Viridian Therapeutics Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)
Viridian Therapeutics, Inc. (Nasdaq: VRDN), a biopharmaceutical company dedicated to discovering, developing, and commercializing innovative therapies for serious and rare diseases, today announced that its Compensation Committee, consisting of a majority of independent directors serving on the company’s Board of Directors, has approved the grant of non-qualified stock options to nine new employees as part of an inducement package aimed at attracting top-tier talent. These inducement grants, collectively referred to as the New-Hire Inducement Grants, provide the option to purchase an aggregate of 113,200 shares of the company’s common stock, granted on March 3, 2025.
The New-Hire Inducement Grants were awarded as an incentive to the newly hired employees and align with Nasdaq Listing Rule 5635(c)(4), which allows the issuance of equity-based compensation outside of shareholder-approved equity plans as a material inducement to employment. The grants have an exercise price per share equal to the closing price of Viridian’s common stock on the date of grant, ensuring that employees are incentivized to drive company performance and create long-term shareholder value.
Under the terms of these grants, the stock options will vest over a four-year period, structured as follows:
- 25% of the shares vest on the first anniversary of the employee’s start date.
- The remaining 75% of the shares vest in 36 equal monthly installments over the following three years.
- Vesting is contingent on each employee’s continued employment with Viridian through the applicable vesting dates.
Inducement Grant for Chief Medical Officer
In addition to the New-Hire Inducement Grants, Viridian’s Board of Directors has also approved a separate non-qualified stock option grant specifically for Dr. Radhika Tripuraneni, who was recently appointed as the company’s Chief Medical Officer (CMO). This grant, referred to as the CMO Inducement Grant, provides Dr. Tripuraneni with the option to purchase 310,700 shares of Viridian’s common stock. The grant is effective as of March 10, 2025 (the “CMO Grant Date”).
Similar to the New-Hire Inducement Grants, the CMO Inducement Grant also has an exercise price per share equal to the closing price of Viridian’s common stock on the CMO Grant Date. The vesting schedule is structured to encourage long-term commitment and sustained contributions to the company’s success:
- 25% of the shares vest on the one-year anniversary of the CMO Grant Date.
- The remaining 75% vest in 36 equal monthly installments over the next three years.
- Vesting remains subject to Dr. Tripuraneni’s continued employment with Viridian through the applicable vesting dates.
Strategic Rationale Behind Inducement Grants
Viridian’s decision to issue these stock options is a strategic move aimed at attracting and retaining highly skilled professionals who can contribute to the company’s mission of developing transformative therapies. The company’s leadership believes that equity-based incentives align employee interests with those of shareholders, fostering a culture of innovation, accountability, and long-term value creation.
“The granting of these inducement stock options reflects our continued commitment to building a world-class team dedicated to advancing the development of breakthrough medicines for patients with serious and rare diseases,” said Jonathan Silverstein, Chief Executive Officer of Viridian Therapeutics. “We are particularly excited to welcome Dr. Tripuraneni as our new Chief Medical Officer. Her expertise in clinical development and regulatory strategy will be instrumental in advancing our pipeline, and we are pleased to provide her with an equity package that reflects the value she brings to our organization.”
Viridian’s Expanding Talent Base
Viridian has been experiencing significant growth, both in its clinical pipeline and its corporate infrastructure. The addition of nine new employees, coupled with the appointment of Dr. Tripuraneni, underscores the company’s commitment to expanding its talent pool with highly experienced professionals in the biopharmaceutical industry.
The newly hired employees will play pivotal roles across multiple departments, including clinical research, regulatory affairs, commercial strategy, and operational management. Their contributions will be crucial in driving forward Viridian’s lead programs, which are focused on developing best-in-class therapies for rare diseases.
Nasdaq Listing Rule 5635(c)(4) and Compliance
The New-Hire Inducement Grants and the CMO Inducement Grant have been issued in compliance with Nasdaq Listing Rule 5635(c)(4), which allows publicly traded companies to grant equity-based compensation to new employees outside of existing shareholder-approved equity plans as long as the grants are used as a material inducement for employment. While these grants fall outside Viridian’s Amended and Restated 2016 Equity Incentive Plan, they remain subject to the general terms and conditions outlined in the plan.
The company’s Board of Directors and Compensation Committee carefully structured these grants to ensure that they adhere to corporate governance best practices, maintain transparency, and align with investor expectations.
Viridian’s Future Growth
With an expanding workforce and a promising pipeline of therapies, Viridian remains poised for continued growth in the rare disease therapeutics space. The company is advancing several clinical-stage programs targeting thyroid eye disease (TED) and other serious conditions, with multiple key milestones anticipated in the coming year.
Dr. Tripuraneni’s appointment as Chief Medical Officer comes at a critical juncture, as Viridian prepares for upcoming clinical trial readouts, regulatory filings, and potential commercial launches. Her leadership is expected to accelerate Viridian’s clinical development strategy, ensuring that the company remains at the forefront of innovation in treating rare and serious diseases.
Additionally, the company remains committed to leveraging strategic hiring practices to attract top-tier talent in the biopharmaceutical sector. The inducement grants awarded today reflect this commitment and reinforce Viridian’s position as an employer of choice within the life sciences industry.
About Viridian Therapeutics, Inc.
Viridian Therapeutics is a biotechnology company focused on developing best-in-class medicines for serious and rare diseases. The company is dedicated to advancing its proprietary pipeline of therapies designed to improve the lives of patients with limited treatment options. Viridian’s research and development efforts are centered around novel biologics, targeted therapies, and precision medicine approaches aimed at addressing unmet medical needs.
For more information about Viridian Therapeutics, please visit www.viridiantherapeutics.com.
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