4/A: Datavault AI Director Corrects Stock Vesting Terms

Datavault AI Inc. Director Sriram Krishnamurthy Peruvemba files an amended Form 4 to correct the vesting schedule for 250,000 LTIP shares.

Summary

• This filing is an amendment (Form 4/A) to a previous Form 4 filed by Sriram Krishnamurthy Peruvemba, a Director at Datavault AI Inc.
• The amendment corrects the vesting terms for 250,000 shares of common stock received as compensation under the issuer's 2018 Long-Term Stock Incentive Plan.
• The original filing incorrectly stated the shares vest over three years; the corrected vesting schedule indicates the shares vest in equal quarterly installments over one year, starting from the grant date.
• The reporting person remains in service to the issuer on each vesting date for the shares to vest.
• The total number of common stock beneficially owned by the reporting person after this transaction is 581,565 shares.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this filing as neutral; it's a procedural correction of a past event rather than a reflection of current performance or future outlook.

Positives

• Correction of a scrivener's error clarifies the actual stock vesting schedule, providing accurate information to stakeholders.
• The shares are intended to vest over a shorter period (one year) than initially reported, which could be seen as a positive incentive for continued service.

Negatives

• The need for an amendment indicates an initial error in reporting, which could raise minor concerns about internal controls or attention to detail.

Risks

• The vesting of shares is contingent on the reporting person remaining in the service of the issuer, implying a risk of forfeiture if service is terminated before vesting.
• Potential for future amendments or corrections if further errors are identified.

Future Outlook

The filing does not contain forward-looking statements or guidance regarding future financial performance or strategic initiatives. It solely pertains to a correction of past stock grant details.

Management Comments

• "This Form 4/A is being filed to correct the vesting terms of the restricted shares previously reported by the Reporting Person."
• "Due to a scrivener's error, the Reporting Person's prior Form 4 reported that the shares vest quarterly over a three-year period."
• "The shares instead vest in equal quarterly installments over one year, as described in Footnote 1."
• "No other changes have been made to the original Form 4."

Industry Context

StockSavvy.ai notes that corrections to SEC filings, particularly Form 4s related to insider transactions and compensation, are not uncommon. While this specific amendment corrects a vesting schedule, it highlights the importance of accurate disclosure for executive compensation and insider holdings within the technology sector.

Related Party Transactions

• The acquisition of 250,000 LTIP shares by Director Sriram Krishnamurthy Peruvemba as compensation for his board service is a related party transaction.

Stakeholder Impact

• Shareholders: Receive accurate information regarding the compensation structure and potential dilution from director equity grants.
• Management: Ensures compliance with SEC reporting requirements and maintains transparency.
• Reporting Person: Clarification of their equity compensation and vesting schedule.

Next Steps

• The reporting person will continue to have shares vest quarterly over the next year, provided they remain in service to Datavault AI Inc.
• The company will ensure future filings accurately reflect compensation and ownership details.

Key Dates

Keywords

Datavault AI, DVLT, Form 4/A, Stock Vesting, Director Compensation, LTIP, SEC Filing, Beneficial Ownership