Avalo Therapeutics (AVTX) CEO exercises RSUs, shares withheld for taxes
Rhea-AI Filing Summary
Avalo Therapeutics, Inc. Chief Executive Officer Neil Garry Arthur exercised restricted stock units that converted into common stock and had shares withheld for taxes. He exercised 64,866 restricted stock units into 64,866 shares of common stock at a conversion price of $0.00 per share. To satisfy tax obligations, 21,892 shares of common stock were disposed of at $13.89 per share through tax withholding, rather than an open-market sale. Following these transactions, he directly owns 90,114 shares of common stock. The restricted stock units stem from a 194,600-unit grant made on August 13, 2024, vesting in three equal installments on March 28, 2025, 2026, and 2027, subject to continued service.
Positive
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Insider Trade Summary
Net Buyer: 42,974 shares
Net Buy
3 txns
Insider
NEIL GARRY ARTHUR
Role
Chief Executive Officer
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Units | 64,866 | $0.00 | $0.00 |
| Exercise | Common Stock | 64,866 | $0.00 | $0.00 |
| Exercise Price or Tax Liability | Common Stock | 21,892 | $13.89 | $304K |
Holdings After Transaction:
Restricted Stock Units — 64,867 shares (Direct);
Common Stock — 90,114 shares (Direct)
Footnotes (2)
- F1. Restricted stock units convert into common stock on a one-for-one basis.
- F2. On August 13, 2024, the Reporting Person was granted 194,600 restricted stock units, vesting 1/3 on March 28, 2025, March 28, 2026, and March 28, 2027, subject to the Reporting Person's continued service on such vesting date.
Key Figures
RSUs exercised: 64,866 units/shares
Tax-withheld shares: 21,892 shares at $13.89
Post-transaction holdings: 90,114 shares
+2 more
5 metrics
RSUs exercised
64,866 units/shares
Restricted stock units converted into common stock on March 28, 2026
Tax-withheld shares
21,892 shares at $13.89
Shares disposed to satisfy tax liability on March 28, 2026
Post-transaction holdings
90,114 shares
Common stock directly owned by CEO after transactions
Original RSU grant
194,600 units
Grant dated August 13, 2024, vesting in three annual tranches
First vesting tranche
64,866 units
One-third of 194,600-unit RSU grant vesting on March 28, 2025
Key Terms
Restricted stock units, tax-withholding disposition, derivative security, vesting
4 terms
Restricted stock units financial
"Restricted stock units convert into common stock on a one-for-one basis."
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.
tax-withholding disposition financial
"Payment of exercise price or tax liability by delivering securities"
A tax-withholding disposition is an event or transaction—such as selling or transferring securities, exercising options, or receiving compensation—that triggers a requirement to hold back part of the payment and remit it to tax authorities. It matters to investors because it reduces the cash they receive immediately and can change the timing and amount of taxable income, like a cashier taking a portion of your sale proceeds to pay taxes before you get the rest.
derivative security financial
"Exercise or conversion of derivative security"
A derivative security is a financial contract whose value comes from the price or performance of something else, such as a stock, bond, commodity, or market index. For investors it acts like an insurance policy or a wager: it can be used to protect against losses, lock in prices, or amplify gains and losses, so it can change a portfolio’s risk and potential return without owning the underlying asset directly.
vesting financial
"vesting 1/3 on March 28, 2025, March 28, 2026, and March 28, 2027"
Vesting is the process by which you earn full ownership of something, like company stock or a retirement benefit, over time. It’s like earning the right to keep a gift piece by piece the longer you stay with a company, making sure employees stay committed before they receive all the benefits.
FAQ
What insider transaction did Avalo Therapeutics (AVTX) report for its CEO?
Avalo Therapeutics reported that CEO Neil Garry Arthur exercised 64,866 restricted stock units into common shares, with 21,892 shares withheld to cover taxes. These actions are compensation-related and reflect vesting of previously granted equity rather than an open-market share purchase or sale.
What are the key details of the CEO’s restricted stock unit grant at Avalo Therapeutics (AVTX)?
On August 13, 2024, the CEO was granted 194,600 restricted stock units, vesting in three equal installments on March 28, 2025, March 28, 2026, and March 28, 2027. Each unit converts into one share of Avalo Therapeutics common stock, subject to his continued service.
Does the Avalo Therapeutics (AVTX) Form 4 show an open-market purchase or sale by the CEO?
The Form 4 does not show any open-market purchases or sales. It records an exercise of 64,866 restricted stock units into common shares and a tax-withholding disposition of 21,892 shares, which is a compensation and tax event rather than a discretionary market trade by the CEO.
AI-generated analysis. How Rhea-AI works. Not financial advice.
