Twilio Inc (TWLO) Amended Stock Plan Approved by Board
Twilio's board approved an amended and restated equity compensation plan on April 15, 2026, pending stockholder approval at the 2026 Annual Meeting.
By the FiledFeed automated desk
This summary was generated by AI from the company's SEC filing and may contain errors — always verify against the primary source on SEC.gov.
The short version
Twilio Inc's board approved amendments to its 2016 Stock Option and Incentive Plan on April 15, 2026, subject to shareholder approval at the company's 2026 Annual Meeting. The updated plan contains standard provisions for stock options, restricted stock units, and other equity awards, including rules for vesting, termination, and changes of control.
Filing impact
Filing sentiment
Twilio Inc (TWLO) said its board of directors approved an amended and restated version of the company's 2016 Stock Option and Incentive Plan on April 15, 2026. The plan will become effective once Twilio's shareholders approve it at the company's 2026 Annual Meeting of Stockholders.
The plan governs how Twilio grants stock options, restricted stock units (shares of company stock held by employees and directors with restrictions on when they can be sold), and other equity awards to employees and directors.
Key features of the plan include:
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Stock options: Employees can purchase company stock at a set price. After leaving the company, they generally have three months to exercise vested options for reasons other than death, disability, or termination for cause. If terminated due to disability, the window extends to 12 months.
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Restricted stock and units: Unvested shares or restricted stock units are forfeited when an employee leaves, except as otherwise determined by the board. The plan allows employees to elect to receive restricted stock units in place of cash compensation.
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Sale or merger: In the event of a sale or merger of the company, the board may allow the buyer to assume or substitute the company's equity awards, or the awards may terminate. If awards terminate upon a sale, employees' options and other time-based awards become fully vested immediately.
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Expiration: No new stock options can be granted more than 10 years after the plan becomes effective. No incentive stock options (a type with special tax treatment under federal law) can be granted more than 10 years after the board approval date.
The plan uses Charles Schwab & Co. and its affiliates to administer the stock plan on the company's behalf. Employee personal data related to the plan will be shared with Schwab and may be transferred to other service providers the company selects.
Key facts
- Twilio Inc (TWLO) board approved Amended and Restated 2016 Stock Option and Incentive Plan on April 15, 2026
- Plan becomes effective upon stockholder approval at 2026 Annual Meeting of Stockholders
- Plan governs stock options, restricted stock units, and other equity awards
- Employees have 3 months to exercise vested options after termination for reasons other than death, disability, or cause
- Employees have 12 months to exercise vested options if terminated due to disability
- Unvested awards terminate upon employee departure unless otherwise determined
- In a sale event, time-based awards become fully vested unless assumed or substituted
- No stock option grants allowed more than 10 years after plan becomes effective
- Charles Schwab & Co. provides brokerage and administrative services for the plan
- 8-K filed June 17, 2026
Why it matters
This is a routine governance filing—the amended plan reflects standard housekeeping updates to Twilio's equity compensation framework. The filing itself does not signal any change in strategy or new business risk. However, the plan's terms matter to employees and directors because they determine what happens to their stock awards if they leave the company, if the company is sold, or if performance conditions change. For shareholders, it's relevant mainly as a formal record that the board is updating its compensation structure for potential stockholder consideration.
Frequently asked
- When does the amended plan take effect?
- The plan becomes effective upon approval by Twilio shareholders at the 2026 Annual Meeting of Stockholders. The board approved the amendments on April 15, 2026.
- What happens to employee stock options if they leave the company?
- Employees generally have three months to exercise vested options after termination for reasons other than death, disability, or termination for cause. If terminated due to disability, they have 12 months. Unvested options are forfeited.
- What happens to equity awards if Twilio is sold?
- The buyer may assume or substitute the company's equity awards with comparable awards, or the awards may terminate. If awards terminate in a sale, employees' time-based awards (options and restricted stock units) become fully vested immediately at closing.
- How long will new stock awards be granted under this plan?
- No new stock options can be granted more than 10 years after the plan becomes effective. No incentive stock options can be granted more than 10 years after the board's April 15, 2026 approval date.
What the filing reported
- 5.02 Departure/Election of Directors or Officers
- 5.07 Other reported item
- 9.01 Financial Statements & Exhibits
Source
Based on TWILIO INC's 8-K filed with the SEC on Jun 17, 2026. Read the original filing on SEC.gov ↗