TransMedics Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)

The equity awards carry service-based vesting over four years, with stock options exercisable at $66.90 per share.

Rhea-AI Summary

TransMedics (Nasdaq: TMDX) granted stock options and restricted stock units to nine employees on October 28, 2026, as employment inducements.

The awards cover options to purchase 71,815 shares at an exercise price of $66.90 per share and 47,924 restricted stock units (RSUs). Chief Financial Officer Fernando Araujo received options covering 34,419 shares and 22,969 RSUs. The Compensation Committee approved the grants under the Inducement Plan and Nasdaq Listing Rule 5635(c)(4). Options have a 10-year term, with 25% vesting after the first year of employment and the remainder monthly over the next three years. RSUs vest 25% on each of the first four employment anniversaries. All vesting requires continued service.

Positive

• None.

Negative

• Minor point. Forward-looking: it has not happened yet and may not happen.71,815 stock options at a $66.90 exercise price and 47,924 RSUs create potential shareholder dilution.

Key Figures

Aggregate stock options: 71,815 shares Aggregate RSUs: 47,924 RSUs CFO stock options: 34,419 shares +5 more

Aggregate stock options

71,815 shares

Inducement grants to employees

Aggregate RSUs

47,924 RSUs

Inducement grants to employees

CFO stock options

34,419 shares

Grant to Fernando Araujo

CFO RSUs

22,969 RSUs

Grant to Fernando Araujo

Option exercise price

$66.90 per share

Closing price on October 28, 2026

Option term

10 years

Stock options

Option vesting

25% after one year; remainder in equal monthly installments over three years

Subject to continued service

RSU vesting

25% on each of the first four anniversaries

Subject to continued service

Historical Context

1 past event · Latest: Aug 03

1 event

1. Aug 03

   Inducement grants

   24h Move

   -1.0%

   Prior nine-employee inducement awards used the same plan, 10-year options, and vesting framework.

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

Key Terms

non-qualified stock options, restricted stock units

2 terms

non-qualified stock options financial

"granted non-qualified stock options to purchase an aggregate of 71,815 shares"

Non-qualified stock options are a type of employee benefit that gives individuals the right to buy company shares at a set price, usually lower than the market value, within a certain period. Unlike other options that may have special tax advantages, these options are taxed as income when exercised, which can affect how much money the employee or investor ultimately gains. They are important because they can influence company compensation strategies and impact the financial outcomes for employees and investors.

restricted stock units financial

"an aggregate of 47,924 restricted stock units (RSUs) to nine employees"

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.

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ANDOVER, Mass., Oct. 30, 2026 /PRNewswire/ -- TransMedics Group, Inc. ("TransMedics") (Nasdaq: TMDX), a medical technology company that is transforming organ transplant therapy for patients with end-stage lung, heart, and liver failure, today announced that on October 28, 2026, the Company granted non-qualified stock options to purchase an aggregate of 71,815 shares of its common stock and an aggregate of 47,924 restricted stock units (RSUs) to nine employees. These awards were granted as a material inducement for each employee's entry into employment with TransMedics.

The grants included stock options to purchase 34,419 shares of TransMedics' common stock and 22,969 RSUs granted to Fernando Araujo, the Company's Chief Financial Officer. The grants were approved by the Compensation Committee of the TransMedics Board of Directors and granted in accordance with Nasdaq Listing Rule 5635(c)(4) and pursuant to the TransMedics Group, Inc. Inducement Plan.

The stock options were granted with a per share exercise price of $66.90, the closing price of the common stock on the Nasdaq Global Market on October 28, 2026. Twenty-five percent of the shares subject to each option grant will vest on the first anniversary of the date of the employee's start of employment, with the remainder vesting in equal monthly installments over the subsequent three-year period, subject to the employee's continued service with the Company through the applicable vesting date. The options have a 10-year term and are subject to the terms of the TransMedics Group, Inc. Inducement Plan. Twenty-five percent of each RSU award will vest on the first four anniversaries of the date of the employee's start of employment, subject to the employee's continued service with the Company through the applicable vesting date. The RSUs are subject to the terms of the TransMedics Group, Inc. Inducement Plan.

About TransMedics Group, Inc. 
TransMedics is the world's leader in portable extracorporeal warm perfusion and assessment of donor organs for transplantation. Headquartered in Andover, Massachusetts, the company was founded to address the unmet need for more and better organs for transplantation and has developed technologies to preserve organ quality, assess organ viability prior to transplant, and potentially increase the utilization of donor organs for the treatment of end-stage heart, lung, and liver failure.

Investor Contact:
Brian Johnston
Hannah Jeffrey
332-895-3222
Investors@transmedics.com 

View original content to download multimedia:https://www.prnewswire.com/news-releases/transmedics-reports-inducement-grants-under-nasdaq-listing-rule-5635c4-302925310.html

SOURCE TransMedics Group, Inc.

FAQ

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

What equity inducement awards did TransMedics grant on October 28, 2026?

TransMedics granted nine employees options to purchase 71,815 common shares and 47,924 RSUs as employment inducements. The options have a $66.90 per-share exercise price. CFO Fernando Araujo's awards included options covering 34,419 shares and 22,969 RSUs.

How do TransMedics' October 2026 inducement awards vest?

The options vest 25% on the first anniversary of each employee's employment start, with the remainder vesting monthly over the subsequent three years. RSUs vest 25% on each of the first four employment anniversaries. Each vesting installment requires continued service, and the options have a 10-year term.