Faeth Therapeutics grants performance stock options to three executives

Faeth Therapeutics, Inc. disclosed in an 8-K filing that its board of directors, acting on the recommendation of the Compensation Committee, approved one-time supplemental grants of performance-based stock options on July 21, 2026. The grants were made under the company's 2026 Equity Incentive Plan to current employees who were employed with the company as of February 19, 2026.¹

Chief Executive Officer Anand Parikh received an option to purchase 398,018 shares, General Counsel and Secretary Christopher Gerry received an option for 84,766 shares, and Senior Vice President of Finance Josiah Craver received an option for 30,824 shares.¹ The filing notes that although Gerry and Craver held "named executive officer" status for the year ended December 31, 2025, the board determined in June 2026 that neither man qualifies as an "executive officer" under Rule 3b-7 of the Securities Exchange Act.¹

The exercise price of each option is set at the closing price of Faeth's common stock on Nasdaq on the date of grant.¹ Vesting occurs in a single tranche on the later of the date the stock price hurdle is met or the first anniversary of the grant, contingent on continued employment.¹

The stock price hurdle is triggered if the 30-day average closing price of Faeth shares on Nasdaq reaches or exceeds $70.00 at any point before the fourth anniversary of the grant date, subject to adjustments for stock splits or similar events.¹ If the hurdle is not met by the end of that four-year performance period, or if the employee's service ends beforehand, the option is forfeited entirely.¹

Should a change in control occur before the performance period ends, the hurdle is considered met if the per-share deal price is at least $70.00, triggering immediate vesting just before the transaction closes, provided the employee is still with the company.¹ If the $70.00 threshold is not reached in that scenario, the option is forfeited.¹