Fang Rui 4

What Happened Fang Rui, CEO of Yuanbao Inc. (YB), reported option exercise transactions dated May 8, 2026. The Form 4 records the exercise (code M) with 50,000 derivative shares (ADSs) acquired and 300,000 derivative shares disposed. The disposed shares are listed at $0.00 and the acquired ADSs are shown as N/A for price; the filing therefore reports no cash consideration. Footnotes indicate the options were fully vested as of August 1, 2024, and that the acquired securities are ADSs.

Key Details

• Transaction date: May 8, 2026; Form 4 filed: May 11, 2026 (filed within the SEC two-business-day window).
• Activity: Option exercise (SEC code M).
  • 300,000 shares — disposed — $0.00 (Derivative)
  • 50,000 shares — acquired — price N/A (Derivative)
• Footnotes:
  • F1: Options fully vested and exercisable since Aug 1, 2024.
  • F2: Each ADS convertible into six (6) Class A ordinary shares.
  • F3: The 50,000 ADSs represent ADSs acquired upon exercise of options.
• Shares owned after the transaction are not specified in the provided filing excerpt.

Context

• Derivative exercises: An "M" transaction means options were exercised. The filing shows both acquired ADSs and disposed derivative shares; in practice, the disposed line often reflects shares surrendered to cover exercise costs or tax withholding, though the filing does not explicitly state that here.
• ADS detail: Each ADS converts into six Class A ordinary shares, so 50,000 ADSs would represent up to 300,000 underlying Class A shares if converted.
• Interpretation: This is a non-open-market option exercise reporting—informative about insider compensation and share issuance but not a straightforward purchase or sale signal of market intent.