Form 4: SpringWorks Therapeutics Director Daniel Lynch Receives Equity Grants

Director Daniel Lynch received restricted stock units and stock options from SpringWorks Therapeutics as part of the company's non-employee director compensation policy.

Summary

• Daniel Lynch, a director at SpringWorks Therapeutics, received 4,095 restricted stock units (RSUs) and options to purchase 12,216 shares of common stock on May 16, 2024.
• The grants were made under the company's Amended and Restated Non-Employee Director Compensation Policy.
• The RSUs will vest on the earlier of May 16, 2025, or the date of the next annual meeting of stockholders, contingent upon continued service.
• The stock options have an exercise price of $44.77 and will also vest on the earlier of May 16, 2025, or the date of the next annual meeting of stockholders, contingent upon continued service.
• Following the transaction, Lynch directly owns 305,944 shares of common stock and options to purchase 12,216 shares.

Sentiment

Score: 7

Explanation: The document reflects a standard compensation practice, indicating stability and alignment of interests. The sentiment is neutral to positive as it suggests good corporate governance.

Positives

• The equity grants align the director's interests with those of the shareholders.
• The vesting schedule incentivizes continued service to the company.

Future Outlook

The document does not contain specific forward-looking statements beyond the vesting schedule of the equity grants.

Industry Context

Equity grants to non-employee directors are a common practice in the pharmaceutical industry to align their interests with those of shareholders and incentivize their service to the company. The specific terms of the grants, such as the vesting schedule and exercise price, are determined by the company's compensation policy and are generally benchmarked against industry standards.

Comparison to Industry Standards

• Equity compensation for board members is a standard practice across the pharmaceutical industry.
• Companies like Amgen, Gilead, and Biogen also provide equity grants to their non-employee directors as part of their overall compensation packages.
• The size and terms of these grants are typically benchmarked against peer companies of similar size and stage of development.
• The vesting schedules are also fairly standard, often vesting over one to three years, contingent upon continued service.

Corporate Governance

Stakeholder Impact

• Shareholders: Aligns director's interests with shareholder value.
• Director: Provides compensation and incentives for service.

Key Dates