Tivic Health Systems enters new employment agreement with CEO Jennifer Ernst

Tivic Health Systems, Inc. (NASDAQ:TIVC), a micro-cap healthcare company with a market value of $4.74 million, has entered into a new executive employment agreement with Chief Executive Officer Jennifer Ernst, replacing the prior agreement dated July 31, 2021. The company, whose stock has declined nearly 49% year-to-date according to InvestingPro data, disclosed the details in a press release statement filed with the Securities and Exchange Commission.

Under the new agreement, Ms. Ernst will receive a base salary of $325,000 per year, subject to review and adjustment as part of the company’s standard performance review process. She is also eligible for an annual end-of-year incentive bonus of up to 50% of her base salary, at the discretion of Tivic Health’s board of directors. Additionally, Ms. Ernst may receive annual equity grants as determined by the board or its compensation committee, under the company’s Amended and Restated 2021 Equity Incentive Plan.

The agreement states that Ms. Ernst’s employment is at will, allowing either party to terminate the relationship at any time, with or without cause. If her employment ends before December 31 in any year, she will not receive the annual incentive bonus for that year.

Under certain termination scenarios, Ms. Ernst would not be entitled to separation benefits. These include voluntary resignation without good reason, termination for cause by the company, or termination due to death or disability. If Ms. Ernst resigns for good reason or is terminated without cause, she will be eligible for severance equal to one-twelfth of her base salary for twelve months, continuation of COBRA health coverage for twelve months, and continued vesting of unvested equity awards for twelve months following termination.

The company noted that the summary of the agreement is qualified in its entirety by the full text of the employment agreement, which was filed as an exhibit to the SEC filing.

Tivic Health Systems is based in Fremont, California, and its common stock is listed on the Nasdaq Stock Market under the symbol TIVC. The company is scheduled to report its next earnings on November 14, 2025. Investors seeking deeper insights into TIVC’s financial health and growth prospects can access comprehensive analysis through InvestingPro, which offers 12 additional key insights about the company’s performance and outlook.

In other recent news, Tivic Health Systems reported a significant decline in revenue for the second quarter of 2025 compared to the previous year. Despite this downturn, the company is shifting its focus towards the biopharmaceutical sector, with promising developments in immune system therapies. Tivic Health also announced it received two investigational new drug applications from Statera Biopharma for its lead candidate, Entolimod, targeting acute radiation syndrome and advanced cancers. This development allows Tivic to engage with the FDA regarding the regulatory pathway for Entolimod. Additionally, the company made progress in discussions with key U.S. government agencies about using Entolimod as a radiation countermeasure for military personnel. Tivic participated in the 2025 Military Health System Research Symposium, where it met with representatives from various defense and health organizations. These recent developments highlight Tivic’s strategic pivot and ongoing efforts in the biopharmaceutical field.

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