Form 4: ADMA Biologics CEO Exercises Options and Sells Shares Under Pre-Arranged Plan

ADMA Biologics President and CEO Adam Grossman exercised stock options and sold a portion of his common stock holdings on July 15, 2025, as part of a pre-established Rule 10b5-1 trading plan.

Summary

• Adam S. Grossman, President and CEO, Director, and 10% Owner of ADMA Biologics, Inc. (ADMA), engaged in transactions on July 15, 2025.
• Exercised stock options to acquire 15,000 shares of common stock at an exercise price of $5.40 per share.
• Sold 15,000 shares of common stock at $18.66 per share.
• Sold an additional 6,000 shares of common stock at $18.66 per share.
• All transactions were conducted pursuant to a Rule 10b5-1 trading plan established on December 5, 2024.
• Following these transactions, Grossman directly beneficially owns 2,037,850 shares of common stock.
• Grossman also indirectly beneficially owns 1,143,426 shares through Areth, LLC and 580,957 shares through Hariden, LLC.
• His total beneficial ownership of common stock, including direct and indirect holdings, is 3,762,233 shares.
• Grossman holds 795,950 stock options and various unvested Restricted Stock Units (RSUs) totaling 1,032,166 shares.

Sentiment

Score: 6

Explanation: The sentiment is neutral to slightly positive. While insider selling can be perceived negatively, the transaction was pre-scheduled under a 10b5-1 plan, mitigating concerns about opportunistic selling. The exercise of options at a significantly lower price than the sale price indicates a profitable and planned liquidity event for the executive, not necessarily a negative signal about the company's future.

Positives

• The exercise of stock options at a price of $5.40, significantly below the sale price of $18.66, indicates a profitable transaction for the insider.
• The transactions were executed under a pre-arranged Rule 10b5-1 trading plan, which suggests the sales were not based on new, undisclosed material information.

Negatives

• The sale of 21,000 shares by a high-ranking insider (President and CEO, Director, 10% Owner) could be perceived negatively by some investors, despite being part of a 10b5-1 plan.

Future Outlook

NA

Industry Context

This filing is specific to an insider transaction and does not directly relate to broader industry trends or competitors, beyond the general context of executive compensation and stock ownership in the biotechnology/pharmaceutical industry.

Related Party Transactions

• The reported transactions involve the President and CEO of ADMA Biologics, Adam S. Grossman, exercising stock options and selling shares of the company's common stock. This is inherently a related party transaction as it involves a key insider.

Stakeholder Impact

• Shareholders: The sale of shares by a key executive could lead to minor concerns about insider sentiment, though the 10b5-1 plan mitigates this. The profitable exercise of options demonstrates the executive's personal financial gain from the company's stock performance.

Key Dates

Recommendation

Keywords

ADMA Biologics, ADMA, Adam S. Grossman, insider trading, Form 4, SEC filing, stock options, share sale, Rule 10b5-1 plan, beneficial ownership, CEO, director, common stock