Form 4: Zevra Therapeutics Director Alvin Shih Granted Stock Options

Director Alvin Shih received stock options for 39,200 shares of Zevra Therapeutics, Inc. at an exercise price of $4.89 on May 13, 2024, as compensation for board service.

Summary

• Alvin Shih, a director of Zevra Therapeutics, Inc., was granted stock options to purchase 39,200 shares of the company's common stock.
• The options were granted on May 13, 2024, with an exercise price of $4.89 per share, which equals the closing price of ZVRA on that date.
• The grant serves as compensation for Shih's service on the company's board of directors, in accordance with the ninth amended and restated non-employee director compensation policy.
• The options vest on the earlier of (i) the first anniversary of the grant date, (ii) one day prior to the first annual meeting of stockholders following the grant date, or (iii) immediately prior to a change in control of the Issuer, contingent upon continued service.

Sentiment

Score: 7

Explanation: The document reflects a routine director compensation matter, which is generally viewed neutrally to positively as it aligns director interests with shareholders. The sentiment is slightly positive due to the incentive structure created by the vesting schedule.

Positives

• The grant of stock options aligns the director's interests with those of the shareholders.
• The vesting schedule incentivizes continued service on the board.

Future Outlook

The document does not contain specific forward-looking statements beyond the vesting schedule of the stock options.

Industry Context

Stock option grants are a common form of compensation for directors of publicly traded companies, aligning their interests with shareholders and incentivizing company performance.

Comparison to Industry Standards

• Director compensation packages, including stock options, vary widely across the pharmaceutical industry depending on company size, stage of development, and board responsibilities.
• Comparing Zevra's director compensation to companies like BioCryst Pharmaceuticals or Catalyst Pharmaceuticals, which are of similar market capitalization, would provide a more detailed benchmark.
• Typical director compensation packages often include a mix of cash retainers, equity grants (stock options or restricted stock units), and committee fees.

Stakeholder Impact

• Shareholders may view the stock option grant positively as it aligns the director's interests with the company's long-term success.
• The grant has no immediate impact on employees, customers, suppliers, or creditors.

Key Dates