Form 4: Coastal Financial Corp Executive Reports Routine Share Transaction for Tax Withholding

Brian T. Hamilton, Director and President of CCBX at Coastal Financial Corp, reported a routine disposition of 228 common shares for tax withholding purposes related to RSU vesting.

Summary

• Brian T. Hamilton, a Director and President of CCBX at Coastal Financial Corp (CCB), reported a transaction on June 30, 2025.
• The transaction involved the disposition of 228 shares of common stock at a price of $96.87 per share.
• These shares were withheld for the payment of withholding taxes upon the partial vesting of Restricted Stock Units (RSUs) granted on September 30, 2024.
• Following this transaction, Brian T. Hamilton beneficially owns 86,866 shares of common stock directly.
• The total beneficial ownership includes various RSU grants: 19,768 RSUs vesting monthly through April 30, 2028; 23,226 performance-based RSUs vesting monthly from October 1, 2024, until April 30, 2028, subject to employment and stock price conditions; 15,000 performance-based RSUs vesting on April 30, 2028, subject to employment and achievement of return on equity targets; and 669 RSUs vesting in four approximately equal remaining installments.

Sentiment

Score: 6

Explanation: The sentiment is neutral to slightly positive. While a disposition of shares occurred, it was for a routine tax withholding purpose related to RSU vesting, which implies the executive is receiving compensation. The executive retains a substantial beneficial ownership, including performance-based RSUs, aligning interests with shareholders.

Positives

• The transaction is a routine disposition for tax purposes, indicating the vesting of previously granted Restricted Stock Units (RSUs) for a key executive.
• The executive continues to hold a significant number of shares and RSUs (86,866 shares), aligning their interests with shareholders.
• The RSU grants include performance-based components tied to stock price conditions and return on equity, incentivizing executive performance.

Negatives

• No specific negative aspects are indicated by this routine tax-related transaction.

Risks

• Performance-based Restricted Stock Units (RSUs) are subject to continuous employment and achievement of certain stock price conditions or return on equity targets, meaning the full vesting of these units is not guaranteed.

Future Outlook

The future outlook for Brian T. Hamilton's equity compensation includes the continued vesting of 19,768 Restricted Stock Units (RSUs) monthly through April 30, 2028, and 23,226 performance-based RSUs monthly from October 1, 2024, until April 30, 2028, subject to continuous employment and achievement of stock price conditions. Additionally, 15,000 performance-based RSUs are eligible to vest on April 30, 2028, contingent on continuous employment and the company's return on equity performance relative to its peer group.

Industry Context

This Form 4 filing is a routine disclosure of an insider transaction, specifically related to executive compensation and tax withholding upon RSU vesting. It does not provide broader industry context or competitive analysis.

Related Party Transactions

• Disposition of 228 common shares by Brian T. Hamilton, a Director and President of CCBX, for tax withholding purposes related to the vesting of Restricted Stock Units (RSUs).

Stakeholder Impact

• Shareholders: Minimal direct impact as this is a routine tax-related transaction. The executive's continued significant beneficial ownership, including performance-based RSUs, aligns their interests with shareholder value creation.
• Employees: No direct impact mentioned.
• Customers: No direct impact mentioned.
• Suppliers: No direct impact mentioned.
• Creditors: No direct impact mentioned.

Next Steps

• Continued monthly vesting of 19,768 Restricted Stock Units (RSUs) through April 30, 2028.
• Continued monthly vesting of 23,226 performance-based RSUs from October 1, 2024, until April 30, 2028, subject to employment and stock price conditions.
• Potential vesting of 15,000 performance-based RSUs on April 30, 2028, contingent on employment and return on equity performance.
• Vesting of 669 RSUs in four approximately equal remaining installments.

Key Dates

Keywords

Coastal Financial Corp, CCB, Form 4, Insider Transaction, Beneficial Ownership, Restricted Stock Units, RSU, Tax Withholding, Executive Compensation, Brian T. Hamilton