Form 4: SoundHound AI CFO Nitesh Sharan Converts Preferred Stock to Common Stock

Sentiment:

SEC Form 4


Nitesh Sharan, CFO of SoundHound AI, converted Series A Preferred Stock into Class A Common Stock on June 27, 2024, according to a Form 4 filing.

Summary

  • On June 27, 2024, Nitesh Sharan, the Chief Financial Officer of SoundHound AI, converted Series A Preferred Stock into Class A Common Stock.
  • The conversion involved 121,506 shares of Class A Common Stock.
  • The Series A Preferred Stock was converted at a ratio determined by the original issue price of $30.00 per share plus accrued dividends, divided by a conversion price of $1.00 per share.
  • Following the transaction, Sharan directly owns 850,139 shares of Class A Common Stock.

Sentiment

Score: 5

Explanation: This is a neutral event, reflecting a standard conversion of securities. It doesn't inherently indicate positive or negative sentiment.

Industry Context

Form 4 filings are a routine part of insider trading regulations, providing transparency into the transactions of company executives and directors. This filing indicates a conversion of preferred stock to common stock, which is a common financial maneuver.

Stakeholder Impact

  • The conversion of preferred stock to common stock could have a minor dilutive effect on existing shareholders, but the impact is likely minimal given the size of the transaction.

Key Dates

DateDescription
May 4, 2022Date of the Limited Power of Attorney for reporting under Section 16(a) of the Securities Exchange Act of 1934.
January 2023Previous reporting of the acquisition of Series A Preferred Stock on a Form 4.
May 2, 2023Date the Series A Preferred Stock became convertible at the option of the holder following the completion of certain conditions.
June 27, 2024Date of the conversion of Series A Preferred Stock to Class A Common Stock.
July 1, 2024Date of signature on the Form 4 filing.

Disclaimer:The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.