Form 4: SkyWater Technology Director Nancy Fares Receives Significant RSU Grant

SkyWater Technology, Inc. Director Nancy Fares was granted 11,428 restricted stock units (RSUs) valued at $8.75 per share on May 21, 2025, aligning her compensation with shareholder interests.

Summary

• On May 21, 2025, Nancy Fares, a Director of SkyWater Technology, Inc. (SKYT), acquired 11,428 shares of common stock.
• This acquisition was in the form of a grant of restricted stock units (RSUs) at a price of $8.75 per share.
• The RSUs are scheduled to vest on the date immediately preceding the next annual meeting of the Issuer's stockholders, contingent on Ms. Fares' continued service.
• Following this transaction, Ms. Fares' direct beneficial ownership of common stock increased to 43,501 shares.
• The total value of this RSU grant is approximately $99,995, calculated as 11,428 shares multiplied by $8.75 per share.

Sentiment

Score: 7

Explanation: The grant of restricted stock units to a director is a positive event as it aligns management/director interests with shareholders and is a standard compensation practice, indicating stability and retention. It's not a major operational or financial announcement but contributes positively to governance and alignment.

Positives

• The grant of restricted stock units to Director Nancy Fares directly aligns her financial interests with those of the company's shareholders, as the value of her compensation is tied to the company's stock performance.
• This RSU grant represents a standard and effective form of non-cash compensation for directors, indicating ongoing commitment and serving as a retention mechanism for key board members.

Future Outlook

The vesting of the granted restricted stock units is contingent upon Director Nancy Fares' continued service until the date immediately preceding the next annual meeting of SkyWater Technology's stockholders, indicating an expectation of her ongoing role and commitment to the company.

Industry Context

This RSU grant is a common practice in the semiconductor and technology manufacturing industry for compensating and retaining independent directors, aligning their long-term interests with company performance and shareholder value creation.

Comparison to Industry Standards

• The grant of restricted stock units (RSUs) is a standard compensation mechanism for non-executive directors across publicly traded companies, particularly prevalent in the technology sector, including peers like ON Semiconductor (ON), Microchip Technology (MCHP), or GlobalFoundries (GFS).
• The vesting schedule tied to continued service until the next annual meeting is a typical structure for director RSU grants, designed to ensure retention and ongoing commitment.
• The specific value of the grant would typically be assessed against director compensation benchmarks for companies of similar market capitalization and industry within the semiconductor foundry space to determine its competitiveness, though this document does not provide such comparative data.

Corporate Governance

Stakeholder Impact

• Shareholders: The RSU grant aligns the director's financial interests with shareholder value creation, as the value of the compensation is tied to the company's stock performance.
• Employees: No direct impact on general employees is mentioned in this filing.

Next Steps

• The restricted stock units are expected to vest on the date immediately preceding the next annual meeting of SkyWater Technology's stockholders, contingent on Nancy Fares' continued service.

Key Dates

Keywords

SkyWater Technology, SKYT, Form 4, SEC filing, insider transaction, restricted stock units, RSU grant, director compensation, beneficial ownership