BioRestorative files Lance Alstodt's employment agreement terms

BioRestorative Therapies, Inc. (Nasdaq: BRTX) filed an executive employment agreement with Lance Alstodt, in an 8-K filed at the end of May 2026. The agreement is dated as of May 27, 2026, and was filed as Exhibit 99.1. It sets an initial term of three years and a bonus of up to 50% of salary. If the company terminates him without cause, or he resigns for good reason, the agreement provides for severance equal to two times the sum of his salary and bonus.

The term and the role

The initial term runs for three years and extends in one-year periods unless either party gives written notice at least 90 days before the end of the term or an extension. Mr. Alstodt will serve in the position set out in Schedule A, and he will report to the people named there. He must devote substantially all of his business time to the company.

His primary work location is the company headquarters at 40 Marcus Drive, Suite One, Melville, NY 11747.

Pay and benefits

His salary will be paid at not less than the rate set out in Schedule A. The board, in its sole discretion and with the approval of a majority of its independent members, may award an annual cash bonus of up to 50% of salary. The award takes into account his performance and the company's financial performance. He will receive paid vacation as set out in Schedule A. He is also eligible, at the board's discretion, for option grants in each 12-month period under the company's 2021 Stock Incentive Plan, as amended. The board or its compensation committee must retain an independent third-party compensation consultant and request that consultant's recommendation on those grants.

Termination and severance

The employment period ends on his resignation for any reason, death or disability, termination by the company for cause or without cause, his resignation for good reason, or the end of the term. If the company terminates him without cause, or he resigns for good reason, he receives his accrued salary, earned but unused vacation and unreimbursed expenses in a lump sum. The company also pays two years of COBRA benefits, subject to his signing a release.

He would also receive a cash severance amount equal to two times the sum of his salary and bonus, subject to the release and to Section 9 of the agreement. All outstanding equity awards, including options and restricted stock units, would vest.

The company and its business

BioRestorative develops therapeutic products using cell and tissue protocols, primarily involving adult stem cells. Its Disc/Spine Program centers on BRTX-100, which the company is evaluating in a Phase 2 clinical trial for chronic lower back pain arising from degenerative disc disease. The FDA granted Fast Track designation to the program for chronic lumbar disc disease in February 2025. The ThermoStem Program is pre-clinical.

Financial position

For the year ended December 31, 2025, research and development expense was $10.1 million, compared with $6.7 million for 2024. The net loss was $14.2 million for 2025 and $9.0 million for 2024. Cash used in operations was $10.8 million in 2025 and $8.2 million in 2024. At March 31, 2026, cash and cash equivalents were $3.1 million and short-term investments were $479,351.

What comes next

The terms favor the executive: severance of two times salary plus bonus, two years of COBRA and full equity vesting if he is terminated without cause or resigns for good reason, set against a company that lost $14.2 million in 2025 and held $3.1 million in cash and cash equivalents at March 31, 2026. BRTX-100 is still in Phase 2 and the Phase 3 IND is not filed. The exhibit does not say when the board will next review his bonus or option grants. The company's 10-K says it has begun Phase 3 enabling activities for BRTX-100, with the goal of submitting a Phase 3 IND during 2026.

Report an error

Companies in this story

BRTXBioRestorative Therapies, Inc.NASDAQ · United StatesOpen the starter desk