Form 4: Live Oak Bancshares CEO Sells 10,000 Shares Under 10b5-1 Plan

Live Oak Bancshares CEO James S. Mahan III sold 10,000 shares of common stock on December 10, 2025, under a pre-arranged 10b5-1 trading plan.

Summary

• James S. Mahan III, Chief Executive Officer, Director, and 10% Owner of Live Oak Bancshares, Inc. (LOB), reported transactions.
• On December 10, 2025, Mr. Mahan sold a total of 10,000 shares of Voting Common Stock.
• The sales consisted of two separate transactions: 3,505 shares at a weighted average price of $33.6529 and 6,495 shares at a weighted average price of $34.6927.
• These sales were executed pursuant to a Rule 10b5-1 trading plan adopted by Mr. Mahan on August 27, 2025.
• Following these transactions, Mr. Mahan's indirect beneficial ownership through the James S. Mahan Revocable Trust decreased to 3,097,844 shares.
• Additional indirect beneficial ownership includes 3,032,547 shares via Marguerite D. Mahan Revocable Trust, 127,167 shares via 2021 Chip Mahan Family and Charitable Trust, 127,167 shares via 2021 Peggy Mahan Family Trust, and 140,150 shares via Peapod II, LLC.

Sentiment

Score: 5

Explanation: The sale of shares by the CEO, while a reduction in insider ownership, was conducted under a pre-arranged 10b5-1 trading plan, which mitigates the negative signaling effect typically associated with insider sales.

Positives

• The sales were conducted under a pre-arranged Rule 10b5-1 trading plan, indicating the transactions were scheduled in advance and not based on new, non-public information.

Negatives

• The sale of 10,000 shares by the Chief Executive Officer and a 10% owner represents a reduction in insider ownership, which can sometimes be perceived as a negative signal by investors.

Future Outlook

NA

Industry Context

NA

Stakeholder Impact

• Shareholders may perceive the insider sale as a signal, though the 10b5-1 plan mitigates concerns about opportunistic selling based on non-public information.

Key Dates

Recommendation

The sale of shares by the CEO, while notable, was executed under a pre-arranged 10b5-1 trading plan, suggesting it was for personal financial planning rather than a reaction to new company-specific information. This reduces the typical negative signal of insider selling. Without additional financial or operational data, a 'hold' recommendation is appropriate, maintaining current positions while monitoring future developments.

Keywords

Live Oak Bancshares, LOB, insider trading, Form 4, stock sale, CEO, James S. Mahan III, 10b5-1 plan