Form 4: Supernus CEO Jack Khattar's Performance Share Units Vest

Supernus Pharmaceuticals CEO Jack Khattar reported the vesting of 39,320 Performance Share Units, increasing his beneficial ownership.

Summary

• Jack A. Khattar, President and CEO of Supernus Pharmaceuticals, Inc. (SUPN), reported changes in his beneficial ownership.
• On September 10, 2025, 20,000 Performance Share Units (PSUs) awarded on February 19, 2021, vested.
• Also on September 10, 2025, 19,320 PSUs awarded on February 22, 2024, vested.
• These PSUs vested upon the achievement of individual performance objectives, which were established on April 30, 2021, and June 24, 2024, respectively.
• Following these transactions, Mr. Khattar directly owns 1,111,983 shares of Common Stock and indirectly owns 1,005,600 shares through the KBT Trust.
• He also beneficially owns 39,320 vested Performance Share Units, which represent the right to acquire an equivalent number of Common Stock shares.

Sentiment

Score: 7

Explanation: The vesting of performance share units for the CEO is a positive sign of achieved performance objectives and increased alignment of management with shareholder interests, though it's a routine compensation event and not indicative of new strategic developments.

Positives

• The vesting of 39,320 Performance Share Units for the CEO indicates the achievement of individual performance objectives, reflecting successful execution against pre-defined goals.
• Increased beneficial ownership for the CEO, through vested PSUs, further aligns management's interests with those of the company's shareholders.

Future Outlook

No explicit forward-looking statements or guidance are provided beyond the reported vesting event.

Industry Context

The vesting of Performance Share Units is a common executive compensation practice across various industries, designed to incentivize long-term performance and align executive interests with shareholder value creation. This filing reflects a standard component of executive remuneration for a publicly traded pharmaceutical company.

Comparison to Industry Standards

• The use of Performance Share Units (PSUs) as a component of executive compensation is a widely adopted practice, aligning with industry standards for incentivizing long-term performance.
• The structure, where vesting is contingent on individual performance objectives, is typical for executive incentive plans in the pharmaceutical sector and broader corporate landscape.

Stakeholder Impact

• Shareholders: The vesting of PSUs for the CEO indicates the achievement of performance targets, potentially reflecting positively on company operations. It also increases the CEO's beneficial ownership, aligning his financial interests more closely with shareholders.
• Employees: This filing provides insight into the company's executive compensation structure and the performance incentives tied to leadership roles.

Next Steps

• The vested Performance Share Units can now be converted into common stock, further increasing the CEO's direct ownership in the company.

Key Dates

Recommendation

This Form 4 reports a routine vesting of performance share units for the CEO, indicating the achievement of pre-set performance objectives. While it increases the CEO's beneficial ownership and aligns interests, it does not provide new fundamental information or unexpected developments to warrant a change in investment recommendation. It's a standard compensation event that has been anticipated as part of the executive's incentive plan.

Keywords

Supernus Pharmaceuticals, SUPN, Jack Khattar, Performance Share Units, PSU vesting, Insider Ownership, Executive Compensation, SEC Form 4, Beneficial Ownership