Doyle Mittie 4

What Happened

Doyle Mittie, Chief Medical Officer of Avalo Therapeutics (AVTX), exercised stock options and sold shares on May 15, 2026. The filing shows he:

• Exercised 3,000 options at a $12.65 strike (acquired cost = $37,950).
• Immediately sold 3,000 shares in the open market at $18.76 for proceeds of $56,280.
• The filing also records a conversion/exercise of 3,000 derivative shares at $0.00 (no cash consideration shown).

This sequence (exercise then sale) resulted in gross sale proceeds of $56,280. The exercise cost for the sold block was $37,950, implying a pre-tax difference of $18,330 for that block. Sales by insiders are often routine; these trades were executed under a pre-established trading plan.

Key Details

• Transaction date: May 15, 2026; Form filed May 19, 2026 (filed within the standard reporting timeframe for a May 15 transaction).
• Sale: 3,000 shares @ $18.76 = $56,280 (Disposition).
• Exercise: 3,000 options @ $12.65 = $37,950 (Acquisition).
• Additional derivative conversion: 3,000 shares @ $0.00 recorded (Disposition on Form 4).
• Shares owned after transaction: Not specified in the filing.
• Footnotes:
  • F1: Trades were effected pursuant to a Rule 10b5‑1 trading plan adopted Nov 13, 2025.
  • F2: The option vesting schedule is 25% on July 15, 2025, then equal monthly installments over the next three years (subject to continued service).

Context

• Because the exercise and sale occurred the same day, this resembles a cashless exercise/sell-to-cover pattern (exercise to obtain shares and immediate sale of shares). The filing does not state whether shares were sold to cover taxes or for other reasons.
• The 10b5‑1 plan note indicates the sales were made under a prearranged plan, which is intended to limit claims of trading on inside information.
• No indication in the filing that this was a gift or a 10% owner transaction.