Form 4: Scholar Rock Holding Corp: Chief Commercial Officer Tracey Sacco Executes Stock Option and Sells Shares Under 10b5-1 Plan

Tracey Sacco, Chief Commercial Officer of Scholar Rock Holding Corp, exercised stock options and sold shares of common stock under a pre-arranged Rule 10b5-1 trading plan.

Summary

• On April 25, 2025, Tracey Sacco, the Chief Commercial Officer of Scholar Rock Holding Corp, executed a stock option to purchase 5,000 shares at $10 per share.
• Sacco then sold 4,916 shares at a weighted average price of $32.8149, with prices ranging from $32.46 to $33.36.
• Additionally, Sacco sold 84 shares at a weighted average price of $33.485, with prices ranging from $33.37 to $33.53.
• These transactions were executed under a pre-arranged Rule 10b5-1 trading plan adopted on December 20, 2024.
• Following these transactions, Sacco directly owns 71,750 shares of common stock, consisting of 6,931 shares and 64,819 RSUs.
• 112,500 shares remain unvested under the stock option, vesting quarterly after the initial vesting event on February 6, 2024, contingent upon continued service with the company.

Sentiment

Score: 6

Explanation: Neutral sentiment as the transactions are part of a pre-arranged trading plan and do not necessarily indicate a change in the executive's confidence in the company.

Positives

• The transactions were conducted under a pre-arranged Rule 10b5-1 trading plan, which can mitigate concerns about insider trading.

Risks

• Executive stock sales can sometimes be perceived negatively by investors, although the use of a 10b5-1 plan can alleviate these concerns.

Industry Context

Executive stock transactions are a common occurrence in publicly traded companies. The use of Rule 10b5-1 plans is a standard practice to allow insiders to sell shares while avoiding accusations of trading on non-public information.

Comparison to Industry Standards

• Executive compensation packages often include stock options and RSUs to align management's interests with those of shareholders.
• Rule 10b5-1 trading plans are widely used by corporate insiders across various industries to manage their stock holdings in a compliant manner.
• The vesting schedules for stock options and RSUs are typically structured to incentivize long-term performance and retention.

Stakeholder Impact

• The transactions may have a minor impact on shareholders due to the sale of shares in the open market.

Key Dates

Keywords

Scholar Rock Holding Corp, SRRK, Tracey Sacco, Chief Commercial Officer, Stock Option, Rule 10b5-1, Insider Trading, SEC Form 4, Share Sale, RSUs