Form 4: electroCore Director Thomas M. Patton Receives Deferred Stock Units

Director Thomas M. Patton of electroCore, Inc. was granted 16,583 Deferred Stock Units as part of an annual director award on September 3, 2024.

Summary

• Thomas M. Patton, a director at electroCore, Inc., received 16,583 Deferred Stock Units on September 3, 2024, as part of an annual director award.
• These units vest in 12 equal monthly installments from the grant date, but will fully vest earlier if electroCore's next annual stockholder meeting occurs or a change of control happens, provided Patton remains in continuous service.
• Patton directly owns 83,771 shares of electroCore common stock, which includes 12,967 shares vested from previously issued Restricted Stock Units and 35,471 shares vested from previously issued Deferred Stock Units.
• All previously vested shares were reported on Form 4 filings at the time of grant.

Sentiment

Score: 7

Explanation: The document reflects a routine director compensation event, which is generally viewed neutrally to positively as it aligns director interests with shareholders.

Positives

• The grant of Deferred Stock Units aligns the director's interests with the company's long-term performance.
• The vesting schedule incentivizes continued service and commitment from the director.

Future Outlook

The Deferred Stock Units will vest according to the schedule outlined in the explanation of responses.

Industry Context

This is a standard practice for compensating directors of publicly traded companies, aligning their interests with those of shareholders.

Comparison to Industry Standards

• Director compensation packages often include a mix of cash and equity, with equity grants like Deferred Stock Units being a common component.
• The vesting schedule of 12 months is fairly standard for director equity grants.
• Companies like Medtronic and Boston Scientific also use similar equity-based compensation for their directors.

Stakeholder Impact

• Shareholders may view the equity grant positively as it aligns the director's interests with the company's performance.

Key Dates