MEC (MEC) CEO Reddy sells 15,688 shares under Rule 10b5-1 plan
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
Mayville Engineering Company, Inc. President & CEO Jagadeesh A. Reddy reported an open-market sale of 15,688 shares of common stock at a weighted average price of $35.0474 per share, with prices ranging from $35.00 to $35.28. The transaction was carried out under a pre-arranged Rule 10b5-1 trading plan adopted on December 12, 2025. Following the sale, he directly holds 124,105 common shares and maintains indirect interests of 380 shares held by his daughter and 2,300 shares through an ESOP and/or 401(k) plan. He also retains significant equity exposure through stock options on 88,901 shares at an exercise price of $16.22 and multiple tranches of restricted stock units covering additional common shares.
Positive
- None.
Negative
- None.
Insights
CEO executes planned share sale while retaining large equity stake.
The CEO of Mayville Engineering Company, Inc. sold 15,688 common shares at a weighted average price of $35.0474 per share in an open-market transaction. This was completed under a pre-established Rule 10b5-1 trading plan adopted on December 12, 2025, indicating the timing was pre-planned.
After the sale, he still directly owns 124,105 common shares, plus indirect holdings via a daughter and an ESOP/401(k) plan. He also holds stock options over 88,901 shares at an exercise price of $16.22 and several restricted stock unit awards covering tens of thousands of additional shares. The sale therefore represents a partial liquidity event, with substantial ongoing equity exposure.
Insider Trade Summary 10b5-1
Net Seller: 15,688 shares ($549,824)
Net Sell
7 txns
Insider
Reddy Jagadeesh A
Role
President & CEO
Sold
15,688 shs ($550K)
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Common Stock | 15,688 | $35.0474 | $550K |
| holding | Restricted Stock Units | -- | -- | -- |
| holding | Restricted Stock Units | -- | -- | -- |
| holding | Restricted Stock Units | -- | -- | -- |
| holding | Stock Option (right to buy) | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
Holdings After Transaction:
Common Stock — 124,105 shares (Direct, null);
Restricted Stock Units — 36,317 shares (Direct, null);
Stock Option (right to buy) — 88,901 shares (Direct, null);
Common Stock — 2,300 shares (Indirect, by ESOP and/or 401(k) Plan)
Footnotes (1)
- The reported transaction was effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on December 12, 2025. The price in Column 4 is a weighted average price. The prices actually received ranged from $35.00 to $35.28. The reporting person has provided to the issuer, and will provide to any security holder of the issuer, or the SEC staff, upon request, information regarding the number of shares sold at each price within the range for all transactions reported in this Form 4 utilizing a weighted average price. Reflects the most recent ESOP and 401(k) balance. The restricted stock units will vest 1/3 on each of March 15, 2025, 2026 and 2027. The restricted stock units will vest 1/3 on each of March 15, 2026, 2027 and 2028. The restricted stock units will vest 1/3 on each of March 15, 2027, 2028 and 2029. The options will vest 50% on each of February 28, 2024 and February 28, 2025.
Key Figures
Shares sold: 15,688 shares
Weighted average sale price: $35.0474 per share
Direct common shares after sale: 124,105 shares
+5 more
8 metrics
Shares sold
15,688 shares
Open-market sale of common stock
Weighted average sale price
$35.0474 per share
Common stock sale price, range $35.00–$35.28
Direct common shares after sale
124,105 shares
Shares directly owned following transaction
Indirect ESOP/401(k) holdings
2,300 shares
Most recent ESOP and 401(k) balance
Indirect holdings by daughter
380 shares
Common stock held by daughter
Stock options underlying shares
88,901 shares
Options with $16.22 exercise price
RSU tranche 1 underlying shares
74,986 shares
Restricted stock units vesting 2025–2027
RSU tranche 2 underlying shares
55,284 shares
Restricted stock units vesting 2026–2028
Key Terms
Rule 10b5-1 trading plan, restricted stock units, Stock Option (right to buy), ESOP, +1 more
5 terms
Rule 10b5-1 trading plan regulatory
"The reported transaction was effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on December 12, 2025."
A Rule 10b5-1 trading plan is a pre-arranged schedule that allows company insiders to buy or sell stock at specific times, even if they have inside information. It helps prevent accusations of unfair trading by making these transactions look planned and transparent, rather than sneaky or illegal.
restricted stock units financial
"The restricted stock units will vest 1/3 on each of March 15, 2025, 2026 and 2027."
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.
Stock Option (right to buy) financial
"Stock Option (right to buy) ... underlying security title: Common Shares"
ESOP financial
"Reflects the most recent ESOP and 401(k) balance."
An Employee Stock Ownership Plan (ESOP) is a program that gives employees ownership shares in their company, often as part of their benefits package. It acts like a company-sponsored savings plan, allowing workers to have a stake in the company's success, which can boost motivation and loyalty. For investors, ESOPs can influence company decisions and stock value, making them an important aspect of corporate ownership and governance.
weighted average price financial
"The price in Column 4 is a weighted average price."
Weighted average price is the average price of a security where each trade or component is counted according to its size, so bigger trades pull the average more than smaller ones. Think of it like calculating the average cost of a grocery haul where items you bought more of have greater influence on the final per-item cost. Investors use it to understand the true average price paid or received, judge execution quality, and compare trading performance against market movement.
FAQ
What did MEC President & CEO Jagadeesh Reddy report in this Form 4?
He reported selling 15,688 shares of Mayville Engineering common stock in an open-market transaction at a weighted average price of $35.0474 per share, while retaining a substantial direct, indirect, and derivative-based equity position in the company.
Was the MEC CEO’s stock sale made under a Rule 10b5-1 trading plan?
Yes. A footnote states the reported transaction was effected under a Rule 10b5-1 trading plan adopted on December 12, 2025. Such plans pre-schedule trades, indicating this sale’s timing was determined in advance rather than being a discretionary, opportunistic transaction.
What stock options does MEC’s CEO retain after the Form 4 transaction?
He retains stock options over 88,901 common shares with an exercise price of $16.22 per share. A footnote explains these options vest 50% on each of February 28, 2024 and February 28, 2025, highlighting ongoing long-term equity incentives.
What restricted stock units does the MEC CEO still hold?
He holds several tranches of restricted stock units covering tens of thousands of underlying common shares, including blocks of 74,986, 55,284, and 36,317 shares. Footnotes state these RSUs vest in equal thirds on March 15 across years from 2025 through 2029.