Upstream Bio (UPB) CBO auto-sells shares to cover RSU tax
Rhea-AI Filing Summary
Upstream Bio, Inc. Chief Business Officer Adam Houghton reported an automatic sale of common stock tied to tax withholding on vested restricted stock units. He sold 700 shares at $6.10 per share under the company’s sell-to-cover policy, which executes sales without his discretion. After this transaction, he directly holds 23,601 shares of Upstream Bio common stock, so the filing reflects tax-related administration rather than a discretionary change in his investment position.
Positive
- None.
Negative
- None.
Insider Trade Summary
Net Seller: 700 shares
Net Sell
1 txn
Insider
Houghton Adam
Role
Chief Business Officer
Sold
700 shs ($4K)
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Common Stock | 700 | $6.10 | $4K |
Holdings After Transaction:
Common Stock — 23,601 shares (Direct)
Footnotes (1)
- F1. The Issuer has adopted a "sell-to-cover" policy to satisfy the tax withholding obligations of the Reporting Person. The sales reported on this Form 4 represent the number of shares required to be sold by the Reporting Person to cover tax withholding obligations in connection with the vesting of restricted stock units. Such sales were automatic and not at the discretion of the Reporting Person.
Key Figures
Shares sold: 700 shares
Sale price: $6.10 per share
Shares held after: 23,601 shares
3 metrics
Shares sold
700 shares
Common stock sold on 2026-06-16 to cover tax withholding
Sale price
$6.10 per share
Open-market sale associated with RSU vesting
Shares held after
23,601 shares
Direct Upstream Bio common stock holdings after transaction
Key Terms
sell-to-cover, restricted stock units, Form 4
3 terms
sell-to-cover financial
"The Issuer has adopted a "sell-to-cover" policy to satisfy the tax withholding obligations"
Sell-to-cover is when part of newly issued or exercised company stock is immediately sold to pay required taxes and fees, so the recipient keeps the remaining shares. For investors this matters because it reduces the number of shares insiders or employees actually hold after a grant, can create small, routine share sales that aren’t signal of cashing out, and slightly increases share supply on the market—like selling a portion of a paycheck to cover the tax bill.
restricted stock units financial
"tax withholding obligations in connection with the vesting of restricted stock units"
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.
Form 4 regulatory
"The sales reported on this Form 4 represent the number of shares required"
Form 4 is a official document that company insiders, such as executives or major shareholders, file with regulators whenever they buy or sell company shares. It provides transparency about how those with inside knowledge are trading, helping investors see if insiders are confident in the company's prospects or may be selling for personal reasons. This information can influence investor decisions by revealing insiders' perspectives on the company's value.
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What insider transaction did Upstream Bio (UPB) report for Adam Houghton?
Upstream Bio reported that Chief Business Officer Adam Houghton sold 700 common shares at $6.10 each. The sale was triggered automatically to cover tax withholding on newly vested restricted stock units under the company’s sell-to-cover policy.
Why did Upstream Bio (UPB) implement a sell-to-cover policy for executives?
Upstream Bio’s policy uses automatic share sales to cover executives’ tax withholding obligations upon restricted stock unit vesting. This approach satisfies required tax payments in shares, limiting the need for executives to separately fund cash tax liabilities.