Royalty Pharma Form 4—Legorreta Reports Awards Settlement and LP Interests
Rhea-AI Filing Summary
Pablo G. Legorreta, CEO and Chairman of Royalty Pharma plc, filed a Form 4 reporting an exempt acquisition on 08/06/2025 of 21,901 Class A Ordinary Shares at $0 in connection with settlement of Equity Performance Awards pursuant to Rule 16b-3. The transaction is recorded as an exempt award settlement and increases the reporting persons direct holdings.
The filing itemizes extensive indirect beneficial ownership through entities, trusts and family members with specific share counts such as Legorreta Investments LLC: 460,139, Legorreta Children 2002 Trust: 1,040,410, GST-Exempt Legorreta 2012 Family Trust: 901,590 and Legorreta 2023 SR Trust: 600,000, among others.
The form also discloses LP interests in RPI US Partners 2019, LP that are exchangeable under the Amended and Restated Exchange Agreement into Class A Ordinary Shares for no additional value; entries include a reported change dated 08/08/2025 listing 60,000 LP interests (noted as representing 600,000 Class A Ordinary Shares) and larger RPI US LP interest amounts shown for related entities.
Positive
- None.
Negative
- None.
Insights
TL;DR: CEO received 21,901 shares via award settlement; filing shows substantial indirect and exchangeable holdings that affect insider ownership structure.
The Form 4 documents a routine, exempt equity award settlement for Pablo Legorreta, adding 21,901 Class A shares at no cash cost to the reporting person. More materially, the filing catalogs numerous indirect holdings across trusts and entities and significant limited partnership interests in RPI US Partners 2019 that are exchangeable into Class A shares under the stated exchange agreement. These exchangeable interests are explicitly described as convertible for no additional value, which is a structural feature investors should note when assessing potential future share issuance and insider alignment.
TL;DR: The filing shows executive compensation settled in equity and concentrated insider ownership with convertible partnership interests disclosed.
The disclosure confirms an equity-based compensation settlement for the CEO and a complex ownership map including direct, indirect and family/trust holdings. It also outlines contractual exchange rights tied to RPI US Partners 2019 interests and the Amended and Restated Exchange Agreement, with the explicit statement that exchanges can be made for no additional value. From a governance perspective, the combination of award settlements and broad, exchangeable interests can influence voting control and capitalization over time; the form provides clear counts and the contractual terms referenced by the filer.
Insider Trade Summary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Gift | LP interests in RPI US Partners 2019, LP | 60,000 | $0.00 | -- |
| Grant/Award | Class A Ordinary Shares | 21,901 | $0.00 | -- |
| holding | LP interests in RPI US Partners 2019, LP | -- | -- | -- |
| holding | LP interests in RPI US Partners 2019, LP | -- | -- | -- |
| holding | LP interests in RPI US Partners 2019, LP | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
| holding | Class A Ordinary Shares | -- | -- | -- |
Footnotes (1)
- Reflects the exempt acquisition by the Reporting Person pursuant to Rule 16b-3 of Class A Ordinary Shares of the Issuer in connection with the settlement of Equity Performance Awards. No limited partnership interests in RPI US Partners 2019, LP ("RPI US LP") are being exchanged by the Reporting Person. Each limited partnership interest in RPI US LP ("RPI US LP Interest") may be exchanged for ten Class B Interests in Royalty Pharma Holdings Limited ("Holdings"). Each Class B Interest in Holdings so distributed will be exchanged for one Class A Ordinary Share of the Issuer. Any exchanges will be made pursuant to the terms of the Amended and Restated Exchange Agreement. No additional value will be paid by the Reporting Person in connection with an exchange. Represents RPI US LP Interests. Each RPI US LP Interest can be exchanged for ten Class B Interests in Holdings at any time and for no additional value, which exchange right does not expire until so converted. Upon such exchange, each Class B Interest in Holdings issued in exchange for a RPI US LP Interest will be exchanged for one Class A Ordinary Share of the Issuer for no additional value.
