Form 4: Alkermes EVP Blair C. Jackson Reports Stock Transactions

Blair C. Jackson, EVP and Chief Operating Officer of Alkermes plc, reports the vesting of restricted stock units and acquisition of new stock options.

Summary

• On February 23, 2024, Blair C. Jackson vested 8,737 ordinary shares from a restricted stock unit award.
• Following this transaction, Jackson directly owns 161,682 ordinary shares.
• A portion of these shares, 3,880, were disposed of to cover tax obligations at a price of $29.57 per share, resulting in a remaining direct ownership of 157,802 shares.
• On February 26, 2024, Jackson was granted 134,771 employee stock options with an exercise price of $30.04, vesting in four equal annual installments commencing on February 26, 2025, and expiring on February 26, 2034.
• Jackson was also granted 33,289 restricted stock units, vesting in four equal annual installments commencing on February 26, 2025.
• Following these transactions, Jackson directly owns 26,214 restricted stock units and 134,771 employee stock options.

Sentiment

Score: 6

Explanation: Neutral sentiment as the document primarily reports routine stock transactions by an executive. The grants are positive for aligning incentives, but the tax-related sale is a neutral event.

Positives

• The granting of stock options and restricted stock units to the EVP and Chief Operating Officer aligns his interests with those of the shareholders.
• The vesting schedule of the stock options and restricted stock units encourages long-term commitment from the executive.

Future Outlook

The document does not contain specific forward-looking statements beyond the vesting schedules of the stock options and restricted stock units.

Industry Context

Stock option and restricted stock unit grants are common practices in the pharmaceutical industry to incentivize and retain key executives. The vesting schedules are designed to align executive compensation with long-term company performance.

Comparison to Industry Standards

• Stock option grants are a standard component of executive compensation packages in the pharmaceutical industry, similar to companies like Biogen, Vertex Pharmaceuticals, and Gilead Sciences.
• The vesting schedules, typically over four years, are also in line with industry norms to ensure long-term commitment and alignment with shareholder value creation.
• The size of the grant is relative to the executive's role and the company's overall compensation strategy, which is benchmarked against peer companies.

Stakeholder Impact

• The stock transactions may have a minor impact on shareholders due to the potential dilution from the exercise of stock options.
• Employees may be indirectly impacted by the executive's incentivization to improve company performance.

Key Dates