Form 4: Day One Biopharmaceuticals Director Saira Ramasastry Granted 37,500 Equity Awards

Day One Biopharmaceuticals, Inc. Director Saira Ramasastry was granted 22,500 stock options and 15,000 restricted stock units, aligning her interests with shareholders.

Summary

• Saira Ramasastry, a Director of Day One Biopharmaceuticals, Inc. (DAWN), was granted 22,500 stock options and 15,000 deferred restricted stock units (RSUs) on June 2, 2025.
• The stock options have an exercise price of $7.01 and are set to vest at a rate of 1/12th of the total grant monthly, beginning July 2, 2025, subject to her continued service, and will expire on June 1, 2035.
• The 15,000 RSUs represent a contingent right to receive one share of the Issuer's Common Stock for no consideration and will vest 100% on the earlier of June 2, 2026, or the Issuer's 2026 annual meeting of stockholders, also subject to her continued service.
• Upon RSU vesting, they will automatically convert into an equal number of deferred stock units, which are scheduled to be settled for an equal number of shares of Common Stock on the earlier of calendar year 2030 or the Reporting Person's separation from the Issuer, with provisions for earlier settlement in cases of death, disability, or unforeseeable emergency.

Sentiment

Score: 7

Explanation: The grant of equity awards to a director is generally a positive sign of alignment between the board and shareholder interests, incentivizing long-term performance. It's a standard compensation practice and does not indicate any negative operational or financial issues.

Positives

• The granting of equity awards to a director aligns their financial interests with those of shareholders, incentivizing long-term company performance and value creation.
• The stock option exercise price of $7.01 provides a clear benchmark for future stock performance relative to the grant date, indicating a target for value appreciation.

Negatives

• The future exercise of stock options and settlement of RSUs will result in a degree of share dilution, which is a common aspect of equity compensation plans.

Future Outlook

The document details future vesting and settlement schedules for the granted equity awards, indicating a long-term incentive structure for the director. No broader forward-looking statements or financial guidance are provided.

Industry Context

This Form 4 filing is a routine disclosure of insider compensation within the biopharmaceutical industry. It reflects standard practices for incentivizing board members through equity grants, which are common across publicly traded companies, including those in the biotech sector.

Related Party Transactions

• The grant of stock options and restricted stock units to Saira Ramasastry, a Director of Day One Biopharmaceuticals, Inc., constitutes a related party transaction as it involves compensation provided to a member of the company's board of directors.

Stakeholder Impact

• Shareholders: Potential for long-term value creation through incentivized director performance; minor potential for future share dilution upon the exercise of options and settlement of RSUs.
• Employees: No direct impact on general employees is indicated by this filing.

Next Steps

• Continued provision of service by Saira Ramasastry to the Issuer for the vesting of both stock options and RSUs.
• Automatic conversion of RSUs into deferred stock units on the RSU Vesting Date.
• Settlement of deferred stock units into shares by calendar year 2030 or earlier upon specific conditions (death, disability, separation from service, or unforeseeable emergency).

Key Dates

Recommendation

Keywords

Day One Biopharmaceuticals, DAWN, Saira Ramasastry, Director Compensation, Stock Options, Restricted Stock Units, RSU, Equity Grant, SEC Form 4, Insider Transaction, Biopharmaceuticals