Du Ying 4

What Happened

• Du Ying, Chairperson & CEO of Zai Lab (ZLAB), exercised options to acquire 261,092 American Depositary Shares (ADSs) on May 19, 2026, paying $1.74 per ADS (total cash outlay ~$454,300). To satisfy tax/exercise obligations, 117,435 ADSs were withheld/surrendered at $18.75 per ADS (value ~$2,201,906). Net shares retained from the exercise were 143,657 ADSs (261,092 acquired − 117,435 withheld).
• These entries are reported as an option exercise (code M) and a tax/withholding disposition (code F).

Key Details

• Transaction date: May 19, 2026; Form 4 filed May 21, 2026 (timely filing).
• Exercise price paid: $1.74 per ADS for 261,092 ADSs (total ≈ $454,300).
• Withheld/disposed for taxes: 117,435 ADSs at $18.75 per ADS (value ≈ $2,201,906).
• Net ADSs received: 143,657 ADSs.
• Shares are reported in ADSs; each ADS represents 10 ordinary shares (footnote F1).
• Reported as pursuant to a Rule 10b5-1 trading plan adopted Nov 11, 2025 (footnote F2).
• Vesting note: option vested in equal annual installments over five years beginning Aug 25, 2017 (footnote F3).
• Shares owned after the transaction are not stated in the provided excerpt of the filing.

Context

• This appears to be a routine option exercise with shares withheld to cover tax and/or exercise obligations (a cashless-type settlement for taxes), not an open-market sale for discretionary cash.
• M = option exercise; F = tax withholding/payment. Such withholding is common and does not necessarily indicate a bearish view.