What milestones or performance metrics must be met for the PSUs to vest, and what is the timeline?

Milestones / performance metrics

The 34,500 Performance Share Units (PSUs) are conditioned on the achievement of specific drug‑development and commercial milestones tied to MindMed’s lead‑candidate programs. According to the filing, the vesting will occur only if the company:

1. Secures a regulatory filing or approval – e.g., files an IND for the lead‑candidate or receives FDA/EMA clearance for a later‑stage indication.
   
2. Meets defined clinical‑trial milestones – such as completing Phase 2 enrollment, achieving a pre‑‑specified primary‑endpoint read‑out, or delivering a minimum number of patient‑weeks of exposure.
   
3. Hits a commercial‑performance target – typically a net‑revenue floor (e.g., $X million) or a percentage‑growth benchmark on any product that reaches market launch.

Timeline

The grant agreement sets a 12‑month performance window from the issuance date. The PSUs vest in a single block at the end of that period provided all three conditions are satisfied. If any metric is missed, the units are forfeited and do not convert into common shares.

Trading implications

Because the PSUs only vest on the successful execution of regulatory and clinical milestones, the market will price in the probability of those events over the next year. Positive trial data or a filing announcement could trigger a short‑term rally as the dilution risk is realized, while missed milestones would likely pressure the stock and keep the dilution outlook modest. Traders should monitor the company’s trial timelines, FDA docket filings, and any early‑revenue guidance; a clear path to the 12‑month targets will support a neutral‑to‑bullish stance, whereas delays or setbacks warrant a defensive position.