Form 4: Freshworks CFO Tyler Sloat Reports Routine Stock Transactions, Including RSU Tax Withholding and ESPP Purchase

Freshworks Inc.'s Chief Financial & Operating Officer, Tyler Sloat, reported the disposition of shares to cover tax obligations from RSU vesting and the acquisition of shares through the company's Employee Stock Purchase Plan.

Summary

• Tyler Sloat, Freshworks Inc.'s Chief Financial & Operating Officer, reported multiple dispositions of Class A Common Stock on June 1, 2025.
• A total of 29,460 shares were withheld at a price of $15.27 per share to satisfy tax withholding obligations related to the vesting of Restricted Stock Units (RSUs).
• These RSUs were previously granted to Mr. Sloat on March 1, 2024, and March 1, 2025.
• The reported beneficial ownership of Class A Common Stock after these transactions is 1,043,052 shares.
• The reported beneficial ownership also includes 1,806 shares of Class A common stock purchased through the Issuer's Employee Stock Purchase Plan (ESPP) for the period from November 18, 2024, through May 15, 2025.
• The ESPP shares were purchased at a price equal to 85% of the closing price of Freshworks' Class A common stock on May 16, 2024, and this transaction is exempt from Rule 16b-3(c).

Sentiment

Score: 6

Explanation: The sentiment is neutral to slightly positive. While shares were disposed of, it was for routine tax purposes related to RSU vesting. The acquisition of shares through the ESPP is a positive sign of continued insider investment and participation in the company's equity.

Positives

• The inclusion of 1,806 shares purchased via the Employee Stock Purchase Plan (ESPP) indicates continued participation and investment by a key executive in the company's equity.
• The ESPP purchase at a discounted price (85% of closing price) is a benefit to the employee and a standard incentive program.

Negatives

• A total of 29,460 shares were disposed of by the Chief Financial & Operating Officer, reducing his direct beneficial ownership, although this was for tax withholding purposes related to RSU vesting.

Future Outlook

This Form 4 filing does not contain any forward-looking statements or guidance regarding the company's future performance or outlook.

Industry Context

Form 4 filings are routine disclosures of insider stock transactions and do not typically provide insights into broader industry trends or competitive dynamics. These transactions reflect individual executive compensation and investment activities within the company.

Stakeholder Impact

• Shareholders: The transactions are routine insider activities (tax withholding on RSU vesting and ESPP purchase) and are unlikely to have a significant direct impact on the broader shareholder base or stock price.
• Employees: The ESPP program benefits employees by allowing them to purchase company stock at a discount, aligning their interests with company performance.

Key Dates

Keywords

Freshworks, FRSH, Form 4, Insider Transaction, Stock Ownership, RSU Vesting, Tax Withholding, Employee Stock Purchase Plan, ESPP, Tyler Sloat, Chief Financial Officer