Form 4: STAG Industrial Director Acquires Shares in Lieu of Fees

Director Chin Jit Kee acquired 425 shares of STAG Industrial, Inc. common stock in lieu of quarterly fees.

Summary

• On October 15, 2024, Chin Jit Kee, a director of STAG Industrial, Inc., acquired 425 shares of common stock.
• The acquisition was made in lieu of quarterly fees of $16,250 for the director's services.
• The shares were valued at $38.19 each, based on the average closing price for the 10-day period ended October 9, 2024.
• Following the transaction, Chin Jit Kee beneficially owns 7,570 shares of STAG Industrial, Inc. common stock.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. The director is taking shares in lieu of cash, which is a positive signal, but it's a routine transaction.

Positives

• The acquisition reflects the director's continued investment in the company.
• Using equity in lieu of cash fees preserves cash for the company.

Future Outlook

NA

Industry Context

Directors often receive equity as part of their compensation, aligning their interests with those of shareholders. This is a common practice in publicly traded companies.

Comparison to Industry Standards

• Equity compensation for board members is a standard practice across publicly traded REITs like STAG Industrial.
• Companies such as Prologis (PLD) and Duke Realty (DRE) (prior to its acquisition by Prologis) also utilize equity-based compensation for their directors.
• The amount of equity granted in lieu of fees appears to be within a reasonable range compared to similar REITs of STAG's size and market capitalization.

Related Party Transactions

• The issuance of shares to the director in lieu of fees is a related party transaction that is disclosed.

Stakeholder Impact

• Shareholders are indirectly impacted positively as the company conserves cash.
• The director's interests are further aligned with shareholders through increased equity ownership.

Key Dates