Form 4: Arteris Inc. Executive Paul Alpern Reports Stock and Option Awards

Paul Alpern, VP and General Counsel of Arteris, Inc., reports the acquisition of restricted stock units and stock options.

Summary

• On February 21, 2025, Paul Alpern, VP and General Counsel of Arteris, Inc., reported the acquisition of 29,282 restricted stock units (RSUs) and 40,000 stock options.
• The RSUs represent a contingent right to receive one share of Arteris' common stock each.
• The RSUs will vest in 16 substantially equal quarterly installments starting on April 1, 2025.
• 40,000 shares subject to the stock options vest and become exercisable in 16 substantially equal quarterly installments commencing on April 1, 2025.
• The expiration date for the stock options is February 20, 2035.
• Following the reported transactions, Alpern beneficially owns 90,886 shares of common stock and 40,000 stock options.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, indicating stability and alignment of interests. The sentiment is neutral to positive as it suggests the company is investing in its leadership.

Positives

• The grant of RSUs and stock options to a key executive like the VP and General Counsel suggests the company's commitment to incentivizing and retaining its leadership team.
• The vesting schedule of both the RSUs and stock options (16 quarterly installments) promotes long-term alignment between the executive's interests and the company's performance.

Industry Context

Stock and option awards are a common practice in the tech industry to incentivize executives and align their interests with those of shareholders.

Comparison to Industry Standards

• Stock option grants are a standard component of executive compensation packages in the technology sector, often used by companies like ARM Holdings, Cadence Design Systems, and Synopsys to attract and retain talent.
• The vesting schedule of 16 quarterly installments is a typical vesting arrangement, similar to those used by other companies in the semiconductor and IP licensing industries.

Stakeholder Impact

• The stock and option awards could have a positive impact on shareholders by incentivizing the executive to improve company performance.
• Employees may view the awards as a positive sign of the company's commitment to its leadership.

Key Dates