Form 4: Recursion Pharmaceuticals Director Blake Borgeson Sells Shares Under 10b5-1 Trading Plan

Blake Borgeson, a director at Recursion Pharmaceuticals, sold 11,447 shares of Class A Common Stock on June 11, 2024, under a pre-arranged Rule 10b5-1 trading plan.

Summary

• On June 11, 2024, Blake Borgeson, a director of Recursion Pharmaceuticals, sold 11,447 shares of Class A Common Stock.
• The sale was executed under a Rule 10b5-1 trading plan adopted on August 18, 2023.
• The shares were sold at a weighted average price of $8.4531, with individual transaction prices ranging from $8.285 to $8.66.
• Following the transaction, Borgeson directly owns 7,188,563 shares of Recursion Pharmaceuticals.
• The reporting person has undertaken to provide full information regarding the number of shares sold at each separate sale price upon request.

Sentiment

Score: 5

Explanation: The sentiment is neutral as the transaction is a routine sale under a pre-arranged trading plan and doesn't necessarily indicate a change in the director's confidence in the company.

Industry Context

Sales by insiders are a common occurrence, and the use of 10b5-1 trading plans allows insiders to sell shares over a period of time while avoiding concerns about insider trading. Investors often monitor insider transactions for signals about a company's prospects, but sales under a 10b5-1 plan are generally viewed as less informative than discretionary sales.

Comparison to Industry Standards

• Comparing Borgeson's transactions to other directors in similar biotech companies, the sale is relatively small in terms of percentage of total holdings.
• For example, directors at companies like BioNTech or Moderna often hold significant equity positions, and their sales under 10b5-1 plans can be substantially larger in volume.
• The weighted average price of $8.4531 is within the typical trading range for RXRX, suggesting the sale did not significantly impact the stock price.

Stakeholder Impact

• The sale of shares by a director could have a minor impact on shareholder sentiment, but given the existence of a pre-arranged trading plan, the impact is likely to be minimal.

Key Dates