Form 4: Astrana Health CEO Brandon Sim Reports Stock Grant and Holdings
SEC Form 4
Astrana Health's CEO, Brandon Sim, reported the acquisition of restricted stock units and holdings in common stock through direct and indirect ownership, including holdings in irrevocable trusts.
Summary
- Brandon Sim, CEO and President of Astrana Health, Inc., filed a Form 4 detailing changes in beneficial ownership.
- The report includes the acquisition of 34,386 restricted stock units on November 8, 2024, at a price of $0.
- These restricted stock units vest in eight equal installments, starting November 8, 2024, with subsequent installments semi-annually from April 2, 2025.
- Sim's direct holdings include 983,372 shares of common stock, which includes unvested restricted stock and shares acquired through the Employee Stock Purchase Plan.
- He also indirectly owns shares through the Sim Family Irrevocable Trust 2021 (258,824 shares) and the Brandon Sim 2020 Irrevocable Trust (392,816 shares).
- Sim disclaims beneficial ownership of the shares held in the irrevocable trusts, except to the extent of his pecuniary interest.
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 grant of restricted stock units to the CEO aligns his interests with the long-term performance of the company.
- The vesting schedule of the restricted stock units encourages continued employment with the Issuer.
Future Outlook
The document outlines the vesting schedule for the restricted stock units and unvested restricted stock, indicating future dates for potential share releases, contingent upon continued employment and achievement of performance goals.
Management Comments
- The Reporting Person disclaims beneficial ownership of these securities except to the extent of his pecuniary interest therein, and the filing of this report is not an admission that the Reporting Person is the beneficial owner of these securities for purposes of Section 16 or for any other purpose.
Industry Context
Form 4 filings are standard practice for company insiders to report changes in their ownership of company securities, providing transparency to investors.
Comparison to Industry Standards
- Executive compensation packages often include restricted stock units to align executive interests with shareholder value, a common practice among publicly traded companies.
- Vesting schedules for restricted stock typically range from 3 to 5 years, with some companies using performance-based vesting criteria.
Stakeholder Impact
- Shareholders are informed about the CEO's stake in the company through direct and indirect ownership.
- Employees may be impacted through the Employee Stock Purchase Plan.
Key Dates
| Date | Description |
|---|---|
| 2020 | Year of establishment of Brandon Sim 2020 Irrevocable Trust |
| 2021 | Year of establishment of Sim Family Irrevocable Trust 2021 |
| 11/08/2024 | Date of transaction: Grant of 34,386 restricted stock units and first vesting installment. |
| 04/02/2025 | Date of first semi-annual vesting installment of restricted stock units. |
| 06/27/2025 | Date of first annual vesting installment of 54,280 shares and 5,557 shares. |
| 03/31/2025 | Beginning of semi-annual installments for 85,513 shares. |
| 11/12/2024 | Date of Form 4 filing. |
| 06/27/2026 | Date of second annual vesting installment of 54,280 shares and 5,557 shares. |
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