Zentalis Pharmaceuticals Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

Zentalis Pharmaceuticals (Nasdaq: ZNTL) announced on April 1, 2026 that its Compensation Committee granted non-qualified stock options for an aggregate of 36,000 shares to two newly hired employees under the 2022 Inducement Plan pursuant to Nasdaq Rule 5635(c)(4).

The options carry a $2.57 exercise price (closing price on the grant date), a 10-year term, and four-year vesting (25% after one year, remainder monthly over three years), subject to continued service.

Argus Apr 2 session

+2.33% close to close Open Argus

Details

News Market Reaction – ZNTL

In the Apr 2 session, ZNTL gained 2.33%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement details stock option inducement grants totaling 36,000 shares at an exercise price...

Analysis

This announcement details stock option inducement grants totaling 36,000 shares at an exercise price of $2.57, vesting over four years and tied to continued employment. It adds to a pattern of equity-based compensation alongside prior grants disclosed in recent Form 4 filings. In context of earlier updates on cash runway into late 2027 and key azenosertib milestones, investors may watch future clinical readouts and any additional equity awards or insider activity as indicators of ongoing execution.

Key Figures

Inducement options: 36,000 shares New hires: 2 employees Exercise price: $2.57 per share +3 more

Inducement options

36,000 shares

Non-qualified stock options to two new employees

New hires

2 employees

Recipients of inducement stock option grants

Exercise price

$2.57 per share

Equal to Nasdaq closing price on April 1, 2026

Option term

10 years

Term of inducement stock options granted April 1, 2026

Initial vesting

25%

Vests on first anniversary of vesting commencement date

Remainder vesting

75% over three years

Equal monthly installments over subsequent three years

Historical Context

5 past events · Latest: Mar 26

5 events

1. Mar 26

   Full-year results

   24h Move

   -5.2%

   Reported 2025 results and cash of $245.9M with runway into late 2027.

2. Mar 17

   AACR posters

   24h Move

   -7.9%

   Announced two scientific posters on azenosertib and Cyclin E1 biomarkers at AACR.

3. Feb 18

   Investor conferences

   24h Move

   +1.7%

   Planned management participation in three investor conferences with webcasts.

4. Feb 03

   Investor conference

   24h Move

   -9.6%

   Announced participation in Guggenheim biotech summit fireside discussion.

5. Jan 06

   Corporate update

   24h Move

   +29.9%

   Outlined 2026 milestones for azenosertib and reported $280.7M cash with runway.

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, Nasdaq Listing Rule 5635(c)(4), exercise price

3 terms

non-qualified stock options financial

"granted non-qualified stock options to purchase an aggregate of 36,000 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.

Nasdaq Listing Rule 5635(c)(4) regulatory

"as an inducement material to each such individual’s entering into employment with Zentalis 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.

exercise price financial

"The stock options have an exercise price of $2.57 per share, which is equal to the closing price"

The exercise price is the fixed amount at which you can buy or sell an asset, like a stock, when using an options contract. It matters because it helps determine whether exercising the option will be profitable or not, depending on the current market price. Think of it as the set price you agree on today to buy or sell later.

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

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SAN DIEGO, April 01, 2026 (GLOBE NEWSWIRE) -- Zentalis^® Pharmaceuticals, Inc. (Nasdaq: ZNTL), a clinical oncology innovator advancing late-stage development of investigational first-in-class WEE1 inhibitor azenosertib as a biomarker-driven treatment approach for ovarian cancer, today announced that on April 1, 2026, the Compensation Committee of Zentalis’ Board of Directors granted non-qualified stock options to purchase an aggregate of 36,000 shares of the Company’s common stock to two newly hired employees. The stock options were granted under the Zentalis Pharmaceuticals, Inc. 2022 Employment Inducement Incentive Award Plan (2022 Inducement Plan) as an inducement material to each such individual’s entering into employment with Zentalis in accordance with Nasdaq Listing Rule 5635(c)(4).

The 2022 Inducement Plan is used exclusively for the grant of equity awards to individuals who were not previously employees of Zentalis, or following a bona fide period of non-employment, as an inducement material to each such individual’s entering into employment with Zentalis, pursuant to Nasdaq Listing Rule 5635(c)(4).

The stock options have an exercise price of $2.57 per share, which is equal to the closing price of Zentalis’ common stock on The Nasdaq Global Market on the date of grant. The stock options have a 10-year term and will vest over four years, with 25% of the options vesting on the first anniversary of the vesting commencement date and the remaining 75% of the options vesting in equal monthly installments over the three years thereafter.

Vesting of the stock options is subject to the employees’ continued service to Zentalis on each vesting date.

About Zentalis Pharmaceuticals
Zentalis is a clinical oncology innovator developing a treatment approach for ovarian cancer and multiple tumor types. Leveraging therapeutics development and biomarker expertise, Zentalis is advancing monotherapy and combination studies of its first-in-class WEE1 inhibitor, azenosertib. Focused on translating WEE1 science into clinical practice, we aim to equip physicians with a targeted, non-chemo, orally available medicine that enhances treatment experience, choice, and outcomes. Our mission: to unburden cancer patients with more convenience and care.​

For more information, please visit www.zentalis.com. Follow Zentalis on LinkedIn at www.linkedin.com/company/zentalis-pharmaceuticals.

Contact: 
Aron Feingold
VP, Investor Relations & Corporate Communications
ir@zentalis.com

FAQ

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

What did Zentalis (ZNTL) announce on April 1, 2026 about employee stock option grants?

Zentalis granted non-qualified options for an aggregate of 36,000 shares to two new hires. According to Zentalis, the grants were made under the 2022 Inducement Plan as inducements under Nasdaq Listing Rule 5635(c)(4).

What are the exercise price and term for the Zentalis (ZNTL) options granted April 1, 2026?

The options have a $2.57 exercise price and a 10-year term. According to Zentalis, $2.57 equals the closing Nasdaq price on the grant date and each option expires after ten years.

How do the Zentalis (ZNTL) stock options vest that were granted on April 1, 2026?

The options vest over four years: 25% after one year, then monthly over three years. According to Zentalis, vesting is contingent on the employees' continued service on each vesting date.

Why were the stock options granted under Zentalis' 2022 Inducement Plan (ZNTL)?

The grants were used as inducements for newly hired employees under Nasdaq Rule 5635(c)(4). According to Zentalis, the 2022 Inducement Plan is reserved for equity awards to new hires or returning employees.

How many employees received options in Zentalis' (ZNTL) April 1, 2026 grant and how many shares were awarded?

Two newly hired employees received options totaling 36,000 shares. According to Zentalis, the aggregate grant was split between the two hires under the 2022 Inducement Plan.