Form 4: Cardlytics Executive Nicholas Lynton Reports Acquisition of Restricted Stock Units
SEC Form 4
Nicholas Lynton, Chief Legal & Privacy Officer of Cardlytics, Inc., reports the acquisition of 85,035 restricted stock units (RSUs) on March 22, 2024.
Summary
- On March 22, 2024, Nicholas Lynton, the Chief Legal & Privacy Officer of Cardlytics, Inc., acquired 85,035 restricted stock units (RSUs).
- These RSUs represent a contingent right to receive one share of Cardlytics common stock or its cash equivalent, at the Issuer's election.
- The RSUs will vest in eight equal installments starting July 1, 2024, and continuing quarterly until April 1, 2026, contingent upon Lynton's continued employment with Cardlytics.
Sentiment
Score: 7
Explanation: The document reflects a standard executive compensation practice, which is generally viewed neutrally to positively as it aligns management interests with shareholders. The vesting schedule promotes long-term commitment.
Positives
- The vesting schedule incentivizes continued employment of a key executive.
Risks
- The value of the RSUs is tied to the performance of Cardlytics' stock.
Future Outlook
The executive's compensation is tied to the company's stock performance, aligning their interests with shareholders.
Industry Context
This is a standard practice for incentivizing and retaining key executives in publicly traded companies.
Comparison to Industry Standards
- Granting restricted stock units is a common compensation practice among publicly traded companies to align executive interests with shareholder value.
- Companies like Visa, Mastercard, and American Express also utilize stock-based compensation for their executives.
- The vesting schedule of these RSUs is fairly standard, with quarterly installments over a two-year period being a typical arrangement.
Stakeholder Impact
- Shareholders' interests are aligned with the executive through stock-based compensation.
- The executive is incentivized to improve company performance to increase the value of the RSUs.
Key Dates
| Date | Description |
|---|---|
| 03/22/2024 | Date of transaction: Acquisition of 85,035 Restricted Stock Units |
| 03/25/2024 | Date of signature for the Form 4 filing. |
| 07/01/2024 | First vesting date for the RSUs. |
| 10/01/2024 | Second vesting date for the RSUs. |
| 01/01/2025 | Third vesting date for the RSUs. |
| 04/01/2025 | Fourth vesting date for the RSUs. |
| 07/01/2025 | Fifth vesting date for the RSUs. |
| 10/01/2025 | Sixth vesting date for the RSUs. |
| 01/01/2026 | Seventh vesting date for the RSUs. |
| 04/01/2026 | Final vesting date for the RSUs. |
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