Airship AI COO reports equity and warrant holdings
Airship AI Holdings, Inc. director and Chief Operating Officer Derek Xu filed an update showing his current equity stake in the company.
Rhea-AI Filing Summary
Airship AI Holdings, Inc. director and Chief Operating Officer Derek Xu filed an update showing his current equity stake in the company. He directly holds 5,222,920 shares of common stock, largely received as consideration in the December 2023 merger that created the current issuer structure.
Xu also holds stock options over 150,000 shares of common stock at exercise prices of $4.25 and $2.86 per share, which vest quarterly over four years. In addition, he has earnout rights over 1,630,642 shares tied to operating and share-price milestones, and warrants over 1,344,951 shares at an exercise price of $1.77 per share.
Positive
- None.
Negative
- None.
Insider Trade Summary
5 transactions reported
Mixed
5 txns
Insider
Xu Derek
Role
Chief Operating Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| holding | Warrants | -- | -- | -- |
| holding | Earnout Rights | -- | -- | -- |
| holding | Options | -- | -- | -- |
| holding | Options | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
Holdings After Transaction:
Warrants — 1,344,951 contracts (Direct);
Earnout Rights — 1,630,642 contracts (Direct);
Options — 150,000 contracts (Direct);
Common Stock — 5,222,920 shares (Direct)
Footnotes (4)
- F1. Includes shares of common stock of the Issuer received on December 21, 2023, as consideration pursuant to that certain Merger Agreement, dated as of June 27, 2023 (as amended on September 22, 2023 and as may be further amended and/or restated from time to time, the "Merger Agreement"), by and among Airship AI Holdings, Inc., a Delaware corporation (the "Issuer") (formerly known as BYTE Acquisition Corp., a Cayman Island exempted company limited by shares, prior to its domestication as a Delaware corporation), BYTE Merger Sub, Inc., a Washington corporation and a direct, wholly-owned subsidiary of the Issuer, and Airship AI, Inc., a Washington company (formerly known as Airship AI Holdings, Inc., "Airship AI"). The Reporting Person received the reported shares in exchange for shares of common stock of Airship AI at the Conversion Ratio, as defined in the Merger Agreement, as of the Effective Time of the Merger.
- F2. Represents warrants to purchase shares of common stock of the Issuer received by the Reporting Person on December 21, 2023, pursuant to the Merger Agreement, upon the conversion of warrants to purchase shares of common stock of Airship AI at the Conversion Ratio, as defined in the Merger Agreement, as of the Effective Time of the Merger.
- F3. Pursuant to earnout provisions in the Merger Agreement, the holder of such Earnout Rights is entitled to receive shares of common stock of the Issuer upon the occurrence of certain operating performance and share price performance milestones during the applicable earnout periods set forth in the Merger Agreement.
- F4. Options vest quarterly over 4 years.
Key Figures
Direct common shares: 5,222,920 shares
Options at $4.25: 50,000 shares
Options at $2.86: 100,000 shares
+4 more
7 metrics
Direct common shares
5,222,920 shares
Directly held common stock following reported holdings
Options at $4.25
50,000 shares
Underlying common shares for options with $4.25 exercise price
Options at $2.86
100,000 shares
Underlying common shares for options with $2.86 exercise price
Earnout rights
1,630,642 shares
Underlying common shares deliverable upon performance and price milestones
Warrants at $1.77
1,344,951 shares
Underlying common shares for warrants exercisable until May 8, 2028
Warrant exercise date
December 21, 2023
Date warrants became exercisable under merger terms
Options vesting
Quarterly over 4 years
Vesting schedule for reported stock options
Key Terms
Merger Agreement, Conversion Ratio, Earnout Rights, warrants, +1 more
5 terms
Merger Agreement financial
"pursuant to that certain Merger Agreement, dated as of June 27, 2023"
A merger agreement is a binding contract that lays out the exact terms for two companies to combine, including the price, what each side will deliver, and the conditions that must be met before the deal is completed. Investors care because it sets the timetable, payouts and risks — like a blueprint or prenup that shows whether the deal is likely to close, how ownership will change, and what could cancel or alter the payout they expect.
Conversion Ratio financial
"in exchange for shares of common stock of Airship AI at the Conversion Ratio"
The conversion ratio is the number of common shares an investor receives when a convertible security (like a bond or preferred share) or an exchangeable instrument is turned into ordinary stock. It matters because it tells investors how much ownership or dilution will occur — similar to knowing how many slices you get when you trade in a coupon — and directly affects the value you get from the convertible and the company’s future share count.
Earnout Rights financial
"the holder of such Earnout Rights is entitled to receive shares of common stock"
warrants financial
"Represents warrants to purchase shares of common stock of the Issuer"
Warrants are special documents that give you the right to buy a company's stock at a set price before a certain date. They are often used as a way for companies to attract investors or raise money, and their value can increase if the company's stock price goes up.
options financial
"Options vest quarterly over 4 years"
Options are contracts that give investors the right to buy or sell an asset at a specific price within a certain time frame. They function like a reservation or a ticket that allows for potential profit or protection against price changes, making them useful tools for managing investment risks or speculating on market movements.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What did Airship AI (AISP) COO Derek Xu report in this Form 4?
Derek Xu reported his existing holdings in Airship AI, not new trades. He directly holds common shares, options, earnout rights, and warrants, detailing how many shares each security could convert into under specified terms and milestones.
What stock options does Derek Xu hold in Airship AI (AISP)?
He holds options linked to 150,000 shares of common stock. These include options over 50,000 shares at a $4.25 exercise price and 100,000 shares at a $2.86 exercise price, with vesting scheduled quarterly over four years.
What are the earnout rights reported by Derek Xu in Airship AI (AISP)?
Xu holds earnout rights tied to 1,630,642 underlying common shares. Under the merger agreement, these rights deliver shares only if specified operating performance and share price milestones are met during defined earnout periods.
What warrant position does Derek Xu have in Airship AI (AISP)?
He holds warrants linked to 1,344,951 underlying common shares of Airship AI. These warrants have a $1.77 exercise price, became exercisable on December 21, 2023, and are scheduled to expire on May 8, 2028 under the disclosed terms.
AI-generated analysis. How Rhea-AI works. Not financial advice.
