Form 4: Black Diamond Therapeutics Director Acquires Shares in Lieu of Cash Compensation

Director Ali Behbahani acquired 2,887 shares of Black Diamond Therapeutics common stock in lieu of cash compensation for annual services as a non-employee director.

Summary

• On June 21, 2024, Ali Behbahani, a director of Black Diamond Therapeutics, acquired 2,887 shares of common stock.
• The shares were issued in lieu of cash compensation for annual services as a non-employee director, according to the Issuer's Fifth Amended and Restated Non-Employee Director Compensation Policy.
• The price per share was $4.98, based on the closing market price of the Issuer's common stock on June 20, 2024.
• Following the transaction, Mr. Behbahani directly owns 54,577 shares of common stock.
• Mr. Behbahani is also a manager of NEA 16 GP, LLC, which is the sole general partner of NEA Partners 16, L.P., which in turn is the sole general partner of New Enterprise Associates 16, L.P. ('NEA 16'), the direct beneficial owner of 4,448,757 shares.
• Mr. Behbahani disclaims beneficial ownership of the securities held by NEA 16 in which he has no pecuniary interest.

Sentiment

Score: 6

Explanation: Neutral sentiment. The transaction is a routine part of director compensation and doesn't indicate any significant positive or negative development for the company.

Positives

• The director's decision to take shares in lieu of cash demonstrates confidence in the company's future.

Industry Context

Directors often receive equity as part of their compensation, aligning their interests with those of shareholders. This is a common practice in the biotech industry.

Comparison to Industry Standards

• Director compensation packages vary widely across the biotech industry, depending on company size, stage of development, and board responsibilities.
• Equity compensation is a common component, often structured as stock options or restricted stock units (RSUs).
• Companies like Amgen, Gilead, and Regeneron typically offer more substantial compensation packages to their directors compared to smaller, development-stage companies like Black Diamond Therapeutics.

Stakeholder Impact

• The transaction has a minimal impact on shareholders, as it is a small number of shares relative to the total outstanding.

Key Dates