Arlo Technologies Announces Inducement Awards Under NYSE Rule 303A.08

Rhea-AI Summary

Arlo Technologies (NYSE: ARLO) has announced equity grants to new employees under its 2018 Equity Incentive Plan, complying with NYSE Rule 303A.08. The company's Compensation and Human Capital Committee awarded restricted stock units (RSUs) to seventeen new non-executive employees, totaling 207,226 shares of common stock.

The RSU distribution is structured in two distinct vesting schedules: Fifteen employees received grants totaling 103,943 shares that vest in four equal annual installments. The remaining grant of 103,283 shares follows a five-year vesting schedule: 15% after year one, 25% in years two through four, and 10% in year five. All RSUs are contingent on continued employment with Arlo.

Positive

• Employee retention strategy implemented through structured RSU grants
• Successful recruitment of 17 new non-executive employees indicating company growth

Negative

• Potential future dilution of shareholders' equity due to 207,226 new shares

SAN JOSE, Calif., Feb. 7, 2025 /PRNewswire/ -- Arlo Technologies, Inc. (NYSE: ARLO), a leading smart home security brand, today announced that it had made equity grants to new employees under its 2018 Equity Incentive Plan (the "Plan") in accordance with NYSE Rule 303A.08.

On February 7, 2025, Arlo's Compensation and Human Capital Committee granted restricted stock units, or RSUs, to seventeen new non-executive employees covering an aggregate of 207,226 shares of the Company's common stock as an inducement for such employees to join the Company.

The RSU's granted to fifteen of the employees, covering an aggregate of 103,943 shares, vest annually in four equal annual installments. The remaining RSU grant, covering an aggregate of 103,283 shares, vests annually over five years, with 15% of the shares vesting on the first anniversary of the vesting date, 25% of the shares vesting on the second, third and fourth anniversaries of the vesting date and the remaining 10% of the shares vesting on the fifth anniversary of the vesting date. In all cases, the RSUs are contingent on each employee's continued service with the Company at the applicable vesting date.

About Arlo Technologies, Inc.

Arlo is an award-winning, industry leader that is transforming the ways in which people can protect everything that matters to them with advanced home, business, and personal security solutions. Arlo's deep expertise in AI- and CV-powered analytics, cloud services, user experience and product design, and innovative wireless and RF connectivity enables the delivery of a seamless, smart security experience for Arlo users that is easy to set up and interact with every day. Arlo's cloud-based platform provides users with visibility, insight, and a powerful means to help protect and connect in real-time with the people and things that matter most, from any location with a Wi-Fi or a cellular connection. Arlo has recently launched several categories of award-winning connected devices, software, and services. These include wire-free, smart Wi-Fi and LTE-enabled security cameras, video doorbells, floodlights, security system, and Arlo's subscription service, Arlo Secure. 

With a mission to bring users peace of mind, Arlo is as passionate about protecting user privacy as it is about safeguarding homes and families. Arlo is committed to implementing industry standards for data protection designed to keep users' personal information private and in their control. Arlo provides enhanced controls for user data, supports privacy legislation, keeps user data safely secure, and puts security at the forefront of company culture.

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SOURCE Arlo Technologies, Inc.

FAQ

How many shares did Arlo Technologies (ARLO) grant in RSUs on February 7, 2025?

Arlo Technologies granted a total of 207,226 shares in RSUs to seventeen new non-executive employees.

What is the vesting schedule for Arlo's (ARLO) February 2025 RSU grants?

There are two vesting schedules: 15 employees receive four equal annual installments, while the remaining grant vests over five years with 15% in year one, 25% in years two through four, and 10% in year five.

How many new employees received RSU grants from Arlo (ARLO) in February 2025?

Seventeen new non-executive employees received RSU grants from Arlo Technologies.

What is the purpose of Arlo's (ARLO) February 2025 equity grants?

The equity grants serve as inducement awards to attract new employees to join the company, granted under Arlo's 2018 Equity Incentive Plan in accordance with NYSE Rule 303A.08.