Company: LGNZZ
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000886163-25-000012
Chunk: 186

Company: LIGAND PHARMACEUTICALS INC
Filing Date: 2025-02-28
Form: 10-K
Item: Item 8
Chunk 186
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 employees holding stock options, restricted stock units and performance restricted stock units denominated in pre-OmniAb Distribution Ligand stock received a number of otherwise-similar awards either in post-OmniAb Distribution Ligand stock or in a combination of post-OmniAb Distribution Ligand stock and OmniAb stock based on conversion ratios outlined for each group of employees in the OmniAb Merger Agreement. The equity awards that were granted prior to March 2, 2022 were converted under the shareholder method, wherein employees holding outstanding equity awards received equity awards in both Ligand and OmniAb. For equity awards granted after March 2, 2022, for Ligand employees, the number of awards that were outstanding at the OmniAb Separation were proportionately adjusted into post-OmniAb Distribution Ligand stock to maintain the aggregate intrinsic value of the awards at the date of the OmniAb Separation; for OmniAb employees, the number of awards that were outstanding at the OmniAb Separation were proportionately adjusted into post-OmniAb Distribution OmniAb stock to maintain the aggregate intrinsic value of the awards at the date of the OmniAb Separation. The conversion ratio was determined based on the relative values of Ligand common stock in the “regular way” and “ex-distribution” markets during the five-trading day period prior to the closing of the business combination.These modified awards otherwise retained substantially the same terms and conditions, including term and vesting provisions. Additionally, we will not incur any future compensation cost related to equity awards held by OmniAb employees and directors. We will incur future compensation cost related to OmniAb equity awards held by our employees.Stock PlansIn June 2022, our stockholders approved the amendment and restatement of the Ligand Pharmaceuticals Incorporated 2002 Stock Incentive Plan (the “2002 Plan”). The amended and restated 2002 Plan, which is referred to herein as the “Restated Plan” was amended to increase the shares available for issuance by 1.0 million. In June 2024, our stockholders approved the amendment and restatement of the Ligand Pharmaceuticals Incorporated 2002 Stock Incentive Plan, which increased the shares available for issuance by 1.3 million.On July 29, 2022, our board of directors (the “Board”) approved the Ligand Pharmaceuticals Incorporated 2022 Employment Inducement Plan (the “2022 Inducement Plan”). The terms of the 2022 Inducement Plan are substantially similar