Form 4: Udemy Director Sohaib Abbasi Granted 27,476 Restricted Stock Units

Udemy, Inc. Director Sohaib Abbasi was granted 27,476 restricted stock units (RSUs) as part of the company's outside director compensation policy, aligning his interests with shareholders.

Summary

• Udemy, Inc. (UDMY) Director Sohaib Abbasi was granted 27,476 shares of common stock in the form of Restricted Stock Units (RSUs) on June 17, 2025.
• The grant was made under the Issuer's outside director compensation policy.
• The RSUs will fully vest on the earlier of the date of Udemy's next annual meeting of stockholders or the one-year anniversary of the grant date, subject to Mr. Abbasi's continuous service.
• Mr. Abbasi has elected to defer the settlement of these RSUs to the earlier of January 1, 2029, or his separation of service from the Issuer.
• Following this transaction, Mr. Abbasi beneficially owns 97,365 shares of common stock directly.

Sentiment

Score: 6

Explanation: The sentiment is neutral to slightly positive. This is a routine compensation event that aligns director interests with shareholders, which is generally viewed favorably, but it does not indicate any significant new strategic or financial developments for the company.

Positives

• The grant of Restricted Stock Units (RSUs) to Director Sohaib Abbasi aligns his financial interests directly with the long-term performance and shareholder value of Udemy, Inc.
• This form of compensation is a standard practice for retaining and incentivizing experienced board members in publicly traded companies.

Future Outlook

The RSUs granted to Director Sohaib Abbasi are set to vest on the earlier of Udemy's next annual meeting or the one-year anniversary of the grant date, contingent on his continued service. Settlement of these RSUs is deferred until January 1, 2029, or his separation from the company, whichever comes first.

Industry Context

The grant of Restricted Stock Units (RSUs) to an outside director is a common compensation practice across various industries, including the technology and online education sectors where Udemy operates. This method is widely used to attract and retain qualified board members by linking their compensation to the company's stock performance, thereby aligning their interests with those of 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 among publicly traded companies, particularly within the technology and education sectors.
• The vesting schedule, tied to either the next annual meeting or a one-year anniversary, is typical for director equity grants, ensuring continued engagement and oversight.
• The option for deferral of settlement, as elected by Mr. Abbasi, is also a common feature in executive and director compensation plans, offering tax planning flexibility and further aligning long-term interests.

Related Party Transactions

• Director Sohaib Abbasi, a related party, was granted 27,476 Restricted Stock Units (RSUs) by Udemy, Inc. as part of the company's standard outside director compensation policy. This transaction represents a direct dealing between the company and a member of its board of directors.

Stakeholder Impact

• Shareholders: The RSU grant aligns the director's long-term interests with those of the shareholders, as the value of his compensation is tied to the company's stock performance.
• Employees: No direct impact on employees is indicated by this filing.
• Customers/Suppliers/Creditors: No direct impact on these stakeholders is indicated by this filing.

Next Steps

• The RSUs will vest on the earlier of Udemy's next annual meeting of stockholders or the one-year anniversary of the grant date (June 17, 2026), subject to continuous service.
• The settlement of the RSUs will occur on the earlier of January 1, 2029, or Sohaib Abbasi's separation of service from Udemy, Inc.

Key Dates

Keywords

Udemy, UDMY, SEC Form 4, Restricted Stock Units, RSU, Director Compensation, Insider Transaction, Sohaib Abbasi, Equity Grant