inc. (STGW) has announced the grant of equity inducement awards to four new employees. The company granted a total of 45,832 restricted stock units (RSUs) effective May 20, 2025. Each RSU represents one share of Stagwell's Class A common stock.

The RSUs will vest in two installments: one-third after two years and two-thirds after three years from the grant date. The awards include accelerated vesting provisions in cases of termination without cause, death, or disability. These equity grants were made as material inducements to employment under Nasdaq Listing Rule 5635(c)(4).

Positive

• Attraction and retention of new talent through equity compensation
• Structured vesting schedule promotes long-term employee commitment
• Alignment of employee interests with shareholder value

Negative

• Potential dilution of existing shareholders
• Future increase in share-based compensation expense

News Market Reaction

-1.05%

1 alert

-1.05% News Effect

On the day this news was published, STGW declined 1.05%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

NEW YORK, May 22, 2025 /PRNewswire/ -- Stagwell Inc. (the "Company") announced today the grant of equity inducement awards. Effective May 20, 2025, the Company granted a total of 45,832 restricted stock units to four 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 holding company 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 45+ countries are unified under a single purpose: to drive effectiveness and improve business results for our clients. Join us at www.stagwellglobal.com.   

Contact:
Beth Sidhu 
pr@stagwellglobal.com

 

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SOURCE Stagwell Inc.

FAQ

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

Stagwell granted 45,832 restricted stock units to four new employees, effective May 20, 2025.

What is the vesting schedule for Stagwell's (STGW) May 2025 RSU grants?

The RSUs vest in two installments: one-third vests after two years and two-thirds vest after three years from the grant date.

Under what circumstances do Stagwell's (STGW) May 2025 RSUs have accelerated vesting?

The RSUs have accelerated vesting if the employee is terminated without cause, or in cases of death or disability.

What is the purpose of Stagwell's (STGW) equity inducement grants?

The equity grants were made as material inducements to employment in accordance with Nasdaq Listing Rule 5635(c)(4), aimed at attracting new employees.