Form 4: Atlassian CEO Michael Cannon-Brookes Sells Shares Under 10b5-1 Plan

Atlassian CEO Michael Cannon-Brookes sold a total of 9,345 Class A Common Stock shares on January 31, 2025, through a pre-arranged 10b5-1 trading plan.

Summary

• Michael Cannon-Brookes, CEO and Co-Founder of Atlassian, sold 9,345 shares of Class A Common Stock on January 31, 2025.
• The sales were executed through a pre-arranged Rule 10b5-1 trading plan adopted on February 8, 2024.
• The transactions were conducted in multiple trades throughout the day, with prices ranging from $301.15 to $322.23 per share.
• The shares were sold indirectly through a trust, specifically the Cannon-Brookes Head Trust, with CBC Co Pty Limited acting as trustee.
• The weighted average prices for each block of shares sold are reported, and full details of the trades are available upon request to the SEC, the issuer, or a security holder.

Sentiment

Score: 5

Explanation: The document is a routine disclosure of stock sales under a pre-arranged plan, which is neither positive nor negative. It's a neutral event from an investment perspective.

Risks

• The sale of shares by a high-profile executive could potentially be perceived negatively by the market, although it is part of a pre-arranged trading plan.
• Large volume sales by insiders can sometimes create downward pressure on the stock price.

Industry Context

The use of 10b5-1 trading plans is a common practice among corporate executives to manage their stock sales and avoid accusations of insider trading. This filing is a routine disclosure of such activity.

Comparison to Industry Standards

• Many tech company executives use 10b5-1 plans to sell shares, similar to executives at companies like Microsoft, Google, and Amazon.
• The volume of shares sold is not unusual for a CEO of a company of Atlassian's size, and the sales are within the bounds of typical insider trading practices.
• The reporting of these transactions is standard practice and is consistent with SEC regulations.

Stakeholder Impact

• The stock sales could have a minor impact on shareholder sentiment, but the pre-arranged nature of the sales should mitigate any significant negative reaction.
• The sales do not directly impact employees, customers, suppliers, or creditors.

Key Dates

Keywords

Atlassian, Michael Cannon-Brookes, insider trading, Rule 10b5-1, stock sale, Class A Common Stock, SEC Form 4, executive stock transactions