Form 4: Smartsheet Executive Max Long Reports Stock Unit Transactions Following Merger
SEC Form 4 Filing
Max Long, President of Go-to-Market at Smartsheet, reports the acquisition and disposal of performance stock units (PSUs) and restricted stock units (RSUs) following a merger agreement.
Summary
- Max Long, President of Go-to-Market at Smartsheet, filed a Form 4 detailing transactions involving performance stock units (PSUs) and restricted stock units (RSUs).
- On January 22, 2025, Long acquired 117,743 PSUs due to the achievement of performance criteria.
- These PSUs vest over time, with 55.8% vesting immediately and the remaining 44.2% vesting quarterly.
- Also on January 22, 2025, 117,743 PSUs were disposed of as they were converted to cash as part of the merger agreement.
- Additionally, 169,659 RSUs were disposed of as they were converted to cash as part of the merger agreement.
- The RSUs vest over time, with 25% vesting on March 15, 2025, and the remaining 6.25% vesting quarterly.
Sentiment
Score: 7
Explanation: The document is a routine filing related to a merger, and the transactions are expected. There is no indication of positive or negative sentiment, but the information is important for investors to understand the impact of the merger on executive compensation.
Industry Context
This filing is a standard procedure following a merger, where outstanding equity awards are often converted to cash or new equity in the acquiring company. It reflects the impact of the merger on executive compensation.
Comparison to Industry Standards
- The conversion of stock units to cash following a merger is a common practice in the technology industry.
- Similar transactions can be seen in other recent tech mergers, such as the acquisition of Qualtrics by SAP, where outstanding equity awards were converted to cash.
- The vesting schedules for the PSUs and RSUs are also typical for executive compensation packages in the tech sector, with a mix of immediate and time-based vesting.
Stakeholder Impact
- Shareholders are informed about the impact of the merger on executive compensation.
- Employees holding stock units are impacted by the conversion of their awards to cash.
Key Dates
| Date | Description |
|---|---|
| 01/22/2025 | Date of PSU acquisition and conversion to cash, and RSU conversion to cash. |
| 01/24/2025 | Date of filing of the Form 4. |
| 03/15/2025 | Date when 25% of the RSUs vest. |
| 03/08/2034 | Expiration date of the RSUs. |
| 01/22/2035 | Expiration date of the PSUs. |
Keywords
Form 4, Smartsheet, Max Long, Performance Stock Units, Restricted Stock Units, Merger, Stock Options, Executive Compensation
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