Leonard Braden Michael 4

What Happened

• Leonard Braden Michael, a 10% owner of Outset Medical (OM) and managing member of BML Capital, acquired 323,000 shares on May 15, 2026 by exercising/being assigned an in‑the‑money derivative at $5.00 per share. The reported cash outlay was $1,615,000 (323,000 × $5.00). This transaction resulted in an acquisition (purchase) of shares rather than a sale.

Key Details

• Transaction date and price: May 15, 2026 — 323,000 shares acquired at $5.00/share (total $1,615,000).
• Transaction type: Report lists an exercise/assignment of an in‑the‑money derivative (code X); footnote indicates the reporting owner was short June 2026 put options and these shares were assigned on expiration.
• Ownership after transaction: The Form 4 does not state total shares beneficially owned by Mr. Michael after this acquisition.
• Ownership structure note: BML Capital Management, LLC is the general partner of the fund that directly owns the shares; Mr. Michael is the managing member and exercises investment/voting control. He disclaims beneficial ownership except to the extent of his pecuniary interest (per filing footnote).
• Filing date: Form 4 filed May 18, 2026 for a May 15, 2026 transaction (check timeliness against SEC two‑business‑day rule if relevant).

Context

• Simple explanation: The reporting owner had short put options and was assigned, which means they were obligated to buy (and thus acquired) shares at the strike price rather than initiating a new open‑market purchase. This is an acquisition (a purchase) and is typically more informative to investors than routine insider sales.
• For retail investors: Because Mr. Michael is a 10% owner and the shares are held through an investment vehicle (the Fund), this reflects institutional/strategic exposure more than a personal executive trade. The filing’s footnote disclaimer limits claims about direct beneficial ownership beyond pecuniary interest.