Natera (NASDAQ:NTRA) Enters into Amended and Restated Employment Agreement with Executive Chairman

On December 2, 2024, Natera, Inc. (the “Company”) announced in a filing with the Securities and Exchange Commission that it has entered into an Amended and Restated Employment Agreement with Matthew Rabinowitz, Ph.D., who serves as the Executive Chairman and Co-Founder of the Company. The Agreement, effective as of November 1, 2024, supersedes Dr. Rabinowitz’s prior employment agreement that was set to expire.

Under the terms of the Agreement, Dr. Rabinowitz will continue his role as the Company’s Executive Chairman on an at-will basis. He is set to receive an annual base salary equal to 50% of the CEO’s annual base salary. Additionally, he will be eligible for an annual cash bonus, contingent on meeting performance goals established and evaluated by the Company’s Board of Directors or its Compensation Committee.

Moreover, Dr. Rabinowitz is entitled to annual long-term equity awards during his tenure. These equity awards will be granted based on a dollar value equivalent to 80% of the CEO’s annual equity awards for each fiscal year. The structure of these awards, whether for time-based or performance-based vesting conditions, will mirror that of the CEO’s equity awards.

The issuance of equity awards to Dr. Rabinowitz will adhere to the Company’s 2015 Equity Incentive Plan, subject to the plan’s terms and conditions. The Agreement also outlines severance terms in the event of an involuntary termination scenario.

In case Dr. Rabinowitz faces involuntary termination, the Agreement specifies various benefits he would receive. These include a lump-sum cash payment equal to 12 months’ base salary (which increases to 18 months’ base salary in certain circumstances), payment of COBRA premiums, and accelerated vesting of equity awards triggered by specific conditions.

Definitions for involuntary termination, good reason, cause, and change in control are detailed in the Agreement. The provision of severance benefits is contingent upon Dr. Rabinowitz executing a release agreement in favor of the Company, with the release agreement becoming effective.

This Amended and Restated Employment Agreement is intended to be filed by the Company with the Securities and Exchange Commission as an exhibit to its annual report on Form 10-K for the 2024 fiscal year.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Natera’s 8K filing here.

Natera Company Profile

Natera, Inc, a diagnostics company, develops and commercializes molecular testing services worldwide. Its products include Panorama, a non-invasive prenatal test that screens for chromosomal abnormalities of a fetus, as well as in twin pregnancies; Horizon carrier screening test for individuals and couples determine if they are carriers of genetic variations that cause certain genetic conditions; Vistara single-gene NIPT screens for 25 single-gene disorders that cause severe skeletal, cardiac, and neurological conditions; Spectrum, preimplantation genetic tests for couples undergoing IVF; Anora that analyzes miscarriage tissue from women; Empower, a hereditary cancer screening test; and non-invasive prenatal paternity product, which allows a couple to establish paternity without waiting for the child to be born.