Baidu (BIDU) CEO Robin Li Exercises Derivatives for 852,904 Shares

What Happened

• Robin Yanhong (Robin) Li, Chairman and CEO of Baidu and a 10% owner, exercised/converted derivative securities into 852,904 Class A ordinary shares on Aug 8–9, 2026. The filing reports a $0 exercise price (total reported cash value $0). Those 852,904 Class A shares equal 106,613 American Depositary Shares (ADS), since each ADS represents eight Class A ordinary shares.
• The Form 4 shows both the acquisition of the underlying shares and the simultaneous disposition of the derivative instruments (a common way to report conversion/vesting of restricted awards). The transaction appears to reflect award vesting/conversion rather than an open-market buy or sale.

Key Details

• Transaction dates and reported prices: Aug 8, 2026 — 510,808 Class A shares acquired @ $0.00; Aug 9, 2026 — 342,096 Class A shares acquired @ $0.00. The same amounts are reported as dispositions of derivative securities (code M = exercise/conversion).
• ADS equivalent: 852,904 Class A shares = 106,613 ADS.
• Shares owned after the transactions: not specified in the provided summary of the Form 4.
• Notable footnotes: (F1) ADS ratio = 1 ADS : 8 Class A shares; (F2) Handsome Reward Limited is wholly owned by Mr. Li; (F3/F4) the reported shares are restricted shares that vest over multi-year schedules starting Aug 8 and Aug 9, 2026, and do not have an expiration date.
• Related-party note: Ms. Melissa Ma (Mr. Li’s wife) holds substantial Class A and Class B shares in her personal capacity; Mr. Li disclaims beneficial ownership of her holdings.
• Filing timeliness: Form filed Aug 11, 2026 for transactions on Aug 8–9, 2026 — the filing date is within the typical Form 4 reporting window and appears timely.

Context

• For retail investors: this was a conversion/vesting of derivative awards (restricted shares) into underlying equity rather than a market purchase or sale. The form reports a $0 exercise price; it does not state any cash proceeds or the market value realized. Conversions like this are typically routine compensation-related events and do not necessarily signal a buy or sell decision in the open market.
• As a reported 10% owner and the company’s CEO, Mr. Li’s transactions are notable for disclosure, but the filing includes disclaimers about related holdings (spouse and controlled entities).