ADT Announces Grants of Inducement Equity Awards

Rhea-AI Summary

ADT (NYSE: ADT) announced board-approved inducement equity awards tied to its acquisition of Origin Wireless, granting 8,070,357 restricted stock units to 46 Origin employees who joined ADT.

A portion vests time-based over three years; another portion vests on time plus performance goals over the same period. Awards will be issued as soon as practicable and governed by individual award agreements.

Positive

• 8,070,357 RSUs granted to 46 employees
• Awards designed to aid retention post-acquisition
• Mix of time-based and performance-based vesting over three years

Negative

• Potential dilution from 8,070,357 new shares
• Retention cost recognized via equity compensation over three years

Key Figures

Inducement award size: 8,070,357 shares Employees receiving awards: 46 employees Time-based vesting period: three years +1 more

4 metrics

Inducement award size 8,070,357 shares Restricted stock unit grants tied to Origin acquisition

Employees receiving awards 46 employees Origin staff who became ADT employees at closing

Time-based vesting period three years Portion of RSUs vest solely on time-based schedule

Performance vesting period three-year period Portion vests on time and performance following acquisition

Market Reality Check

Price: $8.02 Vol: Volume 7,276,151 vs 20-da...

low vol

$8.02 Last Close

Volume Volume 7,276,151 vs 20-day avg 15,853,526 (relative 0.46) indicates lighter-than-usual trading ahead of this filing-related news. low

Technical Shares at $8.11 are trading below the $8.35 200-day MA and sit between the 52-week low $7.31 and high $8.935.

Peers on Argus

ADT gained 2.01% while peers showed mixed moves: BCO up 4.19%, CXW up 1.45%, MSA...

1 Down

ADT gained 2.01% while peers showed mixed moves: BCO up 4.19%, CXW up 1.45%, MSA and GEO down, and BRC roughly flat. Momentum scanner only flagged security peer EVLV, which was down 1.70% without news, suggesting today’s setup was company-specific rather than a sector-wide trade.

Historical Context

5 past events · Latest: Feb 24 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 24	AI partnership deal	Positive	+1.7%	Five-year, $30M Verisure agreement to scale Origin AI sensing globally.
Feb 24	AI acquisition	Positive	+1.7%	Acquisition of Origin AI for $170M cash to power AI sensing platform.
Feb 17	Earnings date set	Neutral	+1.4%	Announced March 2, 2026 call for Q4 and full-year 2025 results.
Feb 09	Index inclusion	Positive	+0.5%	Inclusion in S&P SmallCap 600® index, expected to enhance visibility.
Dec 22	Executive appointment	Neutral	+0.0%	Appointed Kim Miller as EVP & Chief Marketing & Communications Officer.

Pattern Detected

Recent corporate and AI-related announcements have generally coincided with modestly positive next-day price reactions.

Recent Company History

Over the past few months, ADT has focused on strategic positioning and AI-enabled growth. On Feb. 24, 2026, it announced the $170 million Origin AI acquisition alongside a $30 million commercial agreement with Verisure, both followed by a positive price reaction. Earlier in February, ADT highlighted its upcoming March 2, 2026 earnings call and its addition to the S&P SmallCap 600®, each linked with small gains. A December 2025 C-suite marketing hire had a flat reaction. Today’s inducement equity awards tie directly into the Origin AI acquisition and employee retention theme seen in that history.

Market Pulse Summary

This announcement details inducement equity awards tied to ADT’s acquisition of Origin AI, granting ...

Analysis

This announcement details inducement equity awards tied to ADT’s acquisition of Origin AI, granting 8,070,357 restricted stock units to 46 employees with three-year time- and performance-based vesting. It follows earlier disclosures of the $170 million Origin deal and a $30 million Verisure agreement, highlighting ADT’s emphasis on retaining AI talent as it integrates WiFi sensing technology. Investors may watch future filings and the upcoming March 2, 2026 earnings call for clarity on dilution, integration progress, and commercialization timelines.

Key Terms

restricted stock units, common stock, time-based vesting, performance goals, +1 more

5 terms

restricted stock units financial

"shares of ADT common stock in the form of restricted stock units to 46 Origin employees"

Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.

common stock financial

"shares of ADT common stock in the form of restricted stock units"

Common stock represents ownership shares in a company, giving investors a stake in its success and a say in important decisions through voting rights. It is the most common type of stock traded on markets and can provide income through dividends, as well as potential for value growth. For investors, holding common stock means sharing in the company’s profits and risks.

time-based vesting financial

"A portion of the awards is subject to time-based vesting over the next three years"

Time-based vesting is a schedule that gives employees or contractors ownership of granted stock or options gradually as they remain with a company, like unlocking rewards in a loyalty program the longer you stick around. For investors, it matters because it affects future share supply, management incentives and staff retention — all of which can influence company performance and dilution of existing shareholders.

performance goals financial

"a portion is subject to time-based vesting and the achievement of certain performance goals"

Performance goals are specific, measurable targets a company sets for financial results, operational milestones, or individual roles—examples include revenue, profit, production levels, or completion of a project. They matter to investors because meeting or missing these targets influences management pay, future forecasts, deal-related payments and market confidence; think of them as a scoreboard that helps outsiders judge whether the business is performing as promised.

employment inducement awards exemption regulatory

"in reliance on the employment inducement awards exemption under the NYSE’s Listed Company Manual Rule 303A.08"

An employment inducement awards exemption is a regulatory allowance that lets a public company grant stock or option awards to newly hired employees without prior shareholder approval, provided those awards meet specific size and timing limits. For investors, it matters because these grants can help attract key talent quickly but also dilute existing shareholders’ ownership, so they signal both potential value creation and a small increase in share count—like giving a recruiter a signing bonus paid in stock.

AI-generated analysis. Not financial advice.

BOCA RATON, Fla., Feb. 27, 2026 (GLOBE NEWSWIRE) -- ADT Inc. (NYSE: ADT) today announced that its board of directors has approved the grant of equity awards in connection with ADT’s acquisition of Origin Wireless, Inc., a privately held company that specializes in AI-enabled WiFi sensing technology (“Origin”), in reliance on the employment inducement awards exemption under the NYSE’s Listed Company Manual Rule 303A.08.

The board approved the grant of equity awards representing 8,070,357 shares of ADT common stock in the form of restricted stock units to 46 Origin employees who became ADT employees upon the closing of the acquisition. The board approved these awards to aid in the retention of such employees. A portion of the awards is subject to time-based vesting over the next three years, and a portion is subject to time-based vesting and the achievement of certain performance goals over the three-year period following the acquisition. The awards will be issued as soon as practicable and will be subject to the terms and conditions of award agreements to be entered into between ADT and each recipient.

About ADT

ADT provides safe, smart, and sustainable solutions for people, homes, and small businesses. Through innovative offerings, unrivaled safety, and a premium customer experience—delivered by the largest network of smart home security professionals in the U.S.—ADT empowers people to protect and connect to what matters most, every second, every day. For more information, visit ADT.com.

Media Relations:
Media@adt.com

FAQ

What equity awards did ADT (ADT) grant in connection with the Origin Wireless acquisition on Feb 27, 2026?

ADT granted 8,070,357 restricted stock units to 46 Origin employees as inducement awards. According to the company, awards are split between time-based vesting and performance-plus-time vesting over three years.

How many Origin employees received RSUs from ADT (ADT) after the acquisition closing?

A total of 46 Origin employees received inducement awards from ADT. According to the company, those employees became ADT employees upon closing and will receive award agreements.

What are the vesting terms for the RSUs ADT (ADT) granted to Origin hires?

Some awards vest solely on time and others vest on time plus performance over a three-year period. According to the company, performance goals apply to a portion of the awards.

Will ADT (ADT) issue the Origin-related RSUs immediately and under what conditions?

ADT will issue the awards as soon as practicable and they will be subject to the terms of individual award agreements. According to the company, issuance follows standard award documentation.

What is the potential shareholder impact of ADT's (ADT) 8,070,357 RSU grant tied to Origin Wireless?

The grant could cause share dilution as 8,070,357 RSUs convert to common stock over time. According to the company, vesting schedules and performance conditions govern timing and potential issuance.