Form 4: Credo Technology Group Director Sells Over 54,000 Shares Under Pre-Arranged Plan

Credo Technology Group Holding Ltd Director Lip-Bu Tan sold 54,297 ordinary shares at a weighted average price of $86.3824 on June 18, 2025, as part of a Rule 10b5-1(c) trading plan.

Summary

• Lip-Bu Tan, a Director of Credo Technology Group Holding Ltd (CRDO), reported a sale of ordinary shares.
• The transaction involved the disposition of 54,297 ordinary shares.
• The sale occurred on June 18, 2025, at a weighted average price of $86.3824 per share.
• The shares were sold in multiple trades with prices ranging from $86.06 to $86.80.
• This transaction was executed pursuant to a Rule 10b5-1(c) contract, instruction, or written plan for the sale of equity securities.
• Following the reported transaction, Lip-Bu Tan directly beneficially owns 53,574 ordinary shares.
• Additionally, Lip-Bu Tan indirectly beneficially owns 559,428 ordinary shares through Walden Technology Ventures Investments II, L.P., 133,583 ordinary shares through the Lip-Bu Tan and Ysa Loo Trust, and 39,736 ordinary shares through A&E Investment LLC.
• The reporting person disclaims beneficial ownership of indirectly held shares except to the extent of any pecuniary interest therein.

Sentiment

Score: 5

Explanation: The sentiment is neutral. While an insider sale can sometimes be viewed negatively, the explicit mention of it being part of a Rule 10b5-1(c) plan mitigates concerns that the sale is based on adverse non-public information, making it a routine, pre-scheduled event.

Positives

• The transaction was made pursuant to a Rule 10b5-1(c) plan, indicating it was a pre-scheduled sale and not based on new, non-public information, which can mitigate negative market perception of insider selling.

Negatives

• A director selling a significant number of shares, even if pre-planned, can sometimes be perceived negatively by the market as it reduces insider ownership and alignment with shareholder interests.

Risks

• No specific risks are mentioned in this Form 4 filing beyond the general market perception associated with insider selling.

Future Outlook

This Form 4 filing does not contain any forward-looking statements or guidance regarding the company's future outlook.

Management Comments

• The filing was signed by James Laufman, attorney-in-fact for Lip-Bu Tan.

Industry Context

This Form 4 filing is specific to an insider transaction at Credo Technology Group Holding Ltd and does not provide broader industry context or trends.

Comparison to Industry Standards

• Not applicable. This document reports an individual insider transaction and does not provide data for comparison to industry-wide financial or operational benchmarks.

Related Party Transactions

• The reporting person indirectly holds shares through Walden Technology Ventures Investments II, L.P., where the reporting person is the Managing Director of the general partner.
• The reporting person indirectly holds shares through the Lip-Bu Tan and Ysa Loo Trust, where the reporting person is a joint trustee.
• The reporting person indirectly holds shares through A&E Investment LLC, where the reporting person is the Manager of the entity owned by the reporting person's family trust.

Stakeholder Impact

• Shareholders may observe a reduction in direct insider ownership, though the 10b5-1 plan context may alleviate concerns about the reasons for the sale.

Next Steps

• No specific future actions, events, or milestones are mentioned in this Form 4 filing.

Key Dates

Recommendation

Keywords

Credo Technology Group Holding Ltd, CRDO, SEC Form 4, Insider Trading, Share Sale, Lip-Bu Tan, Director, Stock Transaction, Beneficial Ownership, Rule 10b5-1