Form 4: Origin Materials Director Hickox Receives and Defers Shares in Lieu of Cash Compensation

Director John Hickox of Origin Materials received 20,803 shares of common stock in lieu of cash compensation for the quarter ended June 30, 2024, and elected to defer the receipt of these shares to a future date.

Summary

• John Hickox, a director at Origin Materials, received 20,803 shares of common stock on June 30, 2024, as compensation in lieu of cash.
• These shares were granted as restricted stock units (RSUs) under the company's Amended and Restated Non-Employee Director Compensation Policy.
• The number of RSUs was calculated based on the closing price of Origin Materials' common stock on June 28, 2024.
• Each RSU represents the right to receive one share of Origin Materials' common stock.
• The RSUs are fully vested upon grant.
• Hickox elected to defer the receipt of these shares to a future date via a Deferral Election Form.
• Following the transaction, Hickox beneficially owns 533,611 shares of Origin Materials' common stock.

Sentiment

Score: 6

Explanation: The document itself is neutral as it's a regulatory filing. The director taking shares instead of cash is mildly positive, suggesting confidence, but the deferral adds a layer of complexity.

Positives

• The director's decision to take shares in lieu of cash compensation could be seen as a positive signal of confidence in the company's future prospects.

Future Outlook

The director has elected to defer the receipt of the shares to a future date, indicating a potential future increase in the number of shares outstanding.

Industry Context

This filing is a routine disclosure related to director compensation and is common for publicly traded companies. It provides transparency into how directors are compensated and their alignment with shareholder interests.

Comparison to Industry Standards

• Director compensation packages vary widely across industries and companies.
• Using RSUs as part of director compensation is a common practice to align director interests with long-term shareholder value.
• Deferral of share receipt is less common but can be used for tax planning or to further demonstrate commitment to the company's long-term success.
• Comparable companies in the bio-materials space may include Danimer Scientific or Avantium, but their director compensation structures would need to be reviewed for a direct comparison.

Stakeholder Impact

• The transaction has a minor impact on shareholders as it involves the issuance of new shares, potentially diluting existing ownership, although the number of shares is relatively small.
• The director's decision to take shares in lieu of cash aligns their interests with those of shareholders.

Key Dates