Form 4: LiveOne Director Ramin Arani Awarded Restricted Stock Units as Director Fees

Ramin Arani, a director of LiveOne, Inc., was granted 63,694 Restricted Stock Units (RSUs) as compensation for board service from October 1, 2023, to September 30, 2024.

Summary

• On September 10, 2024, LiveOne director Ramin Arani was granted 63,694 Restricted Stock Units (RSUs).
• These RSUs are compensation for his service on the board of directors from October 1, 2023, to September 30, 2024.
• The RSUs will vest on October 31, 2024, contingent upon Arani's continued service on the board.
• Each RSU represents the right to receive one share of LiveOne's common stock or its cash value, as determined by the board.
• Arani has the option to defer settlement of the RSUs until he is no longer on the board or up to five years from the vesting date.

Sentiment

Score: 7

Explanation: The document reflects a routine compensation practice. It's a neutral event with a slightly positive sentiment due to aligning director interests with shareholders.

Positives

• The grant of RSUs aligns the director's interests with those of the shareholders.
• The vesting requirement encourages continued service on the board.
• The option to defer settlement provides flexibility for the director's personal financial planning.

Future Outlook

The document does not contain specific forward-looking statements beyond the vesting of the RSUs.

Industry Context

This is a standard practice for compensating board members, aligning their interests with the company's performance. Equity compensation is common in the tech and media industries to attract and retain talent.

Comparison to Industry Standards

• Granting restricted stock units to board members is a common practice among publicly traded companies, especially in the technology and entertainment sectors.
• Companies like Spotify, Netflix, and Sirius XM also use equity-based compensation to align the interests of their directors with those of shareholders.
• The size of the grant is likely benchmarked against peer companies of similar market capitalization and stage of growth.

Stakeholder Impact

• Shareholders may view this as a positive as it aligns the director's interests with the company's performance.
• Employees may see this as a standard compensation practice for board members.

Next Steps

• The RSUs will vest on October 31, 2024, if Ramin Arani continues to serve on the board.
• The board will determine the form of payout (cash and/or stock) for the RSUs.

Key Dates