Form 4: Cue Biopharma Director Sarraf Awarded Stock Options

Director Pasha Sarraf receives stock options from Cue Biopharma, Inc.

Summary

• Pasha Sarraf, a director of Cue Biopharma, Inc., was granted stock options on March 10, 2025.
• The options allow Sarraf to purchase 48,800 shares of Cue Biopharma's common stock at an exercise price of $1.03 per share.
• The options vest over three years, with one-third vesting on the one-year anniversary of the grant date and the remaining balance vesting in eight equal quarterly installments.
• Following the transaction, Sarraf directly owns 48,800 derivative securities.

Sentiment

Score: 6

Explanation: Neutral sentiment as it's a standard director compensation disclosure. The grant itself is a positive for the director, but doesn't necessarily indicate a significant shift in the company's prospects.

Positives

• The granting of stock options to a director aligns their interests with those of the shareholders.
• The vesting schedule encourages long-term commitment from the director.

Industry Context

Stock option grants are a common form of executive compensation in the biopharmaceutical industry, used to incentivize performance and align management interests with shareholder value.

Comparison to Industry Standards

• Stock option grants are a standard component of compensation packages for directors in publicly traded companies, particularly in the biotech sector.
• The vesting schedule of three years with quarterly installments is also a common practice to ensure long-term commitment.
• Comparing the number of shares granted and the exercise price to similar companies would provide a more detailed assessment of the grant's value.

Stakeholder Impact

• The stock option grant could potentially dilute existing shareholders if the options are exercised.
• The grant incentivizes the director to work towards increasing shareholder value.

Key Dates