SEC Form 4 · accession 0000899243-16-013750

MAGNITE, INC. · MGNI

Statement of changes in beneficial ownership, as filed. Original on EDGAR ↗

Reporting owner

Gregory R Raifman

Officer — President · Director

Period of report

Feb 16, 2016

Accepted (ET)

Feb 18, 2016 · 6:47 pm EST

Rule 10b5-1 plan

unknown — predates the checkbox

Issuer CIK

0001595974

Table I — non-derivative securities

Security	Date	Code	Shares	Price	A/D	Owned after	D/I
Common Stock^F2	Feb 16, 2016	S	7,031	$12.39	D	374,588	D
Common Stock^F3,F4	Feb 17, 2016	A	51,111	$0.00	A	425,699	D
Common Stock^F5,F6,F4	Feb 17, 2016	A	76,667	$0.00	A	502,366	D

Table II — derivative securities

Security	Conv. / exercise price	Date	Code	Shares	A/D	Exercisable	Expires	Underlying	Underlying shares	Owned after	D/I
Stock Option (right to buy)^F2,F7	$13.16	Feb 17, 2016	A	58,884	A	—	Feb 1, 2026	Common stock	58,884	58,884	D

Explanation of responses

F1The sales reported in this Form 4 were effected pursuant to a Rule 10b5-1 trading plan in order to cover the reporting person's tax liability incurred upon the vesting of the reporting person's restricted shares.
F2The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $12.12 to $12.56, inclusive. The reporting person undertakes to provide The Rubicon Project, Inc., any security holder of The Rubicon Project, Inc., or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the ranges set forth in footnote (2) to this Form 4.
F3Represents shares of restricted stock that vest as follows: (a) 15,972 shares on May 15, 2017; (b) 6,389 shares on November 15, 2017; (c) 6,388 shares on May 15, 2018; (d) 6,389 shares each November 15 and May 15 thereafter until November 15, 2019; and (e) 3,195 shares on May 15, 2020.
F4Granted as compensation for services.
F5Represents shares of restricted stock tied to the Issuer's market price ("Market Stock Awards" or "MSAs"). The MSAs vest upon certification by the Board or Compensation Committee of the Issuer promptly following the Measurement Date for the MSAs, which is the first to occur of (i) February 1, 2019, (ii) the effective date of a Sale Transaction (as defined in the Severance Agreement between the Issuer and the reporting person to include various change in control transactions), or (iii) the date of termination of the reporting person's continuous service as a result of an involuntary termination, death, or disability. On the vesting date, the MSAs will vest with respect to the number of shares of the issuer's common stock, consisting of none, some, or all of the total shares issued, determined as the product obtained by multiplying the Performance Factor times the Target Shares as of the Measurement Date.
F6(Continued form footnote 5) Initial Target Shares are two-thirds of the total number of MSAs issued, subject to pro-rata reduction for partial time served if the reporting person's continuous service terminates as a result of death, disability, involuntary termination not in connection with a Sale Transaction, or voluntary termination initiated by the reporting person. If the Calculated Quotient is less than 50%, the Performance Factor is zero, resulting in no vesting. If the Calculated Quotient is more than 150%, the Performance Factor is 150%. If the Calculated Quotient is at least 50% but not more than 150%, the Performance Factor is equal to the Calculated Quotient. For this purpose, the "Calculated Quotient" is obtained by dividing the 20-day trailing average closing price for the Issuer's common stock as of the Measurement Date by the 20-day trailing average closing price for the issuer's common stock as of the issuance date.
F725% of the stock options will vest on February 1, 2017 and the remaining option shares will become exercisable in 36 equal installments each calendar month thereafter.