Tao Synergies Inc (TAOX)

[Cyosol]

Most likely because they ran out of options and need shareholder approval to issue more.

"As of May 31, 2019, no shares of our common stock remain available for issuance under the Plan; options to purchase a total of 2,295,246 shares of common stock are outstanding under the Plan; options to purchase a total of 685,323 shares of common stock are outstanding under the 2013 Plan; and restricted stock units for the issuance of a maximum of 0 shares of our common stock were outstanding. As of May 31, 2019, no shares of our common stock have been issued upon the exercise of options and vesting of other equity awards granted under the Plan."

"We believe that the increase in the number of shares available for issuance under our Plan is essential to permit our management to continue to provide long-term, equity-based incentives to present and future key employees, consultants and directors. The Board believes that the number of shares currently remaining available for issuance pursuant to future awards under the Plan, as of May 31, 2019, is not sufficient for future granting needs."

"In January 2019, we granted stock options to purchase an aggregate of 595,000 shares of the Company’s common stock to eight members of the Company’s Board of Directors, three Company officers and two Company employees. The stock options have an exercise price of? $3.93 per share and an expiration date that is ten years from the date of issuance. All of the options vest 50% at time of issuance and 50% quarterly over the subsequent two year period after the issuance date. Options to purchase an aggregate of 29,923 shares cannot be exercised until, and are subject to, stockholder approval of an increase in shares under our 2017 Equity Incentive Plan. If stockholder approval is not obtained, such options shall be cancelled. Pursuant to our non-employee director compensation plan, in March 2019, we granted stock options to purchase an aggregate of 80,000 shares of our common stock to eight members of our Board of Directors. The stock options have an exercise price of? $4.06 per share and an expiration date that is ten years from the date of issuance. All of these options vest upon the first anniversary of the issuance date. Such options cannot be exercised until, and are subject to, stockholder approval of an increase in shares under our 2017 Equity Incentive Plan. If stockholder approval is not obtained, such options shall be cancelled. No compensation expense has been taken on the 109,923 options subject to stockholder approval."