European Wax Center Announces Executive Equity Inducement Grants
European Wax Center, Inc. (NASDAQ: EWCZ), the foremost franchisor of out-of-home waxing services in the United States, has confirmed the issuance of equity inducement grants following the appointment of two new executives. Angela Jaskolski has been named the Chief Operating Officer (COO) and has received a total of 125,000 restricted stock units (RSUs) along with stock options allowing her to purchase 465,000 shares at different exercise prices, specifically $4.66, $9.00, and $12.00. Meanwhile, Kurtis Smith, who has taken on the role of Chief Development Officer (CDO), is set to receive 95,000 RSUs and options to buy 350,000 shares at similar price points of $4.69, $9.00, and $12.00. Both sets of grants are effective from August 2025 and will vest over a period of four years, contingent upon their ongoing employment with the company.
Company Enhances Leadership Team with New Appointments
The new equity compensation structure aims to align the interests of the management team with those of shareholders by incorporating a range of strike prices. This strategic approach is expected to foster a sense of accountability and motivation among the executives. The four-year vesting schedule is designed to promote long-term retention of key leadership personnel.
Possible Challenges Ahead for the Company
However, there are potential drawbacks associated with these equity grants. The total issuance of 220,000 new RSUs and 815,000 stock options could lead to dilution of existing shares. Furthermore, the current stock price, ranging from $4.66 to $4.69, is significantly lower than the higher strike prices of $9.00 and $12.00, suggesting that the company may face challenges in achieving its growth targets.
Detailed Overview of Equity Grants
In a recent announcement from Plano, Texas, European Wax Center outlined the specifics of the equity grants. Effective August 18, 2025, the Board of Directors approved the issuance of RSUs covering 125,000 shares and non-qualified stock options that allow the purchase of 195,000 shares at an exercise price of $4.66—reflecting the closing stock price on that date. Additional options were set at $9.00 and $12.00 for further stock purchases. The RSUs will vest in equal installments on each of the first four anniversaries from the grant date, while the options will fully vest on the fourth anniversary, contingent on Ms. Jaskolski’s continued service with the company.
In conjunction with these grants, on August 14, 2025, the Board also approved equity awards for Kurtis Smith, which include RSUs for 95,000 shares and options for 150,000 shares at an exercise price of $4.69. Similar to Jaskolski’s awards, Smith’s options will also be subject to a four-year vesting period based on his ongoing employment.
Understanding the 2025 Inducement Plan
The 2025 Inducement Plan is specifically designed for granting equity awards to individuals who are new hires, or those returning after a bona fide period of non-employment. This plan is crucial for attracting talent to the company and complies with the Nasdaq Listing Rules. The RSUs and stock options granted to both Jaskolski and Smith were provided as part of this inducement strategy to encourage their commitment to the organization.
About European Wax Center, Inc.
European Wax Center, Inc. (NASDAQ: EWCZ) stands as the premier franchisor and operator of out-of-home waxing services in the United States. The company boasts over 23 million services performed annually, offering clients an exceptional personal care experience facilitated by skilled wax specialists in private, clean waxing suites. The company is also recognized for its innovative Comfort Wax®, made with high-quality ingredients to enhance the waxing experience. Founded in 2004 and headquartered in Plano, Texas, European Wax Center has established over 1,000 locations across 44 states, achieving sales of $951 million in fiscal 2024.
Frequently Asked Questions
What equity compensation did European Wax Center (EWCZ) grant to its new COO Angela Jaskolski?
Angela Jaskolski received 125,000 RSUs and options to purchase 465,000 shares at exercise prices of $4.66, $9.00, and $12.00, with a four-year vesting schedule.
What inducement grants did EWCZ provide to new CDO Kurtis Smith?
Kurtis Smith was awarded 95,000 RSUs and options to purchase 350,000 shares at exercise prices of $4.69, $9.00, and $12.00, also vesting over four years.
When will the European Wax Center executive inducement grants vest?
The RSUs will vest in equal installments annually over four years, while the stock options will fully vest on the fourth anniversary of their respective grant dates.
What is the purpose of EWCZ’s 2025 Inducement Plan?
The plan is exclusively for equity awards to attract new employees as an inducement for joining the company, in accordance with Nasdaq Rule 5635(c)(4).
What are the current stock price implications for EWCZ’s new option grants?
With current stock prices ranging from $4.66 to $4.69, the higher strike price options at $9.00 and $12.00 necessitate significant stock appreciation for them to hold value.
