Nicholas S. Green - Jul 9, 2021 Form 4 Insider Report for Avid Bioservices, Inc. (CDMO)

Role: President & CEO, Director
Signature: /s/ Stephen Hedberg, by Power of Attorney for Nicholas S. Green
Stock symbol: CDMO
Transactions as of: Jul 9, 2021
Transactions value $: $0
Form type: 4
Date filed: 7/13/2021, 09:36 PM
Previous filing: Jul 1, 2021
Next filing: Aug 3, 2021

Derivative Securities (e.g., puts, calls, warrants, options, convertible securities)

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Underlying Class	Amount	Exercise Price	Ownership	Footnotes
transaction	CDMO	Restricted Stock Units	Award	$0	+89.2K	+59.45%	$0.00	239K	Jul 9, 2021	Common Stock	89.2K		Direct	F1, F2
transaction	CDMO	Performance Stock Units	Award	$0	+178K		$0.00	178K	Jul 9, 2021	Common Stock	178K		Direct	F3, F4

* An asterisk sign (*) next to the price indicates that the price is likely invalid.

Explanation of Responses:

Id	Content
F1	Each restricted stock unit ("RSU") represents the contingent right to receive, upon vesting of the RSU, one share of the Issuer's Common Stock.
F2	RSUs granted to the reporting person on July 9, 2021, vest in sixteen (16) equal quarterly installments over a four (4) year period beginning October 9, 2021 and each quarter thereafter until fully-vested, subject to the reporting person's continuous service to the Issuer on such vesting dates.
F3	Each Performance Stock Unit ("PSU") represents the contingent right to receive, upon vesting, one share of the Issuer's Common Stock .
F4	The vesting of the PSUs granted to the reporting person on July 9, 2021 is subject to the Issuer achieving certain fiscal year revenue and adjusted net profit milestones, weighted 60% and 40%, respectively, over three (3) fiscal year performance periods beginning with the Issuer's fiscal year ending April 30, 2022 and continuing through the fiscal year ending April 30, 2024 (each a "Performance Period"). Subject to the Issuer attaining the applicable fiscal year milestones, 1/3rd of the PSUs will vest on the last day of each fiscal year during the Performance Period, subject to the reporting person's continuous service to the Issuer on such vesting dates. The number of PSUs listed is based on a maximum 200% achievement of each milestone during each Performance Period (the "Maximum Performance Target"). In the event that a milestone is achieved at a rate below the Maximum Performance Target, or is not achieved, the corresponding portion of the PSUs that do not vest will be forfeited.