Form 4: ACV Auctions Director Reports Conversion and Sale of Class A Common Stock

Robert P. Goodman, a director of ACV Auctions, reported the conversion of Class B Common Stock to Class A Common Stock and subsequent sale of Class A Common Stock by Bessemer Venture Partners IX Funds.

Summary

• On February 23, 2024, and February 26, 2024, Bessemer Venture Partners IX L.P. (BVP IX), Bessemer Venture Partners IX Institutional L.P. (BVP IX Inst), and 15 Angels III LLC sold Class A Common Stock of ACV Auctions, Inc.
• The sales occurred at weighted average prices of $16.50 and $16.21, respectively, with individual transactions ranging from $16.05 to $16.75.
• Prior to the sales, the BVP IX Funds converted 1,987,693 shares of Class B Common Stock into Class A Common Stock.
• Robert P. Goodman, as a director of Deer IX & Co. Ltd., disclaims beneficial ownership of the securities held by BVP IX Funds, except to the extent of his pecuniary interest.
• Goodman also reported beneficial ownership of Class A Common Stock held by NB Group, LLC and Katama Point LLC, but disclaims beneficial ownership except to the extent of his pecuniary interest.

Sentiment

Score: 5

Explanation: The document primarily reports transactions. The sentiment is neutral as it reflects standard insider activity without explicit positive or negative implications.

Industry Context

Sales of shares by major holders like Bessemer Venture Partners are common and can reflect portfolio management decisions. The market will likely assess the impact of these sales on ACV Auctions' stock price and investor confidence.

Comparison to Industry Standards

• Comparing ACV Auctions' insider selling activity to peers like Carvana (CVNA) or Copart (CPRT) can provide context.
• Significant insider sales can sometimes be viewed negatively, but are also a normal part of venture capital firms distributing returns to their limited partners.
• The weighted average prices of $16.50 and $16.21 are important to compare against the prevailing market price of ACVA stock to assess the discount or premium at which these shares were transacted.

Stakeholder Impact

• Shareholders may react to the news of the stock sales by a major holder.
• The impact on employees, customers, suppliers, and creditors is likely minimal unless the sales trigger broader concerns about the company's financial stability.

Key Dates