Form 4: Magnachip Semiconductor Executive Theodore Kim Reports Share Withholdings for Tax Obligations
SEC Form 4
Theodore Kim, Chief Compliance Officer, General Counsel, and Secretary of Magnachip Semiconductor, reports the withholding of company shares to cover tax obligations related to vesting stock awards.
Summary
- On December 31, 2024, Theodore Kim, an officer of Magnachip Semiconductor Corp, had shares of common stock withheld by the issuer to cover tax obligations.
- A total of 2,917 shares were withheld at a price of $4.02 to satisfy tax obligations from the vesting of 8,334 shares awarded on February 28, 2022.
- Additionally, 9,249 shares were withheld at $4.02 to cover taxes from the vesting of 26,423 shares awarded on February 16, 2023.
- Finally, 8,750 shares were withheld at $4.02 to cover taxes from the vesting of 25,000 shares awarded on June 1, 2024.
- Following these transactions, Kim directly owns 293,200 shares of Magnachip Semiconductor Corp.
Sentiment
Score: 5
Explanation: The document is a routine regulatory filing detailing share transactions for tax purposes. It doesn't contain information that would significantly impact investor sentiment positively or negatively.
Industry Context
This Form 4 filing is a routine disclosure related to executive compensation and tax obligations, common in publicly traded companies. It reflects standard practices for equity-based compensation.
Comparison to Industry Standards
- Equity compensation is a common practice among semiconductor companies to align executive interests with shareholder value.
- Companies like Texas Instruments (TXN) and Intel (INTC) also utilize stock awards as part of their compensation packages.
- The withholding of shares to cover tax obligations is a standard procedure, ensuring compliance with tax regulations.
Stakeholder Impact
- The share withholding has a minor dilutive effect on existing shareholders.
- The executive's remaining share ownership aligns their interests with those of shareholders.
Key Dates
| Date | Description |
|---|---|
| February 28, 2022 | Original award date of 8,334 shares of common stock. |
| February 16, 2023 | Original award date of 26,423 shares of common stock. |
| June 1, 2024 | Original award date of 25,000 shares of common stock. |
| December 31, 2024 | Date of share withholding for tax obligations. |
| January 03, 2025 | Date of signature for the Form 4 filing. |
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