Form 4: Rackspace Technology Executive Sells Shares to Cover Tax Obligations

Dharmendra Kumar Sinha, EVP and President of Public Cloud at Rackspace Technology, sold shares of common stock to cover tax withholding obligations related to vesting restricted stock units.

Summary

• On March 17, 2025, Dharmendra Kumar Sinha, an executive at Rackspace Technology, sold 176,374 shares of common stock.
• The sales were executed in multiple trades between March 17 and March 19, 2025, at prices ranging from $1.75 to $2.13, with a weighted average sale price of $1.87.
• The shares were sold to cover tax withholding obligations related to the vesting of restricted stock units.
• The transaction was conducted under a pre-arranged Rule 10b5-1 trading plan adopted on September 14, 2023.
• Following the reported transaction, Sinha still beneficially owns 2,117,455 shares of Rackspace Technology common stock.

Sentiment

Score: 5

Explanation: The document describes a routine transaction (stock sale for tax obligations) by an executive, which is neither particularly positive nor negative.

Industry Context

Sales of shares by company executives are a common occurrence, often related to compensation and tax obligations. The use of a pre-arranged Rule 10b5-1 trading plan is a standard practice to avoid accusations of insider trading.

Stakeholder Impact

• The sale of shares by an executive could have a minor negative impact on shareholder sentiment, but is unlikely to be significant given the reason for the sale and the relatively small number of shares sold compared to the total outstanding.

Key Dates

Keywords

Rackspace Technology, Dharmendra Kumar Sinha, Form 4, Stock Sale, Rule 10b5-1, Tax Withholding, Restricted Stock Units, RXT