Form 4: Coursera CFO Kenneth Hahn Reports Stock Award Vesting and Tax Withholding
SEC Form 4 Filing
Kenneth Hahn, Coursera's CFO, reports the vesting of performance-based restricted stock units and the subsequent withholding of shares for tax obligations.
Summary
- On February 24, 2025, Coursera's CFO, Kenneth Hahn, had 122,875 performance-based restricted stock units (PSUs) vest due to the achievement of performance conditions.
- 25% of these PSUs vested immediately, with the remaining PSUs vesting in 12 quarterly installments starting May 15, 2025, contingent on continued service.
- The company withheld 15,599 shares to cover Hahn's tax liability related to the vested PSUs at a price of $8.08 per share.
- Following these transactions, Hahn directly owns 901,112 shares of Coursera common stock.
Sentiment
Score: 6
Explanation: The document is neutral, reporting routine transactions related to executive compensation. The vesting of PSUs suggests performance targets were met, which is mildly positive.
Positives
- The vesting of PSUs indicates that performance targets were met, which could be viewed positively by investors.
Future Outlook
The remaining PSUs will vest in 12 quarterly installments commencing on May 15, 2025, subject to continued service.
Industry Context
Form 4 filings are a routine part of executive compensation and provide transparency into insider ownership. The vesting of PSUs is tied to company performance, reflecting the alignment of executive incentives with shareholder value.
Comparison to Industry Standards
- Performance-based equity awards are a common practice among publicly traded companies to incentivize executives.
- The vesting schedule of 25% immediately and the remainder over 12 quarters is a fairly standard vesting arrangement.
- Tax withholding upon vesting is a standard procedure to cover the executive's tax obligations.
Stakeholder Impact
- Shareholders may view the vesting of PSUs as a positive sign, indicating that performance goals are being achieved.
- The tax withholding has no direct impact on stakeholders.
Next Steps
- The remaining PSUs will continue to vest in quarterly installments, contingent on continued service.
Key Dates
| Date | Description |
|---|---|
| March 18, 2024 | Date of grant for the performance-based restricted stock unit (PSU) award. |
| February 24, 2025 | Date the performance condition was achieved, resulting in 122,875 PSUs being earned and 25% of such PSUs vesting. |
| May 15, 2025 | Commencement date for the remaining PSUs to vest in 12 quarterly installments. |
| February 26, 2025 | Date of the signature on the Form 4 filing. |
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