WARRINGTON, Pa., Feb. 3, 2016 /PRNewswire/ -- Discovery
Laboratories, Inc. (NASDAQ: DSCO), a biotechnology company focused
on developing aerosolized KL4 surfactant therapies for respiratory
diseases, today announced that its Board of Directors has approved
an inducement award as a component of employment compensation for
Craig Fraser, its newly appointed
President and Chief Executive Officer. The award was approved
by the Board's Compensation Committee on February 1, 2016 and granted as an inducement
material to Mr. Fraser's employment with Discovery Labs in
accordance with NASDAQ Listing Rule 5635(c)(4). Discovery
Labs announced in a press release on February 1, 2016 and reported in its Current
Report on Form 8-K filed today with the Securities and Exchange
Commission that Mr. Fraser was appointed President and Chief
Executive Officer effective February
1, 2016. This award was made outside of the Company's
2011 Long-Term Incentive Plan ("2011 Plan"), but will be subject to
terms and conditions generally consistent with those in the 2011
Plan.
Mr. Fraser received an option to purchase 204,863 shares of
Discovery Labs' common stock with a per-share exercise price equal
to $2.33, the closing price per share
of common stock as reported by Nasdaq on February 2, 2016, the closing price next
determined after approval of the grant. Mr. Fraser commenced
employment on February 1, 2016.
The option is a non-qualified stock option, has a ten year term and
will vest and become exercisable ratably over a three year on each
of the next three anniversary dates of the grant, assuming Mr.
Fraser remains continuously employed by Discovery Labs. In
addition, the vesting of the options may be accelerated upon
certain terminations of Mr. Fraser's employment, including in
connection with a change of control.
Discovery Labs is providing this information in accordance with
NASDAQ Listing Rule 5635(c)(4).
About Discovery Labs
Discovery Laboratories, Inc. is
a biotechnology company focused on developing aerosolized KL4
surfactant therapies for respiratory diseases. Surfactants
are produced naturally in the lung and are essential for normal
respiratory function and survival. If surfactant deficiency
or degradation occurs, the air sacs in the lungs can collapse,
resulting in severe respiratory diseases and disorders.
Discovery Labs' technology platform includes a novel synthetic
peptide-containing (KL4) surfactant, that is structurally similar
to pulmonary surfactant, and proprietary drug delivery technologies
being developed to enable efficient delivery of aerosolized KL4
surfactant. Discovery Labs believes that its proprietary
technology platform makes it possible, for the first time, to
develop a significant pipeline of aerosolized surfactant products
to address a variety of respiratory diseases for which there
frequently are few or no approved therapies.
For more information, please visit the Company's website at
www.Discoverylabs.com.
Forward-Looking Statements
To the extent
that statements in this press release are not strictly historical,
all such statements are forward-looking, and are made pursuant to
the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements are
subject to certain risks and uncertainties that could cause actual
results to differ materially from the statements made.
Examples of such risks and uncertainties, including those affecting
Discovery Labs' ability successfully to complete its development
programs, secure regulatory approvals for its product candidates in
the U.S. and abroad, and realize the potential value and benefits
of its RDS product portfolio, are described in Discovery Labs'
filings with the Securities and Exchange Commission, including its
most recent reports on Forms 10-K, 10-Q and 8-K, and any amendments
thereto. Any forward-looking statement in this release speaks only
as of the date on which it is made. Discovery Labs assumes no
obligation to update or revise any forward-looking
statements.
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SOURCE Discovery Laboratories, Inc.