Precigen expands stock incentive plan, elects new director By Investing.com

GERMANTOWN, MD – Precigen (NASDAQ:), Inc., a biotechnology company specializing in pharmaceutical preparations, announced a series of key corporate updates following its Annual Meeting of Stockholders held today. The company confirmed the expansion of its stock incentive plan, the departure of a long-serving board member, and the election of a new director.

Stockholders of Precigen (NASDAQ:PGEN) approved an amendment to increase the number of shares available under the company’s 2023 Omnibus Incentive Plan by 2 million shares. This amendment, which had already received the Board’s approval pending stockholder consent, is detailed in the Proxy Statement filed on May 28, 2024. The expansion aims to bolster the company’s ability to attract and retain top talent through equity-based incentives.

In board-related changes, Dean Mitchell did not seek re-election and consequently stepped down from the Board effective as of today. Precigen stated that Mitchell’s departure was not due to any disagreement with the company’s operations, policies, or practices.

Simultaneously, Nancy Howell Agee was elected to Precigen’s Board of Directors. The newly elected director joins the board alongside other members who were re-elected for another one-year term. The election results reflect strong support for the existing leadership, with a majority of votes cast in favor of the incumbent directors.

Moreover, stockholders ratified the appointment of Deloitte & Touche LLP as the company’s independent registered public accounting firm for the fiscal year ending December 31, 2024. They also approved, in a non-binding advisory vote, the compensation of Precigen’s named executive officers.

The company’s recent developments, as reported in the Form 8-K filed with the Securities and Exchange Commission today, illustrate Precigen’s ongoing efforts to strengthen its corporate governance and incentive structures. These changes come at a time when the company is poised to continue its advancements within the life sciences sector.

In other recent news, Precigen Inc. has been making significant strides in the biotechnology sector. The company has reported positive results from a Phase 1/2 pivotal study of PRGN-2012, a gene therapy product for recurrent respiratory papillomatosis (RRP).

The study met its primary endpoints, leading to 51% of participants experiencing a complete response, and 86% of patients seeing a decrease in surgical interventions. The therapy was also reported to be well-tolerated, with no treatment-related adverse events greater than Grade 2.

In addition, the company has received an upgrade from Stifel, which raised Precigen’s price target from $7.00 to $10.00, following the presentation of phase 2 data for PRGN-2012. The upgrade reflects the positive outlook for Precigen as the company advances its therapeutic candidate towards potential market entry.

In other company news, analysts have maintained a consistent “Market Outperform” rating for Precigen, with a price target of $14.00. This optimistic stance is primarily anchored in the company’s clinical developments and strategic regulatory alignments.

The company ended a recent quarter with around $63 million in cash and equivalents, demonstrating prudent financial management as it navigates the costly process of clinical development. These are the recent developments in the company’s journey.

InvestingPro Insights

In the context of Precigen’s latest corporate updates, real-time data and analysis from InvestingPro offer a deeper understanding of the company’s financial health and market position. With a market capitalization of approximately $359.7 million, Precigen is navigating through challenging financial waters, as indicated by a negative price-to-earnings (P/E) ratio of -3.65 and an adjusted P/E ratio for the last twelve months as of Q1 2024 at -4.09. The company’s revenue has seen a significant decline of 76.6% over the last twelve months, highlighting the challenges faced in generating growth.

InvestingPro Tips suggest a nuanced picture: while Precigen holds more cash than debt on its balance sheet, which is a positive sign for liquidity and financial stability, the company is quickly burning through its cash reserves. Moreover, analysts have revised their earnings expectations downwards for the upcoming period, and they do not anticipate the company will be profitable this year. These factors, coupled with weak gross profit margins and a high volatility in stock price movements, may concern potential investors.

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