Form 4: Butterfly Network Director Larry Robbins Reports Acquisition of Restricted Stock Units

Director Larry Robbins reports acquiring 157,894 restricted stock units (RSUs) of Butterfly Network's Class A Common Stock, along with adjustments to his indirect holdings.

Summary

• On June 10, 2024, Larry Robbins, a director of Butterfly Network, Inc., reported acquiring 157,894 restricted stock units (RSUs) representing the right to receive Class A common stock.
• These RSUs were granted as part of the annual compensation for non-employee directors and will vest fully on the date of the Issuer's 2025 Annual Stockholders Meeting, contingent upon continued service on the Board.
• Robbins also indirectly holds 8,033,501 shares through Glenview Capital Master Fund, Ltd., Glenview Offshore Opportunity Master Fund, Ltd., and Glenview Healthcare Master Fund, L.P., where he serves as Founder, Portfolio Manager, and CEO of Glenview Capital Management, LLC.
• Additionally, he indirectly holds 4,546,687 shares through Longview Investors LLC, where he is the managing member.
• Robbins disclaims beneficial ownership of these indirectly held shares except to the extent of any pecuniary interest.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, suggesting stability and alignment of interests. The sentiment is neutral to slightly positive.

Positives

• The acquisition of RSUs by a director signals confidence in the company's future.
• The vesting schedule incentivizes continued service and alignment with shareholder interests.

Future Outlook

The vesting of the RSUs is contingent upon Larry Robbins' continued service on the Board of Directors until the 2025 Annual Stockholders Meeting.

Industry Context

This filing is a routine disclosure related to director compensation and holdings, common in publicly traded companies. It provides transparency into the alignment of interests between company leadership and shareholders.

Comparison to Industry Standards

• Director compensation packages often include a mix of cash and equity, with equity grants like RSUs being a common tool to align director interests with long-term shareholder value.
• The vesting schedule of the RSUs is typical, incentivizing continued service on the board.
• Comparing the size of the RSU grant to those of directors at similarly sized medical device companies would provide further context on the competitiveness of Butterfly Network's director compensation.

Stakeholder Impact

• The RSU grant aligns the director's interests with those of shareholders, incentivizing decisions that increase shareholder value.
• The vesting schedule encourages continued service and commitment from the director.

Key Dates