Company: TEM
Filing Date: 2025-03-07
Form Type: 424B3
Source: 0001193125-25-049935
Chunk: 33

Company: Tempus AI, Inc.
Filing Date: 2025-03-07
Form: 424B3
Chunk 33
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 order, services rendered to us or our affiliates or any other form of legal consideration. Class A common stock acquired under a
restricted stock award may, but need not, be subject to a share repurchase option in our favor in accordance with a vesting schedule to be determined by the administrator. A restricted stock award may be transferred only upon such terms and
conditions as set by the administrator. Except as otherwise provided in the applicable award agreement, restricted stock awards that have not vested may be forfeited or repurchased by us upon the participant’s cessation of continuous service
for any reason.

22

Restricted Stock Unit Awards. Restricted stock unit awards are
granted pursuant to restricted stock unit award agreements adopted by the administrator. Restricted stock unit awards may be granted in consideration for any form of legal consideration. A restricted stock unit award may be settled by cash, delivery
of stock, a combination of cash and stock as deemed appropriate by the administrator or in any other form of consideration set forth in the restricted stock unit award agreement. Additionally, dividend equivalents may be credited in respect of
shares covered by a restricted stock unit award. Except as otherwise provided in the applicable award agreement, restricted stock units that have not vested will be forfeited upon the participant’s cessation of continuous service for any
reason.

Stock Appreciation Rights. Stock appreciation rights are granted pursuant to stock appreciation right
grant agreements adopted by the administrator. The administrator determines the strike price for a stock appreciation right, which generally cannot be less than 100% of the fair market value of our Class A common stock on the date of grant.
Upon the exercise of a stock appreciation right, we will pay the participant an amount equal to the product of (1) the excess of the per share fair market value of our Class A common stock on the date of exercise over the strike price,
multiplied by (2) the number of shares of our Class A common stock with respect to which the stock appreciation right is exercised. A stock appreciation right granted under the 2024 Plan vests at the rate specified in the stock
appreciation right agreement as determined by the administrator.

The administrator determines the term of stock
appreciation rights granted under the 2024 Plan, up to a maximum of ten years. Unless the terms of a participant’s stock appreciation right agreement provide otherwise, if a participant’s service relationship with us or any of our
affiliates ceases for any reason other than cause, disability or death, the participant may generally exercise any vested stock appreciation right for a period