SCHEDULE 13G/A: Doximity Founders Maintain Significant Control with 75.9% Voting Power Through Dual-Class Shares

An SEC Schedule 13G filing reveals that Doximity, Inc. co-founder Jeffrey Tangney and Claudia Schweikert, along with their family trusts, collectively beneficially own 28.7% of Class A common stock equivalents and control 75.9% of the aggregate combined voting power.

Summary

• Jeffrey Tangney and Claudia Schweikert, along with the Tangney Schweikert Family Trust and Tangney Annuity Trust, LLC, collectively reported beneficial ownership of 54,678,760 shares of Doximity, Inc. Class A and Class B common stock.
• This beneficial ownership represents approximately 28.7% of the outstanding Class A common stock, calculated as if all Class B shares were converted to Class A shares.
• The calculation is based on 137,776,802 shares of Class A common stock outstanding as of March 31, 2025.
• Despite the 28.7% Class A equivalent ownership, the reporting persons collectively hold 75.9% of the aggregate combined voting power of Doximity, Inc.
• This significant voting power is due to Doximity's dual-class share structure, where each Class B common stock share is entitled to ten votes, while each Class A common stock share is entitled to one vote.
• The beneficial ownership includes 3,921,666 Class B shares and 1,907,500 Class A shares held directly by Mr. Tangney, 15,764 Class A RSUs vesting within 60 days, and 4,880,500 Class B stock options exercisable within 60 days.
• Additionally, 23,953,330 Class B shares are held by the Tangney Schweikert Family Trust, and 20,000,000 Class B shares are held by Tangney Annuity Trust, LLC.

Sentiment

Score: 5

Explanation: The document is a factual disclosure of beneficial ownership and does not contain information that would inherently indicate positive or negative sentiment regarding the company's performance or outlook.

Risks

• The dual-class share structure grants disproportionate voting power to Class B shareholders, specifically Jeffrey Tangney and Claudia Schweikert and their associated trusts, who collectively control 75.9% of the combined voting power. This concentrated control may limit the influence of other shareholders on corporate decisions and governance matters.
• The ability of Class B shares to convert into Class A shares at the holder's option or upon certain transfers could lead to future dilution of voting power for Class B holders, or an increase in the number of Class A shares outstanding, potentially impacting market dynamics.

Future Outlook

NA

Industry Context

NA

Corporate Governance

Related Party Transactions

• Jeffrey Tangney and Claudia Schweikert, as reporting persons, beneficially own shares directly and indirectly through the Tangney Schweikert Family Trust (where they are trustees) and Tangney Annuity Trust, LLC (where Ms. Schweikert is the sole manager). These trusts hold significant portions of the Class B common stock.

Stakeholder Impact

• Shareholders: The concentrated voting power held by the founders and their trusts (75.9%) means that other shareholders, particularly Class A holders, have limited influence over major corporate decisions, including board elections, mergers, and significant policy changes. This could be a concern for corporate governance advocates and institutional investors seeking more equitable voting rights.

Key Dates

Keywords

Doximity, SEC filing, Schedule 13G, beneficial ownership, Class A common stock, Class B common stock, voting power, dual-class shares, corporate governance, Jeffrey Tangney, Claudia Schweikert, family trust, stock options, restricted stock units