Form 4: Andreessen Horowitz Funds Receive Starco Brands Shares as Earn-Out from Soylent Acquisition

Andreessen Horowitz and related entities received a significant number of Starco Brands Class A Common Stock shares as an earn-out from the 2023 Soylent Nutrition acquisition.

Summary

• Andreessen Horowitz Fund IV, L.P., AH Parallel Fund IV, L.P., Andreessen Horowitz Fund III, L.P., and a16z Seed-III, LLC received Starco Brands (STCB) Class A Common Stock as earn-out shares.
• The shares were received on May 20, 2025, at no additional cost, related to the sale of Soylent Nutrition, Inc., which Starco Brands acquired in February 2023.
• The right to receive these earn-out shares became fixed and irrevocable on February 15, 2023, and was modified on March 14, 2024.
• Andreessen Horowitz Fund IV, L.P. received 38,592,602 shares, increasing its holdings to 118,633,627 shares.
• AH Parallel Fund IV, L.P. received 7,433,138 shares, increasing its holdings to 22,849,461 shares.
• Andreessen Horowitz Fund III, L.P. received 1,960,638 shares, increasing its holdings to 6,027,002 shares.
• a16z Seed-III, LLC received 100,607 shares, increasing its holdings to 309,265 shares.
• The reporting persons disclaim beneficial ownership of the securities except to the extent of their pecuniary interest.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The earn-out payment suggests that the acquired company met certain performance targets, which is generally a positive sign. However, the filing itself is simply a procedural disclosure.

Positives

• The receipt of earn-out shares indicates that the conditions for the earn-out related to the Soylent acquisition were met.
• Andreessen Horowitz and related entities have increased their holdings in Starco Brands.

Industry Context

Form 4 filings are standard practice for reporting changes in beneficial ownership by company insiders and major shareholders, providing transparency to the market.

Stakeholder Impact

• The increased holdings of Andreessen Horowitz may signal confidence in Starco Brands, potentially impacting shareholder sentiment positively.

Key Dates

Keywords

Starco Brands, STCB, Andreessen Horowitz, Soylent Nutrition, Earn-out, Class A Common Stock, Beneficial Ownership, Acquisition