Form 4: Avidity Biosciences CEO Sells Shares to Cover Tax Obligations
SEC Form 4 Filing
Avidity Biosciences CEO, Sarah Boyce, sold shares to cover tax obligations related to the vesting of restricted stock units.
Summary
- Sarah Boyce, the President and CEO of Avidity Biosciences, sold a total of 10,397 shares of common stock on January 21, 2025.
- The sales were executed to cover tax withholding obligations associated with the vesting of restricted stock units (RSUs) on January 20, 2025.
- The shares were sold at weighted-average prices of $28.5932 and $28.5946, with individual transaction prices ranging from $28.59 to $29.33.
- The sales were not discretionary trades but were mandated by the company's equity incentive plan's 'sell-to-cover' policy.
- Following the transactions, Ms. Boyce beneficially owns 337,411 shares of Avidity Biosciences common stock.
Sentiment
Score: 7
Explanation: The document reflects a routine transaction related to executive compensation and tax obligations. It is not indicative of any significant positive or negative sentiment.
Management Comments
- The sale of shares was mandated by the Issuer's election under its equity incentive plans to require the satisfaction of tax withholding obligations to be funded by a 'sell-to-cover' transaction and does not represent a discretionary trade by the Reporting Person.
Industry Context
This is a routine transaction for executives who receive stock-based compensation. It is common for companies to have 'sell-to-cover' policies to manage tax obligations.
Comparison to Industry Standards
- Many companies use 'sell-to-cover' mechanisms for stock-based compensation, so this is a standard practice.
- The price range of the sales is within the typical trading range for the stock.
Stakeholder Impact
- The sale of shares by the CEO may have a minor impact on the stock price, but it is not expected to be significant due to the nature of the transaction.
Key Dates
| Date | Description |
|---|---|
| 01/20/2025 | Restricted stock units (RSUs) vested. |
| 01/21/2025 | Shares sold to cover tax obligations. |
| 01/23/2025 | Form 4 filing date. |
Keywords
Avidity Biosciences, Sarah Boyce, stock sale, Form 4, insider trading, tax obligations, RSUs, sell-to-cover
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