Form 4: Collegium CEO Sells Shares for Tax Obligations

Collegium Pharmaceutical's President and CEO, Vikram Karnani, reported the disposition of 8,983 shares of common stock to cover tax liabilities related to restricted stock unit vesting.

Summary

• Vikram Karnani, President and CEO of Collegium Pharmaceutical, Inc., reported a transaction on November 12, 2025.
• 8,983 shares of common stock were disposed of at a price of $47.35 per share.
• This disposition was due to shares being withheld by the Issuer to satisfy applicable withholding taxes upon the vesting of restricted stock units.
• Following this transaction, Mr. Karnani beneficially owns 96,989 shares of common stock directly.

Sentiment

Score: 5

Explanation: The transaction is a routine, non-discretionary disposition of shares for tax purposes upon RSU vesting, which is neutral in terms of company sentiment.

Positives

• The transaction represents the vesting of restricted stock units, indicating a prior grant of equity compensation to the CEO.

Negatives

• A reduction in the CEO's direct beneficial ownership by 8,983 shares, although for tax purposes.

Future Outlook

No forward-looking statements or guidance are provided in this Form 4 filing.

Industry Context

This is a routine insider transaction related to executive compensation, common across various industries, and does not inherently reflect broader industry trends or competitive positioning.

Comparison to Industry Standards

• The 'sell to cover' mechanism for tax withholding upon restricted stock unit vesting is a standard practice for executive compensation across publicly traded companies, including those in the pharmaceutical sector.
• This transaction is comparable to similar tax-related dispositions by executives at companies like Pfizer, Johnson & Johnson, or Merck when their equity awards vest, as it is driven by tax obligations rather than discretionary trading decisions.

Related Party Transactions

• The disposition of shares was executed with the Issuer (Collegium Pharmaceutical, Inc.) to satisfy tax withholding obligations, which is a common related-party transaction in the context of equity compensation.

Stakeholder Impact

• Shareholders: Minimal impact as this is a routine, non-discretionary transaction for tax purposes and does not signal a change in management's outlook.
• Employees: No direct impact mentioned.

Key Dates

Recommendation

The reported transaction is a routine disposition of shares by the CEO to satisfy tax obligations upon the vesting of restricted stock units. It does not reflect a discretionary sale based on a change in outlook for the company and therefore does not warrant a change in investment recommendation.

Keywords

Collegium Pharmaceutical, COLL, Vikram Karnani, Form 4, insider transaction, stock sale, tax withholding, restricted stock units, CEO