Form 4: ElectroCore CEO Daniel Goldberger Receives 40,000 Restricted Stock Units

ElectroCore's CEO, Daniel Goldberger, was granted 40,000 restricted stock units, which vest over three years, with accelerated vesting under certain conditions.

Summary

• Daniel Goldberger, CEO of electroCore, Inc., received a grant of 40,000 restricted stock units on January 18, 2025.
• These units vest in three equal installments on the first, second, and third anniversaries of the grant date, provided Mr. Goldberger remains employed by the company.
• The vesting of the units can be accelerated if Mr. Goldberger is terminated without cause or resigns for good reason within two years after a change in control.
• Mr. Goldberger also holds 75,000 previously issued restricted stock units, with 25,000 vested and 50,000 vesting in 2026 and 2027.
• Additionally, he holds 50,000 previously issued restricted stock units, with 16,667 vested and 33,333 vesting in 2025 and 2026.
• Following this transaction, Mr. Goldberger beneficially owns 289,565 shares of electroCore common stock.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, which is generally viewed positively as it aligns management's interests with shareholders. There are no indications of negative sentiment.

Positives

• The grant of restricted stock units aligns the CEO's interests with those of the shareholders.
• The vesting schedule encourages long-term commitment from the CEO.
• The accelerated vesting provision provides some protection for the CEO in the event of a change in control.

Risks

• The vesting of the restricted stock units is contingent on continued employment, which could be a risk if the CEO were to leave the company.
• The accelerated vesting provision could result in a significant number of shares vesting at once if a change in control occurs.

Industry Context

This type of equity grant is a common practice for incentivizing and retaining key executives in publicly traded companies.

Comparison to Industry Standards

• Equity grants are a standard component of executive compensation packages in the biotechnology and medical device industries.
• Vesting schedules of three years are typical for restricted stock units, aligning with long-term value creation.
• Accelerated vesting upon change of control is also a common provision to protect executives during mergers or acquisitions.
• Companies like Medtronic and Boston Scientific also use similar equity-based compensation strategies for their executives.

Stakeholder Impact

• Shareholders may view the equity grant positively as it incentivizes the CEO to increase the company's value.
• Employees may see this as a sign of stability and commitment from the company to its leadership.

Key Dates

Keywords

Restricted Stock Units, Stock Options, Executive Compensation, Beneficial Ownership, Vesting, ElectroCore, ECOR, Daniel Goldberger