Form 4: Aris Water Solutions CEO Amanda Brock Reports Changes in Beneficial Ownership

Amanda Brock, President and CEO of Aris Water Solutions, reports the surrender and acquisition of Class A Common Stock and Restricted Stock Units (RSUs) on March 1, 2024.

Summary

• On March 1, 2024, Amanda Brock, President and CEO of Aris Water Solutions, reported changes in her beneficial ownership of the company's stock.
• She surrendered 34,774 shares of Class A Common Stock at a price of $12.04 per share to cover tax withholding related to the settlement of vested restricted stock units.
• Brock also acquired 203,390 restricted stock units (RSUs) under the company's 2021 Equity Incentive Plan.
• These RSUs will vest in three equal installments on March 1, 2025, March 1, 2026, and March 1, 2027.
• Following these transactions, Brock directly owns 657,909 shares of Class A Common Stock and 406,693 shares of Class B Common Stock.
• She also indirectly owns 406,693 units in Solaris Midstream Holdings, LLC, which are redeemable for Class A Common Stock on a one-for-one basis.

Sentiment

Score: 6

Explanation: The document is a routine regulatory filing, indicating standard executive compensation practices. It doesn't contain information that would significantly impact investor sentiment positively or negatively.

Positives

• The granting of RSUs to the CEO aligns her interests with the long-term performance of the company.
• The vesting schedule of the RSUs encourages continued service and commitment from the CEO.

Future Outlook

The document outlines the vesting schedule for the granted RSUs, indicating future equity compensation for the CEO based on continued service.

Industry Context

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

Comparison to Industry Standards

• Equity compensation through RSUs is a common practice among publicly traded companies to incentivize executives.
• Vesting schedules, like the one described, are typical for RSUs to ensure long-term commitment.
• Comparable companies in the water solutions or midstream sectors, such as Tetra Technologies or Select Water Solutions, also utilize equity-based compensation for their executives.

Stakeholder Impact

• The granting of RSUs aligns the CEO's interests with those of shareholders, potentially driving long-term value creation.
• The surrender of shares for tax withholding has a minimal impact on the overall shareholder base.

Key Dates