Form 4: Veeva Systems Inc. Executive Jonathan Faddis Reports Stock Transactions

Jonathan Faddis, SVP, Gen. Counsel, and Secretary of Veeva Systems Inc., reports the vesting of restricted stock units and associated tax withholding.

Summary

• On April 1, 2024, Jonathan Faddis, SVP, Gen. Counsel, and Secretary of Veeva Systems Inc., had 1,296 Restricted Stock Units (RSUs) vest.
• These RSUs convert into Class A Common Stock.
• The vesting of these RSUs is exempt from Section 16(b) of the Securities Exchange Act of 1934.
• 463 shares were withheld by Veeva Systems Inc. to cover tax obligations related to the RSU vesting at a price of $230.39 per share.
• Following these transactions, Faddis directly owns 19,266 shares of Class A Common Stock.
• The RSUs were granted under the company's Amended & Restated 2013 Equity Incentive Plan and vest over one year, with 25% vesting on July 1, 2023, and the remaining 75% vesting quarterly thereafter, contingent upon continued service.

Sentiment

Score: 7

Explanation: Routine transaction; no significant positive or negative implications.

Positives

• The vesting of RSUs is a regular part of executive compensation and incentive programs.
• The transactions are exempt from Section 16(b) of the Securities Exchange Act of 1934, indicating compliance with regulations.

Future Outlook

The remaining RSUs will continue to vest quarterly, subject to continued service by the Reporting Person.

Industry Context

Form 4 filings are standard practice for reporting transactions by company insiders, providing transparency to the market.

Comparison to Industry Standards

• Veeva's equity compensation plan is similar to those of other publicly traded technology companies like Salesforce (CRM) and Workday (WDAY), which also use RSUs to incentivize and retain key employees.
• The vesting schedules and tax withholding practices are consistent with industry norms for executive compensation.
• The amount of shares withheld for tax obligations is typical and depends on the executive's tax bracket and the company's policies.

Stakeholder Impact

• Shareholders are informed about insider transactions, promoting transparency.
• Employees are impacted through the vesting of their equity compensation.

Key Dates