NLIGHT INC
For the period ended Jun 6, 2024. Filed Apr 26, 2024.
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What shareholders are asked to vote on at a company's meeting. It is where to find what directors and top executives are paid, and who owns the most shares.
Jun 6, 2024 · Filed Apr 26, 2024
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 14A
PROXY STATEMENT PURSUANT TO SECTION 14(a) OF THE
SECURITIES EXCHANGE ACT OF 1934
Filed by the Registrant ý
Filed by a party other than the Registrant ¨
Check the appropriate box:
¨Preliminary Proxy Statement
¨Confidential, for Use of the Commission Only (as permitted by Rule 14a‑6(e)(2))
ý Definitive Proxy Statement
¨Definitive Additional Materials
¨Soliciting Material under §240.14a‑12
NLIGHT, INC.
(Name of Registrant as Specified In Its Charter)
(Name of Person(s) Filing Proxy Statement, if other than the Registrant)
| Payment of Filing Fee (Check all boxes that apply): | |
|---|---|
| ý | No fee required |
| ¨ | Fee paid previously with preliminary materials |
| ¨ | Fee computed on table in exhibit required by Item 25(b) per Exchange Act Rules 14a-6(i)(1) and 0-11 |
NOTICE OF ANNUAL MEETING OF STOCKHOLDERS
To Be Held at 9:00 a.m. Pacific Time on Thursday, June 6, 2024
Dear Stockholders of nLIGHT, Inc.:
We cordially invite you to attend the 2024 annual meeting of stockholders (the “Annual Meeting”) of nLIGHT, Inc., a Delaware corporation, which will be held on Thursday, June 6, 2024, at 9:00 a.m. Pacific Time. This year’s Annual Meeting will be a completely virtual meeting of stockholders. You can attend the Annual Meeting by visiting www.virtualshareholdermeeting.com/LASR2024 where you will be able to listen to the meeting live, submit questions and vote online. We are holding the Annual Meeting for the following purposes, as more fully described in the accompanying proxy statement:
To elect the Class III director nominees named in the accompanying proxy statement to serve until the 2027 annual meeting of stockholders and until their respective successors are duly elected and qualified;
To ratify the appointment of KPMG LLP as our independent registered public accounting firm for our fiscal year ending December 31, 2024;
To approve, on an advisory, non-binding basis, the compensation of our named executive officers; and
To transact such other business that may properly come before the Annual Meeting or any adjournments or postponements thereof.
Our board of directors has fixed the close of business on April 8, 2024, as the record date for the Annual Meeting. Only stockholders of record on April 8, 2024, are entitled to notice of and to vote at the Annual Meeting. Further information regarding voting rights and the matters to be voted upon is presented in the accompanying proxy statement.
Important Notice Regarding the Availability of Proxy Materials for the Annual Meeting to Be Held on Thursday, June 6, 2024. On or about April 26, 2024, we expect to mail to our stockholders a Notice of Internet Availability of Proxy Materials (the “Notice”) containing instructions on how to access our proxy statement and annual report. The Notice provides instructions on how to vote via the Internet, telephone or mail (if you receive printed proxy materials) and includes instructions on how to receive a paper copy of our proxy materials. The accompanying proxy statement and our annual report can be accessed directly at the following Internet address: www.proxyvote.com. All you have to do is enter the control number located on your Notice or proxy card.
YOUR VOTE IS IMPORTANT. Whether or not you plan to attend the Annual Meeting, we urge you to submit your vote via the Internet, telephone or mail as soon as possible. We appreciate your continued support of nLIGHT.
By order of the Board of Directors,
Scott Keeney
President and Chief Executive Officer
Camas, Washington
April 26, 2024
TABLE OF CONTENTS
| Page | |
|---|---|
| PROXY STATEMENT | 1 |
| THE PROXY PROCESS AND STOCKHOLDER VOTING: QUESTIONS AND ANSWERS | 2 |
| BOARD OF DIRECTORS AND CORPORATE GOVERNANCE | 8 |
| Nominees for Director | 8 |
| Continuing Directors | 10 |
| Director Independence | 12 |
| Board Leadership Structure | 13 |
| Executive Sessions of Non-Employee Directors | 14 |
| Board and Committee Meetings | 14 |
| Compensation Committee Interlocks and Insider Participation | 16 |
| Considerations in Evaluating Director Nominees | 17 |
| Stockholder Recommendations for Nominations to the Board of Directors | 18 |
| Communications with the Board of Directors | 19 |
| Corporate Governance Guidelines and Code of Business Conduct and Ethics | 19 |
| Stockholder Engagement | 19 |
| Board Diversity Matrix as of April 26, 2024 | 17 |
| Risk Management | 19 |
| Outside Director Compensation Policy | 19 |
| Director Compensation for Fiscal Year 2023 | 22 |
| PROPOSAL NO. 1 ELECTION OF DIRECTORS | 24 |
| Nominees | 24 |
| Vote Required | 24 |
| PROPOSAL NO. 2 RATIFICATION OF APPOINTMENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM | 25 |
| Fees Paid to the Independent Registered Public Accounting Firm | 25 |
| Auditor Independence | 25 |
| Policy on Audit Committee Pre-Approval of Audit and Permissible Non-Audit Services of Independent Registered Public Accounting Firm | 26 |
| Vote Required | 26 |
| REPORT OF THE AUDIT COMMITTEE | 27 |
| PROPOSAL NO. 3 ADVISORY VOTE ON COMPENSATION OF NAMED EXECUTIVE OFFICERS | 28 |
| Advisory Non-Binding Vote on Compensation of Named Executive Officers | 28 |
| Vote Required | 28 |
| EXECUTIVE OFFICERS | 29 |
| EXECUTIVE COMPENSATION | 29 |
| Compensation Discussion and Analysis | 29 |
| Corporate Governance Practices | 31 |
| Compensation-Setting Process | 32 |
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| Elements of Executive Compensation | 33 |
|---|---|
| Change of Control and Severance Benefits | 39 |
| Other Benefits and Perquisites | 40 |
| Consideration of Stockholder Advisory Vote on Executive Compensation | 40 |
| Equity Ownership Guidelines | 40 |
| Compensation Recovery Policy | 40 |
| Equity Award Grant Policies | 41 |
| Hedging and Pledging Prohibitions | 41 |
| Deductibility of Executive Compensation | 41 |
| Taxation of Parachute Payments and Deferred Compensation | 41 |
| Accounting for Stock-Based Compensation | 41 |
| Compensation Committee Report | 42 |
| Summary Compensation Table | 42 |
| Grants of Plan-Based Awards in Fiscal Year 2023 | 43 |
| CEO Pay Ratio Disclosure | 44 |
| Pay Versus Performance | 45 |
| Outstanding Equity Awards at December 31, 2023 | 50 |
| Option Exercises and Stock Vested for Fiscal Year Ended December 31, 2023 | 51 |
| Employment Arrangements | 51 |
| Potential Payments upon Termination or Change-In-Control | 53 |
| Securities Authorized for Issuance Under Equity Compensation Plans | 53 |
| BENEFICIAL OWNERSHIP OF SHARES OF COMMON STOCK | 54 |
| CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS | 56 |
| Policies and Procedures for Transactions with Related Persons | 56 |
| Transactions | 57 |
| Limitations on Director and Officer Liability and Indemnification | 57 |
| DELINQUENT SECTION 16(a) REPORTS | 57 |
| OTHER MATTERS | 57 |
| APPENDIX A | 59 |
| PROXY CARD | 60 |
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