Form 4: PubMatic CEO Rajeev Goel Executes Stock Option, Sells Shares Under 10b5-1 Plan
SEC Form 4
PubMatic's CEO, Rajeev K. Goel, exercised stock options and sold Class A Common Stock under a pre-arranged Rule 10b5-1 trading plan, while also transferring shares to the Goel Family Trust.
Summary
- On February 27, 2024, Rajeev K. Goel, CEO of PubMatic, Inc., engaged in multiple transactions involving the company's stock.
- Goel exercised stock options to acquire 93,270 shares of Class B Common Stock, which were then converted to Class A Common Stock.
- He sold 64,257 shares of Class A Common Stock at an average price of $20.4431 and 34,343 shares at an average price of $21.1878, under a Rule 10b5-1 trading plan adopted on March 1, 2023.
- Goel also transferred 93,270 shares of Class A Common Stock to the Goel Family Trust.
- Following these transactions, Goel directly owns 304,254 shares of Class B Common Stock, 210,984 shares of Class B Common Stock, and 7,500 shares of Class A Common Stock.
- He indirectly owns shares through various trusts, including The Goel Family Trust, The Goel Heritage Trust, and trusts for the benefit of his children.
- The filing also notes that previous Forms 4 filed between May 17, 2023, and January 5, 2024, inadvertently reflected conversions of Class B common stock to Class A common stock when only transfers to the Goel Family Trust occurred.
Sentiment
Score: 5
Explanation: The sentiment is neutral as the filing primarily reports routine transactions under a pre-existing trading plan. The correction of previous filing errors is a minor negative, but overall, the information is factual and doesn't indicate a positive or negative outlook.
Industry Context
This filing is a routine disclosure of insider transactions. It is common for executives to utilize Rule 10b5-1 trading plans to sell shares over time to avoid accusations of insider trading. The transfer of shares to a family trust is also a common estate planning strategy.
Related Party Transactions
- Shares were transferred to the Goel Family Trust, indicating a related-party transaction.
Stakeholder Impact
- The stock sales could have a minor impact on the stock price, but the transactions are part of a pre-arranged plan, mitigating potential concerns.
- The correction of previous filing errors ensures transparency for shareholders.
Key Dates
| Date | Description |
|---|---|
| March 1, 2023 | Date of adoption of Rule 10b5-1 trading plan by Rajeev K. Goel. |
| May 17, 2023 | Start date of incorrect Forms 4 filings. |
| January 5, 2024 | End date of incorrect Forms 4 filings. |
| February 27, 2024 | Date of stock option exercise, stock sales, and stock transfer. |
| February 28, 2024 | Date of signature on the Form 4 filing. |
| July 7, 2026 | Expiration date of stock options. |
Disclaimer:The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.