Form 4: TETRA Technologies Director Shawn Williams Granted 37,723 Restricted Stock Units

TETRA Technologies Director Shawn D. Williams was granted 37,723 restricted stock units as part of the company's equity incentive plan, aligning his interests with shareholders.

Summary

• Shawn D. Williams, a Director of TETRA Technologies Inc. (TTI), was granted 37,723 Restricted Stock Units (RSUs) on June 12, 2025.
• The RSUs were granted under the TETRA Technologies, Inc. Third Amended and Restated 2018 Equity Incentive Plan.
• Each RSU represents the contingent right to receive one share of the Issuer's common stock upon vesting and settlement.
• The closing price of TETRA Technologies' common stock on the grant date of this RSU award was $3.59 per share.
• The award will cliff vest on the one-year anniversary of the grant date, which is June 12, 2026.
• Mr. Williams has elected to defer the settlement of these RSUs until the earlier of a change in control of the Issuer or his separation of service from the Issuer.
• Vested shares will be delivered to the reporting person on the settlement date, unless the Issuer, at its sole discretion, elects to settle the RSUs in cash or a combination of shares and cash.

Sentiment

Score: 6

Explanation: The grant of restricted stock units to a director is a routine compensation event, aligning the director's interests with shareholders, which is generally viewed as neutral to slightly positive for corporate governance and long-term alignment.

Positives

• The grant of Restricted Stock Units to Director Shawn D. Williams aligns his financial interests with those of the company's shareholders, encouraging long-term commitment and performance.
• The award is part of an established equity incentive plan, indicating a structured approach to executive and director compensation.

Risks

• Future issuance of common stock upon RSU settlement could lead to minor dilution for existing shareholders, although this is a standard aspect of equity compensation plans.
• The value of the RSUs to the director is dependent on the future performance of TETRA Technologies' common stock.

Future Outlook

The future settlement of the granted Restricted Stock Units is deferred until the earlier of a change in control of TETRA Technologies or Director Williams' separation of service from the company. The RSUs are scheduled to vest on June 12, 2026.

Industry Context

The granting of Restricted Stock Units to directors is a common practice in publicly traded companies across various industries, including the energy services sector where TETRA Technologies operates. This form of compensation is used to attract, retain, and incentivize key personnel by aligning their long-term interests with those of the company's shareholders.

Comparison to Industry Standards

• The use of Restricted Stock Units (RSUs) as a component of director compensation is a widely accepted and standard practice across U.S. public companies, including those in the oil and gas services sector like TETRA Technologies.
• The cliff vesting schedule (one-year anniversary) is a common vesting period for such awards, designed to encourage retention and long-term commitment.
• The deferral election option for settlement is also a standard feature in many equity compensation plans, offering flexibility for tax planning and wealth management for the recipient.

Corporate Governance

Related Party Transactions

• The grant of Restricted Stock Units to Shawn D. Williams, a Director of TETRA Technologies, constitutes a related party transaction, which is disclosed as a standard compensation event under SEC regulations.

Stakeholder Impact

• Shareholders: Potential for minor future dilution upon RSU settlement, but also improved alignment of director's interests with long-term shareholder value.
• Director (Shawn D. Williams): Receives equity compensation that vests over time, incentivizing continued service and performance tied to the company's stock price.

Next Steps

• The Restricted Stock Units will cliff vest on June 12, 2026.
• Settlement of the vested RSUs will occur upon the earlier of a change in control of TETRA Technologies or Shawn D. Williams' separation of service from the company.

Key Dates

Keywords

TETRA Technologies, TTI, Restricted Stock Units, RSU, Equity Incentive Plan, Insider Transaction, Director Compensation, SEC Form 4, Beneficial Ownership