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

Director Ali Behbahani acquired 3,166 shares of Black Diamond Therapeutics common stock in lieu of cash compensation for annual services as a non-employee director.

Summary

• On March 15, 2024, Ali Behbahani, a director of Black Diamond Therapeutics, acquired 3,166 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 acquisition price was $4.54 per share, based on the closing market price of the Issuer's common stock on March 14, 2024.
• Following the transaction, Mr. Behbahani directly owns 51,690 shares of common stock.
• Mr. Behbahani is 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: 7

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

• Director's decision to take shares instead of cash shows confidence in the company.

Industry Context

Directors accepting stock in lieu of cash compensation is a common practice, especially in smaller companies, to conserve cash and align director interests with shareholders.

Comparison to Industry Standards

• Director compensation policies vary widely across the biotechnology industry.
• Some companies offer a mix of cash and stock options, while others provide only stock.
• The specific terms depend on the company's size, stage of development, and financial resources.
• Comparing Black Diamond Therapeutics' director compensation policy to those of similar-sized biotech companies would provide a more detailed assessment.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns director interests with theirs.

Key Dates