Lantronix (LTRX) CEO Awsare Sells Shares to Cover Taxes

What Happened

• Awsare Saleel, President & CEO and a director of Lantronix, had restricted stock units (RSUs) convert to common shares on Sept 1, 2026 and 51,336 shares were acquired from three RSU awards (5,825 + 14,428 + 31,083). As part of the vesting, 24,973 shares were withheld/disposed to cover required tax withholding at $5.15 per share for a total of about $128,611.
• The transactions reported include RSU grants/acquisitions (code A), the conversion/exercise of those derivative awards into shares (code M), and the withholding/sale to satisfy tax obligations (code F). These sales were routine tax-withholding transactions rather than open-market sells for cash.

Key Details

• Transaction date: 2026-09-01 (filed 2026-09-03).
• Acquired (from RSU vesting): 5,825; 14,428; and 31,083 shares (total 51,336) at $0.00 (RSU conversion).
• Disposed/withheld for taxes: 9,852 shares ($50,738) and 15,121 shares ($77,873), total 24,973 shares for ~$128,611 at $5.15 each.
• Shares owned after transaction: Not provided in the supplied filing data.
• Notable footnotes:
  • F1/F2: RSU grants dated July 1, 2024 and July 11, 2025 with scheduled vesting through 2027–2028.
  • F3/F5: 9,852 and 15,121 shares were withheld at vesting to cover required tax withholding.
  • F4: 31,083 shares vested on Sept 1, 2026 from performance-based RSUs tied to 2026 targets.
• Filing timing: Reported on Sept 3, 2026 for a Sept 1, 2026 vesting—appears to be filed within the typical Form 4 reporting window (generally two business days).

Context

• This was a net settlement/tax-withholding event tied to RSU vesting (derivative conversion), not an opportunistic open-market sell; such withholdings are routine to satisfy payroll/tax obligations and do not necessarily indicate the insider is reducing their stake for investment reasons.
• For clarity: A = RSU award/grant, M = exercise/conversion of derivative (RSU → shares), F = shares withheld/disposed to pay taxes.