Form 4: Alkami Technology Chief Legal Officer Sells Shares to Cover Tax Obligations

Douglas A. Linebarger, Chief Legal Officer of Alkami Technology, Inc., sold 6,970 shares of common stock on September 5, 2024, to cover tax withholding obligations related to the vesting and settlement of RSUs.

Summary

• On September 5, 2024, Douglas A. Linebarger, the Chief Legal Officer of Alkami Technology, Inc. (ALKT), sold 6,970 shares of the company's common stock.
• The shares were sold at a price of $31.59 per share.
• The sale was executed to cover tax withholding obligations associated with the vesting and settlement of Restricted Stock Units (RSUs).
• Following the transaction, Linebarger directly owns 248,585 shares of Alkami Technology, Inc.
• The sale was not a discretionary transaction but rather a 'sell to cover' transaction to satisfy tax obligations.

Sentiment

Score: 6

Explanation: The document describes a routine transaction (sell to cover taxes on RSU vesting). It's neutral in sentiment as it doesn't indicate positive or negative performance for the company.

Management Comments

• The sale was to satisfy tax withholding obligations to be funded by a 'sell to cover' transaction and does not represent a discretionary transaction by the Reporting Person.

Industry Context

Sales of shares to cover tax obligations upon vesting of RSUs are a common practice among corporate executives and are generally viewed as routine transactions.

Comparison to Industry Standards

• Similar 'sell to cover' transactions are frequently observed among executives at publicly traded companies like Block, Inc. and PayPal Holdings, Inc., where equity compensation forms a significant part of their remuneration.
• These transactions are typically disclosed via Form 4 filings with the SEC, providing transparency to investors.

Stakeholder Impact

• The transaction has a minimal impact on shareholders as it is a routine sale to cover tax obligations.

Key Dates