Confluent (CFLT) CEO exits equity as IBM merger pays $31 per share
Rhea-AI Filing Summary
Confluent, Inc.’s chief executive officer, Edward Jay Kreps, reported a series of dispositions tied to the company’s merger with International Business Machines Corporation (IBM). Multiple blocks of Class B common stock, including 14,017,500 shares, were disposed of to the issuer in connection with the closing.
Under the merger terms, each share of Confluent Class A and Class B common stock was canceled and converted into the right to receive $31.00 per share in cash, subject to withholding taxes. Outstanding stock options and restricted stock units were also canceled; options were exchanged for cash based on the spread to the $31.00 price, while outstanding RSUs were assumed by IBM and converted into 37,778 IBM restricted stock units. Following these transactions, the filing shows no remaining Confluent equity or derivative holdings for Kreps.
Positive
- None.
Negative
- None.
Insights
CEO’s Confluent equity is fully cashed out or converted under the IBM merger.
The filing shows Edward Jay Kreps disposing of all visible Confluent equity and derivatives as part of the cash merger with IBM. Class A and B shares are canceled in exchange for $31.00 per share, a standard all-cash deal structure.
Stock options are canceled for cash equal to the spread between the $31.00 merger price and each option’s exercise price, while outstanding RSUs are converted into 37,778 IBM restricted stock units. These are mechanical merger effects, not open‑market selling, and they shift Kreps’ exposure from Confluent stock to IBM equity and cash, with no remaining Confluent holdings in this filing.
Insider Trade Summary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Disposition | Class B Common Stock | 14,017,500 | $0.00 | -- |
| Disposition | Class B Common Stock | 149,984 | $0.00 | -- |
| Disposition | Class B Common Stock | 1,000,000 | $0.00 | -- |
| Disposition | Class B Common Stock | 1,000,000 | $0.00 | -- |
| Disposition | Stock Option (Right to Buy) | 1,219,153 | $0.00 | -- |
| Disposition | Stock Option (Right to Buy) | 1,725,153 | $0.00 | -- |
| Disposition | Stock Option (Right to Buy) | 2,347,999 | $0.00 | -- |
| Disposition | Restricted Stock Units | 301,660 | $0.00 | -- |
Footnotes (1)
- Pursuant to the Agreement and Plan of Merger, dated December 7, 2025, by and among the Issuer, International Business Machines Corporation ("IBM") and Corvo Merger Sub, Inc. (the "Merger Agreement"), each share of Issuer Class A Common Stock was canceled and converted into the right to receive $31.00 per share in cash (the "Merger Consideration" or the "Per Share Price"), without interest and subject to applicable withholding taxes. Pursuant to the Merger Agreement, each outstanding RSU was assumed by IBM and converted into restricted stock units for 37,778 shares of IBM common stock. Each share of Class B Common Stock is convertible into one share of Class A Common Stock at the option of the Reporting Person and has no expiration date. Pursuant to the Merger Agreement, each share of Issuer Class B Common Stock was canceled and converted into the right to receive the Per Share Price, without interest and subject to applicable withholding taxes. The shares are held by The Edward J. Kreps and Jamaica H. Kreps 2018 Revocable Trust. The shares are held by the GST Exempt Trust under The Kreps Family 2019 Irrevocable Trust under agreement dated September 26, 2019. The shares are held by the GST Exempt Trust under The Kreps Family 2019 Irrevocable Trust under agreement dated September 26, 2019. The shares subject to the option are fully vested and immediately exercisable. Pursuant to the Merger Agreement, the option was canceled in exchange for the right to receive an amount in cash, subject to applicable withholding taxes, equal to the product of (a) the total number of shares of Issuer common stock covered by such option immediately prior to the Effective Time (as defined in the Merger Agreement) multiplied by (b) the excess of (1) the Per Share Price over (2) the per share exercise price of such option.
