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Filings: Red Hat execs sell shares; PRA's CEO earns $5.2M; LendingTree exec exercises $1.3M in options

money

Apr, 24 2017, 6:00 AM

In news gathered through a variety of filings:

The details:

RALEIGH, N.C. – Four Red Hat Inc. executives profited nearly $5.3 million on April 20 after selling shares from performance-related stock awards, according to a series of Friday filings with the Securities and Exchange Commission.

James Whitehurst, Red Hat’s president and chief executive, sold 26,250 shares of the company’s stock at an average price of $86.85 – for a total value of $2.3 million.

Whitehurst now owns slightly less than 400,000 shares. He previously sold 12,000 shares in March, profiting $1 million.

Executive Vice President of Products & Technologies Paul Cormier sold almost 18,500 shares at an average price of $87.43 – profiting $1.6 million and leaving him with about 250,000 shares.

Meanwhile, two other executive vice presidents, Michael Cunningham and Alexander DeLisa, made up the remaining transactions – profiting $697,000 and $665,000 by selling 8,000 and 7,670 shares, respectively.

Cunningham now owns 25,905 Red Hat shares, compared to DeLisa’s 35,222 shares.

In March, Red Hat reported fourth-quarter revenue of $629 million, up 16 percent year-over-year. The company also said it expects revenue in the first quarter to fall between $643 million and $650 million.

Last week, Red Hat announced the immediate appointment of Eric Shander as the firm’s chief financial officer. Shander previously served as the company’s principal accounting officer.

He takes over the role vacated by Frank Calderoni, who left Red Hat in January to serve as chief executive of San Francisco-based software firm Anaplan.

Raleigh-based Red Hat is a leading provider of open-source software solutions with corporate clients including FICO, Sprint Corp. and Adobe Systems.

Red Hat shares fell 35 cents Friday, closing at $87.02.

RALEIGH, N.C. — The chief executive officer of Raleigh-based PRA Health Sciences received $5.2 million in total compensation in 2016, up from $977,000 in 2015, according to a preliminary proxy statement filed with the Securities and Exchange Commission on Friday afternoon.

Chief Executive Officer Colin Shannon received $4.1 million in option awards during 2016, the largest portion of which vested on Nov. 16 at a total value of $2.25 million.

Executive Vice President and Chief Financial Officer Linda Baddour received $3 million in total compensation last year, up from $586,000 in 2015. Baddour received $2.4 million of her compensation in the recognition of the grant-date fair value of option awards thatvested in 2016.

Executive Vice President and Compliance Officer David W. Dockhorn received $1.5 million in 2016 consisting of $1 million of option awards, up from $522,000 in total compensation in 2015.

The option awards recognized in 2016 were the result of the company’s decision to modify the 2013 Stock Inventive Plan, relaxing certain criteria in order to free up more option awards for executives.

Under the 2013 Stock Incentive Plan, certain option awards would only vest with the achievement of a specific internal rate of return from a liquidity event such as a merger or sale.

On Jan. 10, 2016, the company decided to relax the criteria and allow the options to vest upon the announcement of a secondary offering of shares by private equity firm Kohlberg Kravis Roberts (KKR).

PRA International was purchased by KKR in 2013, and the company was renamed PRA Health Sciences in 2014 following a series of acquisitions.

PRA executives have exercised stock options worth millions in the first months of 2017.

In February and March, Shannon and Dockhorn exercised options worth a total of $8.8 million and $4.7 million, respectively.

As of April 5, Shannon owns 745,000 shares of common stock, amounting to 1.2 percent of the outstanding total. He has been CEO since 2010.

PRA’s stock price has increased 30 percent over the past year, and closed Friday at $64.78.

CHARLOTTE, N.C. — LendingTree Inc.’s Chief Accounting Officer Carla Shumate profited $1.3 million from exercising options, according to a filing with the Securities and Exchange Commission on Friday.

Shumate sold 10,500 shares of stock originally obtained for an exercise price of $26.59 for the price of $125. The sale earned Shumate $1,312,500.

Shumate now owns 2,427 shares valued at $1,033,305. [LendingTree]

Earlier this year, Shumate sold 2,500 shares of LendingTree stock at an average price of $125 on Feb. 23, profiting $312,500.

LendingTree will report first quarter earnings on April 27.

The company’s fourth quarter 2016 earnings reported record revenue of $100.8 million, up 29 percent over the same quarter in 2015.

Charlotte-based LendingTree is an online loan marketplace providing consumers with a way to connect with multiple lenders.

LendingTree shares were up 1.56 percent, or $1.95, to $127.15 on Friday.

Note: These reports were compiled from the North Carolina Business News Wire, a service of UNC-Chapel Hill’s School of Media and Journalism





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