Thompson Jeffrey M 4

What Happened
Jeffrey M. Thompson, a reported 10% owner of Red Cat Holdings, was granted a derivative award: an option covering 1,000,000 shares of Red Cat common stock on 2025-05-22. The filing shows an acquisition price of $0.00 because the option was granted in lieu of base salary and participation in the issuer’s traditional bonus plan. This was a grant (award) of an option — not a stock purchase or sale — so no shares were immediately transferred to open market ownership.

Key Details

• Transaction date: 2025-05-22 (reported on Form 4 filed 2026-04-29 — filing appears nearly 11 months late).
• Transaction type/code: Award/Grant (A); derivative security (option) for 1,000,000 shares.
• Reported acquisition price: $0.00 (compensation in lieu of cash salary/bonus per footnote).
• Vesting: 50% on the first anniversary of the grant, 25% on the second anniversary, 25% on the third anniversary.
• Shares owned after transaction: not specified in the filing.
• Footnote: Option granted in lieu of base salary and participation in the company’s traditional bonus plan. No exercise price, expiration, or other option terms were disclosed in the summary provided.

Context
An option grant is a compensation event — it gives the holder the right to buy shares later if/when vested and exercised; it is not the same as an immediate purchase (which is often viewed as a stronger bullish signal). Because the filing was submitted long after the reported transaction date, investors may want to note the late disclosure when assessing timeliness and compliance.