Form 4: Altisource CEO William Shepro Reports Stock Transactions Following RSU Vesting and Trust Transfer

William Shepro, Chairman and CEO of Altisource Portfolio Solutions S.A., reports the vesting of restricted share units (RSUs), subsequent stock transactions including tax withholding, and a transfer of shares to a revocable trust.

Summary

• On February 19, 2025, William Shepro received a grant of 2,489,174 Restricted Share Units (RSUs) related to the closing of a transaction contemplated by the Transaction Support Agreement dated December 16, 2024.
• These RSUs will vest in three equal installments on the anniversaries of February 19, 2026, 2027, and 2028, contingent upon continuous service.
• On February 20, 2025, Mr. Shepro received 83,886 shares of Altisource common stock upon the vesting of previously granted time-based RSUs.
• An additional 26,049 shares were received upon the vesting of other previously granted time-based RSUs on the same date.
• 51,847 shares were withheld to cover tax obligations related to the vesting of 109,935 RSUs, with the tax withholding price determined by the opening price of ASPS common stock on February 20, 2025.
• Mr. Shepro transferred 58,088 shares to the William B. Shepro Revocable Trust as a gift.
• Following these transactions, Mr. Shepro directly owns 58,088 shares and indirectly owns 999,057 shares through the William B. Shepro Revocable Trust.
• He also directly owns 2,489,174 unvested RSUs and 52,097 unvested RSUs.

Sentiment

Score: 5

Explanation: The document is a neutral report of stock transactions, with no inherent positive or negative sentiment. It simply reflects the execution of previously agreed-upon compensation plans and personal financial management.

Future Outlook

The document outlines the vesting schedule for the newly granted RSUs, with one-third vesting annually on February 19, 2026, 2027, and 2028, contingent upon Mr. Shepro's continued service.

Industry Context

Form 4 filings are standard practice for reporting changes in beneficial ownership by company insiders, providing transparency to investors regarding executive compensation and stock ownership.

Comparison to Industry Standards

• Executive compensation packages often include RSUs as a way to align management's interests with those of shareholders.
• Vesting schedules are common, typically spanning several years to incentivize long-term commitment.
• The use of a revocable trust for estate planning purposes is a standard practice among high-net-worth individuals, including corporate executives.
• Companies like Black Knight, Fidelity National Financial, and CoreLogic, which operate in similar sectors, also utilize equity-based compensation for their executives.

Stakeholder Impact

• The vesting of RSUs and subsequent stock transactions may have a minor impact on the company's share price due to the increased number of shares in the market.
• The transactions do not directly impact employees, customers, suppliers, or creditors.

Key Dates