Orexigen(R) Therapeutics Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)
SAN DIEGO, Aug. 27 /PRNewswire-FirstCall/ -- Orexigen® Therapeutics, Inc. (Nasdaq: OREX), a biopharmaceutical company focused on the treatment of obesity, today announced that on August 25, 2010 the Compensation Committee of the Company's Board of Directors approved the grant of inducement stock options to purchase a total of 10,000 shares of common stock to two new employees.
Both of the stock options are intended to be incentive stock options to the extent permitted by law and both have an exercise price per share equal to $4.53, the fair market value on the grant date. Each stock option vests over the course of four years, with 25% vesting on the one-year anniversary of the grant date and 1/48 of the shares vesting monthly thereafter so that all of the shares subject to the stock option shall be vested on the fourth anniversary of the grant date, subject to the new employee’s continued service relationship with the Company on each such date. Each stock option has a ten year term and is subject to the terms and conditions of the Company's 2007 Equity Incentive Award Plan and the stock option agreement pursuant to which the option is granted.
Both stock options were granted as an inducement material to the new employees entering into employment with Orexigen Therapeutics in accordance with NASDAQ listing Rule 5635(c)(4).
About Orexigen Therapeutics
Orexigen Therapeutics, Inc. is a biopharmaceutical company focused on the treatment of obesity. The Company has filed an NDA with the FDA for its lead investigational product, Contrave(R). The Company's second product, Empatic(TM), has completed Phase 2 clinical development. Each product candidate is designed to act on a specific group of neurons in the central nervous system with the goal of achieving appetite suppression and sustained weight loss, through combination therapeutic approach